The 2112 Group Releases 2017 Channel Forecast Report

Research finds solution providers are transforming their businesses to meet the evolving technology needs of their customers in the “Interconnected World”


PORT WASHINGTON, NY, February 16, 2016 – New research by The 2112 Group finds the IT channel continues to expand at a faster-than-market rate as partners transform their technology capabilities and business models to meet their customers’ needs in the “Interconnected World.”

According to the 2017 Channel Forecast, most partners posted growth in 2016 that was in line with adjusted midyear expectations. Heading into 2017, channel partners have slightly lower expectations, but remain positive.

While the channel is expecting growth, the 2017 Channel Forecast reveals that partners are responding to shifting market and technology trends. The 2112 Group’s 2017 Channel Forecast found that while many partners are becoming more conservative in their growth expectations, they’re also doubling down on investments in their existing products and services.

This year, two-thirds of partners are expanding sales of existing products and services, which already include numerous next-generation technologies and service capabilities. In other words, they’re transitioning their operations to focus on the necessities of what 2112 calls the “Interconnected World” – the digital fabric connected by cloud computing, mobility, Big Data, the Internet of Things, artificial intelligence, and automation.

In the 2017 Channel Forecast report, details include:

  • Sales and Revenue Growth
  • Acceptable Growth Rates
  • Product Profitability
  • Partner Growth Investments
  • Sales Cycles and Trends
  • Business Models and Value Propositions
  • Value of Channel Program Features

“In the past, channel analysts and prognosticators predicted significant shake-ups in the channel population. For the past four years, 2112 has tracked shifting channel value propositions, and we believe the value of channel partners to vendors and end users will come from their ability to effectuate and perform complex business services and workloads,” said Lawrence M. Walsh, CEO and chief analyst of The 2112 Group. “Partners that can execute against cloud computing and recurring-revenue models, as well as manage workloads and business functions on behalf of customers, will provide the greatest return to both ends of the channel value chain.”

The full report and a complimentary executive summary are available in The 2112 Group Library.