monday.com talks global expansion, partner priorities and headcount goals
Guy Hirsch, the vendor's channel partner regional director, updates CRN on its UK and European progress after launching its EMEA HQ in '21
monday.com has its sights set on continued global expansion with channel partners as the driving force to increase enterprise adoption.
Since launching its partner ecosystem in 2017, monday.com's channel business has been growing worldwide.
To continue riding the wave of its global expansion, the work management software vendor opened its European headquarters in London in November 2021.
At the time, the cloud-based platform set a target to grow its UK partner roster the following year by 70 per cent.
Two and a half years on, monday.com updates CRN on its progress.
In 2021, the business claimed to have more than tripled its UK revenues since 2020.
After what it's calling a year of significant progress in 2023, where its partner network drove about 20 per cent of annual recurring revenue, monday.com says it started this year strong with solid business and financial performance.
In Q1 2024, it generated $216.9m in total revenue, marking a 34 per cent year-on-year increase. The UK is one of its largest markets by revenue.
Its EMEA HQ has also seen a significant increase in staff, climbing 54 per cent in 2023 alone, prompting a new goal to nearly double its headcount in the UK by the end of 2024.
Looking at what else he wants to achieve in the business by the end of this year, Guy Hirsch, channel partner regional director at monday.com (pictured) says the company is targeting significant enterprise adoption and improved product capabilities.
"For 2024, our main priorities include expanding our core product lines, enhancing our enterprise-grade platform, and cultivating a strong partner ecosystem.
"This means increasing the number of large-scale enterprise clients who use our platform and continuously enhancing our products to ensure they deliver exceptional value. Our ultimate goal is to become the go-to work platform for businesses across various industries, enabling them to execute their workflows more effectively."
Growth strategy
To help it achieve this goal by the end of 2024, Hirsch says monday.com's growth strategy focuses on increasing market penetration through expanded sales and marketing efforts.
"In addition to our EMEA HQ in London, we are establishing regional offices, such as our recent opening in Warsaw, Poland, to build a strong local presence and better serve our customers in these markets. We are also leveraging partnerships and alliances with local resellers and service providers to enhance our market reach."
He adds that product localisation to meet regional regulations, languages, and business practices is another key element of monday.com's strategy.
"We are tailoring our solutions to fit the specific needs of our European customers, ensuring compliance with regional standards.
"Additionally, we are focusing on securing large enterprise clients by offering tailored solutions that address the complex needs of larger organisations. This strategy is underpinned by our ongoing investments in regional capabilities and customer support."
Continue reading to hear monday.com's strategy for channel partners...
monday.com talks global expansion, partner priorities and headcount goals
Guy Hirsch, the vendor's channel partner regional director, updates CRN on its UK and European progress after launching its EMEA HQ in '21
Partner expansion
monday.com's channel business accounted for 20 per cent of its 2023 annual recurring revenue.
Hirsch tells CRN the group now has 2,000 partners globally, spanning all types and sizes from small consulting firms to global players.
"A recent study we did with Forrester Consulting showed that our partners saw significant growth, doubling their revenue annually from packaged and custom services over the past three years. They've also achieved a return on investment of 65 per cent, with a payback period as short as seven months," Hirsch says.
"We currently have 80 channel partners in EMEA. Their focus has been on reselling and services like workflow consulting, custom development and training, which are crucial for reaching new clients and generating additional revenue streams."
On whether the company wants to keep growing its partner network, Hirsch says monday.com is "constantly looking to add channel partners of different scales" to its ecosystem.
"monday.com has evolved from a singular solution into a comprehensive multi-product platform. This transformation has spurred immense demand from our customers for diverse services, which are adeptly provided by our extensive network of partners. Addressing this demand by recruiting more partners aligns perfectly with our goals of driving mutual growth and innovation."
The channel directors reveals the business prefers "quality and large autonomous partner practices over many small ones" when looking for new partners to work with.
He adds that by focusing on diverse partnership opportunities, monday.com ensures it can meet a wide range of customer needs.
"monday.com is constantly seeking a wide range of channel partners to support our growth and help companies tackle digital transformation challenges through technology.
"We're looking for sales partners capable of sourcing revenue to expand our client base, referral partners who can recommend our solutions, and technical partners to provide implementation and support services."
Message to partners
Outlining where he wants monday.com's channel partner prioritising and investing, Hirsch points to specialisation.
"We encourage our partners to focus in specific verticals to stand out in the market. By leveraging monday.com's product building blocks, partners can create customised environments tailored to these verticals.
"Developing expertise in specific verticals also enables better collaboration with our internal teams. When opportunities arise related to their core competencies, our teams know exactly who to turn to, ensuring that we speak the language of our customers and deliver the best possible solutions."
Hirsch adds he'd also like to see partners diversify their revenue streams through monday.com's app marketplace, packaged and custom services, as well as other support channels.
"These avenues have the potential to become significant profit drivers for them in 2024 and beyond," he says.
"Overall, our message to partners is clear: focus on vertical specialisation, leverage our robust platform and brand, and diversify revenue streams to drive growth and profitability. We're committed to supporting partners at every step of the way, providing the resources and opportunities needed to thrive in the evolving digital landscape."