Maximize Market Development Funds For Your Channel Partners

Posted by James Lawson on Oct 7, 2022 12:06:02 PM

Maximize Market Development Funds For Your Channel PartnersMarket development funds are a vital tool used by vendors to enhance the marketing efforts of their channel partners. These funds can be beneficial in meeting sales objectives. However, in many cases, these funds are misused or remain unclaimed. Here we’ve identified 8 ways to ensure your MDFs benefit your partners and provide you with real and continued ROI.

MDFs Instead Of Co-op Funds

Distributing MDFs instead of co-op funds is a much better option, as partners will have time to strategize before launching their marketing initiatives. This is favored over co-op funds as they show a higher ROI and are not just a refund on previous marketing efforts where the vendor may not have had any influence or input.

Simple Application

It is important to simplify the application process and make funds readily available so that partners are not discouraged from applying for them. Often partners leave potential funds on the table due to long, drawn-out application processes that interfere with their daily operations.

New Initiatives

Ensure your appropriated funds are used in addition to current marketing efforts, not to subsidize or discount programs already being implemented. MDF funds are meant to enhance marketing programs, not cut the cost of existing initiatives. Detailed analytics and tracking will be needed to ensure the proper use of funds.

Establish KPIs

Establish key metrics for analyzing ROI on marketing efforts and adjust future available funds accordingly. Ensuring your partners are using MDFs appropriately and effectively is a top priority, and detailed tracking will allow you to identify ineffective practices and those that work well.

Trade Shows

Designating separate funds for trade shows and conferences will give you a better sense of the success of individual marketing efforts. Trade shows can be effective marketing ventures if they are well planned and your time is used efficiently, but ROI can be tough to measure. As such, these funds should be accounted for separately from your traditional MDFs.

Agency Referrals

As a vendor, you have a great deal of experience marketing and selling your product lines. This makes it an excellent idea for vendors to refer partners to specific agencies for marketing services and tools. Having a reputable marketing company to help organize and implement campaigns will help smaller companies that lack the resources to perform these strategies independently.

Packaged Strategy

Pre-packaged marketing strategies give partners a clear roadmap to success and give vendors greater control over how MDFs are spent. Additionally, offering rewards to partners for completing all tasks associated with a packaged campaign provides an incentive for them to follow through with the initiatives set before them.

Inbound Marketing

Inbound marketing is an effective way of building a long-term pipeline for your channel partners. Leveraging blogging, premium content development, email marketing, and social media marketing techniques can significantly enhance your partner’s visibility and provide consistent, trackable ROI for years to come.

Download our guide for additional tips to grow your partner channel!

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