KEY TAKEAWAYS:
Cloud Marketplaces (AWS, Microsoft, Google) are revolutionizing sales, boosting ASP by 80%, cutting time-to-close by 40%, and increasing win rates by 27%.
Co-selling with cloud giants accelerates sales cycles, leverages committed spend, and enhances credibility, driving higher ASP and win rates.
Marketplace strategies streamline procurement, speed up deals, and increase sales velocity by 280%, making them essential for modern sales success.
Salespeople, forget the buzz around PLG and AI. Right now, a seismic shift is happening under our very noses, and it's not hidden in PQL > SQL conundrums or ChatGPT Sales Scripts. It's in the Cloud Marketplaces – AWS, Microsoft, Google, to name just a few. Co-selling with these giants is not just an option; it's an essential strategy.
According to data from Forrester selling through marketplaces:
It's unsurprising that Amazon leads this revolution. The potential gains for early adopters and risks for hesitators remind me of how Amazon disrupted retail giants 20 years ago. Cloud Marketplaces are to technology procurement what PayPal was to eBay in the 2000s.
In the last six months, I've worked closely with AWS, exploring the Marketplace. What we've found is not just a trend but the beginning of a new era. It's the biggest shift in customer engagement and buying since cloud and SaaS came into play. This shift is a win/win. It's as beneficial for us vendors as it is for our customers.
Here are my top 5 reasons why you need a marketplace strategy:
Sales velocity increases by 280% through marketplaces. While it doesn't mean $1 sold directly becomes $2.80 on the marketplace, overlooking the growth and the quicker time-to-close would be a mistake.
Two weeks ago, I heard a VP of sales at a $2BN ARR company say: "Last week, my team completed a $10m deal in 5 minutes.”