Page 40 - Cloud Connections Event - Partner Business Models

Supporting Student Notes

• The deal economics for many Cisco Partners may not actually be affected over the long term due the nature of lower margins currently
associated with a primary resell business model. BUT, there will be revenue and potentially cash flow issues as you make the transition.
Successful solution providers have made incremental changes in their business by shifting portions of their traditional Professional
Services to Managed Services and replacing a portion of the product resell with XaaS based offerings. The sample P&L below
illustrates how a different mix of revenue streams can have a material impact on your bottom line.