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Cloud and SaaS Reseller Channels More Important Than Ever, Finds Independent Research Firm Survey

ISVs Look to Invest in Technology to Support the Channel to Acquire and Retain Customers

Redwood Shores, CA - April 2, 2013 - Avangate, the agile Commerce provider trusted by thousands of software and Cloud services companies to grow their businesses worldwide, today announced the results and availability of a commissioned Technology Adoption Profile (TAP) conducted by Forrester Consulting on behalf of Avangate. The research highlights the increasing role resellers will play, with 66% of surveyed companies indicating that channel partners are strategically important to growing revenues from their SaaS products.

The TAP study outlines the survey results and provides detailed analysis in key issues facing SaaS and Cloud Service providers:

• Shift of the revenue mix between direct and indirect channels in the future
• Top concerns with channel partner performance in the cloud and SaaS world
• Prioritized technology investments to support channels and equip them to build long-term relationships with end-customers

As stated in the TAP, "…more than one-quarter of firms are centralizing the procurement and management of SaaS cloud applications. Consequently, these firms are changing their sourcing strategy, looking to solution partners who can supply and centrally manage the entire end-to-end SaaS portfolio." The study continues: "To ensure the continued growth and long-term sustainability of the partner channel, ISVs must invest in new technology to ensure that partners are equipped to self-serve their own customers and build long-term relationships."

"As both selling online and cloud-based services have become ubiquitous, a common misconception is that the value of having channel resellers falls," said Michael Ni, CMO/SVP, Marketing and Products, Avangate. "The reality is that in a world of easy discoverability, reseller channels actually drive the trust, context, value-added services that ultimately sustain revenue growth. The results of this Forrester Consulting survey illustrate how channels are actually more important than ever in today's highly competitive market. Avangate's focus on delivering multi-tier, multi-channel solutions is reflected in our enabling vendors to integrate the reseller channel into a cohesive omni-channel strategy. Our solutions allow resellers to support the end-customer in the same way a direct-SaaS or Cloud Services vendor would, enabling channels to not only help open new markets, but retain and grow markets on behalf of the vendor."

This TAP leveraged existing Forrester Research data along with a survey of SMB and enterprise SaaS vendors in the US and the UK. The respondents were asked for their opinion on the importance, drivers, benefits, and must-have and nice-to have services provided by channel resellers, as well as their concerns and use of technology to support the channel.

The Forrester Consulting Technology Adoption Profile commissioned by Avangate is available for download from the Avangate website. In addition, the findings of the report will be covered in further depth on April 16th 2013, as Avangate hosts a webinar on Selling SaaS and Cloud Services: the importance of reselling channels, featuring guest speaker, Peter Sheldon, Principal Analyst at Forrester Research.

To learn more about how Avangate can grow your software and SaaS sales, read an overview of the Avangate solutions.