How much does software reseller get?

J

joker77

Guest
If a company had the rights to sell software in Ireland, i.e. be the sole distributor for the product including installation/consultancy/maintenance, does anyone know roughly on average what percentage of the sale would go to the Irish company and what would go back to the parent company?
 
I think for resale in general, a fairly standard distributor cut would be 35%
 
Caveat said:
I think for resale in general, a fairly standard distributor cut would be 35%
Click to expand...
Thanks for that Caveat.

What if the reseller had to do all the sales + marketing because the product had no base, and even come up with mailshot templates / logos and all that goes with it, would you say they'd get more than 35% then?
 
In my experience, for sales & marketing the parent company should provide as much 'promotional material' as requested - if any exists - and at least contribute towards any efforts re logos etc.

It sounds like the company in question are purely manufacturers and would rely on you totally for sales/marketing?
Even so, I don't see that they would regard this as reason enough to provide greater discount - they would be more likely to contribute to some costs instead I think...
 
In this situation the parent company would provide a logo, but that's it. It's up to the reseller to work on sales and marketing strategies, any any related literature.

You're right in that the company would be purely manufacturing, and the reseller would look after sales/marketing.

(By the way I'm not the reseller)
 
joker77 said:
In this situation the parent company would provide a logo, but that's it. It's up to the reseller to work on sales and marketing strategies, any any related literature.
Click to expand...

In that case I would advise the reseller to estimate any literature costs and ask for a contribution to that. I don't think they can expect much more other than a standard resale discount. As for sales/marketing, well I don't think it's unreasonable for the reseller to be expected to do all the hard work /research - it comes with being a distributor!!
 
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