The first two articles in this series focused on the Challenges of Managing Market Data and Market Data Licensing Recommendations. Now we will focus on market data vendor management. Clients would like to feel that they are more than just a number, while vendors need the attention of the organization in order to deliver on what is being asked of them. The below is what we consider to be best practices for managing your market data vendor relationships.
When working with market data vendors it’s helpful to build a good rapport with your point of contact and have an open line of communication. Get to know each other, including understanding each other’s needs, expectations, the preferred method of communication and best times to meet. Doing so will save you hours of lost time and aggravation. Also, establishing a human connection with your point of contact could be quite valuable if you ever need a quick turnaround or have a special request.
Setting expectations with the vendor and defining your needs are essential to both new vendors and existing relationships. It’s imperative that the vendor is capable of providing the service you have licensed for, but it doesn’t end after the contract is signed. Expectations, both internally and with your market data vendor, should be revisited throughout your relationship. Make sure things are getting done efficiently, with each side following through, and deadlines being met. If the ball is getting dropped somewhere it needs to be identified and addressed to keep things moving.
Utilize your vendors’ experiences with other companies, knowledge of the industry, and input whenever possible. Access to this insight is part of what you are paying the vendor for. They may be able to provide resources that aren’t part of your team, so let them know what you need and see how they can help.
Vendors are managing multiple clients and if you haven’t built rapport with your point of contact, you could miss out on new developments. As vendors evolve and add more services, capabilities, or offerings you want to be aware of what’s available. Let your vendor know that you always want to be included on these types of announcements and remember to foster your rapport so that you’re the first to know.
Work With Them
Provide the vendor with feedback on what’s working and what isn’t and see if they can build supplementary solutions as your business needs grow and change. Work with them to introduce new ideas, strategies, and resources. Doing so will go along to ensuring that the solution that you’ve licensed from the vendor is continually evolving based on your wants and needs.
About S4 Market Data
S4 Market Data is the leading boutique consulting firm for the Financial Information Services Industry in Miami, with a special focus on market data vendor management.