Creating High-Value Partnerships with UCaaS

Dynamic channel partnerships are shaping the future of Unified Communications

Strong partnerships are key to innovation and evolution in the Unified Communications as a Service (UCaaS) industry and the wider adoption of cloud services.

UCaaS has matured over the last two to three years with widespread acceptance of the value Unified Communications (UC) creates within businesses ranging from SMBs to multinational corporations. That naturally raises the questions, “Where does the UC industry go from here?” and “What is going to drive new developments in platforms and services?”

Collaboration between Software as a Service (SaaS) platform providers and their Managed Service Providers (MSPs), Value Added Resellers (VARs) and IT Solution Providers (ITSP), as well as end-users will be central to this next evolution in UC and drive the development of better user-centric platforms and services.

Why is that important? Because we as an industry should be using cloud business models to their fullest potential. The beauty of the UCaaS and SaaS model is that it is flexible and ready to change as new demand emerges. It enables SaaS platform providers focused on the channel to listen to channel partners and react to market demands as well as innovate and test new services.

This is not just about developing the next killer app or service and selling it. It is about creating a sustainable and long-term business model that will benefit both the SaaS platform provider, its channel partners and ultimately the end-user customers.

What does this partnership model look like? There are four steps in this dynamic model that benefit the entire value chain.

1. Transformation

Using a SaaS platform built to be multi-tenant for channel partners, MSPs, VARs, and ITSP can change how they sell cloud services like UCaaS and move from a largely capex-based sale of on-premises equipment to an opex-driven cloud model. The SaaS platform provider works closely with its partners to help transform their approach to sales, customer acquisition, service, support and billing, as well as leverage the cloud to drive margin-rich recurring revenues. The platform provider enables the channel partner to transform their role in the cloud space from a referral Agent, to the key stakeholder in service delivery.    

2. Education

The SaaS platform provider invests in educating partners’ sales and marketing, service delivery and support, and accounting teams to ensure they have the skills and expertise to successfully offer Cloud Communications. This benefits their end customers and helps the channel partner to grow profitable cloud-based revenue streams. 

3. Success

End customers want their trusted advisors, the channel partners, to help them make the best use of UCaaS and other SaaS or cloud services. Channel partners need a successful business model. One that leverages their position as "Trusted Advisor," and enables them to build a sustainable business on the model. The partners have the lowest cost of customers’ acquisition. They are the best at servicing and supporting the customers in the long term and, with the right platform, can efficiently bill for UCaaS and other services all on the same invoice. The channel's success drives end customers’ success, and ultimately the platform providers’ success.

4. Feedback

The UCaaS provider gathers feedback from its partners to ensure it is continuing to evolve its service offering and delivering the features and functionality partners need. The partner feeds back on what works and what they want to see as part of the service and the UCaaS provider evolves and updates the service to meet their needs. Similarly, the platform provider is able to test and try new services with its partners and decide what works. 

Long-Term Success

Following these steps, the partnership is able to flourish without growing complacent. This breeds incremental innovations while giving space for step changes to happen in a risk-free environment. 

There has always been communication and partnerships across the value chain but within the context of the cloud, innovation can happen faster and the feedback loop can deliver measurable results even more rapidly. It is also a sustainable and flexible model. The technologies and enterprise demand might change, but the partnership is ready to account for this and evolve accordingly.

Partners benefit from a future-proof approach while the SaaS platform provider ensures that it is never out of touch with the needs of end users and enterprises. It is a shared journey where they grow together and adjust their businesses to meet the ever changing demands of the market.

New Services, New Revenue

Similarly, this flexibility means the partnership model can support growth beyond UCaaS and into new cloud-based services. The relationship can expand to include services like storage and sync, back-up, remote monitoring and management for IT services or many other cloud-based offerings. Whatever the market demands, the SaaS platform provider and its partners can shape and develop services to match. The potential is massive when a dynamic partnership model is in place.

No matter how the market changes or what services are being offered, the partnership remains focused on delivering substantial recurring revenue streams and large margin opportunities. In five years’ time, the partnership and the services may look completely different, but if done right, both will be successful and maximize the potential of the cloud model. 

Alan Rihm CEO, CoreDial, a cloud communications software and services provider