ARC: Symantec’s Channel Troubles ‘No Surprise’

ARC: Symantec’s Channel Troubles ‘No Surprise’
By Stefanie Hoffman, ChannelWeb
From the October 17, 2008 issue of VARBusiness

Following a year of disappointments that ranged from global layoffs to systemic problems in renewal and support to partner disenchantment, Symantec (NSDQ:SYMC) Corp. recently faced yet another. The Cupertino, Calif.-based security giant’s 2008 VARBusiness Annual Report Card survey scores fell behind many of its competitors, ranging from the low 60s to 40s in both the Client Security Software and Network Security Software categories. “The good news is, we were not surprised,” said Julie Parrish, Symantec’s former vice president of global channels, who left that position this month for Network Appliance Inc., Sunnyvale, Calif. “We have a very good handle on where the biggest issues are, and they were consistent with the trends we were seeing in our internal surveys. When you look at what the core issues are, we have programs in place to address those situations.”

Some of the ongoing fixes include revamped processes in areas of support, a subcategory in which Symantec received scores in the high 40s in quality of field management, marketing support and training, Parrish said.

The company is currently simplifying its licensing programs and changing processes for its customer care and support lines.

Randy Cochran, Symantec vice president of channel sales for the Americas, said that much of the company’s support problems stemmed from issues surrounding product quality, particularly with its SEP series. A faulty product was, in turn, likely to flood the support lines with calls, and generate dissatisfaction and lack of trust. “We’re going to have to show them that the product quality is back,” he said.

Parrish said the company was beginning to rectify some product issues with a “first 24 hours experience” designed to get partner feedback.

Another area Symantec ARC scores fell short was in partnership, particularly in the partner portal, solution provider program and manages channel conflict criteria.

In recent months, software renewal issues elicited a firestorm of criticism from partners who complained that Symantec contacted their customers directly to solicit subscription renewals prior to their expiration.

Cochran said that Symantec has an obligation to keep the customer protected if their subscription should expire. He also maintained that the customer renewals that went through the company were in the minority.

“It only takes a handful of renewals that don’t go through the partners to blow up and seem like the masses,” Cochran said. “If we’ve wronged somebody, [the partners] need to let us know.”

Meanwhile, Cochran said that the company will eventually have a smoother renewal process once it works out some kinks in its system. However, many Symantec partners see change coming about slowly at best.

Jennifer Mazzanti, president of eMazzanti Technologies, based in Hoboken, N.J., said that her company rarely receives personal assistance from Symantec. “It seems like you’re always a small fish in their pond,” Mazzanti said.

Matthew Hymowitz, president of Tucson, Ariz.-based GMP Networks LLC, said that while Symantec has improved in many support issues, it’s gotten worse in managing channel conflict. “They’re moving away from the channel rather than toward the channel,” he said.