Value-Added Resellers (VARs)

Value-added resellers (VARs) refers to businesses that enhance existing products with additional features or services before reselling them, often within specific industries or to niche markets.

Example: A company that specializes in business communications software partners with a VAR that integrates their software with custom analytics and reporting tools tailored for the hospitality industry. This partnership allows the original software product to meet specific industry needs, making it more attractive to hotels and resorts seeking to improve their guest experience and operational efficiency.

• VARs often develop specialized expertise in the products they enhance, providing added value through deep knowledge and support.
• Through partnerships, VARs can extend the reach of original product manufacturers into markets and sectors they may not directly serve.
• In the context of SaaS and B2B, VARs play a critical role in customizing and integrating cloud-based solutions according to specific client needs, offering a tailored approach not always possible from larger providers.

Understanding value-added resellers (VARs) helps businesses leverage specialized market expertise and customized solutions, enhancing product offerings and expanding market reach through strategic partnerships.