March, 2005 – And then there’s Broad Sky Networks, a different breed of channel partner that sees both the master agent and systems integrator sides of things. The company resells broadband satellite services to end users, but also to systems integrators, master agents, VARs and others. Broad Sky pays each of its partners a cut, while encouraging them to do their own billing. This “keeps their brand and name in front of the client and takes the onus off Broad Sky,” says President Mike Mudd. But the tactic pays everyone in terms of residual commissions, customer loyalty and ongoing referrals.
Here’s how the process works. A channel partner, for example, is working on a data network and discovers there is only 80 percent terrestrial coverage. Broad Sky steps in as the “last-mile” solution for satellite. “[Channel partners] will bring us in for the satellite services and then we’ll introduce [those partners] to our VARs and integrators, or hardware providers, that are providing satellite VPN equipment,” Mudd says.

Based on the number of users, Mudd says Broad Sky proposes the lowest-cost solution, which simultaneously provides the best service. “...that way, our master agents don’t have to have dozens of different partners, because we’re resellers of multiple satellite suppliers.” Mudd elaborates that his Bend, Ore., company offers master agents “fairly aggressive commissions.”

The industry has changed, he notes, responding to a movement that brings systems integrators into the traditional channel. “That’s actually been very beneficial for us based on the fact that ... broadband is no longer a nice option, it’s a must-have.”

These partnership interactions are, in Mudd’s words, “all over the place.” He says, at first, agents and integrators often feel trepidation about working together. Not only might there be concern about customer-stealing, but a lot of agents are not certified on a certain vendor’s equipment, making integrators all the more determined to be sure that anyone who does work on that equipment is certified to do so. And yet, once partners realize “the project works and there’s a little bit of margin in it for them, and it’s giving them new sites and helping them win business based on the fact that there’s really no other solution ... then that hesitancy begins to drop,” Mudd says.

By Kelly M. Teal

Contact
Mike D. Mudd, President
Broad Sky Networks
Tel: 415.462.2950
Fax: 415.358.4470
Mike@BroadSkyNetworks.net