How to Start and Scale Partner Ecosystems

Eleanor begins by addressing the importance of creating an Ideal Partner Profile (IPP) that aligns with a company's core customer base and long-term business goals. She emphasizes that companies must identify potential partners who complement their offerings and can grow alongside them. Companies can pinpoint partners who can genuinely support and expand their reach by aligning the IPP with an existing Ideal Customer Profile (ICP).

Eleanor advises early-stage companies to take customer feedback seriously in the IPP creation process. Engaging customers for insights on whom they trust or already work with can reveal partnership opportunities within a company's existing ecosystem. This approach helps businesses to connect with partners who may already share a mutual customer base, allowing for a smoother integration.

In addition, she encourages leaders to analyze the strengths, weaknesses, and target market segments of prospective partners. This analysis should form the basis of an IPP that defines the right partner attributes and emphasizes long-term alliance. Eleanor believes that companies who invest time aligning their IPP with their ICP can better ensure partnerships that add value over time. As Eleanor explains, refining this partner selection process can prevent wasted resources and enable companies to avoid incompatible or poorly suited partnerships down the line.

Eleanor outlines when companies should consider building their partner ecosystems, suggesting they begin after securing product-market fit and paying customers but before a complex direct sales structure is entirely in place. According to Eleanor, initiating partnerships while still in the early stages of sales operations allows companies to incorporate partners seamlessly into the existing framework.

She advises businesses not to delay partnership development until they have hundreds of employees and an entrenched sales process. Eleanor argues that this approach can hinder flexibility and create friction between partners and a large sales team accustomed to direct-selling models. By integrating partners at a stage with only a handful of sales staff, companies can prepare to support both direct and partner-driven sales, establishing cross-collaborative systems and procedures from the outset.

Eleanor compares this timing to the three typical phases of sales that startups go through: founder-led sales, sales-led structures, and systemized processes managed by a Chief Revenue Officer (CRO). She suggests introducing partnerships between the second and third stages, as this aligns well with the initial development of a sales team and the expansion of standardized sales methods.

By starting the partnership process in these intermediate growth phases, Eleanor explains that companies can create a hybrid sales approach that complements direct and partner sales, thus facilitating long-term success through strategic partnerships.

A critical step in Eleanor’s partnership approach is crafting a unique value proposition for partners. She underscores that a Partner Value Proposition (PVP) must be distinct from a customer value proposition (CVP) and clearly articulate the advantages partners will gain. Eleanor notes that partners often look for opportunities to increase revenue, expand their services, or enhance their market standing, which may differ from the direct benefits customers seek.

Eleanor explains the importance of “discovery” when interacting with potential partners. This discovery phase includes asking detailed questions to understand what prospective partners are interested in, what motivates their decision to work with other brands, and which specific resources or support they value in a partnership. By gathering this information, companies can shape their PVP to appeal directly to these partners, increasing the likelihood of buy-in and engagement.

Furthermore, Eleanor emphasizes that understanding the partner’s needs and pain points can reveal opportunities to offer customized benefits. For example, the company can highlight tailored resources or co-selling opportunities if a partner prioritizes sales enablement support. Conversely, if a partner values service expansion, the company may discuss programs integrating training or support for the partner’s service team.

Eleanor stresses that without a clear PVP that resonates with the partner’s needs, a company risks weak partner engagement. Defining the partner’s benefits early on enables companies to cultivate relationships that are beneficial for both parties and that contribute to sustainable growth.

Eleanor highlights the importance of joint business planning as a foundational step for activating partnerships. Rather than waiting until after a formal contract is signed, Eleanor recommends starting joint business planning as soon as a partner shows genuine interest. She explains that this early planning serves as the groundwork for shared goals, expectations, and a unified vision for the partnership.

Companies and partners can outline specific objectives, key performance indicators, and desired outcomes by creating a preliminary joint business plan. Eleanor suggests that this plan also includes a joint value proposition that defines the combined value the partnership will bring to the market. For instance, a cybersecurity company and a software vendor might define a joint message around enhanced security solutions for mid-market customers.

A simple one-page framework for business planning can include timelines, communication guidelines, and performance metrics, providing clarity on both sides. Eleanor also recommends setting expectations around roles, responsibilities, and frequency of communication, ensuring that everyone involved clearly understands how the partnership will operate on a day-to-day basis.

Eleanor’s approach highlights that early joint business planning fosters a proactive and organized partnership culture. This mutual understanding and planning mitigate risks of misalignment or unmet expectations, which can otherwise jeopardize the partnership. With a strong business plan, both companies are better prepared to deliver on their commitments and move the collaboration forward successfully.

Eleanor breaks down onboarding and enablement into clear phases that ensure a strong start for new partners. She highlights the importance of structured onboarding to introduce partners to the company’s processes, tools, and key stakeholders. For Eleanor, onboarding should be a holistic experience that involves presenting the partner’s team to various departments, such as marketing, sales, and customer success, fostering cross-functional relationships early on.

Enablement, she explains, is divided into training, certification, and resource-sharing phases. She advises companies to design training sessions that provide partners with foundational knowledge about the product, joint go-to-market messaging, and value differentiation. She also suggests three training streams: foundational (product introduction and joint messaging), sales (pitching, pricing, and differentiation), and technical (product architecture and technical demonstrations). This multi-tiered approach ensures that partners understand the product and how it fits into their offerings.

Eleanor emphasizes the role of tools like Learning Management Systems (LMS) or Partner Relationship Management (PRM) platforms to track progress and certifications, which enable partners to self-serve and scale knowledge independently. By establishing structured onboarding and enablement frameworks, companies are better positioned to support partners as they start selling and promoting the product confidently.

Eleanor discusses the role of incentives, commissions, and other financial structures in maintaining strong partner relationships. She explains that financial structures must be determined early in the partnership process and should align with the partner’s motivations. For example, a reseller might appreciate higher discount rates, while a referral partner may benefit from straightforward commissions.

She also highlights the importance of understanding the partner’s business model to create relevant incentives. For some partners, monetary incentives may not be the primary motivation. In these cases, Eleanor suggests offering additional value, such as co-marketing opportunities or technical support, to help the partner grow their service revenue.

Eleanor recommends that companies carefully track the financial outcomes of various incentive models and adjust them as the partnership matures. She notes that flexibility is vital in financial structuring, allowing companies to adapt incentives based on partner performance and the partnership’s evolving needs.

Eleanor concludes by sharing her vision for the future of partner ecosystems, emphasizing the role of automation and partner management technology. She predicts a rise in specialized tech products for partner management, such as account mapping tools, partner Learning Management Systems (LMS), and partner business planning tools. These tools allow companies to streamline the onboarding, training, and tracking processes, enabling teams to manage a larger volume of partners effectively.

Eleanor explains that automation will reduce the need for large partnership teams, allowing companies to manage complex ecosystems with fewer resources. She also anticipates an increase in partner operations and the use of fractional partnership leaders, who provide expertise on a part-time basis to support multiple companies.

With her company, Branchworks, Eleanor plans to offer fractional partnership leadership services, enabling companies to benefit from specialized support without committing to full-time hires. This trend in partnership management reflects a shift towards scalability, allowing companies to focus on strategic growth without overextending their resources.