Mimecast SVP: 'Partners offering just resale with no value are finding it challenging'

Stan de Boisset says some partners will need to evolve and provide more services to succeed in an ever-changing market

Resell margins are getting smaller for resellers and pressure is being put on the services provided on top, says Stan de Boisset, the recently appointed SVP of global partner ecosystems and channels of Mimecast.

In an interview with CRN, the cybersecurity vendor SVP shines a light on the importance of evolving with the times as a key to success in the channel.

"Partners offering just resale with no value are finding it challenging to do business if they are not evolving with the market trends."

And while he claims Mimecast does not request partners to do more managed services, de Boisset admits MSPs make up half of its customer base.

"It's not our role to tell people what to do. I think business owners have to react and align to their customer base requirements, but MSPs are a massive business for us.

"We have a great offering and a great programme, and we invest heavily into this programme."

"I definitely think there is an opportunity in managed services to offer implementation, adoption of value, realisation and more. But ultimately there is no one size that fits all and business need to do what aligns best with their customer's requests."

He also reveals how Mimecast is putting the money where its mouth is with investments in partner resources and a new partner programme with higher margins.

De Boisset explains how Mimecast has been expanding its focus on the channel, making more investments to provide better resources to partners and improving their go-to-market strategy.

"We want to be clearer about how we manage partners, and we are dedicating more management resources to fewer partners in order to provide more value," he argues.

"We are putting more investment from a market development funds (MDF) perspective, so we can go to market together, provide more incentive programmes, as well as rebates for some strategic partners that qualify for it."

New partner programme

The cybersecurity vendor is planning on launching a new partner programme with the aim of showing partners its commitment to the channel with bigger margins and enriching the ecosystem, de Boisset reveals.

Around 80 per cent of Mimecast's global business goes through the channel, a number that in Europe is even bigger - closer to 95 per cent.

"Three years ago, we would have 70 per cent of new business coming through the channel, and now that number is more like 90 per cent. We are a direct business by legacy, but our intent now is to move towards 100 per cent of business coming through partners."

Speaking to partners

While building a new partner programme, de Boisset says Mimecast has had many conversations with partners to develop a deeper understanding of their concerns and needs.

Three key questions came out of these discussions: "Are you making my customers successful? Do you support me right? And are you protecting my investments?"

"Customers nowadays have many technologies that are really successful and want to make sure that that success is reflected across their portfolio, so we have been working on a programme to ensure we communicate better so that partners can trust the innovation provided by Mimecast," de Boisset explains.

"The second question is around support. ‘Do you engage with me when I want to go to market with proper incentives and investments?'

"And so, we're shifting our focus to fewer partners, but going deeper, with bigger investments, and bigger rebates."

Finally, partners shared their concerns about protecting their investment into Mimecast's business.

And de Boisset claims that protection of original registration will be tackled through an "ecosystem of features that will protect businesses, make them profitable, and innovative from a product standpoint."