towards an innovative and profitable distribution paradigm in china market
DESCRIPTION
Towards an innovative and profitable distribution paradigm in China market. Steven ( Jian ) Cui General Manager License Division at PC Stars www.pcstars.com.cn www.softwarelist.cn www.baihui.com. 1. 2. 5. 3. 4. Agenda. Company overview. Direct Sales Works in China?. - PowerPoint PPT PresentationTRANSCRIPT
Towards an innovative and profitable distribution paradigm in China market
Steven (Jian) CuiGeneral ManagerLicense Division at PC Starswww.pcstars.com.cnwww.softwarelist.cnwww.baihui.com
Confidential Propri-
etary
Agenda
2.
4.
3.
1.
5. How to get a creative Win-win
Direct Sales Works in China?
Successful Distribution for Kaspersky
Company overview
Current cooperation between ISVs and partners
Confidential Propri-
etary
Additional 15% Increase globally?
China; Revenue; 0.15; 15%
Others; Revenue;
0.850000000000001;
85%China Others
Come to China!
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etary
BIG already, bigger in future.
the Ministry of Information Industry reported.
80.8Billion $
2007 already
Piracy rate: 80%
185Billion $
2010 forecasted
30% CAGR
Piracy rate:?
No 1 internet users, 212 million now
Confidential Propri-
etary
Investor: the founder of Gemstar-TV Guide (NASDAQ: GMST)
Board of Directors in Hong Kong
7 offices in China Mainland
276 employees
5
Company OverviewLeading online software distributor and SaaS provider in China.
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etary
Our company
SaaSwww.baihui.com
Home&SMBwww.rj100.com
Enterprisewww.softwarelist.cn
PC Stars
Three Platforms
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etary
Microsoft, Symantec, Autodesk, Adobe, those software vendors have already used channel sale, even more rely onchannel.
ChannelSaleChannel
Whether direct sales work in China
PTC, SPSS, Tripos, those vendors used direct sale before, have changed to channel sale.
Direct
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etary
Whether direct sales work in China
Value AddedPartners End Users
SoftwareVendors
Resellers
SIs
VARs
Retailers
Service Providers
Successful publishing model
Confidential Propri-
etary
Current cooperation between ISVs and partners
VAP or only Distributor
Interacting not smoothly
Bad mutual understanding
Are we understanding
each otherproperly?
Different thinking of China culture
Not localized pricing and product
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etary
Current cooperation between ISVs and partners
What vendor concerns?
Tend to develop various types of partners to maximize the marketing share
Avoid the risk of over depending on partners Partner’s qualification Company’s image and reputation Save time and improve efficiency Take the advantage of cooperating with real players
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etary
Current cooperation between ISVs and partners
What their Chinese partners care for?
Stand out from the group of partners Pricing competition with the other partners Vendor cutting in and closing the deal Build trust with vendor Commission and support from vendors
Confidential Propri-
etary
Current cooperation between ISVs and partners
China;
Revenue;
0.15;
15%
Others; Revenue;
0.850000000000001;
85%
ChinaOthers
Kaspersky
China; Global Market;
0.01; 1%
Others; Global Market;
0.99; 99%
ChinaOthers
Most ISVs
Current Partnership Right Partnership
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etary
Right Partner
Find a right partner
Proved Integrated MarketingDistribution Network
Trust-worthy
Technical Support Localized Experience
Solution &Service
24*7 toll-free lineCall CenterOnsite deployment
Chinese versionLocalized pricingCustomer base
Ads, PR, Event, SEO Affiliate marketingEmail marketing
Online/Offline channelLogistic capacityProved performance
Training centerOnline consultancy systemTechnical team
Investor backgroundProved recognitions
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etary
How to get a creative Win-win
Mutual Understanding
Decisionmaker
Both sides’Commitment
win-win
Shared Vision
Mutual Benefit
Long-term Partner-ship
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etary
How to get a creative Win-winService Reseller Distributor Exclusive Publisher distributor
Sales
Online sales (E-commerce) X X X X
Online consultancy X X X X
Local software downloading X X
Call Center telesales X X X
Sales channels X X X System Integrators sales
system X X X
Technical Support
Telephone support X X X X E-mail support X X X X
Online consultancy X X X X
On-site service X X X
Marketing
Search engine advertising X X X
Chinese official website X X
Public relations X X Website marketing X X Media advertising X X Market activities X X X Event marketing X X X
Affiliate Marketing X X X Industry seminars X X
Training Certification Training Center X X
Localization Product localization strategy X X
Pricing localization strategy X X
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etary
Worry about various evaluation variables?
Easy with one Guaranteed Commitment
VSChannel fit?
Trust-worthy? Technical team?
Customer base?
……
How to get a creative Win-win
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etary
China/Global= 15%?
PC Stars can help you achieve it!
Additional 15% is possible!
