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UK channel companies are prioritising vendor partnerships over the lucrative opportunity of collaborating with fellow service providers, according to research from IT solutions and services provider MTI.
MTI’s independent survey of the UK channel revealed that providers’ key focus for 2014 will be vendor-funded lead generation, with 58% of respondents rating vendor activity as a key priority over the next 12 months.
The research found that almost one third of resellers (31%) were so focused on vendor activity that they do not currently collaborate with fellow service providers. Furthermore, 7% of respondents revealed they would definitely not consider working with their competitors.
Chris Roberts, Head of Channel at MTI, said: “It’s clear that resellers’ targeted strategies for securing vendor partnerships are blinding them to the opportunities available through working with their fellow service providers.
“Partnering with a services expert that can offer a wide suite of services allows resellers and service providers to offer their clients IT solutions that meet their bespoke needs as and when they decide they require it. They can do this indirectly without having to provide the service themselves and without having to devote considerable time and effort to securing vendor partnerships.”
Given their key vendor focus, respondents were also asked what they believed was the biggest challenge to achieving this goal. The overwhelmingfactor was channel conflict, with almost two thirds of resellers (61%) claiming that increased rivalry from competitors was their key challenge.
The research also found that very few resellers rate the ability to track and register leads as being important. Nearly one third of respondents (29%) believed this to be the least important factor in growing their cloudbusiness.
Roberts added: “Our research shows that the huge competition in the cloud and channel markets is holding resellers back. To get ahead of the game, these businesses must look to form alliances with service providers who have ready-made service solutions that can be turned on or off at a moments’ notice.”
