Top 3 investment priorities for EMEA channel partners in 2024

Channel leaders outline key investment priorities to drive profitability, customer success

EMEA channel chiefs are urging partners to prioritise investments that will drive profitability and customer success in 2024.

In our CRN regional channel chiefs survey the top trends to emerge include expanding managed services offerings, particularly in cybersecurity, cloud, and SMB segments, to secure recurring revenue streams.

Mastering emerging technologies like AI, hybrid cloud, and Secure Access Service Edge (SASE) is also thought to be crucial for delivering cutting-edge solutions.

However, achieving long-term growth hinges on driving profitability through customer lifecycle management.

Channel leaders emphasised developing professional services competencies, technical enablement, and joint marketing strategies to increase ROI and customer retention.

By aligning investments with these key areas, partners can position themselves as trusted advisors, foster customer relationships, and unlock new revenue opportunities in the evolving channel landscape.

Here are the three areas CRN's regional channel chiefs want to see investments in for partners.

Expanding managed cybersecurity and cloud services

"The channel is shifting to managed services, so channel partners need to continue to expand their managed services portfolio and increase their investments in XDR offerings to help strengthen their security practices," says Giovanni Goduti, VP sales for EMEA at Barracuda Networks.

And Bum-Coo Cho, VP for partner & routes to market sales in APJC at Cisco Systems agrees saying that it's important for partners to transform their business models to include more software and services-based recurring revenue and continue to invest in areas that have high growth potential, like managed services, SMB, and Cloud Marketplaces.

"Our managed services are intentionally partner-led and remain a pivotal growth avenue for Cisco partners," he says.

"Partners can also capture growth from the SMB segment by taking advantage of our new low-touch, scalable partner-ready managed offers rightsized for SMBs.

"In addition, partners will increasingly need to focus on sustainability as well as expanding their go-to-market strategies to include more multi-partner and cloud marketplace engagements."

Michael Herman at Netskope also added that he will be advocating for heightened investment in managed services to align with evolving industry dynamics.

"Our priority is helping partners secure recurring revenue streams, build stability, profitability, and long-term customer relationships."

Mastering AI-driven hybrid cloud security

"In 2024, I encourage channel partners to invest significantly in enhancing their expertise in datacentre solutions, specifically focusing on hybrid cloud solutions, SAP, AI, and LLMs," explains Santosh Wadwa, head of product channel sales in Central Europe at Fujitsu Technology Solutions GmbH.

"Strengthening knowledge among sales, consulting, and engineering teams will ensure a competitive edge in delivering cutting-edge technologies."

To this matter, Sam Callagham at ConnectWise argued that investing in growing segments like cybersecurity and infrastructure management, including cloud services, is essential.

"These areas offer ample opportunities for partners to capitalize on increasing demand," he says.

"By allocating resources and expertise to these sectors, partners can meet evolving customer needs and achieve long-term success.

"Being proactive and adaptable allows partners to leverage these investments, driving growth and expanding their customer base in the channel market."

Shaun Witherden, VP of business development at Kaseya echoes this view arguing the realm of cybersecurity demands substantial investment from partners to guarantee the protection of end users and establish robust mechanisms for recovery in the face of potential disasters.

"It remains imperative for partners to allocate significant resources, both in terms of technology and strategic planning, to fortify the resilience of systems and ensure a comprehensive response to unforeseen events," he says.

"By prioritising these investments, partners not only safeguard the security of end users but also enhance their preparedness to swiftly recover from any potential cyber-related disasters.

"This commitment reflects a proactive stance in the ever-evolving landscape of cybersecurity."

Driving profitability through customer lifecycle solutions

Customer lifecycle solutions also came quite high up on the list with channel chiefs arguing training, certifications and professional competencies will all feed into customer satisfaction.

"Investing in the resources to be able to deliver against ecosystem Infoblox integrations will drive higher ROI on projects for our customers and successful outcomes," says Aric Ault, director of EMEA channel sales at Infoblox.

"Jointly Investing in marketing strategies: Collaborating to jointly invest in the key marketing strategies being launched focused on use case customer engagement and the impact of DNS with the XDR framework.

"This will help to reach a wider audience and increase brand awareness."

Goduti also adds: "In 2024, I'd like our partners to improve their ability to sell across the breadth of the security portfolio and provide technical enablement to their customers.

"This will help them accelerate sales cycles and better meet their customers' security and technology needs.

"It will also be crucial for channel partners to invest in customer success and customer lifecycle management to improve customer retention."