Dynatrace execs explain how they are benefitting from partners using the marketplace
Jay Snyder and Andrew Foot discuss how the vendor and partners are both profiting off marketplaces.
Observability platform Dynatrace is seeing an uptick in its partners using marketplace to transact, which they see as a positive thing.
Jay Snyder, SVP of partner and alliances, Dynatrace told CRN Australia he has seen its ANZ partners move from managed online and offline software to transacting via the marketplace.
Snyder told CRN Australia, “People are realising that there's a real power in trusting in these partners. But there's a bigger power in the power of three play.”
“It's probably the first time in my career that I've seen a true win, win, win, win. We win, the other partner wins, the hyperscaler wins and the customer wins.
“Everybody's getting what they want out of the arrangement. It's unreal, but it's working incredibly well.”
As the company has now close to 90 percent of transactions through the channel, they are now focusing on other avenues, like co-sell and marketplace.
"We've really evolved our co-sell business to drive that marketplace traction and that momentum, and our goal is a year from now to have about 75 percent of our business be co-sell, and a good portion of that be through the marketplace,” Snyder said.
“I know Andrew [Foot] is leading from the front and has higher expectations for his team in ANZ, but at a global level, that's what we're doing.
“We're really excited that we've also beyond crossing the 90 percent mark with our overall business, we're over the 50 percent mark in co-selling with the hyperscalers and that's the big three. [The marketplace] is what we are predominantly focused on.”
Partner feedback
Earlier this year, Snyder spent two months travelling across the globe, speaking to partners and attending their executive partner advisory board.
Throughout that trip, he received real-time feedback from partners and the number one ask from partners was for more enablement and co-delivery models.
“They want to be trained in more detail on how to deliver Dynatrace at scale,” he explained.
“They'd like to be receiving – which we're going to make the change next year – our sales enablement at the same level with our sellers. Just like our sellers do, and we'll make that change next year and give them access and opportunity to be trained, not just with the content, but with the teams.
“It will naturally be an extension of our teams, which is really exciting as well.”
Partners were also asking for a reinvestment into partnerships, Snyder noted. Dynatrace has a margin-based partner program, not contract-based like other vendors.
"For the ability for us to reinvest, we have to be smart in how we go do that,” he explained.
“We've done a lot of what I'll call ‘strategic framework deals’ with key partners, where we build incentives, programs and criteria by how we can go invest for future growth.
“We're looking to do more of those, and more partners are very interested in doing those with us, which is exciting to hear.”
Another piece of feedback the observability platform has received is around democratising its tools and assets. Snyder noted that partners want access to information like his internal teams have.
“A good example of that would be they want to be involved in the lifecycle of the customer, not just the transaction,” he explained.
“To be effectively doing that, they need to have the same data our teams do around consumption, as a simple example.
“Today that information is not easily exposed to our partners, but we're working tomorrow to make sure that it is so they can be involved, not just at time of transaction, but forever."
Snyder said Dynatrace is making sure that they are managing the ongoing relationships, enhancing the value of the platform.
“Doing things like tying us into an autonomous IT operational environment by connecting us to ServiceNow,” he said.
“Things like that can happen much easier, the more access we give them to the information that we have.”
Focus for Australia
For Dynatrace next year, the company has several goals for Australia and New Zealand. According to Andrew Foot, regional VP of sales ANZ, Dynatrace they want to make the region more of a community.
"I think that differentiates us because what we've now got in market is our customers are networking with other customers and potential new customers,” he said.
“They're helping each other out, they're challenging each other, and they're traveling interstate to visit each other.”
Foot noted that the vendor’s partner ecosystem is playing a “really important role in fostering that”.
“We've got a Canberra-based partner next week traveling with a Canberra customer to Queensland to meet a customer from a completely different industry, and they're leveraging learnings. I think that's unique in Australia,” he said.
For 2026, Foot said Dynatrace is focused on driving “significant growth” and “onboarding new logos”. They want to engage three types of new customers for next year.
"One is targeting traditional all ASX 200 new logos. Second, large public sector entities that we might not be engaged with today, and third part of that is the cloud natives.
“They're born after 2015 style companies. We're working closely with our partners on that,” he explained.
Foot added that the new logos are the big focus for 2026, “that'll make a significant difference to the local business.”
Dynatrace also wants to improve their log management for partners.
"We’ve got a very modern approach and a compelling business case approach to log management,” he said.
“We've seen a significant opportunity to drive simplification across the Australian, New Zealand market, and that represents a significant opportunity for our partners to help not only drive that, but drive the migration of logs into observability.
“When you think about it, when you bring together all data, when you bring together metrics, traces, logs, real user data, behavioural analytics, you store it in context to make better decisions.”
Lastly, Foot wants continue to accelerate Dynatrace’s partnerships.
“Less is more, but we see significant opportunity to accelerate those partnerships in market. If we do all of those three things. Well, in 2026 we'll have another great year,” he ended.