Partner Relationship Management (PRM) Definition?

On our blog, we often discuss how to optimize channel success with Partner Relationship Management software (PRM) like Channeltivity, but without going in depth on the term’s definition.

But what is PRM, exactly?

Below, we take a step back to define PRM and how it differs from other tools — including the common mix of spreadsheets and CRM that early programs often try to navigate.

What’s the Definition of Partner Relationship Management?

PRM stands for Partner Relationship Management, which refers to the business processes vendors use to manage the outside companies that resell their products via the channel. PRM also refers to software suites that vendors may use to automate some of these processes.

PRM is Not the Same as CRM

Vendors sometimes make the mistake of thinking that CRM — which stands for Customer Relationship Management — is more or less interchangeable with PRM. They may also think CRM software is suitable for managing channel partners.

Like CRM, PRM is also about:

• Using software to track, train, incentivize, and reward
• Developing strong relationships
• Data gathering and analysis
• Driving revenue growth

But there’s a big difference between partners and end customers — and the activities required to manage indirect and direct sales. Partners require a specific type of support, far different from the support your direct sales team might need.

Partner relationship management encompasses all the processes and software required to help you and your partners get the most out of your relationships. With a well-designed PRM system, channel managers can provide a single place for partners to easily access all the information they need to sell successfully. A partner portal also allows partners to quickly and easily register deals, access market development funds (MDF), and find product information in an organized resource library.

CRMs like Salesforce or Hubspot are critical pieces of the direct sales tech stack. But they’re not built to support partners. Maintaining any kind of partnership in a CRM would require extensive customization, and the more partners (and partner types) you add to your program, the more you’ll need to customize your CRM — potentially maxing out your budget and severely limiting your growth.

That’s the quick partner relationship management definition. For more information, see Wikipedia.

Pick a PRM That Integrates With Your CRM

An advantage of Channeltivity’s PRM is that both direct and indirect sales can still work — our system has native integrations with Salesforce and Hubspot, meaning both channel and end customer data is reportable within Channeltivity and your CRM.

The interface between the two programs is user-friendly, quick to set up, and easy for everyone (including internal sales folks) to use. Partners can log into Channeltivity, download sales and marketing assets, quickly register deals, and report on their progress — without ever needing to access your CRM instance. This way, they can be both self-sufficient and transparent, feeding you insights into the business they are looking to close with you.

With a PRM solution, channel managers can manage everything, from content to lead management to deal registration to joint business planning, all in one optimized solution.

You Need a PRM to Scale

As your program grows, the new partners you onboard may have different expectations, forcing you to rethink your incentive structure.

You may also need new resources and collateral to support partners in new verticals. If you’re expanding to new geos, you might need to think about translation and cultural differences. And you’ll need to make these changes in ways that maintain a consistent partner experience.

The best way to build out your program without disruption? A fully-featured PRM.

PRMs like Channeltivity have the functionality you need to onboard and support hundreds (even thousands) more partners — without skyrocketing license costs. Built-in automation can handle common processes, and it’s fully integrated with your CRM to avoid manual data entry or hiccups in sales team handoffs.

Channeltivity Is the PRM of Choice for High-Tech Companies

Regardless of where you are in the stage of your partner program, Channeltivity can help. Our platform has everything you need to get and keep your partner relationship management running smoothly, with modules specifically designed to:

• Share news, announcements, and resources in a partner-facing portal
• Teach partners how to sell with marketing assets and training courses
• Incentivize partners with marketing development funds
• Collect and approve deal registrations and referrals
• Recruit, onboard, and engage ideal partners
• Keep partners on track with joint business plans
• Share leads with your partners
• Manage distributors

But that’s not all. Contact one of our experts to see our PRM in action, or check out what our customers have to say on G2.