https://www.channelfutures.com/wp-content/themes/channelfutures_child/assets/images/logo/footer-new-logo.png
  • Home
  • Technologies
    • Back
    • SDN/SD-WAN
    • Cloud
    • RMM/PSA
    • Security
    • Telephony/UC/Collaboration
    • Cable
    • Mobility & Wireless
    • Fiber/Ethernet
    • Data Centers
    • Backup & Disaster Recovery
    • IoT
    • Desktop
    • Artificial Intelligence
    • Analytics
  • Strategy
    • Back
    • Mergers and Acquisitions
    • Channel Research
    • Business Models
    • Distribution
    • Tech Services Brokerages
    • Sales & Marketing
    • Best Practices
    • Vertical Markets
    • Regulation & Compliance
    • Diversity, Equity & Inclusion
  • MSP 501
    • Back
    • MSP 501 Information Center
    • 2021 MSP 501 Rankings
  • Intelligence
    • Back
    • Galleries
    • Podcasts
    • From the Industry
    • Reports/Digital Issues
    • Webinars
    • White Papers
  • Channel Futures TV
  • EMEA
  • Channel Chatter
    • Back
    • People on the Move
    • New/Changing Channel Programs
    • New Products & Services
    • Industry Honors
  • Resources
    • Back
    • Advisory Boards
    • Industry Organizations
    • Our Sponsors
    • Advertise
    • 2022 Editorial Calendar
  • Awards
    • Back
    • 2021 MSP 501
    • Circle of Excellence
    • DE&I 101
    • Top Gun 51
    • Channel Partners 101 (CP 101)
  • Events
    • Back
    • CP Conference & Expo
    • MSP Summit
    • Channel Partners Europe
    • Channel Partners Event Coverage
    • Webinars
    • Industry Events
  • About Us
  • DE&I
Channel Futures
  • NEWSLETTER
  • Home
  • Technologies
    • Back
    • SDN/SD-WAN
    • Cloud
    • RMM/PSA
    • Security
    • Telephony/UC/Collaboration
    • Cable
    • Mobility & Wireless
    • Fiber/Ethernet
    • Data Centers
    • Backup & Disaster Recovery
    • IoT
    • Desktop
    • Artificial Intelligence
    • Analytics
  • Strategy
    • Back
    • Mergers and Acquisitions
    • Channel Research
    • Business Models
    • Distribution
    • Tech Services Brokerages
    • Sales & Marketing
    • Best Practices
    • Vertical Markets
    • Regulation & Compliance
    • Diversity, Equity & Inclusion
  • MSP 501
    • Back
    • MSP 501 Information Center
    • 2021 MSP 501 Rankings
  • Intelligence
    • Back
    • Galleries
    • Podcasts
    • From the Industry
    • Reports/Digital Issues
    • Webinars
    • White Papers
  • Channel Futures TV
  • EMEA
  • Channel Chatter
    • Back
    • People on the Move
    • New/Changing Channel Programs
    • New Products & Services
    • Industry Honors
  • Resources
    • Back
    • Advisory Boards
    • Industry Organizations
    • Our Sponsors
    • Advertise
    • 2022 Editorial Calendar
  • Awards
    • Back
    • 2021 MSP 501
    • Circle of Excellence
    • DE&I 101
    • Top Gun 51
    • Channel Partners 101 (CP 101)
  • Events
    • Back
    • CP Conference & Expo
    • MSP Summit
    • Channel Partners Europe
    • Channel Partners Event Coverage
    • Webinars
    • Industry Events
  • About Us
  • DE&I
    • Newsletter
  • REGISTER
  • MSPs
  • VARs / SIs
  • Agents
  • Cloud Service Providers
  • Channel Partners Events
 Channel Futures

Best Practices


SaaS

4 SaaS Channel Takeaways from SaaS Connect

SaaS companies are growing revenue 5 percent faster than companies without a channel.
Channel Journeys Consulting's Rob Spee

Rob Spee

By Rob Spee, Founder and CEO, Channel Journeys Consulting

Channel Partners Insights logoLast week’s 9th annual SaaS Connect conference, hosted by the Cloud Software Association drew 200 vendors, platform and API specialists, marketplace leaders, distributors, resellers and investors who are all focused on the software-as-a-service channel. Over the two-day event, held in San Francisco, I heard the latest trends and compared notes on how other channel pros are tackling the channel transformation driven by cloud and SaaS. Following are four key take-aways from the show.

1. The Importance of Channel to SaaS. The exact role of the channel for SaaS companies is still evolving, but there’s no doubt that the channel plays a critical role in SaaS growth. According to a survey of 1,000 SaaS companies shared by Rob Belcher of SaaS Capital, 53 percent of SaaS companies have channel sales. Those with a channel have an average of 22 percent of their revenue coming from channel. That number rose from 10 percent in last year’s survey but is still a long way from the roughly 70 percent of on-premise software sold through the channel. More importantly, the SaaS companies with a channel are growing revenue 5 percent faster than the companies without a channel.

Thousands of SaaS companies are launching around the world. And they are shifting the idea of what the channel can and should mean. SaaS start-ups are increasingly viewing the channel as more than a network of resellers or referral partners and agents who provide professional services. They see the channel as an ecosystem of technology partners with APIs redefining the nature and value of partnering.

2. The SaaS channel — what’s different. When comparing the SaaS channel with that of traditional IT vendors, there are many similarities and a few key differences. The core channel fundamentals are no different for a SaaS company versus a traditional IT vendor — strategy, internal alignment, team building, focus on quality partners and enablement. These core principals apply. What’s different is the types of partners, the revenue models and the challenges of distribution.

SaaS companies can and do leverage the traditional channel of VARs, system integrators, and managed service providers (MSPs). They need a network of referral partners. And many would benefit from an app store and/or marketplace with APIs to attract partners who will develop targeted solutions on top of their SaaS offering.

According to Daniel Saks, co-CEO of App Direct, 84 percent of ISVs agree that APIs are the only way to quickly innovate by vertical. Digital services are taking over traditional services at an increasing rate. The digital service economy has already reached $1 trillion. And it’s happening in every vertical from manufacturing to health care to entertainment. This is a huge opportunity for SaaS channel partners.

3. The SaaSification of channel management. SaaS is transforming all areas of business and it’s starting to transform channel management. I’ve worked with several SaaS channel technology vendors as a Channel Chief and met a few new ones at SaaS Connect with innovative solutions.

One of these is SaaS start-up called Crossbeam. Bob Moore, the co-founder of RJ Metrics and Stitch, launched Crossbeam after his two prior companies were acquired. Bob presented how they are solving the Partner Prisoner’s dilemma. The Prisoner’s Dilemma of game theory was solved by mathematician John Nash, who was portrayed by Russell Crowe in the movie “A Beautiful Mind.” The prisoner’s dilemma happens when …

  • Page 1
  • Page 2
Tags: Agents Best Practices Cloud

Most Recent


  • Sophos tip
    Microsoft Global Channel Chief Rodney Clark Makes Sudden Exit
    The unexpected departure takes place just one year after Clark took over the position.
  • Managed Security Services
    Palo Alto Networks, Deloitte Offering Managed Security Services
    Deloitte Cyber and Palo Alto Networks announced their strategic alliance last July.
  • Mergers and Acquisitions, MA
    11:11 Systems Snags Key Managed Service and Cloud Infrastructure Assets
    The two acquisitions add value to 11:11's cloud, connectivity and security platform and portfolio
  • North America
    Kaspersky Channel Vet Joins Cyware to Lead its North America Channel
    Cyware partners can expect improvements in the company's partner program.

One comment

  1. Avatar Scott June 27, 2020 @ 12:06 am
    Reply

    When starting an SaaS company or growing your existing business, there are several moving parts to keep in mind. For one, the SaaS model works unlike any other standard business structure with many quirks and nuances one must be aware of when assessing the financial implications of growing the business.

Leave a comment Cancel reply

-or-

Log in with your Channel Futures account

Alternatively, post a comment by completing the form below:

Your email address will not be published. Required fields are marked *

Related Content

  • CF Top Gun 51 with new logo
    2021 Top Gun 51 Nominations Are Open — Apply Now!
  • USB drive
    A Coup and a Theft: Why MSPs Can’t Let Clients Get Lax About USB Security
  • Ransomware skull and crossbones
    JBS Did What it 'Needed to Do' with $11 Million Ransom Payment
  • Cloud Certification
    CompTIA Updates Cloud+ Certification, Drops New AI Guide for Businesses

Upcoming Events

View all

Channel Partners Europe

June 14, 2022 - June 15, 2022

MSP Summit

September 13, 2022 - September 16, 2022

Galleries

View all

Unprecedented Times Impacting Cybersecurity Channel Partners

May 16, 2022

8 Channel People Making Waves This Week at Avant, Cisco, Databricks, More

May 13, 2022

Talent Shortage Ripple Effects Continue to Create Headaches for Partners

May 13, 2022

Industry Perspectives

View all

Build Customers for Life with CX and Lifecycle Selling

May 16, 2022

Voice Analytics Are a Must-Have as Companies Evolve COVID-Rushed Tech

May 12, 2022

Top 5 Trends and Challenges Channel Partners Are Facing in 2022

May 9, 2022

Webinars

View all

Simplifying SaaS Security for MSPs

April 27, 2022

How to Supercharge The Network to Support Your IT Superhero Moves

May 3, 2022

The 2022 MSP Challenge: Scale Service Delivery Despite the Talent Gap

April 21, 2022

White Papers

View all

The New Bottom Line: How MSPs Can Meet the Healthcare Crisis While Evolving Their Businesses

April 19, 2022

How to build a Security Operations Center (on a budget)

April 4, 2022

The AT&T Cybersecurity Incident Response Toolkit

April 4, 2022

Channel Futures TV

View all

AT&T, Microsoft, Cisco, ThreatLocker on Unlocking Partner Potential

Agents Share ‘Secrets,’ Industry Opportunity

May 11, 2022

Vonage Addresses Potential Partner Opportunity via Acquisition by Ericsson

May 5, 2022

Lumen Technologies ‘Built for Growth and Scale’

May 4, 2022

Twitter

ChannelFutures

.@PaloAltoNtwks, @Deloitte expand alliance to offer #managedsecurity services. dlvr.it/SQVFrp https://t.co/7VFlXLFIEK

May 16, 2022
ChannelFutures

.@1111systems has snagged certain key managed service and cloud infrastructure assets through two key acquisitions.… twitter.com/i/web/status/1…

May 16, 2022
ChannelFutures

.@kaspersky vet to lead @CywareCo's North America channel. #cybersecurity dlvr.it/SQV5S3 https://t.co/2n9CZ4H6Ke

May 16, 2022
ChannelFutures

How to build and provide a great customer experience. #CX #ChannelPartners @IngramMicroInc dlvr.it/SQTrfh https://t.co/RsAA2Lliek

May 16, 2022
ChannelFutures

[email protected] global channel chief Rodney Clark made the surprise announcement he is leaving his position just one ye… twitter.com/i/web/status/1…

May 16, 2022
ChannelFutures

.@SAP touts growth of Rise with SAP at #SAPSapphireOrlando dlvr.it/SQTCs5 https://t.co/J2LrQrYlNQ

May 16, 2022
ChannelFutures

#CPExpo #cybersecurity roundtable discusses unprecedented times for channel chiefs, partners. @Sophos, @Fortinet,… twitter.com/i/web/status/1…

May 16, 2022
ChannelFutures

Being #cybersecurity proactive about the threat landscape makes a better #cloudcomputing strategy, says… twitter.com/i/web/status/1…

May 16, 2022

MSSP Insider

Business advice for MSSPs and news from the broader security channel.

Newsletters and Updates

Sign up for The Channel Report, Channel Futures Update, MSP 501 Newsletter and more.

Live Channel Events

Get the latest information on the next industry-leading Channel Partners event.

Galleries

Educational slide shows and images from live events.

Media Kit And Advertising

Want to reach our audience? Access our media kit.

DISCOVER MORE FROM INFORMA TECH

  • Channel Partners Events
  • Telecoms.com
  • MSP 501
  • Black Hat
  • IoT World Today
  • Omdia

WORKING WITH US

  • Contact
  • About Us
  • Advertise
  • Newsletter

FOLLOW Channel Futures ON SOCIAL

  • Privacy
  • CCPA: “Do Not Sell My Data”
  • Cookie Policy
  • Terms
Copyright © 2022 Informa PLC. Informa PLC is registered in England and Wales with company number 8860726 whose registered and Head office is 5 Howick Place, London, SW1P 1WG.
This website uses cookies, including third party ones, to allow for analysis of how people use our website in order to improve your experience and our services. By continuing to use our website, you agree to the use of such cookies. Click here for more information on our Cookie Policy and Privacy Policy.
X