AWS Partners you need to hear this (in fact it applies to all cloud partners)
❗️A large AWS ARR does NOT automatically mean large revenues for you!
While AWS have "partner attach" metrics, and a healthy partner infrastructure (no pun intended), the reason for this is to extend their sales reach, grow their consumption levels, and to speed up the achievement of these consumption levels.
📈 You need to be crystal clear on the type of work that generates revenue for your business.
💸 If most of your work is funded through AWS credits, then you are at risk.
🌧️ AWS could change their funding at any time, and your client isn't paying "real money" then do they actually value what you are doing for them?
You need to be able to sell the value of your services on their own merits.
- What problems are you solving for your clients?
- How much value are you creating as a result of solving these problems?
- Can you quantify such value?
Where are most of your leads coming from?
You need to be able to source your own new business, as AWS aren't handing out leads like they did 3 or 4 years ago (and arguable they didn't hand that many out back then either)
Also, ask yourself "do you own the client relationship, are you a trusted advisor, or are you subject to the whims of an AWS AE?"
📉 Two of the biggest areas of opportunity in 2024 are cloud spend reduction and the management of over commitment to private pricing agreements. If you aren't in the AI space, then this might be the best approach to acquiring new or growing existing client spend (maybe even if you are).
After all, cost saving was was probably the main reason for the move to the cloud.
🔔 I write about the the AWS sales ecosystem every Monday. Follow me for weekly insights and updates.