Relationships and Attitudes in the Agent Channel – Part 1

By Dan Vidal, Telecom Advisors Inc.

I just attended the 2nd “Peer-to-Peer Agent Mixer” at the Channel Partners Conference & Expo in Miami Beach and wanted to comment (and hopefully start some constructive dialogue) on what seemed to be an interesting couple of major themes that surfaced consistently:

1. Relationships (between Agents and Suppliers)
2. Attitudes (Positive/Optimist vs. Negative/Pessimist mainly among Agents)

Relationships

Whether you’re an agent or a supplier (let’s define supplier for our purposes as carriers, wholesalers/resellers, master agents, or anyone else who utilizes the agent channel to sell their services to the end user), we all know how valuable it is for there to be a “trusted advisor relationship” with the end user/customers. As agents, we know this value proposition very well and it’s a big part of how/why we win and retain customers. So we know the importance of that relationship we have with our customers, but do we put a similar emphasis on relationships with our suppliers? Do you as an agent have a “Supplier Relationship Strategy?” And do you suppliers also have a commitment to the channel and the investment of building long-lasting relationships? Do you have an “Agent Relationship Strategy?”

I was speaking to one agent, for example, who felt his relationship with a particular supplier was a bit on the rocks. He wasn’t sure whether he would continue to add business because he didn’t know what this carrier was doing with a recent merger/consolidation and how that would affect the channel and ultimately his important revenue stream with them. Long story short, he spent a few hours with his channel manager and their team and his concerns were no longer. The relationship was rejuvenated and both parties felt good about moving forward again. The “face to face” time (thanks to the Channel Partners Expo for that twice per year consistent forum to have a great venue for this) was huge for this agent. I’ve heard (and also personally experienced) many other types of similar stories.

The first thing I have learned about relationships over my lifetime, whether personal or business, is that it all starts and ends with communication. As long as the line of communication is open and honest, there is a chance. But when the communication is lacking, not clear, or altogether shuts down, it often deteriorates and sometimes even ends altogether (and not always pleasantly). The second thing I have learned about relationships is that the communication must be a two-way street. You just can’t have one willing party without the other.

So my takeaway on this important first topic thanks to the “Peer-to-Peer Mixer,” was that ultimately, agents and suppliers alike must communicate open and often, on both sides of the table, and with the proverbial “win-win” in mind or the relationship just won’t work out. You might be able make some money in the short run (agents and suppliers) without a good relationship in place, but all the top agents I know invest just as heavily in there supplier relationships than they do with their customer relationships.

So to all the suppliers out there, I would strongly recommend that you invest in your agent relationships and communicate well – it’s critical if you are serious about growing and maintaining agent channel business and you simply cannot fake this. Agents know who you are and who you are not. And we talk. We also know the same holds true the other way around. So let’s use this as an opportunity to rekindle relationships or start new ones. And let’s do so in the right, “old school” way. It could pay handsomely!

OK, I was planning to also talk about attitudes in this blog but that will have to be “part 2” next week (in the PHONE+ Peer-to-Peer blog) because it’s back to work time. Thanks for listening and I hope to hear from you ...

Dan Vidal is the co-founder and managing director of Telecom Advisors Inc., an independent firm that specializes in advising companies on the procurement of voice and data services. He is also a new member of the 2009-2010 PHONE+ Advisory Board and can be reached at dvidal@telecomadvisorsinc.com.