Insights — Channel Creation & New Revenue Streams — 3 min read
How to Create a Reseller Programme
A successful reseller programme is more than a discount structure; it is a structured system of support, enablement, and incentives designed to make your partners successful.
In short
To create a reseller programme, you must define clear tier structures, margin levels, and entry requirements. Start by documenting the 'Partner Value Proposition' — why should they sell your product over others? Develop a formal agreement that covers pricing, lead ownership, and branding, and build a basic enablement package (training and marketing collateral) to ensure they can sell effectively from day one.
Many businesses 'fall into' having resellers by offering a discount to anyone who asks for one. This isn't a programme; it's a leakage of margin. A genuine reseller programme is a deliberate commercial channel that defines how partners are recruited, how they are managed, and how they are rewarded for the value they add.
The challenge in creating a programme lies in balancing the incentive for the reseller with the profitability of the manufacturer, while ensuring the end customer receives a consistent level of service.
The Four Pillars of a Reseller Programme
A scalable programme rests on four foundational elements:
| Pillar | Objective |
|---|---|
| Commercial Structure | Defining margins, rebates, and payment terms that make the channel profitable for both parties. |
| Enablement | Providing the training, assets, and technical support needed to close sales without your direct involvement. |
| Governance | Setting rules for lead registration, territory protection, and channel conflict resolution. |
| Marketing | Generating demand that resellers can fulfil, or providing 'white-label' materials for their own lead gen. |
Managing Channel Conflict
The biggest risk to a reseller programme is conflict — either between resellers or between the reseller and your own direct sales team. A robust programme uses 'Lead Registration' where the first partner to log an opportunity gets price protection on that specific deal.
Without clear rules, resellers will eventually compete on price alone, which destroys the perceived value of your product and makes the channel unattractive for high-quality, value-added partners.
Testing the economic value
Evans Sales Consultancy helps businesses decide if a reseller programme is the right route. We test the margin impact and the 'management load' required to support a network. Often, we find that the cost of supporting ten small resellers is higher than the profit they generate, suggesting a more focused partner strategy is required.
Could your business support another route to revenue?
Evans Channel Creation identifies, validates and builds additional revenue channels from capabilities a business already has — B2B to D2C, D2C to B2B, product to service, recurring revenue or partners — and says so plainly when a channel should not be built. Programme from £1,995 + VAT per month over six months.
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