Google Cloud encourages sales reps to work with partners

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  • Partners say Google Cloud differentiates itself by making reps work with partners.
  • Google Cloud sellers are paid equally when they sell a proprietary or partner product.
  • Partners say Google Cloud has become more involved in transactions with customers in general.

Google Cloud’s blueprint for taking on Amazon Web Services and Microsoft Azure is largely based on its investment in good relationships with the best partners that sell software that runs on its platform.

These partners, in turn, told Insider that they love working with Google Cloud because it takes a business approach that its competitors can’t or won’t: when Google Cloud vendors sell a partner’s products. to a client, they receive the same level of commission as they would if they sold that of the tech titan.

“This way the sales force is properly incentivized to sell the best thing for the customer, rather than selling all of the native Google Cloud content,” David Allen, the global chief cloud architect for the start-up. $ 2.25 billion Neo4j database, which partners with Google. Cloud, Insider said.

Partners said this contrasts with most other tech companies, where salespeople earn a higher commission rate for selling their employer’s local technology. A Google Cloud spokesperson confirmed that “the company compensates its sellers equally, whether it’s a first-party Google Cloud product or a partner solution running on Google Cloud.”

Developing its partner program is a top priority for Google Cloud under the leadership of CEO Thomas Kurian, who took over in January 2019 of his predecessor, Diane Greene. Google Cloud has said it hopes to have partners involved in 100% of its transactions and has recently slashed the revenue it earns from software listed in its cloud software marketplace, CNBC’s Jordan Novet recently reported.

The partners said that Google Cloud’s incentive structure has turned the initiative into a victory for both sides, with its vendors being rewarded for supporting partners on great deals.

“Google vendors have a lot of incentive to see their customers consuming the cloud quickly,” Miles Ward, chief technology officer of Google Cloud partner SADA Systems, told Insider. “They have made everything that is listed in the market count towards their goals.”

More generally, partners said that under Kurian, Google Cloud had reversed its reputation for being uncommunicative, with executives more willing to spend time with industry allies. Senior Google Cloud executives, including Kurian, are increasingly willing to participate directly in a leading partner’s calls with customers, they said.

It’s a big change, the partners said: Just five years ago, Tony Safoian, CEO of SADA Systems, told Insider that Google Cloud vendors never got involved in transactions. Botcopy CEO Dustin Dye said that at one point it took a year to receive a response from Google Cloud about a case study he submitted on his work with a client.

“The market for Google Cloud has grown significantly over the past few months,” Dye told Insider. “It’s exciting to be a part of this growth. With growth comes change, support and new infrastructure.”

At the same time, Dye said, as Google’s partner program gets more crowded, it helps the relationship close big deals – echoing concerns raised by some Amazon Web Services partners. , Insider recently reported.

“The more revenue a partner generates for GCP, the stronger the partnership, and the easier and easier it is to communicate with Google branches,” said Dye. “Over the past two years, we have brought much larger customers to GCP. As a result, the partnership, ease of communication with other departments has improved dramatically.”

Google Cloud partners said this sales incentive structure sets it apart from other platforms like AWS or Microsoft Azure. In statements to Insider, Amazon and Microsoft each said they had programs in place to make sure their vendors were paid for selling software to partners, although neither said how that was paid. was compared to the commission earned by selling products created in-house by their respective platforms. .

An Amazon spokesperson said, “For AWS Partners who provide software solutions that run on or integrate with AWS, the AWS ISV Accelerate Program provides participating partners with co-sales support and benefits. to connect with AWS field vendors around the world. It has set up “incentive programs for eligible field sales roles to encourage them to work with independent software vendors who list and transact through the AWS Marketplace,” the spokesperson added.

A Microsoft spokesperson said Google Cloud’s reduced market commissions matched the rates charged on the Microsoft Azure equivalent.

Microsoft’s seller commissions also reflect our partner support and are designed to ensure that sellers are working with partners for the best outcome for customers. Every transaction counts toward the seller’s goals when the customer uses the product, ”the spokesperson said.

Google Cloud is also trying to expand its ecosystem in other ways. This week, he announced a program to teach about 40 million people relevant cloud skills, tackling what some Google partners have called a huge void in the market.

Do you have any advice on Google Cloud? Contact this reporter via email at rmchan@insider.com, Signal at 646.376.6106, Telegram at @rosaliechan or Twitter DM at @ rosaliechan17. (PR pitch by email only, please.) Other types of secure messaging available on request.



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