Dell Technologies Partner Program Bucks Negative COVID-19 Trends

Dell Technologies‘ partner program showed strong performance in the first quarter despite overwhelming obstacles due to the COVID-19 pandemic.

That’s according to Cheryl Cook, senior vice president of Dell Technologies global channel marketing. For the quarter, the company reported nearly $22 billion in revenue, on par with the year-ago quarter. The Dell Technologies partner program played a big role in those sales.

Dell’s Cheryl Cook

“It’s fair to say we’re all in the most interesting, extraordinary and unprecedented time for many of us,” Cook said. “When the lockdown started and the world pivoted, the channel business and our partner community were really amazingly resilient and [providing] some phenomenal momentum for us.”

To help partners cope with the pandemic, Dell rolled out a partner relief stimulus package. It offered cash flow assistance, on-demand services training and certification, and more.

Strong Partner Revenue

For the last 12 months, partners placed more than $52 billion in orders, she said. In the first quarter, partner revenue grew 6%, and Dell’s distribution business inside of that performance grew 3%.

In terms of business categories, client solutions revenue grew 12% in response to the surge in the need to work from home. However, server business revenue was down 3% in the channel, and storage business revenue was down 10% during the quarter. Still, Dell outperformed its peers, Cook said.

Dell’s VMware business orders were up 89% in the quarter.

Also last quarter, partners brought in more than 15,000 new customers, Cook said. One focus area for Dell’s partners is bringing new customers into the business, she said.

And with partners working from home, many took the opportunity to lean in on training, she said. In the first quarter, 15,600 credentials were delivered to individuals reflecting nearly 1,700 partner companies, she said.

“That’s exactly what we like to see,” Cook said. “We’re looking for them to continue to stay current around our tools and technology.”

Dell Financial Services continues to be a valuable resource for partners, she said. Dell Financial Services organizations in the channel grew 3% year over year in the quarter.

“All in all, we’re really pretty pleased with overall performance,” Cook said. “The channel continues to be an incredibly strategic and relevant route to market.”

Partners are asking for more assistance with virtual sales and marketing. Dell is working hard to assist them in this area, she said.

“While we want everybody to stay healthy and safe, we’re being responsive to partners and customers … and we’re still innovating and bringing innovations to market,” Cook said.