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Marketing Service Contracts

Updated on January 9, 2008

Marketing Services through Resellers

Selling service through distributors and resellers is a challenge. There seems to be effective ways to do so:

1. Make it mandatory. Meaning everytime your channel partners sell a piece of hardware a service plan must be "attached" to it. Depending on the leverage you have with your channel this method ensures a 100% attach rate.

2. Bundle a base level service plan with the hardware. Typically this would mean for the first year the hardware is covered by a service plan. In this situation allow your customers who want a higher level of service to upgrade to other options.

When you bundle service the difficulty is to know who those customers are - so ensure you have a registration program to track down those customers prior to the contract expiring.

What works for you?

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