Topic of the Day:
Surviving in a World of Zero Margin
Imagine your vendors no longer offered margin. How does this change your business?
The three R’s of VAR success 2017+
- Recur (Recurring repeatable revenue)
- No onesies
- Retain (Keep desirable customers)
- Focus on your ideal customer that meets your 3 RS
- Recruit (New customers)
- Bring in new customers (new or existing)
Gary Feldman, I-BN
Moira Goggin, Chismet Consulting
- What is the first thing you need to do to adjust to this new reality?
- How does this impact your new customer strategy and marketing?
- Are you charging for initial visits?
- How about for discovery / due diligence?
- What higher margins activities will you promote to offset the zero margin on the software? Related – what other activities will you stop offering?
- What does your typical customer look like for the future?
- What type of customer will you fire?
- Are you still reselling or do you distance yourself from the software/service and become more independent?
- Do you pursue a niche? If so, what niche(s)
- If you are not realistically going to do x by x months – stop and find a better niche