Intelisys Formally Launches $1 Million Incentive

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Intelisys, the master agency and tech distributor, has taken the wraps off of its ‘Drive for 5!’ incentive competition, whose ultimate goal is to give $1 million to the first sales partner that reaches $5 million in monthly net customer billings.

First announced at the Spring 2015 Channel Partners Conference & Expo, Intelisys says this goes far beyond a SPIFF, noting that ‘Drive for 5!’ speaks to the stratospheric growth within the channel. After all, it’s only been three years since the company recognized NetSource Group as its first platinum partner, with monthly billings of $1 million. Five other companies have since reached that rarified air.

It also shows the opportunities provided by a recurring-revenue model, the company noted. Breaking it down, to achieve monthly recurring revenue (MRR) of $5 million, an Intelisys sales partner is looking at bringing in approximately $700,000 per month, or $8.4 million per year, in commission income. That $8.4 million will typically repeat for three to six years, with no extra sales effort on behalf of the partner.

“Traditional hardware manufacturers are trying to control margins more than ever before,” said Jason Kraft, director of sales at FusionStorm. “Eroding margins make looking at cloud and other industries that offer recurring revenue, very enticing. “… With all the cloud options Intelisys now offers, the race to $5 million is wide open.”

“’Drive for 5!’ has the potential to make a huge impact on any VAR looking to transition from top-line transactional sales to a recurring revenue model,” added Timothy Kennedy, vice president of carrier services at Carousel Industries, the MSP and systems integrator.

Drive for 5! officially launched April 1, and will run until the first Intelisys sales partner achieves the $5 million MRR milestone.

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