The new year often triggers changes in the channel programs offered by vendors and distributors. On top of that, regulatory demands affecting MSPs will land heavily this year. As a result, channel vendors are being challenged to work harder (and smarter) to support their MSP customers.
Meredith Payne
Meredith Payne, senior director of cloud at TD SYNNEX, laid out upcoming changes. “We’re building on the framework from our MSP Evolve we released in May 2024. We want an evolution of enablement offerings, like the new courses we’ve released in the last couple of months,” Payne said. MSPs were involved in creating those programs. “They have opportunities to participate in the process.”
It appears many vendors are paring down incentive programs for partners because of tightening margins, said Craig Donovan, chief experience officer at Pax8. “MSPs who can consolidate their billing, procurement, services, and support with one organization will be rewarded for increased spend from a single marketplace partner.” He added Pax8 provides support in navigating across channel programs for the vendors in their marketplace. “This gives partners a single source of information and control over their entire portfolio of vendors in a consolidated, comprehensive manner.”
A Push for One-stop Shopping
Craig Donovan
A consolidated approach helps MSPs using a one-stop-shop for getting trained, certified, support, and even professional services to augment areas they may not have the staff to support. Donovan mentioned the need for a variety of support options, including bootcamps and security workshops. “We have an academy as well as professional services with solution consultants, all to drive adoption of new technologies.”
Payne explained the changing approach to AI. “A year ago, we were asking what AI was, but now we’re rolling up our sleeves and asking how to make it work for customers, and how to make money with those solutions.” AI and automation are impacting the dynamic between vendors and MSPs, and are what customers ask for.” As MSPs continue automation of workflows for themselves and customers, “They’re wrapping solutions around AI and other new technology.”
To support new products and solutions, Payne said TD SYNNEX works with MSPs to talk about new vendors in areas they want to explore. “MSPs in specialized areas come to us and ask if we can help them work with a new partner,” Payne shared. “We have fast ways to onboard new vendors.” They also offer recommendations to MSPs looking for a new partner to help them solve a customer problem.
Ask About Special Programs
Mike Semel
There often are small programs at distributors and vendors to help MSPs with some portion of their workload, such as streamlining partner management. “We recommend finding a means to get up to speed more quickly on new technologies and new vendor programs,” said Donovan, such as an upgraded marketplace that consolidates vendor research, enablement, and account teams. “This provides a single resource for MSPs to navigate changes and optimize their vendor partnerships for long term growth.”
Mike Semel, president of Semel Consulting, suggests MSPs look at the channel through the prism of compliance, and ask questions of distributors and especially vendors to get the help they need dealing with new regulations. “Vendors talk about compliance like it’s a feature in marketing, but their salespeople often don’t know details.”
Demand Compliance Information
The heaviest regulatory burden coming soon is the CMMC (Cybersecurity Maturity Model Certification) version 2.0 rollout in mid-2025. “We started talking to vendors five years ago,” noted Semel. “Most just waited, but now we’re at the point that CMMC rules go into contracts in mid-2025.” MSPs with customers that work with a defense contractor have a decision to make (see non-compliance Consequences).
Semel wonders what vendor’s channel programs will do when some MSPs walk away because they’re not in compliance. “Kaseya now has a VP of FedRAMP. That certification can take up to three years to complete.”
Some vendors already have compliant products available that aren’t offered to their regular channel. “Cisco’s Duo for MFA is an example,” added Semel. “The commercial version doesn’t meet new compliance requirements, but the Cisco Federal version does.”
Images: iStock
