Siebel looks to channel to fulfill SME business

CRM software vendor continues to build on its recent reseller recruitment drive

CRM software vendor Siebel has pledged to fulfil 100 per cent of SME sales through its resellers by the end of the year, following a recent partner recruitment drive.

The vendor operates a 50/50 direct/indirect sales split and has recruited 27 new EMEA resellers since January, including eight in the UK. Siebel also claimed it will increase partner numbers to 40 in EMEA and add a further 10 in the UK by the end of this year.

Andrew Moore, regional vice-president for OnDemand and SME at Siebel, said: “We have a good understanding of the SME market. It’s a different animal that needs a fast return on investment, so channel partners are key to the space.”

However, Moore said Siebel will give its resellers a percentage of any direct sale made inside a reseller’s sweet spot, such as manufacturing.

“One of our key requirements is that resellers have a good understanding and experience of the SME space. We will also recruit them based on their geographical location and vertical focus,” he said.

Last year, Siebel launched a new channel partner programme to try to break into the lucrative SME sector (CRN, 13 December 2004).

A recent report by AMR Research on the growth of hosted CRM solutions revealed that Siebel has been ousted as the revenue market share leader by rival SAP, which grew its CRM business by 30 per cent last year.

Ian Evans, senior services director at Siebel VAR Visual Metrics, said: “Siebel has a good understanding of what the channel needs, such as lower SME price points. It is right to choose its partners selectively.

“A 100 per cent channel model by Christmas is a brave call, but it is highly encouraging news.”