40% of channel businesses miss out by not partnering. Crayon’s solution can help.

For many channel companies, staying competitive in the tech industry is harder than ever. While 63% of firms report being in better shape now than they were two years ago, according to a CompTIA study, nearly half (49%) still cite competition and pricing pressure as major obstacles to revenue growth.

Additionally, with 40% of these businesses participating in only a handful of partner programs, scaling and delivering advanced solutions like ERP and CRM remain limited.

There’s an underserved opportunity to extend service offerings for these advanced tools. Research shows high demand for ERP and CRM, with the Asia Pacific ERP market projected to grow at a 14.8% CAGR — from USD 13.9 billion in 2021 to USD 48 billion by 2030. The region’s CRM market will expand at a 13.9% CAGR from 2023 to 2032, reaching USD 71.6 billion within the decade. Gartner also reported a projected 9.3% jump in IT spending in 2025 driven by GenAI, software, and IT services.

Still, many businesses don’t have the internal resources or expertise to offer such services. As a result, organisations miss out on larger, more complex projects, simply because they can’t handle every aspect independently.

Crayon’s solution for scaling channel businesses at no cost

Crayon, a global leader in IT services and innovation, recognised this challenge among its partners early on. To address the demand for intricate IT solutions, Crayon developed the Partner Connections program — a way for partners to work together and combine their strengths. By teaming up with other partners who have the technical expertise to deliver solutions like Microsoft Dynamics 365, businesses can take on larger projects without having to invest in new in-house capabilities.

“We saw a clear need for collaboration between partners,” says Joel Ramirez, Crayon’s Senior Commercial Director for Channel APAC. From his time working for a managed solutions provider (MSP), he knew how hard it was for MSPs and cloud solutions providers (CSPs) to meet client needs when projects went beyond their technical skills. “Many MSPs and CSPs were struggling with delivering solutions beyond their technical capabilities, especially with Microsoft Dynamics 365. The Partner Connections program is our way of helping them solve that problem by connecting them with the right people.”

A program that supports growth

Through Partner Connections, Crayon helps MSPs, CSPs, and Microsoft partners find the right technical specialists to work with. This allows them to deliver bigger projects that might have been out of reach. The program comes at no cost, meaning there’s no financial risk for partners who want to explore new business opportunities. “The beauty of the program is that it’s not a one-time transactional relationship but a strategic partnership that we can continue to rely on,” says Jitender Kumar, Business Head at Dynamics Square and an early participant of the program.

Dynamics Square is a long-term Crayon partner that helps customers streamline office operations with automation. Its network of 150+ certified professionals are experts at delivering smart integrated Microsoft Dynamics 365 solutions that simplify processes, foster growth, and boost efficiency to customers globally.

“What we do is a different ball game compared to managed services. It’s a niche area that requires technical and functional resources, solution architects and business analysts,” explains Jitender Kumar, Business Head at Dynamics Square. Through Partner Connections the company has unlocked new potential through collaborative partnerships.

Crayon connected Dynamics Square with two of its partners to tap into an unrealised revenue opportunity that required managed services. With a Brisbane-based computer services provider, Dynamics Square works directly with the end customer as the expert to handle any Dynamics 365-related purchases and service requirements. With a second partner, the company comes in to manage the service component.

“Both of these companies offer managed services on everything from the Power Platform to Power BI. But their customers needed assistance with Dynamics 365. There’s a lot of flexibility in how we work with each partner. Ultimately, the revenue from the service perspective comes to us and the licensing revenue goes directly to the partner,” Kumar says. Going forward, whenever they come across an opportunity that involves ERP or CRM, they don’t need to worry about the investment needed for D365 resourcing or finding solution architects. We are there to help them.”

Helping partners every step of the way

As a value-add program, Partner Connections offers Crayon partners regular updates on industry trends, new tools like Microsoft Copilot, and the latest in Microsoft Dynamics 365. Partners receive ongoing guidance, solution enablement sessions, and technical briefings to stay informed. The program has a solid framework that helps partners connect and work together with clear rules and secure processes for each project. The result is a program that provides a solid trust foundation for all involved.

This support comes at the right time, as the IT channel is changing rapidly. More channel businesses are shifting to selling services instead of products, putting them in a better position to meet growing demand for IT solutions, according to CompTIA. In 2024, 38% of channel companies described themselves as focused on selling tech services, while only 27% said they focused on products. A good move to increase profitability.

Furthermore, in Crayon’s report The Size of the Cloud ERP Prize, partnering with Crayon brings in an expert in areas outside of channel companies’ core strengths, and partners looking to ride the wave of cloud ERP investments with Crayon can experience 30 to 60% margins on solution and design assessments, application customisation, implementation and deployment, and post-sales service.

As organisations face issues like talent shortages and economic uncertainty, collaboration through Partner Connections offers a practical way to take on bigger projects, find new opportunities, and grow their business.

 
Learn more about how Crayon’s Partner Connection program can help you grow.

Read the original article on CRN Australia here.