The Last Mile Syndrome
By Sivasubramaniam

The Last Mile Syndrome

Recently, there has been a surge in social media complaints about delays in food delivery, inappropriate behaviour by delivery agents, cab operators refusing rides, and poor service from technicians for air conditioners, washing machines, cars, and telecom services. While it is likely that brands are aware of these issues, the lack of visible solutions raises a critical question: Are these brands actively addressing these problems, or are they merely discussing them in boardrooms without taking concrete action?

With my 30 years of consulting and training experience, I have observed that many brands struggle with managing the last mile effectively. The processes of selection, performance coaching, and review are often inadequate. I call it the "LAST MILE SYNDROME"

I acknowledge that new-age business partners and their teams face numerous challenges. Companies frequently introduce products with significant value potential and commit to customer-centric value propositions. However, these commitments often falter during execution, particularly in the last mile with ecosystem or channel partners. This dilution of customer value can undermine efforts to deliver an exceptional customer experience.

To better meet customer value expectations, it is crucial to leverage the value-add potential of channel partners, in addition to the intrinsic value of the product or solution offered by the manufacturer.

Key Motivations for Channel Partners

Understanding the key motivations for channel partners to do business with your brand is essential. These motivations often include:

  1. Competitive Remuneration: Offering a transparent and fair Remuneration structure that aligns with industry standards. Remuneration should not just address numbers but address more of the customer experience. ( Service Quality should be the main factor).
  2. Training and Support: Providing comprehensive training and resources to help partners understand, sell and service your products effectively.
  3. Recognition and Rewards: Implementing incentive programs and recognizing top performers to motivate and retain partners.
  4. Co-Marketing Opportunities: Collaborating on marketing initiatives to amplify reach and ensure consistent brand messaging.
  5. Empowering the Channel Partners team: The channel partners team must be empowered to make some decisions if it is in line with the company's vision and policies.

Aligning Goals for Successful Partnerships

To leverage these motivations for a true and successful partnership, ensure that your goals are in sync with those of your channel partners. This alignment can be achieved by:

  • Clear Communication: Maintaining open lines of communication to ensure mutual understanding and alignment of objectives.
  • Shared Success Metrics: Establishing metrics that reflect both your success and that of your partners.

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Enabling Transformation for the New Age Customer

To address the challenges of the new age customer, enable the required transformation in your channel partner’s business by:

  • Investing in Technology: Providing tools and platforms that enhance efficiency and customer engagement.
  • Continuous Learning: Offering ongoing training to keep partners updated on market trends and product innovations. Not just technical training but soft skill training too.
  • Collaborative Innovation: Encouraging partners to share insights and collaborate on new solutions.
  • Co-working: ?Working along with the channel partners' sales or service team to understand their methods and behavior in the customer's place. This will help in building real-time solutions.

Avoiding Common Pitfalls

While maximizing revenue and profitability is important, using channel partners merely as a buffer for business targets can be counterproductive. Instead, focus on building strong, mutually beneficial relationships that prioritize long-term success over short-term gains.

Optimizing Channel Partner Capabilities

Key elements in optimizing channel partner capabilities include:

  • Incentive Programs: Designing attractive incentive programs that drive engagement and performance related to positive customer experience.
  • Support Systems: Providing robust support systems to assist partners in their sales efforts.
  • Feedback Mechanisms: Implementing feedback loops to continuously improve the partnership and address any challenges.

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