Now available: Bulk physical cards with personalization!
Get a demo to see physical options

What makes a great channel partnership: 6 key factors to consider

Discover the six essential qualities that set world-class channel and loyalty partners apart, driving business growth through customizable solutions, proven revenue models, and robust technology
People shaking hands to represent a successful channel partnership

In this post:

Channel partnerships are a cornerstone of business growth, extending market reach and opening the door to new customers and revenue. Loyalty partnerships—focused on creating mutual benefits and building customer loyalty—can yield similar benefits.  

For resellers, distributors, and value-added resellers (VARs), the right partner can propel growth, especially for companies that utilize gift cards and rewards.  

Whether you're looking to build a new program or scale an existing one, establishing a partnership can be instrumental in helping your company reach goals. Let's dig into six qualities that set world-class channel and loyalty partners apart from the rest.  

1. Comprehensive and customizable solutions

Customizable gift card and reward solutions allow businesses to tailor their offerings to meet specific client requirements. This flexibility ensures that your company is equipped to succeed in a range of markets and scenarios.  

For consumer-facing resellers, distributors, and VARs, tailored solutions are especially important. According to 2024 research by Deloitte, four out of five consumers value flexibility when earning and redeeming program rewards, and personalization can be a market differentiator—only 60% of consumers are currently satisfied with their customized and targeted experiences.

Whether your company is seeking a channel partnership focused on B2B, B2C, or D2C, there are common features you'll want to prioritize:

  • Diverse reward options: Look for solutions that offer a broad range of rewards, including gift cards, prepaid cards, and points. This diversity allows businesses to choose the most suitable rewards for clients, enhancing engagement and motivation.
  • Flexibility: Ensure the solution allows for customization to meet specific client needs, adding a personalized touch to the reward experience.

Customizable solutions play a significant role in boosting client satisfaction and retention, helping propel growth.  

As an example, Grubhub and Seamless invested in a physical gift card program in 2020 to supplement a digital offering. The companies chose BHN, Tango’s parent company, to help them create a custom experience that boosts brand awareness and revenue with multiple touch points across the customer lifecycle.

Two women shaking hands and smiling to represent a successful channel partnership

2. Proven revenue-generating model

A revenue-generating model is crucial for channel partnerships—as well as loyalty partnerships—since it ensures mutual growth and profitability. Seek out a partner with documented results that rewards success in sales and client retention.

Key features to consider:

  • Attractive commissions: Look for competitive commission rates that reward channel and loyalty partners based on sales performance, encouraging higher volumes.
  • Volume discounts: Ensure the partner solution offers reduced prices for larger orders to improve your margins.

Your chosen partner should have a proven revenue-generating model, one that has helped resellers, distributors, and VARs like you boost sales and retain clients. IncentivePilot, as an example, implemented a gift card API to generate Reward Links, enabling sellers to earn gift cards for completing activities such as training or attending events.  

This seamless reward delivery process has significantly increased engagement, with IncentivePilot achieving over 50,000 activities and goals by more than 10,000 sellers, distributing over $8 million in rewards.

3. Robust technology and seamless integrations

Advanced technology and seamless integrations are essential to effective channel partnerships, especially for enterprise businesses. These elements ensure that rewards are delivered efficiently and securely, enhancing the overall experience for partners and their clients, at any scale.

Features to look out for:

  • API integration: Ensure the solution includes a robust API that can support growth and integrate easily with existing systems.
  • Automation: You’ll want to automate the delivery of rewards through integrations or directly within the user interface.
  • Detailed reporting: The ability to pull detailed information on order and redemption history, track email delivery, and manage rewards as needed is essential.
  • Global rewards catalog: Ensure access to a worldwide range of digital gift cards, prepaid cards, and charitable donations.

Seamless integrations ensure that channel and loyalty partner programs can be easily incorporated into existing systems, reducing the need for costly developer hours and manual processes. Seek out partners that offer integrations with various types of software, including CRM, MAS, and task automators.

For loyalty programs that involve points, look for options to use a points bank, integrate with an API, or even embed a reward shopping experience in your own portal.

4. Industry-leading anti-fraud and security measures

State-of-the-art fraud prevention and data encryption technologies are crucial for maintaining trust and reliability in both channel partnerships and loyalty partnerships. These measures protect resellers, distributors, and VARs, as well as end consumers, ensuring that gift cards and rewards are delivered with the utmost security and compliance.  

Key offerings to consider:

  • Data encryption: Protecting the integrity, confidentiality, and availability of customer data is critical. Look for solutions that use strong encryption for any information transmitted between endpoints and hosting platforms.
  • Fraud prevention: Robust fraud monitoring and mitigation technologies help secure transactions and protect against fraudulent activities.
  • Compliance: Ensure the solution adheres to industry standards such as PCI and ISO, which are essential for safeguarding sensitive information.
  • Security monitoring: Continuous monitoring for anomalies will help partners detect and respond to potential threats promptly.

By prioritizing these security measures, partners can ensure their reward and gift card programs are safe and reliable.  

5. Dedicated support and partner resources

A quality solution will offer dedicated support and resources for channel partners. Partner services and assets will help your business succeed and grow with the support your team, other partners, and recipients need, when they need it.

Key features should include:

  • 24/7 support: Ensure your partner provides clients and reward recipients round-the-clock support to address any issues or questions promptly. This includes assistance with reward redemption and troubleshooting issues.
  • Dedicated account managers: Having a dedicated account manager helps partners navigate challenges and optimize their reward programs.
  • Comprehensive partner portals: Look for solutions that offer a centralized portal where partners can access resources, track performance, and manage their programs efficiently. Examples of resources available in partner portals include training materials, marketing collateral, performance analytics, and best practice guides.

By providing dedicated support and robust partner resources, the right channel partner can help your company achieve goals, fostering a successful and collaborative partnership long-term. The same goes for loyalty partnerships.

6. Global reach with local expertise

A global reward network that can adapt to local markets is crucial for the success of resellers, distributors, and VARs entering channel partnerships. Solutions that have global reach can ensure that rewards are accessible to clients and partners worldwide—local expertise allows for the customization of these rewards to meet the unique needs of different regions.

Key aspects to focus include:

Adaptability to local markets

A global reward network should be flexible enough to cater to the diverse preferences and cultural nuances of various regions. This adaptability ensures that rewards are relevant and appealing to recipients, enhancing engagement and satisfaction.

Tailored solutions  

Tailored solutions are essential for addressing the specific challenges and goals of clients in different regions. Tango's Global Choice Link provides access to a catalog of digital gift cards, prepaid cards, and charitable donations, allowing recipients to select rewards that best fit their local market.  

Local expertise

Leveraging local expertise can significantly enhance the effectiveness of reward programs. Local experts understand the cultural, economic, and regulatory landscape of their region, enabling them to provide insights and recommendations that align with local preferences.

Creating a world-class channel and loyalty partnership

Selecting the right channel partner or loyalty partner is crucial for achieving business growth. An experienced partner with comprehensive and customizable solutions, a proven business model, industry-leading technology and security measures, ample resources, and global reach, can help your company scale gift cards and rewards.

Ready to explore partnerships that drive growth and success? Discover how Tango can help you achieve your goals with tailored solutions and global rewards. Connect with our team.

Have questions? We have answers.

No items found.

More Blog Posts

Is Tango right for you? Let's talk.

Now you know why Tango is trusted by companies around the world. It’s time to discover how Tango can work for you.