Partnerships Glossary

Noun

[in-de-rekt sayls]

A marketing method products and services  are not directly sold to customers, but rather through partnered organizations, like a reseller, agency, or affiliate marketing partner.

Indirect sales are often used in conjunction with direct sales channels. Utilizing indirect sales can increase scale rapidly for B2B SaaS companies since they tap into the reseller or partner's existing network while also decreasing overhead costs.

Example: Indirect sales mean that there is no direct contact between the software company and the buyer.

Noun

[sayls fuh·nuhl]

A sales funnel is a marketing model that illustrates the journey of a consumer leading up to the point of purchase. It serves as a visual representation of the steps a consumer takes before buying something.

The sales funnel usually consists of a top, middle, and bottom, but may be broken down into as many as six stages. The top of the funnel represents the awareness stage in which a consumer becomes aware of the product or service. The middle of the funnel is the interest stage wherein consumers learn about the product or service and how it can help them. The bottom of the funnel represents the decision stage wherein a consumer is actively making the decision of whether or not to purchase.

Example: A low-touch sales funnel is a simplified buying journey where there are minimal steps from awareness to point of purchase.

Noun

[in-de-rekt chan-l]

An indirect channel is a sales channel in which goods and services are sold indirectly from the producer through independent middlemen to final users. If there is any intermediary between the producer and the end user, the sales channel can be considered indirect. To contrast, direct channels involve purchasing by the consumer directly from the producer.

Reseller programs are a kind of indirect channel wherein partners sell a producer's product on their behalf. Indirect channels allow producers to sell more product by reaching a wider audience through their partners and outsource the sales process to their teams.

Example: An indirect channel allows users to easily find your services through wholesale distributors that may already have a built-in customer base.