In the IT industry, publishing companies are ideal markets needing channel services to increase sales revenue. Reseller hosting solutions are needed to facilitate the relationship between software vendors and channel partners. Reseller hosting managers are tasked with developing partnerships and streamlining the sales process by channels. there are generally three parties involved in the sales channel: vendors, resellers or partners and customers. Margin, credit limit, product price list, terms, etc., must be set.
The right price is very important. It does not have to be set too high or too low and not the margin that affects the final price the consumer has to pay for. In addition to the price of the problem, the reseller hosting product must fit the reseller. High-value products for example need to be occupied reseller hosting or value added resellers who have previous experience in selling these types of products. Conflict management comes into play primarily between partners. One of the most prevalent challengers in the sales channel is too much competition. Sometimes even vendors will pull the carpet out from under the partners when looking at the opportunity to reap the benefits for themselves. Stealing leads are ridiculed but unheard of from within the industry.
Included in this assignment is the delivery of license keys due to software application products. In international markets, such as Asia or Europe, prices on software may differ to reflect the market. It is imperative that reseller hosting are recruited from countries where products are sold because they will be more efficient in selling products because they know the language and may have built their reputation locally. They are necessary however, so reseller hosting companies can gain valuable insight as to how they progress as far as sales channels go. With an automated system, reseller hosting performance is transparent and based on information, resellers can be given silver, gold or platinum status.