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Direct vs. Indirect Sales: Best Model for B2B Growth

  • Writer: Elena from PARTNER2B
    Elena from PARTNER2B
  • May 13
  • 5 min read

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Introduction


In today’s competitive B2B market, how you go to market is just as important as what you sell. One of the most consequential decisions B2B leaders face is whether to scale through a direct sales force, invest in indirect channel partners, or build a hybrid GTM motion.


With buyers demanding more value-aligned experiences and cost pressures rising, the efficiency and scalability of your sales model have become strategic imperatives, not just operational concerns.


Understanding Direct Sales


What Is Direct Sales?


Direct sales refers to a model where companies engage directly with the end customer. The organization handles the full customer lifecycle, from lead generation to closing the deal, using its own sales resources. This gives companies full ownership of branding, pricing, customer messaging, and service delivery.


Pros of Direct Sales


  • Control: Companies manage the entire sales process and customer experience without intermediaries.

  • Profit Margins: No need to share revenue with partners, which can lead to higher margins when executed efficiently.

  • Customer Feedback: Sales teams gain direct insights from prospects and customers, fueling faster product iteration.


Cons of Direct Sales


  • Costly to Scale: Building and managing a full sales team requires significant financial and human capital investment.

  • Slower Market Entry: Penetrating new regions or industries without established local connections can be slow.

  • Limited Reach: Organizations are limited by the reach and capacity of their internal teams.


Exploring Indirect Sales Channels


What Is Indirect Sales?


In an indirect sales model, third-party partners such as resellers, systems integrators, managed service providers, or referral agents (commonly called "channel partners") are responsible for selling a company's offerings. These partners leverage their own relationships, networks, and infrastructure to extend the vendor’s reach.


Pros of Indirect Sales


  • Faster Expansion: Partners often bring established relationships in local or niche markets.

  • Lower Fixed Costs: Instead of hiring a full internal team, the company shares revenue with external partners.

  • Scalability: The model is easier to replicate across geographies and verticals with the right partners in place.


Cons of Indirect Sales


  • Less Control: Sales processes, customer messaging, and brand representation are handled externally.

  • Revenue Sharing: Partners take a portion of the profits, which can reduce margin if not managed strategically.

  • Partner Management: Requires resources to recruit, onboard, enable, and incentivize the right partners.






Why Indirect Sales Is on the Rise


The shift toward ecosystem-led growth is not just theoretical, it's backed by clear performance data.


Chart showing B2B sales trends in 2024: -18% win rates, +16% sales cycles, -21% deal values (Ebsta & Pavilion report)
B2B sales benchmarks for 2024: win rates down 18%, deal values down 21%, while sales cycles increased by 16%.

  • The EBSTA 2024 GTM Benchmark Report found that:

    • Partner-sourced revenue has a 35% higher win rate

    • And a 25% lower customer acquisition cost (CAC) compared to direct sales motions


These metrics validate what many forward-looking B2B leaders already know: partnerships are not just support functions. They are strategic revenue channels.


As buyer behaviors shift toward trust-based influence and solution bundling, indirect sales become not just efficient but essential.


Elena Zapolyanskaya, PARTNER2B’s CEO insight:


"We’ve seen B2B organizations double their sales efficiency by aligning with the right partners, those who share their ICP, GTM rhythm, and value narrative. That’s what our AI Partner Fit Score™ delivers."

Comparative Analysis: Direct vs. Indirect Sales


Category

Direct Sales

Indirect Sales

Control

High, with full ownership of sales process

Moderate, requires strong partner oversight

Market Reach

Limited to internal capacity

Broader, via partner networks

Customer Access

Direct insight into needs and behavior

Dependent on partner feedback

Cost to Scale

High fixed costs

Lower, mostly variable based on partner success

Speed to Market

Slower, internal expansion required

Faster through established partner networks

Brand Consistency

Fully managed in-house

Requires enablement and partner training


Use Cases: When Each Model Works Best


Choose Direct Sales When:


  • You have a complex, high-touch offering that requires consultative selling

  • The market is still being defined, and you need feedback loops to iterate fast

  • You serve enterprise customers with compliance or security requirements

  • You require full visibility into customer data and sales performance


Choose Indirect Sales When:


  • You want to expand into new markets or verticals without building local teams

  • Your product is mature, easy to sell, and already proven in the market

  • You benefit from bundling your solution with a partner’s offering

  • Speed and cost-efficiency are more important than owning the customer experience



Real-World Examples: Direct and Indirect in Practice



Direct Sales Example: Salesforce


Salesforce uses a highly coordinated direct sales model for enterprise and strategic accounts. Its teams are structured around industries and account size, with full ownership of customer relationships. This gives Salesforce strong control over the buyer journey, contract terms, and renewals.


That said, Salesforce also uses ISVs and consulting partners to expand reach and implementation success, showing how direct models can coexist with indirect support.


Indirect Sales Example: Cisco


Cisco’s revenue model is built on a powerful indirect channel. The company enables partners with training, marketing, and co-selling tools while incentivizing them through tiered rewards. This has allowed Cisco to scale into new markets and maintain global coverage without proportional internal hiring.






Why the Future is Hybrid


Leading companies are combining the best of both models into hybrid go-to-market strategies.


This allows them to maintain ownership of key accounts while scaling reach and efficiency through partners.

In a hybrid model:


  • Direct sales teams focus on enterprise or high-potential accounts

  • Indirect partners cover mid-market, SMB, or regional territories

  • Referral partners and influencers expand top-of-funnel reach

  • Strategic alliances create new joint offerings and integrated solutions


This approach aligns with how modern buyers purchase through a mix of direct education, third-party validation, and trusted advisor input.


PARTNER2B and Ecosystem Optimization


Whether you choose a direct, indirect, or hybrid sales model, the success of your GTM strategy depends on how well aligned your sales motions are with your customers' journey. That’s where PARTNER2B comes in.


With the AI Partner Fit Scoreâ„¢, PARTNER2B helps companies:


  • Identify and prioritize partners based on strategic fit and past performance

  • Score potential alliances for ICP overlap, GTM timing, and joint opportunity potential

  • Accelerate onboarding and enablement with data-driven recommendations


The result is not just more partners, but better partnerships, those that actively influence deals, increase efficiency, and expand total addressable market.


Final Thoughts: Your Sales Model is a Strategic Asset


Your sales model is not just a way to close deals. It is a reflection of how you meet customer needs, allocate resources, and align with the market. Choosing the right model should be an intentional decision grounded in data, not legacy structure.


  • Direct sales offers control, deep engagement, and clarity.

  • Indirect sales provides scale, reach, and cost efficiency.

  • Hybrid models deliver resilience and flexibility when orchestrated strategically.


Whichever model you choose, remember that partnerships are not shortcuts. They are multipliers. With the right tools, like PARTNER2B’s AI Partner Fit Score™, you can turn your ecosystem into a revenue engine.


Happy partnering!








 
 
 
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