Factors Influencing Channel Member Satisfaction

Increased competition has changed the landscape of doing business. One of the major changes with shrinking of profit has been to replace heavy handed channel control strategies with cooperation strategies. The thought process behind this is that if the channel partners are satisfied they will be able to give the product that last necessary push which distinguishes it from its competitors. It is within this backdrop that the current research was undertaken to study the factors which influence channel member satisfaction. The paper uses correlation and regression analysis to study the CMS across 8 different factors. The results highlighted that the compressing profits in India had influenced the CMS factors as well. Out of the 8 factors only product factor had significant association with channel member satisfaction. The results of the study will help practitioners formulate policies to better motivate their channel members and also turn them into channel partners.