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How Okta partners with NextGen to enable Australian cybersecurity partners

Thu, 17th Oct 2024

Identity and access management vendor, Okta, is deepening its partnership with Australian distributor NextGen.

The aim being to extend its regional reach and strengthen its partner network. With the rise in demand for cybersecurity solutions, both companies are leveraging their collaboration to provide more comprehensive offerings and support for businesses. The partnership hinges on NextGen's unique channel services approach, enabling Okta to optimise its local operations.  

"Distribution can serve a variety of things, even in a SaaS world," said Ajay Advani, Okta's Vice President of Channel and Strategic Alliances. "Through NextGen, we're able to scale into markets like New Zealand or regions in Australia, where we don't have local engineers or direct connections with partners."  

Adding value

Okta and NextGen emphasise that their collaboration goes beyond traditional distribution, focusing on what they describe as "value-added services." For Okta, NextGen's value lies in recruitment, enablement, and demand generation. By leveraging NextGen's established dealer network, Okta can access and empower secondary partners, helping them evolve into top-tier providers.

NextGen's innovative "Game, Set, and Match" programme is a notable example. "It's entirely driven by NextGen," Advani explained. "Game refers to onboarding new partners, set is about enabling them through training and certifications, and match focuses on closing deals and generating revenue." High-performing partners are rewarded with opportunities, such as attending the Australian Open, further motivating engagement.

John Walters, CEO of NextGen, described its nontraditional role. "We've moved beyond just moving software licenses; logistics and offering credit to partners," he said. "Without us, many small partners wouldn't have the resources to manage customer accounts post-transaction. We step in to ensure customer success and satisfaction rates remain high."

The cyber lab

A central component of NextGen's strategy is its Cyber Lab, a virtual AWS environment designed to showcase cybersecurity technologies from multiple vendors, including Okta. Walters noted that the lab has become a key differentiator for NextGen in the region.

"We set up the Cyber Lab about four or five years ago, staffed by ex-military engineers," Walters said. "It allows us to integrate and demonstrate the value of several solutions working together, like Okta, CrowdStrike, and Netskope."  

Walters recalled a recent case where the lab played a crucial role. "A government department was evaluating several independent cybersecurity solutions, but the complexity was overwhelming. In our lab, we demonstrated how these technologies could work together. Within two weeks, we had a deal."  

Local needs

Both executives acknowledged the distinct challenges posed by the Australian market, where businesses often require high-touch services due to limited local expertise. This environment makes distributors like NextGen indispensable.  

"In Australia, the role of the distributor is much larger compared to other markets," Advani explained. "Even though Okta has been present in Australia for over a decade, we still see immense value in working with NextGen. Their ability to hire top talent and understand local needs is unmatched."  

Walters added that NextGen's approach transcends traditional distribution. "We've built a digital marketing agency, a consulting business, and even cloud economics services to meet the evolving needs of our vendors and partners," he said. "This is especially important with the rise of SaaS and cloud products."  

Advani also stressed that consistency is key in partner relationships. "If we only partner when it's convenient, our network won't invest in us. It's essential that we remain predictable and reliable, ensuring partners know they can count on us."  

A changing landscape

Both Okta and NextGen are adapting to shifts in the partner ecosystem, driven by trends like global system integrators (GSIs) changing their business models. Walters pointed out that GSIs such as Accenture and Deloitte are increasingly acquiring smaller partners to build specialised practices, including in cloud services.  

"We've seen a significant shift over the past decade," Walters said. "GSIs are moving beyond transformation projects and into resale opportunities. They now want a piece of the annuity stream from SaaS products."  

Advani noted that while large partners handle complex, multi-vendor projects, smaller boutique resellers still play a critical role, particularly in servicing small and mid-sized businesses. "There's room for everyone," he said. "We haven't had a single partner say they can't find a niche or aren't able to make money working with us."  

The partnership also supports non-traditional partners, including consulting firms and developers. Walters highlighted the importance of enabling partners with specific expertise. "We're seeing former government employees in Canberra setting up their own businesses and securing multi-million-dollar contracts. These new partners have both the technical skills and trust of their clients."  

A Collaborative Future  

Looking ahead, both Okta and NextGen see continued growth and innovation through their partnership. The companies are focused on enhancing partner training and certification, ensuring that partners remain well-equipped to deliver Okta's solutions.

"We take responsibility for training our partners, whether through digital platforms or in-person sessions," Advani said. "As partners progress through our tiered program, they unlock better discounts and receive more sales leads. Ultimately, the customer chooses the best partner, and we ensure those partners are ready to deliver."  

Walters emphasised the importance of collaboration in the evolving cybersecurity landscape. "We've put significant effort into building our AWS practice and integrating technologies across vendors. This is the future of distribution—providing not just products but multi-facited solutions."  

"Our partnership with NextGen is not just about transactions," Advani said. "It's about creating long-term value for customers and partners alike."

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