More Than 57% of Software Revenue in Asia/Pac (exc. Japan) Are Dependent on Channels
According to IDC’s latest report “Software Vendor Channel and Partnering Updates in Asia/Pacific (Excluding Japan), 2006” (Doc# AP676101P), technology partners, service partners, and independent software vendors (ISVs) contributed approximately 57% of the vendor's software revenue in 1H 2006. IDC predicts that the indirect sales contribution will continue to hold a major market share in the software vendors' sales.
"Channel and solution partners provide vendors with the geographic coverage, solution expertise, service and support that are crucial for penetrating the diverse and complex markets in the region." Alice Lai, Research Manager of Asia/Pacific Channels and Partnering Research at IDC.
In APEJ, vendors' dependency on channels and partners is even more critical as the level of IT maturity and geographic landscape of each market is very different from one another. Coupled with cultural differences and divergent market conditions in the region, it is important that vendors and their business partners work together to jointly improve their go-to-market blueprints in order to achieve better market traction and expansion. This will create a major opportunity for alliances and partnerships in the region.
Asia Pacific (Excluding Japan) - Software Revenue Contribution by Indirect and Direct Channels, 1H 2006 (%)Source: IDC Software Tracker, 1H 2006
IDC recommends vendors to develop and invest in robust partnering and alliance networks as they expand their business into APEJ and deliver products and solutions that are increasingly more targeted and specific to their customers needs.
The scope of this IDC study covers the strategic and tactical activities taken by software vendors in supporting their product development and go-to-market programs in this region.
"Channel and solution partners provide vendors with the geographic coverage, solution expertise, service and support that are crucial for penetrating the diverse and complex markets in the region." Alice Lai, Research Manager of Asia/Pacific Channels and Partnering Research at IDC.
In APEJ, vendors' dependency on channels and partners is even more critical as the level of IT maturity and geographic landscape of each market is very different from one another. Coupled with cultural differences and divergent market conditions in the region, it is important that vendors and their business partners work together to jointly improve their go-to-market blueprints in order to achieve better market traction and expansion. This will create a major opportunity for alliances and partnerships in the region.
Asia Pacific (Excluding Japan) - Software Revenue Contribution by Indirect and Direct Channels, 1H 2006 (%)Source: IDC Software Tracker, 1H 2006
IDC recommends vendors to develop and invest in robust partnering and alliance networks as they expand their business into APEJ and deliver products and solutions that are increasingly more targeted and specific to their customers needs.
The scope of this IDC study covers the strategic and tactical activities taken by software vendors in supporting their product development and go-to-market programs in this region.
posted by JMR at
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