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Technology Solutions Brokerages


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Woman with questions

Should We Just Call Master Agents Distributors?

  • Written by James Anderson
  • June 9, 2021
The master agents once rebranded themselves as tech services distributors. But that effort failed.

Primary agent? Services distributor? Technology sourcing platform? Many people in the channel want to do away with the term master agent, but they can’t agree on a replacement.

CF Signature Series StampMaster agent leaders are discussing how they can most accurately describe themselves to their partners and the outside world. And it’s not just master agents participating in this discussion. Vendors and channel partners are also lobbying for new terminology. As Channel Futures wrote last week, some partners consider master agent a racially offensive term, while other partners simply think it misrepresents the relationship between master agents and subagents.

Is the term “master agent” racist? We explored that in part one of our series.

However, disagreement abounds on how to proceed. While vendors like Comcast are looking to build the term “primary agent” into their vocabulary, master agents have already attempted to brand themselves as “technology services distributors.”

Murray, Richard_Telarus

Telarus’ Richard Murray

“What would be interesting is if people adopt ‘technology services distributor’ at the same time as the providers say, ‘We like primary agent,’ and you end up with VHS vs. beta,” Telarus chief operations officer Richard Murray said.

The industry could end up with competing terms that confuse partners and customers even more. That’s why Murray said he’s eager for everyone in the channel to engage in this discussion.

“Until it’s more broadly embraced by all masters, suppliers and subagents, everyone’s going to keep running back to the muscle memory of master agent,” Murray said.

The Default

Murray said channel partners lean toward “master agent” because it describes tiering well. The master agent aggregates the contracts, and the subagents produce the sales. However, he said the term master agent makes no sense to the outside world.

“If you’re getting a haircut and somebody asks you what you do, you can’t say, ‘I’m a master agent,'” he said.

And the outside world consists of more than just barbers. Consider private equity firms and other purchasers, who are eyeing the channel for the first time. Murray said niche terms like master agent confuse and distract these prospective buyers.

“Most of them get really glassy-eyed when they hear the term master agent,” he said.

Murray said he often uses the insurance broker model to describe Telarus to the barber.

“The barber tends to know an insurance agent and knows that that agent is brokering somebody,” he said.

While that approach works for short, casual conversations, does it communicate the full value of a master agency? Kelli McMillan, national partner manager at Five9, doesn’t think so.

McMillan, Kelli_ Five9

Five9’s Kelli McMillan

“They do so much more than contracts,” McMillan said. “They do contracts, yes, but they also do back-office support, and they have a lending arm.”

Service Distributors?

Several master agents, including TBI and Telarus, started calling themselves technology services distributors a few years ago. However, their initiative didn’t affect channel partners’ everyday language.

TBI’s Mike Onystok

“It didn’t stick,” said Mike Onystok, TBI’s senior vice president of operations. “The channel kind of just reverted back to master agent, and to save time, we just continued to go with that.”

But Onystok and Murray still see the usefulness of the term technology services distributor.
“You’re a distributor versus a consultant or whatever element a subagent may want to take on,” Murray said. “It also provides some level of understanding of function and speaks externally in a way that master agent never did.”

And by some accounts, this isn’t …

  • Page 1
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Tags: Agents Channel Chatter Channel Convergence Cloud Distribution Mergers and Acquisitions Strategy Technology Solutions Brokerages Telephony/UC/Collaboration

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3 comments

  1. Avatar Davis Adams June 16, 2021 @ 5:04 am
    Reply

    The industry should continue to use Master label and get on with business. The term has many definitions but “master” designates the agency as being highly qualified; a high level of expertise, just as a “master” craftsman i.e. welder, electrician, etc.

    It is time for adult professionals to get back to business, quit being offended by whatever the term of the day is, and respect everyone as you yourself would want to be respected. Quit feeding into the drama and write an article on new services, new techniques on cold calling, or any topic to help grow our customer base.
    Respectfully,
    Davis Adams

  2. Avatar Charles N Carter June 16, 2021 @ 6:44 am
    Reply

    This is a media generated NONTROVERSY… nobody cares about the verbiage but the person who wrote this column.
    I have worked in this sector for 27 years and no a single person, company or agent has ever raised this topic or presented it as an issue.
    This is a great example of media manipulation of a story.

  3. Avatar Jim Ferguson July 22, 2021 @ 10:59 am
    Reply

    Interesting debate, but it feels a bit like a “tempest in a teapot”. The primary task, it seems to me, is keeping our companies relevant as technology continues to move forward at an increasing pace and provide solutions that solve our clients’ business problems. Pick what you like….Master Agent, Technology Service Provider or whatever. Rebranding is a relevant management task…but a minor one in this case, in my opinion.

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