Are you ready for Distribution?: DIY Partner Recruitment

The decision to conduct partner recruitment internally rather than through traditional distribution channels is increasingly common.

This trend is observed both in new market entrants who find themselves too early for conventional distribution and in established vendors who have become disillusioned with the distribution services they have relied upon.

Here’s a detailed exploration of why vendors might opt for a self-managed approach to partner recruitment.

1) Control over the recruitment process

One of the primary reasons vendors choose to handle partner recruitment themselves is the desire for greater control over the process. By managing recruitment internally, vendors can:

• Directly assess and select partners based on specific criteria that align closely with their business goals and values.
• Ensure consistency in how partners are vetted, trained, and integrated into their network.
• Customise recruitment strategies to better fit their unique market positioning and product offerings.

2) Closer alignment with business objectives

For new entrants into a market, traditional distribution channels may not fully understand the nuances of the product or the vendor’s strategic objectives. By recruiting partners directly, vendors can:

• Build a network that is more closely aligned with their vision and strategic goals.
• Foster partnerships that are better equipped to deliver on the specific needs and expectations of their target market.
• Ensure partners are fully committed to the brand’s long-term success rather than just focusing on immediate sales.

3) Enhanced flexibility and agility

In a rapidly changing market landscape, flexibility is crucial. Traditional distribution networks can sometimes be rigid and slow to adapt to new trends and opportunities. Self-managed recruitment allows vendors to:

• Quickly pivot and adjust their partner strategies in response to market changes.
• Experiment with different recruitment tactics and partnership models without being constrained by the policies of a distributor.
• Directly implement feedback from partners and customers to continuously improve their approach.

4) Cost efficiency

While traditional distribution services offer convenience, they often come with significant costs. By recruiting partners directly, vendors can:

• Reduce intermediary fees and associated costs, potentially increasing their margins.
• Allocate resources more efficiently, investing directly in partner support and development rather than paying for distribution services.
• Gain better visibility into the financial aspects of their partner network, allowing for more precise budget management.

5) Better relationship building

Strong, trust-based relationships are fundamental to successful partnerships. When vendors manage recruitment themselves, they have the opportunity to:

• Develop deeper connections with their partners from the outset.
• Engage in regular, direct communication, which can enhance trust and loyalty.
• Provide tailored support and resources to partners, helping them succeed and grow alongside the vendor.

6) Customisation and personalisation

Every market and partner network is unique. Self-managed recruitment allows vendors to:

• Tailor their approach to the specific needs and characteristics of their target partners.
• Create personalised onboarding and training programs that better equip partners to sell and support their products.
• Customise incentives and rewards to motivate partners and align their efforts with the vendor’s goals.

7) Addressing disillusionment with distribution services

For established vendors, disillusionment with traditional distribution services can be a powerful motivator to take recruitment into their own hands. Common frustrations include:

• Lack of transparency and insufficient communication from distributors.
• Inconsistent performance and a failure to meet sales targets or support expectations.
• Limited control over customer experiences and brand representation in the market.

By recruiting partners directly or with a recruitment partner, vendors can overcome these challenges and regain control over their distribution strategy.

In summary

In both new market entrants and established businesses, the decision to conduct partner recruitment internally can offer significant advantages. It provides vendors with greater control, alignment with business objectives, flexibility, cost efficiency, stronger relationships, customisation, and a remedy to the shortcomings of traditional distribution services.

As markets continue to evolve, the ability to directly manage and optimise partner networks will likely become an increasingly critical component of successful business strategies.