Many Australian SMEs rely on reseller channels to expand their reach, but simply offering a commission can limit partner engagement and growth. While commission is essential, it’s rarely enough to truly incentivise partners to prioritise your products over competing offerings. We’ve seen firsthand that a layered approach, combining financial and non-financial rewards, delivers significantly better results.
The key is to think beyond transactional incentives and focus on building genuine partnerships. Here are a few strategies we recommend to our clients:
- Performance-Based Bonuses: Commission is volume-based, but bonuses reward specific achievements. This could be for acquiring a certain number of new customers, exceeding quarterly sales targets, or successfully selling into a new market segment. These are ‘stretch’ goals that drive extra effort.
- Market Development Funds (MDF): Providing partners with funds to support their own marketing activities – things like local advertising, event sponsorships, or co-branded content – is hugely valuable. It demonstrates investment in their success and helps them generate leads.
- Tiered Partner Programs: Structure your reseller program with clear tiers (e.g., Bronze, Silver, Gold). Each tier unlocks increasing benefits – higher commission rates, dedicated support, exclusive training, and priority access to new products. This creates aspiration and encourages partners to ‘level up’.
- Lead Sharing & Referral Programs: Don’t just expect partners to find all the leads. Share qualified leads with them, and incentivise them to refer opportunities back to you. This reciprocal arrangement strengthens the relationship and expands your collective pipeline.
It’s also important to remember the power of recognition. Publicly acknowledge top-performing partners – feature them in case studies, on your website, or at industry events. This builds their profile and reinforces positive behaviours. We’re seeing a trend towards collaborative marketing campaigns where partners actively co-create content with vendors, further solidifying the relationship.
Ultimately, successful reseller incentivisation isn’t about throwing money at the problem. It’s about creating a mutually beneficial ecosystem where partners feel valued, supported, and motivated to champion your brand. To get started, analyse your current reseller program and identify areas where you can introduce these additional incentives. A small investment in program enhancement now can yield substantial returns in the coming months.
