VMware adjusts renewals and partner profitability

VMware adjusts renewals and partner profitability

VMware launched a comprehensive renewal portal to enable partners access to information on their renewed customers

Virtualisation vendor, VMware, has made adjustments to its renewals, profitability and services, after receiving partner feedback.

At VMware Partner Exchange event in Sydney, VMware partner organisation director, John Donovan, said it made some changes to the revenue allocation on renewals and from April 1, VMware will be counting renewal revenue towards a partners’ compensation.

It also launched a comprehensive renewal portal to enable partners to have access to information on their renewed customers, advise them on their license when it expires and be rewarded for it as part of their total compensation model.

“We’ve listened to you and we’re putting in a much better system than before,” Donovan said. “We’ve also improved our data capabilities, so they will be altered in advance on the expiry of licenses and open the opportunity within the renewal business.

“We’re also compensating our own partner business managers, so they’ll be very keen on supporting you and develop a much closer relationship.”

Towards the end of this year, It will also be providing sales rewards for individual performance relating to VMware solutions sales, Donovan said.

VMware will be launching more competencies in areas such as cloud computing, security, Zimbra and enterprise management. Through developing these competencies, Donovan said partners achieve an extra 10 points in margin.

“We don’t want to compete with you in the services business,” he said. “We want to create the best intellectual property we can and use that teach you how to do a better job with services.”

This year it has also made a significant additional investment in improving communication with partners through providing a local partner newsletter, bringing a local slant and will also be conducting regional partner briefings to reach out to partners that aren’t necessarily based in major cities.

It also introduced a new Channel Champions program to recognise some of the brightest and best technical and engineering talents within its partner network.

“It gives them an opportunity to discuss ways they can utilise VMware technologies and learn from each other,” he said.

VMware took the opportunity to award its top partners with Data#3 picking up A/NZ partner of the year. Cloud Infrastructure Partner of the year went to Datacom New Zealand and Cloud Management partner of the year was handed to Dimension Data. HP New Zealand picked up End User Cloud Computing partner of the Year and Cloud Application Platform partner went to SAP. VMware Authorised Training Centre Partner of the Year was awarded to Dimension Data Learning Solutions and Trend Micro achieved Technology Alliance Partner of the Year.

All up there were about 700 attendees at the event held at the Sydney Convention and Exhibition Centre.

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Tags VMwareservicesjohn donovanpartner profitability


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