At Partner Leadership Summit last week, we shared new IDC research that takes a deep dive into multi-cloud adoption acceleration and the key drivers of partner growth in the Cloud-Smart Ecosystem. The IDC Infographic and eBook, sponsored by VMware, VMware Partner Market Opportunity in a multi-cloud World, and highlights the opportunities awaiting you in multi-cloud and services as well as the revenue growth forecast for partners that expand their footprint with VMware offerings.
Multi-cloud is here and has become the standard operating model for digital business. IDC research has found that you can harness significant business growth multipliers by capitalizing on the related opportunities in solutions and services around multi-cloud and digital transformation.
Our mutual customers need the power of partners as trusted advisors to help accelerate digital transformation and bring their digital roadmaps to life. VMware’s Cloud-Smart Ecosystem of partners is uniquely positioned to deliver digital transformation opportunities.
Maximizing Partner Profits Through the Multiplier Effect
In this research, IDC describes a “Multiplier Effect” available to VMware partners through the many routes to market and expansion opportunities around multi-cloud engagements. Multi-cloud is essential to digital transformation, and VMware’s technology portfolio also provides partners routes to growth through adjacent offerings such as application modernization, end-user computing and security, and delivery of advisory and managed services. Forecasting from market trends and internal data, IDC expects the total addressable market for VMware partners to continue increasing at a compound annual growth rate (CAGR) of 13% through 2025, signaling significant opportunities throughout the VMware Cloud-Smart Ecosystem.
IDC estimates that for every dollar of VMware technology sold through partners in 2022, partners will realize an average “multiplier effect” of an additional $6.70 in services revenue and cross-solution sales. Services delivery accounts for the bulk of this multiplier effect.
The combination of macro trends accelerating digital transformation presents robust opportunities for partners that offer in-depth knowledge of customers’ needs along with a strong digital vision and capabilities. We’re developing tools to provide insights into project margin profiles to help you invest in business models and capabilities that maximize your profits.
How Does VMware Stack Up?
As the multi-cloud industry leader, we invented the multi-cloud solution category and continue to provide unparalleled innovation to help enterprises manage a mix of on-prem, public and private clouds on legacy platforms. Our most profitable partners are selling SaaS and subscription and delivering services throughout the customer lifecycle.
We are enriching partner profitability with a variety of incentives designed to drive recurring revenue through subscription sales. Partner profitability is aligned across the entire ecosystem with incentives that drive both customer adoption and proactive partner-led cross selling.
Accelerate Your Growth Plans
Read the IDC eBook and Infographic to learn how you can accelerate your growth plans as part of the VMware Partner Ecosystem. Check out the VMware Partner Executive Edge site for additional industry insight and how the VMware Partner Ecosystem can drive customer impact and enable your business growth.
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