How does this impact the firm’s revenue?
There are a couple of ways this impacts a firm’s revenue. If the partner program offers a commission, discount or rebate, this adds to your bottom line by the amount of the commission. However, this is not the only way it adds to the bottom line. The most common impact is revenue from helping clients purchase, setup, use and manage the software or service purchased through the partner program. Many programs list member and firm profiles on a referral website, which offers preferred placements to members based on criteria such as product certifications and client ratings. These programs help firms translate their investment in product training into new client consulting opportunities However, some programs are more exclusive, and you might be the only provider within a certain geographical area. In such cases, the firm rates will be higher because of the exclusivity of the program and the ability to charge higher rates.
Partner programs can become very lucrative based on the program and how much effort the firm puts into it. Careful evaluation and proper planning are important keys to ensure success. The firm must commit to the program to make the investment pay off in increased revenue. Without commitment to the program, marketing the service offering and building a service base, the revenue will be disappointing and the firm will probably abandon the effort after a short period of time. Firms that dedicate themselves to active participation in a partner program will be successful in increasing firm revenues, firm reputation, and firm service offerings to its clients and potential clients.