COVID-19 Impact on Channel Partners

COVID-19 is a pandemic. No market segment is immune to the economic shock. The channel comprising of MSPs, systems integrators (SIs), dealers, resellers, VARs and retailers form the essential cogs of technology’s eco-system that puts products and solutions in the hands of customers. COVID-19 is challenging the channel. As per Techaisle’s global channel partner census count, there is one channel partner (excluding consultants) for every 160 commercial businesses and 1780 households. It is natural, in current circumstances, when both consumer and commercial IT spending is being reined in, for channel partners to lower their 2020 revenue growth expectations and re-prioritize business objectives. Techaisle leveraged its panel of 225K channel partners to understand the impact of COVID-19 on channel business. Data from COVID-19 impact survey of channel partners (excluding small retailers) shows that the percent of channel partners expecting revenue increases in 2020 may drop by 20%. Good news is that 63% of partners are still expecting increases but not in the high-teen percent that they had planned for at the beginning of the year.

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