Channel Partners Positive About Growth, But Conflicted About Hybrid Work
Channel partners miss face-to-face interaction, says a new survey from distributor Nuvias.
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Channel partners are expecting the growth trend they experienced in 2021 to continue in 2022. Seventy-five percent of partners reported growth between 2% and 10% in 2021, with 62% expecting the same in 2022.
Last year’s optimism was tempered by reality, with only a quarter of those anticipating growth over 10% last year, achieving it.
Growth expectations seem to be normalizing, indicating a more balanced and grounded outlook this year. A more moderate 35% anticipate growth of over 10%, compared to 40% last year. This is perhaps due to the long-term ramifications of the pandemic becoming clear, such as the global chip shortage, says Nuvias.
Cybersecurity is topping the charts, for the second year running, as the most promising area of growth. Seventy-eight percent of respondents identify it as the biggest opportunity, closely followed by cloud security at 56%.
Cybersecurity growth is likely to be incentivised by the introduction of new legislation to strengthen the UK’s resilience to cyberattacks. This was announced in January as part of the UK government’s £2.6 billion national cyber strategy.
‘Network visibility’ emerges as a new rising category, with nearly three times as many mentions as last year (from 10% to 27%). This, says Nuvias, is likely in connection with the host of rapidly extended networks supporting the mass adoption of hybrid working practices.
The shift to a different working model divided opinion, as it is a deep-seated cultural aspect of channel business.
Seventy percent of respondents found remote working beneficial: 40% for productivity, 30% for strategic thinking.
Conversely, 40% of partners pointed to hybrid working as something that made running their business harder. Among the negative factors mentioned were lack of supervision and longer working hours. Twenty-two percent mentioned the inability to see customers and colleagues in person as a source of frustration.
The divergence of opinions may reflect different generational and job role differences amongst the respondents. A quarter (25%) of partners wished they switched to the new operating model earlier, with all the supporting tools and processes needed.
Organizations continue to look to distributors for sales support. But in 2022, many are expecting them to address challenges specific to the post-pandemic era.
Respondents indicate they value distributor support in marketing and lead generation activities (48%) – rising in importance in the era of hybrid work. Keeping the supply chain running smoothly is also high on the list (38%). Perhaps this is something that can no longer be taken for granted, due to the ongoing disruption.
Comparing 2021 and 2022 responses, it is difficult it was to predict the pandemic ramifications, says Nuvias. COVID-19-related challenges were selected as a disruptive element by just 13% in 2020, while that figure rose to 40% in 2022.
Adjusting to a new remote model is not a negligible challenge and, although disruption to the supply chain was expected, the extent of it – down to the semiconductor shortage – was difficult to anticipate.
Lee Driscoll is MD UK and VP South Europe, at the Nuvias Group. He says that 2021 was always going to be a challenging year with the global pandemic. However, “we pulled together and made the most of our joint opportunities.
“It’s fantastic to see there was still strong growth over the past year,” he siad. “We have seen customers demand for cybersecurity rise and we have strengthened our portfolio accordingly. It was not a surprise to see the rise of network visibility as a new top category, in view of the need to manage extended networks. We are fortunate to be working with vendors who are leading in this segment, such as Juniper and Riverbed.
“Our priority is to support partners in sustaining their revenue stream and business model in a changing landscape, by adjusting to new customer needs and market conditions, providing service-based offerings and expertly designed solutions that protect business networks,” he added.
Comparing 2021 and 2022 responses, it is difficult it was to predict the pandemic ramifications, says Nuvias. COVID-19-related challenges were selected as a disruptive element by just 13% in 2020, while that figure rose to 40% in 2022.
Adjusting to a new remote model is not a negligible challenge and, although disruption to the supply chain was expected, the extent of it – down to the semiconductor shortage – was difficult to anticipate.
Lee Driscoll is MD UK and VP South Europe, at the Nuvias Group. He says that 2021 was always going to be a challenging year with the global pandemic. However, “we pulled together and made the most of our joint opportunities.
“It’s fantastic to see there was still strong growth over the past year,” he siad. “We have seen customers demand for cybersecurity rise and we have strengthened our portfolio accordingly. It was not a surprise to see the rise of network visibility as a new top category, in view of the need to manage extended networks. We are fortunate to be working with vendors who are leading in this segment, such as Juniper and Riverbed.
“Our priority is to support partners in sustaining their revenue stream and business model in a changing landscape, by adjusting to new customer needs and market conditions, providing service-based offerings and expertly designed solutions that protect business networks,” he added.
UK channel partners expect the growth they witnessed in 2021 to continue in 2022. Three-quarters reported growth of between 2% and 10% in 2021 and 62% expect the same in 2022. That’s according to a new survey of partners by European distributor, Nuvias.
The company on Monday announced its investment in Eastern Europe through the acquisition of cybersecurity and networking distributor Netsafe.
On Tuesday it released research that shows UK channel partners are positive on growth. However, they are conflicted about hybrid work, and are missing face-to-face interaction. The survey also highlights some of the remaining pain points with which partners are grappling. Additionally, which technologies promise growth, and what is the role of distributor in 2022?
Review the slideshow above to discover how channel partners are feeling in 2022.
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