Exploring a channel partnership strategy for improved market share of ICT providers in South Africa

Abstract

ICT providers need to differentiate themselves from competitors in a challenging environment by offering potential innovative technologies that are being developed throughout the ICT industry and provide attractive channel partnership programs for an inclusive industry strategy. The channel can be described as the services and product (indirect) sales to the market via established channel business partners in the local industry. This study explores strategic decisions on whether the fastest route and penetration to the market is through the ICT Channel which already has existing relationships in different market segments throughout the country. A channel strategy has the advantage of better access to a wider audience base which can translate into higher sales revenues. The objective was to explore strategic options that could improve growth and market share for ICT companies in South Africa. A provider may consider engaging directly with a customer or through a channel partnership. A qualitative method was adopted which included purposeful sampling and semi-structured interviews. The objective was to explore strategic options that could improve growth and market share. The study concluded that one of the options is to develop a channel growth strategy that is both viable and sustainable. Recommendations focus on establishing an effective and reliable channel partnership strategy by developing and implementing a program that is attractive and offers mutual benefits to all stakeholders within the partnership thereby overcoming certain barriers to entry and challenges posed in the local market.

To cite: Ansell, W. & Chapman, G. (2020). Exploring a channel partnership strategy for improved market share of ICT providers in South Africa. Journal of Management & Administration (2020/2), 123–163. https://hdl.handle.net/10520/ejc-jomad-v2020-n2-a11