ASP Forum

• Sell course material to the authorized partner? Certify the trainers at the partner and allow them to buy new training updates (typically modules for new product functionality). Is this a reasonable model to pursue? If so, how should we price it to the partner. Our direct training offering delivered by our trainers is $1200.00 for a 2 day course and includes hands on labs. What should we ask the partner to pay for purchasing the training materials from us and how should be price subsequent updates to the training guides?



• Ask partner to revenue share with us? They sell and deliver our training but compensate us on the back end. Perhaps a percentage of the actual revenue generated? I find this to be almost impossible to administer and think this will be a logistical and accounting nightmare.



• How should we price training equipment? Should we insist the partner buy the equipment outright (perhaps at a healthy discount) or is there a general lease plan and if so what are the general terms and conditions that are currently in practice.

• Canned expertise: Usually, franchises offer their members easy access to how-to handbooks, research (for instance, McDonalds is constantly testing new recipes and promotions), pricing models, and other kinds of expertise that no individual entrepreneur can afford to develop on his own. In the case of training, the obvious content offering is high-quality course material, plus certification and probably VIP access to your own support reps.
  
  However, it's probably unrealistic for you to expect to earn much money for these things from up-front payments by your partners, at least while you're trying to get the program off the ground. Instead, I suggest you offer your expertise and materials as cheaply as possible as a way to kick-start the recruiting process.



• Branding: This is probably the area where your partners will see the most tangible value. We've all had bad experiences with no-name service providers who looked competent but messed up our printing jobs, left us with heartburn, or couldn't run a training workshop. By putting your company's brand behind a partner's training services, you're reassuring the end user that the training is up to your (presumably high) standards. That's the value of providing certification and "authorized" course materials. Of course, you have to live up to this gatekeeper role: If you endorse bad trainers just to build up the program, your own brand and credibility will suffer.



• Logistics: Here's where you make your money. Handling signups for classes, processing credit cards, and dealing with the inevitable customer service issues aren't tasks that most channel partners want to touch on their own. But it's perfectly reasonable for you to create a multi-partner authorized training calendar and a signup form on your own company Web site. In fact, many training companies use this approach with their individual trainers, who are usually independent contractors who pay a percentage of their fees for logistical and marketing support. Moreover, this kind of "training clearinghouse" model eventually squeezes out partners who are unwilling to share revenues with you, because their training classes become both less visible and less credible.