2020/07/16

Success with Partnering

Results of an International Study

by Christian Krämer

The main findings of the international Partnering study conducted by Detecon International GmbH confirm the following hypotheses:

  1. Partnering has become established as a strategic factor in telco companies and will play an increasingly vital role for corporate development in the future.
  2. Partnering is especially used as growth driver. Further digital added value is expected to stimulate revenue development, prevent the loss of customers (churn) in the core business, and improve profitability. Sales and innovation partnerships play the dominant role for raising revenues; from the perspective of profitability, service partnerships are also of interest.
  3. The contribution of partnering to profits and revenues is still at a conservative level. For example, 32% of the respondents report that the contribution of partnering activities to revenues lies between 3%-5%.
  4. However, 92% operate their cooperative ventures at a positive return on sales.
  5. We believe that there is still unmined potential in partner management that could be exploited through partnering to generate contributions to revenues of more than 20% of total revenues (achieved at 36% of the respondents) or the benchmark of 3–5% return on revenues.
  6. The examination of the level of partnering activities that is used reveals that the partner management maturity of the telco industry still has room for improvement. The possible methods and tools are used only by half or two-thirds, depending on the sector.
  7. Our research reveals that companies with a strong partner strategy, partner selection, partner integration and partner development in place, tend to post company profits or contributions to revenue that are twice as high as the corresponding figures in companies with less emphasis on these success factors.

In case you want to learn more about our Partnering study, please get in touch with us and we will share the whole study with you.

Success Factors in Partnering
Success Factors in Partnering
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