CPPO: Best practices + blockers

joey.meucci

Hi all,

Seeq's first re-seller partner is in the process of signing up for CPPO. This is a big step (in the right direction) as many of our re-sellers have medium-low cloud fluency, however a few are beginning to introduce the AWS Marketplace as a way to purchase Seeq to their customers.

On the other hand, the few re-sellers introducing AWS Marketplace don't actively cosell with AWS.

Is this backwards? Should our re-sellers find success in coselling before starting CPPO?

I'd like to hear how other marketplace leaders introduce CPPO to their re-sellers, scale to additional re-sellers, and any other blockers you've experienced.

-Joey Meucci, Seeq Corporation

cdodmead

Hey Joey,

IMO, I wouldn't say it's a "step backwards" as co-selling with AWS is not required for transacting via marketplace, and in fact I have to commonly have the conversation with reps that registering deals through ACE does not then require them to transact through the marketplace - that is ultimately the customers' decision.

All that said, registering in ACE and then going in and marking opps as "launched" is a good way to draw awareness and visibility of your company and solution to the AWS teams. I might suggest that even if you are not actively co-selling with AWS, you still go in and register and then close those opportunities in the ACE tool. Then you're starting your conversation with those AWS sellers with a freebie, which should make them more open to learning what it is you solved for the customer and doing some account mapping to see what other accounts they support that may have similar requirements.

With CPPO there is also the question of "who" registers the opp - your seller or the partner? I believe both are fine - but my preference is for us to own the registration as I want us to get the visibility when it closes.

The only "blockers" I've seen thus far with CPPO have been:

1. Legal - the paperwork flow with partners through marketplace is very different than the traditional PO model - it took quite a bit of discussion with our legal to get them on board.
2. Partner Margins - how much margin makes sense? I believe this is much lesser of an issue if your partner is bringing the opportunity to you. However, we have had partners who we brought the deal to that still try and demand high margins for what isn't even pushing paper at this point since the transaction is taking place in the marketplace and payment comes directly from AWS. Even if you're comp neutral on marketplace, that is still a tough pill to swallow for me personally given the burden of the transaction fee falls on us as the ISV.

jbm

Hi @joey.meucci and @cdodmead!

I totally agree, Connie. I was reading this and it resonated with me as I've recently had several feedback sessions on the CPPO motion. A few takeaways:

1. Reseller education and enablement is a point of frustration, some get it, some don't, and ISVs can figure this out late in the cycle. Having a quick reaction communication cheatsheet has helped some (teaching reseller how to complete the PO, how to help a buyer accept, some basics to ensure the deal is executed smoothly). Then when renewals or upsells approach, be ready for a similar education moment.
2. Reseller Intro - some have taken an approach to pick a couple savvy resellers to start with, and then grow/expand from there. Stating a goal of X number of deals they'd like to run through CPPO together, creating a campaign or incentive. Learn, adjust, rinse, repeat.
3. CPPO adoption is growing and will continue to grow, registration is key to track this internally and with AWS. I agree with Connie, here.
4. In light of starting small, some ISVs start with a specific product offering, specific margins, terms, etc. Depends on the ISV comfort level. Then they grow from there.
5. Visibility: the offer lives in the resellers portal, so you'll have to work closely with them to keep tabs on the deal and manage any future upsell/renewal.

A robust topic! (PS: Joey, tell Megan I say hello, it's been a while!)

[Deleted User]

Another consideration around CPPO is managing the renewal process well, nobody wants to be scrambling on a renewal the day the contract is ending, especially with the additional layer of a reseller.

AWS created this playbook that would be good to arm your sales/sales ops teams to make the most of a CPPO renewal, ideally with the least friction possible. It's a quick read and some good basic helpful tips.

https://external-mp-channel-partners.s3.us-west-2.amazonaws.com/Channel+Seller+Renewal+Playbook.pdf