A FRESH LOOK AT VAR RECRUITING.(Navision Software US makes value-added reseller business model work) (Company Business and Marketing)

Soft-Letter, February, 1998

For high-end software companies, building a network of "value-added" resellers has always been an Impossible Dream. Typically, VAR recruitment is slow and expensive, the dropout rate is painfully high, and the worst VARs often leave a trail of badly-damaged customer relationships that can take years to repair.

But now a little-known accounting software developer has discovered a way to make the VAR business model work--and work well. Navision Software US, an offshoot of a multi-national Danish software company, has spent the last few years setting up a network of U.S.-based "solution centers" that are the company's only distribution channel. Currently, says channel manager Michael O'Brien, Navision has more than 70 active solution centers and has seen revenues...

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