Channel Economics and Pricing

Frank Lynn & Associates helps clients assess the economics at all levels of the market – manufacturer, channel and end customers. Frank Lynn & Associates works with clients to design detailed, formal channel structures including the requirements to be a partner and the benefits (discounts, rebates, programs) to partners that perform at various levels.

Customer economic requirements – understand customer price sensitivity, cost drivers and ROI

Channel capabilities and economic requirements – profile the services and value-added skills and associated cost structure of partner models; define partners’ discount, rebate and other compensation needs/expectations

Manufacturer functional requirements of the channel – identify the functions partners must perform – selling, marketing, logistics, technical services, credit/collections, etc.

Compensation structure design – develop a channel compensation program (discounts, rebates, etc.) that pays partners based on their ability to perform the functions that the manufacturer expects and that the customer requires

Partner programs – prioritize channel programs and follow industry best practices in training/certification, deal registration, market development, etc.

Value, Measure, Communicate, Reward (VMCR)℠

A four-step process that leads to the development of a viable channel compensation structure.

Channel Program Audit

A Frank Lynn & Associates’ tool that rates the key components of a client’s channel framework.