Another said: "Yes there was huge conflict a year ago, but now we have a new VP Sales for Europe who comes from a channel-centric supplier."  Indeed, one of those we interviewed has risen from channels to become managing director of a substantial software business.  In any case, several of the companies we surveyed have sold 100% through the channel for years, and in one case for decades.
 
Unsurprisingly, the more senior the manager, the less impotent he or she claimed to feel.

A sales for Europe VP said: "We have all the power we want.  The Americans leave it up to us, as long as we deliver the numbers." 

Number blindness
The other common gripe from channel managers was a feeling that senior management didn’t care how the numbers came in, as long as they did.  "Our president quips that the quarter we are in is always the most significant quarter in the year," said one channel manager.  "Top managers often don’t care as long as the headline sales figure is there." But there are clear signs that this attitude is also passing as more channel-centric senior managers climb the greasy pole.

Second class citizens
Almost everyone felt that those managing channels have lower status than the sales people who sell direct to customers.  A channel manager in a substantial software vendor with a long-established channel said: "Channel guys are perceived as not getting credit and kudos because the channel is invisible.  The salespeople who sell direct to large enterprises are seen as the heroes bringing in the big-ticket items."  Almost everyone agreed that this was still the case, with direct salespeople being lauded and recognised at sales conferences.

Short-termism
Short-termism has deep implications.  As one put it: "The sales cycle is perceived to be longer for the direct sales force, so its commission plan is annual.  The channel sales force is paid quarterly, and so is quarterly driven.  That means the importance of long-term relationships is not recognised and rewarded."

Many channel people felt that partner account manager is a role that typically goes to less able salespeople who have failed in direct.  One manager said: "Over and over again I see this problem.  My solution is to treat partners as important key accounts and insist they get the crème de la crème of the sales force."  As he is now a director, this respondent was in a position to insist upon this.  Most channel managers do not have that power!

Winning channel mindshare
This problem is particularly acute for small vendors.  But, somewhat surprisingly, it is also a big issue for many very large vendors.  A channel manager at a market-leading IT company, whose product is a platform builder which defines the business of many of its dealers, said: "We are sold by thousands of resellers, but I wish we had just 100 who were dedicated to our product.  For good business reasons, our partners sell a whole range of other stuff.  Typically, when times are tough they stop proactively selling our product and concentrate on their existing user base."

Smaller vendors put the problem slightly differently: "How do we get mindshare and commitment from our partners which is disproportionate to our importance to their sales and business?"

Channel managers say the problem is made worse by the way many intermediaries are treated by other suppliers.  An enterprise software channel manager said: "They always say to me ‘Things didn’t work out with supplier A and B.  Why should it be different with you?’  This is a major barrier to recruitment."