Partner Segmentation and ManagementChannel Services Strategies

David Swanson | Riverbed Technologies

Channel Services Enablement:

Not complicatedInside View

But it is hardOutside View

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Agenda

• Why Riverbed is enabling partner services.

• Riverbed’s channel services strategy

• Riverbed’s service partner enablement roadmap

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Evolution of Channel Services Maturity

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Undefined

Opportunistic

Outsourcing

Programmatic

Enablement

Embedded

Vendor Focused

Partner Focused

Partners

Conditions For Change at Riverbed: Addressing Channel Service Needs

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Gain Relevance from Profitability: Align with Partner Growth & Margin

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• Service partners are requiring a minimum of 1:1 or greater - service to product ratios for new GTM solutions

• In some cases, partners are selling product at $0 profit to win services business

Multi- Technology

Vendor Avgs

Increase Relevance with the Partners Through Greater Mindshare

• Relevance with a consolidated service message across consulting, training, support, managed services

• Mindshare with Services– Increased in field sales– Introduced

• Solution Architects• Consultants• Project Managers

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Your Product

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National U.S. Service Provider

“We will sell product at 0% margin to gain the services business. If I could get out of being a hardware provider, I would.” – VP of Sales

• $700m+ 2014 revenues – 11% average product margin– 33% average service margin

• Greater incentives for services

Company Profile

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National U.S. Service Provider

“If I’m not able to attach my services and expand the opportunity, I’m not able to create the type of profitability I want.” – CEO & President

• $2b+ 2014 revenues • Riverbed revenue profile:

– 60-70% part of a solution– 30% single stack solution– 5% resell (least preferable)

Company Profile

• Why Riverbed is enabling partner services.

• Riverbed’s channel services strategy

• Riverbed’s service partner enablement roadmap

Agenda

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Riverbed’s Channel Services Goal

Increase Riverbed’s relevance

with our partners by broadening

their total addressable market and

margin potential with a full range

of lifecycle services and

enablement programs.

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Accomplishing the Goal

Work cross-functionally within

Riverbed and partner organizations

to deliver partner service programs

that enable gross profit growth and

build services capabilities related to

Riverbed products.

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Note: You can never do to much cross-functional collaboration!

Organizational Service Evolution: Internal to External Focus

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Services integrated in the Channel

Service Enablement Methodology

Leverage Riverbed PS IP and SMEs

Service Integration into

Channel Programs

Certification and Enablement

Consolidated Service

MessageAcross All Service

Lines

Dedicated Services Channel

PersonnelStrategy,

Alignment & Execution

Services apart from the Channel

Riverbed Professional

ServicesConsulting Services Delivery

Riverbed Channel

Product Sales Enablement

Riverbed Professional Services Channel Enablement Support Strategy

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•“Partner Ready” Service Products•Enablement collateral•Partner Services Product Roadmap

Partner Svcs Product Mgmt.

•Shadow opportunities•“Lifeline” Assistance services•Cooperative Services Engagements

Partner Svcs Program Delivery

Svcs Partner Marketing

•PS Partner Marketing Support•Collateral Aligned w/ RVBD Branding

Riverbed Svcs & Field Sales

•Comp Plan Alignment•Rules of Engagement•Segmentation Strategy

Riverbed Channel Services Program Requirements

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Partner segmentation: Riverbed’s Partner’s Services Business

Partner Type

Delivers Services for Riverbed PS

Delivers Riverbed’s Packaged Services

Delivers Partner’s Riverbed Services

Delivers Riverbed-Embedded Solutions

National VAR

Regional VAR

Managed Service

OEM

Outsource

Boutique Service

Distribution

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Not a target marketPossibly a target market

Target market

Dedicated channel services enablement

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• At product-centric companies,

incubate the services enablement

function and transition it to the

channel.

• Keep it simple

• Spend time on executive alignment

• Measure partners success

• Why Riverbed is enabling partner services.

• Riverbed’s channel services strategy

• Riverbed’s service partner enablement roadmap

Agenda

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Riverbed’s Partner Services Roadmap

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Enroll and certify partner in reseller program

Assess partners services business & technology alignment

Enroll and certify as a

services partner

Certify for services delivery

Invest in Riverbed-embedded solutions

Chanel reseller partner

program

Services enablement added to the reseller program

Riverbed’s Reseller Program: Multi-Level Sales & Product Certification

• Business Requirements– Business alignment & commitment– Certified competencies– Sales forecasting– Geographical coverage– Marketing demand generation

• Technical Requirements– Demo/POC competencies– Competencies

• Technical Sales• Technical Solutions

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Partner Services Business Alignment• Understand business case for partners

Riverbed aligned services:1. Riverbed product service solutions2. Integration with existing partner solutions3. Impact on roadmap services solutions

• Addressed in partner business plan1. Revenue and margin plans2. Target markets and strategies3. Capabilities4. Theoretical opportunities5. Customer needs

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Riverbed Service Partner Program: Authorized Consulting Partner

• Communicate complete service vision• Outline participation benefits• Measure Riverbed services business

– Ensure they are reaching financial targets– Participation will dwindle if partners aren’t

financially successful• Make available Riverbed IP, enablement

systems and SMEs– Access to Riverbed PS SMEs

• Shadowing• Enablement Engagements

– Service delivery kits• Detail certification requirements

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Service Delivery Kits: Riverbed Services Materials for Sales & Delivery

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Sales Brochure Sales Proposal Sales Training Sales Sheet

Site Survey Checklist Project Plan

Delivery Run-Book

Deliverable Report

Riverbed Services Consultant Certification• Additive to base Riverbed certifications• Resources

– Instructor & on-demand training– Hands-on experience– Engagement shadowing– Certified on solutions

• Benefits– Partner & Consultant differentiation– Expedited skills development

– Makes available Riverbed IP, subject matter experts, and service delivery kits

– g

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Riverbed-embedded solutions• Cooperative development

– Inject Riverbed expertise into partners’ solution development lifecycle

– Support with lifecycle development methodology

• Benefits:– Decrease time to market– Ensure optimal Riverbed product

support and use– Lifecycle approach to evolve solution

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Custom Lifecycle Solution Development Methodology

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• Beta clients• Sales enablement• Launch

• Refresh• Respond• Manage

•Requirements•Development

• Business drivers• Strategy

Position & Plan

Define & Develop

ImplementOperate & Optimize

Services Enablement Summary

Rules of engagement and segmentation

model

Integrated services and products Enablement systems

Partner Relevance

Incremental RevenuesImproved Margins

Partner Capability

Partner Business ModelPortfolio vs. Specialist

Riverbed Performance Partner Program

Riverbed Readiness

Services & Channel TeamContent & Materials

Contact Information

David SwansonDirector, Global PS Channel Enablement dswanson@riverbed.com(913) 461-3283

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