Why Automated and Accurate Ship and Debit is the Cornerstone of a Successful Channel Partnerships
In part 1 of our 10-part series, we introduced readers into the modern conundrum of the B2B ecosystem, and why incentive programs re-establish vendors as empathic, transparent and helpful business partners. We also discussed “Ship and Debit” (automated distributor claims management), and why traditional processes of this channel incentive program create more problems than they can solve. Now it’s time to get into the meat and bones of the series and demonstrate exactly why accurate Ship and Debit is the cornerstone of happy, healthy channel partnerships.
Benefit #2: Accurate Ship and Debit
Vendors face a catalog of uncertainties.
The insurmountable pressure to remain relevant in a businesses’ (thus resellers’) eye, is, without question, a daunting endeavor. With the inconsistent nature of the marketplace and volatile rise and fall on Wall Street (e.g., the stock market, ‘double dip’ worries, forced investor selling, European economic crisis, etc.)—vendors have every right to tread lightly in the trenches of the concrete-jungle of today’s marketplace.
A steady output of production, consistent ROI, lead conversion rates, and retaining the financial interest of current or potential business partners is something vendors constantly face and hopefully accomplish.
For these reasons, vendors must react accordingly to the inevitable shift in the marketplace—and one of the best ways to do so is to deploy a channel incentive program. However, as we’ve briefly discussed in part 1 of this series, it’s become an all too common occurrence for vendors to use “traditional” practices when deploying an incentive program.
Blunt as it sounds, a manually managed “Ship and Debit” program is set up to fail.
Proper analysis of backend discount is a multifaceted procedure; a managerial process that requires a deft eye for erroneously submitted claims inflated channel partner liabilities and lost revenues.
Even the greatest auditors in the business struggle to calculate, analyze and credit their channel partners accurately. Not because they are inadequate or naïve to the ins and outs of the marketplace, but because they are simply too many quantitative and intangible modifications that come into play in order to design an accurate Ship and Debit program that is both accurate and efficient.
In past experiences, I’ve learned that deploying a ‘best-guess’ strategy into accrual estimation could be potentially 100% wrong. Implementing a robust system allows you seamlessly [and properly] state your revenue and liability with channel partners.” –Channel sales financial expert and consultant, Bob Meinhard
Accuracy – Computer Market Research (CMR)
Pre-engineered with intuitive data analysis, flexible program building and tangible measurement (e.g., dashboards, multiple program reports, POS graphs, etc.) of channel partners’ infrastructure, vendors have complete visibility into the sales funnel—and are alerted regarding inaccurately submitted claims (e.g., inadvertently reported claims, erroneously submitted data interchange, etc.), leaving no room for duplicate channel partners to manipulate, conspire or ploy unethical activity.
Each time a partner submits credit memos for approval, CMR’s automated distributor claims management platform intuitively calculates the data based on the guidelines established by the vendor and then is configured into real-time reporting that is both tangible and quantifiable.
However, the unique advantage of CMR’s automated ship and debit module is not its precise accrual capabilities, but its ability to give vendors the chance to focus on what’s really important: their product.
3 Key (Accuracy) Benefits pre-engineered into CMR’s Automated Ship and Debit Module:
- Automated Documentation
- Data Quality Control
- Reseller Profile
- Adjustable Sales and Marketing Programs
- Market Development Funds (MDF)
- Co-Op Advertising
- Channel Gamification
- Spiffs and Rebates
- Deal Registration
- Special Pricing Requests (SPAs)
- Salesforce Integration
- Human Error
- Partner implements monthly data into platform, which provides real-time data and quantitative analysis to vendor
- Eliminates the need for manual “Ship and Debit” processes (e.g., Excel spreadsheets, electronic data interchange (EDI), emails, phone calls, etc.).