Challenges of Managing PRM In-House
Many companies initially believe they can manage PRM internally, saving costs by utilising in-house resources. However, several common challenges quickly arise when trying to develop, execute, and scale partner programs without the right expertise:
Limited In-House Expertise:
Managing PRM requires in-depth knowledge of partner ecosystems, channel sales, marketing, and PRM software solutions. In-house teams, often juggling multiple priorities, rarely possess the specialised skills needed for building a successful PRM strategy. According to Forrester, over 60% of companies managing PRM in-house report inefficiencies that hinder their partners’ potential, leading to lost sales.
Time-Intensive Processes:
PRM management involves handling a wide range of tasks, including partner recruitment, onboarding, training, monitoring, and support. These processes are time-consuming and can overwhelm internal teams who are already stretched thin. Research from Gartner shows that businesses managing PRM internally spend up to 30% more time on partner-related tasks compared to those that outsource, diverting valuable resources from core business operations.
Outdated Technology and Tools:
Without the right PRM tools and technologies, companies often rely on manual processes or basic CRM systems to manage their partners, which are not designed for the complexities of modern partner ecosystems. Channel Futures reports that over 50% of businesses managing PRM internally struggle with scalability due to inadequate systems, resulting in missed revenue opportunities.
Difficulty Scaling Programs:
As businesses grow and their partner networks expand, managing a growing number of partners becomes exponentially more difficult. Scaling across regions, industries, or product lines requires agile, automated systems that many internal teams are ill-equipped to implement and maintain. IDC’s 2023 Channel Ecosystem Report notes that businesses that attempt to scale PRM without expert assistance experience delays, bottlenecks, and lower partner engagement.
Lack of Strategic Optimisation:
Internal PRM teams, focused on day-to-day operations, often lack the bandwidth to optimise partner programs effectively. Opportunities for strategic improvements—such as refining partner segmentation, implementing incentive models, or improving communication strategies—are often overlooked, resulting in stagnant growth.
The Best Approach: A Team Effort Between Internal Champions and PRM Specialists
The most effective PRM programs don’t rely solely on internal or external efforts; instead, they combine the strengths of both. Internal champions—those with a deep understanding of the business, its goals, and its culture—play a vital role in ensuring that partner strategies align with overall company objectives. However, partnering with external PRM specialists, who focus exclusively on managing and optimising partner ecosystems, brings the expertise needed to elevate your PRM strategy from good to great.
This collaborative approach ensures:
Deep Business Understanding:
Internal champions provide essential insights into the company’s needs, objectives, and partner dynamics. This knowledge ensures that the PRM strategy is fully aligned with the company’s vision and goals.
Specialised PRM Expertise:
External PRM specialists bring years of experience in designing and managing partner ecosystems across various industries. They stay on top of industry trends, best practices, and the latest technologies, enabling them to implement a world-class PRM solution that delivers results.
Continuous Optimisation:
With a shared commitment to success, internal and external teams work together to continually refine and optimise the partner program, ensuring that it adapts to changing business needs and market conditions. This partnership enables the business to achieve greater agility, scalability, and long-term success.
The Benefits of Outsourcing PRM Strategy and Execution
By outsourcing PRM strategy and implementation to experts like Partner+, businesses can overcome common in-house challenges and leverage the full potential of their partner network. Here are some key benefits:
Partners Plus is here to guide Australasian businesses through the journey of PRM adoption, offering tailored solutions that align with your partner management strategy and growth objectives. Don’t miss out on the opportunity to future-proof your partner ecosystem and gain a competitive edge.
Access to PRM Expertise:
Outsourcing gives you access to a team of specialists who understand the complexities of partner ecosystems and know how to drive partner engagement and sales success. At Partner+, we bring years of experience in developing PRM strategies tailored to each client’s needs, ensuring that partners are set up for success from the start.
Streamlined Processes:
With a dedicated team managing your PRM, tasks like onboarding, training, and partner performance tracking are handled with precision and efficiency. Outsourcing PRM reduces the operational burden on internal teams, freeing them to focus on core business activities. Forrester reports that companies outsourcing PRM management see a 25% reduction in time spent on partner-related tasks, enabling faster time to market and better overall performance.
Scalability:
A well-designed outsourced PRM solution is built to scale as your business grows. Whether you’re managing 10 partners or 1,000, external PRM specialists ensure that each partner is onboarded, trained, and supported effectively. Gartner’s PRM Market Analysis reveals that companies outsourcing PRM are 30% more likely to scale their partner programs effectively than those relying on internal teams alone.
Advanced Technology and Tools:
Outsourcing PRM typically includes access to state-of-the-art platforms and tools designed for automation, analytics, and efficient partner management. With these technologies, businesses gain real-time insights into partner performance, allowing for data-driven decision-making and program optimisation. IDC’s 2023 Channel Ecosystem Report shows that businesses using advanced PRM platforms see a 20% increase in partner sales within the first year of implementation.
Ongoing Optimisation:
External PRM teams are dedicated to continuously refining and optimising your partner program. This ongoing optimisation ensures that your program remains competitive, responsive to market trends, and aligned with business goals. Companies that outsource PRM see a significant improvement in partner engagement and performance, driving higher ROI from their partner relationships.
Cost-Effective Solutions:
While outsourcing may seem like an added expense upfront, it often results in long-term cost savings. By improving efficiency, streamlining processes, and optimising partner performance, businesses see higher returns on their PRM investments. Channel Futures reports that outsourcing PRM reduces overall program management costs by up to 25%, while driving better partner engagement and sales.
Conclusion
Managing a successful PRM program requires a blend of business insight and specialised knowledge. The best approach combines internal champions, who understand the company’s goals, with external PRM specialists, who bring the expertise and tools needed to execute and optimise the program. By outsourcing PRM strategy and implementation to experts like Partner+, businesses can unlock the full potential of their partner networks, driving growth, improving scalability, and achieving long-term success.
