How VARs Can Make a Bundle with Bundled Solutions

IT infrastructures are becoming more complex, making managing multiple facets of the business network more challenging. VARs have an opportunity to help SMBs meet this challenge by offering bu

Sophos Guest Blogger

March 29, 2012

3 Min Read
How VARs Can Make a Bundle with Bundled Solutions

bundled solutions

IT infrastructures are becoming more complex, making managing multiple facets of the business network more challenging. VARs have an opportunity to help SMBs meet this challenge by offering bundled solutions that address multiple issues an organization may be facing. The benefits of bundled solutions to customers are obvious: seamless management of multiple functions, fewer vendors to contact for support, and systems that work together. But bundled solutions can also benefit the VARs who offer them.

Among the potential benefits…

Increase Reach into a Customer’s Business

When customers purchase different solutions from multiple vendors, oftentimes they end up buying each solution from a different partner. They believe this form of “shopping around” helps them find the best price for each solution; however, this logic is often flawed (more on this later). Offering a bundle of security solutions that address various security concerns means the partner will obtain more of the client’s business instead of one portion of a their business.

Make More from Each Sale

Which brings us to the next point: Offering a discounted bundle solution helps partners make more from each sale. Even though the bundled solution may cost less than each solution purchased individually, the VAR is still able to make more profit by selling the bundled solutions than if the customer had looked elsewhere for one or more of the products. Additionally, because the bundle discounts the price of the products, the customer is more likely to purchase the bundle.

Simplify the Sales Cycle

In some cases customers prefer to purchase all products from a single VAR so they have a dedicated IT support resource. Even in these cases offering a bundled solution is in best interest of both the VAR and the customer. To meet all their customers’ needs VARs may need to sell dozens of products, which can complicate the sales process and lengthen the sales cycle as individual products are evaluated, ordered, processed and shipped. With bundled solutions customers can pick the bundle that fits their needs in one order, simplifying the entire sales cycle and allowing a VAR to quickly move on to the next opportunity.

Better Meet Customer Needs

Perhaps most importantly, offering bundled solutions makes it easier for VARs to meet more or even all their clients’ needs in a specific area. Being the go-to source for all a customer’s IT solutions means that customer will turn to the VAR for additional services and products. In this way the bundled solution becomes the tip of the spear for the VAR, so even though the technology is sold at a discounted rate, VARs have potential to make more profit down the line.

With bundles VARs have an opportunity to expand their reach into a client’s network, which can increase their revenue potential. VARs should look to their vendor partners to find ways to create bundled solutions that will fit the needs of their clients and, in turn, provide VARs with new ways to speed their growth.

Steve Hale is VP of global channels at Sophos, the security software company. Monthly guest blogs such as this one are part of The VAR Guy’s annual platinum sponsorship.

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