Building a diverse route-to-market is essential for any scaling business.

Your channel partners are more than just resellers; they are a bridge to new markets, fresh contacts, and instant credibility. By integrating your products with their own value-added services, they effectively act as an extended sales force, taking your brand into spaces you couldn’t reach alone. However, this growth doesn’t come for free, and the price tag isn’t always obvious on a balance sheet.

Too many companies embark on a channel strategy assuming the only costs are a few headcounts and a commission structure. In reality, the “hidden” costs, from MDF and rebates to travel, entertainment, and even the executive office time required for oversight, can eat into your margins faster than you realize. To build a truly sustainable ecosystem, you have to look beyond the surface level.

Do you really know how much your channel is costing you?