It’s no secret that the market is saturated, outbound is declining, inbound is full of noise, and buyers undergo numerous touchpoints before making a purchase.

This may make you feel that your buyers are out of reach. However, 44% of your new customers are already customers of your partner (according to Reveal data), but not everyone knows this.

The best way to bridge this gap is by leveraging Nearbound Revenue Platforms (NRP) or, as Lisa Lawson (Senior Analyst at Canalys) and Jay McBain (Chief Analyst at Canalys) categorize them, Ecosystem Data and Mapping tools (EDM).

Recently Lisa Lawson and Jay McBain shared some interesting stats and insights on how EDM/NRP tools are revolutionizing collaborative partner motions.

That’s what we’re going to explore today.

EDMs and NRPs

According to Canalys research, the ecosystem software industry includes 233 active companies that generate US $5.3 billion in revenue and is projected to grow to US $11.8 billion by 2028.

Right now, in the EDM/NRP category, there are around 16 active players, but as more companies emphasize data-driven ecosystem strategies, this number will rapidly increase.

And last year, the 16 players in the EDM/NRP category delivered US $67 million in revenue.

Despite economic uncertainty (interest rates, inflation, layoffs), political instability, and the constant change in buyers’ behavior,

“Partner-delivered IT will dominate again.[...] Planning for uncertainty and disruption in 2024 will be paramount for partners, but recognizing how much opportunity there is will be just as important.”

—Matthew Ball, Chief Analyst at Canalys

Plus, Canalys’ February IT Opportunity update predicts a 6.2% growth in worldwide IT spending this year, reaching US$4.94 trillion. 

Why are EDMs/NRPs important?

EDMs/NRPs are important because they help you drive more revenue through effective partner engagement. They help you leverage the intel, influence, and intros that your partners can help you with.

Products in this category:

• Help you drive revenue: They enable businesses to track and leverage ecosystem data effectively, leading to increased revenue generation through collaborative partner motions.

• Enhance efficiency: These tools provide a secure environment for sharing and analyzing data between partners, improving the efficiency and effectiveness of joint go-to-market efforts.

• Maximize collaboration: By focusing on co-selling, co-marketing, and co-servicing initiatives, they facilitate deeper collaboration between partners, leading to mutually beneficial outcomes.

• Build automated processes: EDM tools streamline data management and integration processes, reducing manual effort and enabling automation of key tasks such as account mapping and opportunity tracking.

• Ensure security and trust: With built-in security features, they offer businesses peace of mind by ensuring the confidentiality and integrity of shared data, thus fostering trust among partners.

For example, by leveraging Reveal, one of the 16 players in this category, companies have seen impressive results:

• Contractbook generated 2x to 3x more demo meetings by adopting a Nearbound strategy.

• Rydoo had a 3x increase in pipeline after implementing a Nearbound strategy in tandem with Reveal.

• Payfit had an increase of up to 60% in lead-to-demo conversion rate and an increase of up to 50% in demo-to-customer conversion rate.  

And even though EMDs/NRPs need an upfront investment and buy-in from Sales, Marketing, and Success teams, these platforms can help you build a foundation of trust to surround your customers with influence.

Trendspotting in EDMs/NRPs
 

In the article, Lisa Lawson and Jay McBain highlighted seven key trends to keep an eye on if you want to have a slice of the EDM/NRP cake (of USD$67 million).

Rapid adoption and growth:

EDM is rapidly being adopted across industries as organizations recognize the importance of data in decision-making. Expect continued rapid growth as businesses seek to effectively manage and leverage their data assets.

Advances in AI for predictive analytics, insights, and automation:

AI integration in EDM enhances predictive analytics, provides deeper insights, and automates routine data tasks. AI algorithms analyze data quickly and accurately, facilitating efficient data-driven decision-making.

Focus on security and trust in data sharing:

With increasing data breaches and privacy concerns, there’s a focus on improving security and trust in data sharing. This involves robust encryption, strict access controls, and compliance with data protection regulations.

Increasing functionality:

EDM solutions evolve to offer expanded functionality, including data governance, quality management, master data management, metadata management, and data lineage tracking. The aim is to provide comprehensive tools for effective data lifecycle management.

Entry of new players:

As demand for EDM rises, new vendors enter the market with innovative or specialized solutions tailored to specific industries or use cases. This increases competition and diversity within the EDM landscape.

Likely acquisitions:

Consolidation is expected in the EDM market as established vendors seek to expand their market share and capabilities through acquisitions.

Larger vendors may acquire smaller niche players to enhance their offerings or enter new segments.

Emphasis on investment, innovation, and collaboration:

To remain competitive, organizations and vendors must invest in research, innovate quickly, and collaborate closely. This collaborative approach involves partnerships to integrate technologies and create end-to-end solutions for customers.

Learn more about the trends and key players in the EDM/NRP categories here. 

Operationalize your data

The Nearbound Sales Blueprint is the dead simple way to operationalize plays from sellers that utilize partners into the revenue mix. 

Get your free copy here.

Change my mind…

Stuff you don’t want to miss!

• TODAY—March 13th—Selling The Value of a Partnership to Your C-Suite: How to Prepare a Killer Business Case—Join Blake Cantrell (Vice President of Global Partnerships at Partnerize) and Scott Pollack (CEO at Firneo) where you’ll learn how to craft persuasive business cases that resonate with senior leadership and propel your career in partnerships. Register here.  

• TOMORROW—March 14th—Running Nearbound Ops: How Partner Data Can Drive Revenue—Kelly Sarabyn (Head of HubSpot’s Product Partnerships and Enablement and Advocacy Team), Jill Rowley (Head of Strategy and Evangelism at Reveal), Elliot Smith (Head of Partnerships at 6Sense), Mary Vue (VP of Marketing and Partnerships at Syncari), and Mike O’Neil (VP of Partner Sales at Box). Register here.

• March 15th—Channels vs Ecosystems!—What partner strategies will "win" and which will "lose" as channels and ecosystems converge and compete this year? Attend & Ask Scott Brinker (Hubspot VP), Jay McBain (Canalys), and Justin Zimmerman (Partner Playbooks). Register here.

• March 16th—Firneo’s Mastering Partnerships Strategy 4-week program—Learn how to diagnose and solve your partner program’s biggest challenges from the world’s top partnership leaders. Mention “NEARBOUND” as a referrer and get a 1:1 Strategy Coaching package (worth $1,000) for FREE. Apply here.

• March 19-20th—Affiverse’s Amplify Summit—Join them for a 2-day virtual event to help affiliate businesses amplify their performance. Learn about digital, partnership, and affiliate marketing. Register here.

• Nearbound Summit 2023 Recordings—The future of GTM is Nearbound. Watch the recordings to hear how B2B leaders across departments unite with Nearbound strategies and tactics. Listen here.

Potential that WANTS to be tapped

There’s so much potential in the ecosystem. Share this with another partner pro so they can start to understand just how much potential really exists.