In the past ten to fifteen years, Cisco has changed its marketing channel strategy majorly. While in the past Cisco was only focused on the volume of their business, they reconfigured their strategy to focus in on the value of business. Previously business was transferred through Cisco’s partners and retailers, who worked with customers to make deals and fill orders. Under their newer value-based strategy, their VARs, or value-added channel resellers, work directly with customers to ensure they are receiving the best value products and latest technologies. These VARs were able to work with large accounts as well as small to mid size accounts by offering specializations and value in niche markets or specific regions. Using this method makes it impossible to structure the strategy based on volume, because it is unfeasible to rate resellers effectively based on volume of sales when the focus is so highly placed on quality and value of the sale. Resellers and channel members were rated based on the value that they brought to the table rather than the volume of sales, making it easier for lower-tiered members to gain high status based on the value that they brought to the table. For example, a member that previously did not generate nearly enough sales to be considered a top-tiered reseller would now be able to achieve a higher status if the value of their service and specializations were up to par. This creates a stronger relationship between the customer and the VAR, thus increasing sales and revenue for both the VAR and Cisco. The channel strategy evolved in such a way as to be able to account for all types of customers at all levels. VARs gained points in their ratings for specializations, that way VARs were concentrated in various areas of the market and Cisco could deal with customers on all levels of the sales market. This change in strategy, in my opinion, has