Jamcracker Dredges a New Channel
Written By: A. Turner
Published On: August 9 2000
Jamcracker Dredges a New Channel
In July, Jamcracker, Inc. announced its integrated Channels Program.
The company's approach to the channel brings together a community of business
technology service providers to complement Jamcracker's direct sales force.
also announced its Channels Advisory Council, made up of executives from
selected companies in Jamcracker's target channel market. The Council
was instrumental in creating Jamcracker's channel programs and will help
the company evolve its channel strategy to best serve partners and customers.
the Jamcracker Channels Program
Jamcracker Channels Program can help channel members achieve increased
sales opportunities and lower cost of customer acquisition through sales
and technical training and marketing programs. The program helps a variety
of companies - from venture capitalists to systems integrators - present
a more competitive, integrated solution to their customers, which they
can complement with ongoing consulting services.
addition, Jamcracker has teamed with Channel Automation, Inc. to create
a tailored, collaborative online workspace that partners can use to effectively
manage their relationships and drive incremental demand through indirect
channels. The workspace combines partner relationship management (PRM)
functionality with demand creation tools, enabling Jamcracker and its
channel partners to use activity-based dynamic profiling to provide channel
managers snapshots of their channel activity.
Jamcracker Channels Program consists of three partnership levels:
Sales Certified Pioneers
Premier Certified Pioneers
Explorers: Independent consultants, venture capitalists, business
financial consultants, ASP business partners and workplace consultants
who participate in basic Jamcracker sales training will receive a commission
for every qualified sales lead that purchases Jamcracker services.
Certified Pioneers: E-business consultants, systems and solutions
integrators, value added solutions providers, and telecommunications companies
who achieve advanced Jamcracker sales certification are paid a premium
commission on sales of Jamcracker services. Certified Pioneer program
members are responsible for maintaining and growing customer relationships,
while Jamcracker handles 24x7 technical support for all customers. The
program is divided into two tiers:
Certified Pioneers are channel partners who are trained and certified
to sell Jamcracker services. They do not provide implementation or integration
services. By participating in additional sales and technical training,
and making a commitment of technical resources, they can become eligible
for Premier Certified Pioneer status.
Certified Pioneers are channel partners who have completed advanced
training so they can sell and implement Jamcracker services. Following
systems engineering training, Premier Certified Pioneers work with Jamcracker
to create an internal Jamcracker Practice, made up of dedicated resources
that sell and assist in the implementation of Jamcracker services. Premier
Certified Pioneers can also earn additional incentives for driving incremental
for the Channel, by the Channel
Channel Advisory Council, formed in June 2000, was created to advise Jamcracker
on how to structure partnership contracts and compensation models. Representatives
from a number of Jamcracker Channel Partner companies are seated on the
Channels Advisory Council.
One benefit of an indirect sales model is that it allows a company to
expand into territories and/or vertical markets previously untapped or
inaccessible by a dedicated sales force. The trade off is a slightly lower
margin on products or services with the hope of increased volume.
Service Providers are faced with a few basic choices regarding indirect
sales strategies. Build their own, create partnerships/alliances with
an existing channel, or identify a mix of the two. Large companies such
as SAP and IBM can simply leverage their existing sales network to implement
new goods and services. Recent ASP arrival, ManagedOps.com is leveraging
GreatPlains reseller network to promote their services. While Agilera
is delivering their service through equity partners Verio and Ciber.
approach represents a necessary effort to address the sales and expansion
needs of their company. Positioned and supported correctly, their efforts
may help propel higher revenues. As their initiative and reseller base
is virtually brand new we are unable to predict their level of success.
Companies considering outsourced HR management, expense tracking and/or
sales automation tools may benefit as a reseller/consultant near them
may be certified to sell or implement Jamcracker's solution. As the ASP
market is burgeoning, we recommend users consider the options of several
ASP's before making a commitment.