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Channel sales

Channel sales

Noun

[chan-l seylz]

Channel sales, also known as indirect sales or partner sales, are sales facilitated through third parties instead of directly through a company’s sales team. These third parties may be agencies, influencers, or distributors. This is a common go-to-market strategy amongst B2B (business-to-business) software companies.

Channel sales is often a far more efficient system for driving revenue than direct sales, since the company doesn’t have to hire a sales team. Rather, the company only pays if and when partners make sales. Typically, partners are paid a cut of the sale, so it doesn’t require the same degree of overhead investment or risk as hiring and training an inside sales team.

That being said, to unlock maximum growth potential, many companies opt to use both direct and channel sales. Since partners will likely have access to different audiences than your sales team, it’s often worth investing in both. The programs are usually complementary as opposed to cannibalistic

Example: Lavender Ltd. drove 30% of their revenue last year via channel sales, up from 20% the year before.

More Partnership terms beginning with
C
Content creator

Noun

[kon-tent kree-ayte-er]

A content creator is someone who makes material to be shared through any medium or digital channel. This content is often entertaining or educational, and the content is often published on social media channels, personal blogs, or websites. The content creator is responsible for the execution of the content, and may be solely or partly responsible for the ideation of the content.

Content creators are an important tool in affiliate marketing, most recognizably in B2C affiliate marketing (although they also play an important role in B2B efforts, too). Brands will pay content creators to make content about their products for their audience, often providing them with an affiliate link to drive business through.

Example: Joseph runs a YouTube channel where he reviews different cloud softwares. He often cuts down clips from his YouTube to post on TikTok, too. This makes Joseph a content creator.

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Cost per View (CPV)

Noun

[kaast pur vyoo]

Cost per View (CPV) is a marketing KPI that determines the cost incurred for each view or play of a video ad by a user. CPV is commonly employed in video ad campaigns, where advertisers pay only when their video is watched or engaged with by viewers, making it an effective and cost-efficient model for brand awareness.

Unlike other advertising models, CPV ensures that advertisers are charged solely for genuine engagement with their video content. This engagement can include watching a certain duration of the video, clicking on interactive elements, or taking specific actions after watching the video.

To calculate CPV, the total cost of the video ad campaign is divided by the number of verified views or engagements.

Example: Syed carefully monitored the performance of his brand's latest affiliate partner video ad campaign, rejoicing as the cost per view remained within their budget, ensuring that each view  delivered maximum value to his partnership's success.

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