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. The professionals who run these processes are called partner relationship managers (more on these below). 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.
What is a Partner Relationship Manager and What Do They Do?
Related to the definition of partner relationship management is the partner relationship manager, otherwise known as a partner manager. The role is what it sounds like — focused on developing and maintaining strategic partnerships. As the implementers of PRM processes, the best partner relationship managers help their companies:
- Use partners to facilitate expansion into new markets and geographies
- Drive revenue through various types of partnerships
- Boost brand awareness through co-marketing campaigns
To be an excellent partner relationship manager, you have to be multi-faceted — highly organized, personable, and attentive. Here’s where some of those characteristics come into play:
Onboarding and Enablement
Excellent partner relationship managers ensure new partners are set up for success from day one. They work with partner ops and partner enablement team members to create a robust Partner Portal, design training and certification courses, share necessary resources, and align business objectives.
If they’re working on a smaller team, they may play a big role in developing (or at least overseeing) the delivery of onboarding materials, training programs, and certification paths and tailoring them to each partner’s needs.
Ongoing Support and Engagement
Partner relationship managers are a partner’s main point of contact, providing support and resources to help partners navigate challenges and capitalize on opportunities. Typically, they host regular check-ins with partners on their roster, provide updates on new product features, run account mapping sessions, brainstorm ways to penetrate large accounts, and address any pain points.
Co-Marketing
Partner managers collaborate with internal marketing and creative teams to ensure the brand’s voice and visual identity are represented in all channel marketing materials — and those materials are easy for partners to use (for example, can be used in a Co-Branded Collateral module in your Partner Portal).
They provide these teams with insights from partners about audience preferences and brand guidelines, helping to craft messaging that resonates across both audiences. And they may fight for budget to provide marketing development funds, MDFs, to give partners the financial means to throw joint events or campaigns to reel in high-quality leads.
Joint Business Planning
Successful partnerships require a shared vision and measurable goals. A partner relationship manager works collaboratively with partners to develop and track joint business plans, setting revenue targets, marketing initiatives, and key performance indicators (KPIs). Structured planning sessions throughout the year keep both parties aligned on expectations and outcomes.
Performance Tracking and Optimization
Partner relationship managers keep a close eye on their partners’ performance, including lead generation, sales conversions, and customer satisfaction. Analyzing these metrics surfaces areas for improvement and actionable insights they can use to inform their engagement strategies with each partner moving forward (and possibly incorporate into future joint business plans).
Advocacy and Feedback
Partner relationship managers serve as advocates for partners within their own organization, communicating feedback and ensuring that it gets acted on. This may involve influencing product roadmaps, pricing strategies, and service improvements to better support partners and their clients.
With their expertise and focus on partner success, partner relationship managers can improve partner satisfaction and foster long-term loyalty — invaluable benefits to any company trying to scale through the channel.
Moving Beyond the Definition of PRM
Now that you know the definition of partner relationship management, it’s time to start implementing the practice in your channel program. To do this there are a host of resources that can help you. In addition to the many articles on this site, having specialized PRM software is key to a successful channel program.
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.
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.
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.
How to Choose the Best Partner Portal for Your Team
What is Partner Enablement and How to Do It Well