The goal of market development funds (MDF) is to boost lead generation, enhance sales pipeline and ultimately drive revenue for channel partners. But how effective are you in utilizing these funds to truly drive your business and that of your partner manufacturer or brand?
Let’s face it, there is really no such thing as free money. Managing and executing on MDF is challenging, as you try to manage the sales cycle, cost per sale, and the marketing programs that drive funnel acceleration to qualified opportunities.
Whether you’re selling telecommunications, internet, or software products, you want to sell as much as you can as quickly as you can – and, ideally, win repeat clients who come back again and again. And it’s all up to the channel partner to execute upon and harness those MDF dollars.
Partners like Televerde, with global resources and end-to-end sales and marketing solutions, can help channel partners leverage market development funds to achieve goals, including growing pipeline, filling gaps and tackling challenges in the sales funnel, and boosting revenues.
Why Channel Partners Can’t Afford to Ignore the True Opportunities in MDF (When Executed Upon Correctly)
MDF can highly benefit both channel partners and vendor partners, if there is a true and trusted partnership that delivers channel loyalty, as well as sales enablement and maximum ROI on MDF investments. Sounds like nirvana? Maybe. But it is also achievable.
Take a significant national vendor partner like CA Technologies (a Broadcom company), for example. CA Technologies’ channel partners like Wipro or Deloitte sell products and services on CA’s behalf in select markets. They are given MDF specifically for marketing CA’s products. In almost a 2-year period, Televerde delivered these impressive results to CA:
- 41% Conversion rate from inbound (web) form inquiry to Marketing Qualified Leads (MQL) – ready for the channel and vendor to begin providing products or services quickly, becoming revenue generating upon execution.
- 76% MQL acceptance rate from the channel, Sales Accepted Lead (SAL).
- 6% Conversion from SAL to Pipeline Opportunity, delivering $13M in total pipeline.
- 7x ROI on closed revenue during the 2-year period.
And these results are typical, AND visible to Televerde clients. Channel partners executing on the sales cycle on their own, often lack the visibility, and accountability, into results and ROI. Televerde clients have clear sight into programs, lead statuses, and opportunities – and the cherry on top… the ROI that comes with them.
Both sides benefit. The channel partner doesn’t have to stress about lack of visibility into results or budgetary oversight. Meanwhile, the vendor partner gains access to targeted customer relationships that generate better leads and customer loyalty.
Here are some additional reasons channel partners should tap into the power of using MDF in a more strategic, data-driven way:
1. Maximize Return on Investment
One common mistake channel partners make is treating MDF as a sales support function. By failing to harness this money for dedicated marketing programs that drive sales pipeline, they limit ROI potential.
By strategically applying these funds to sophisticated marketing programs in an organized, consistent manner, channel partners can grow pipeline and maximize ROI.
2. Avoid Wasted Marketing Dollars
There’s nothing more frustrating than unspent marketing dollars, especially when it comes to MDF.
Certain pockets of MDF may not be paid out at all, often because channel partners don’t have the time, resources, or knowledge to implement them effectively.
Successful MDF management requires walking a fine line in which channel partners are held accountable for marketing spend while proving their strategy is as successful as it should be.
3. Secure Future Access to MDF with Demonstrated Success
Vendors are diligent about MDF funds. They expect that results, at every stage of the funnel, as well as ROI, are measured with rigor. Of course. They don’t want their funding to go to waste.
Because marketing has become more scientific, using technologies, integrated platforms and even intent data – the complexity continues to get greater.
And results certainly inform future decisions regarding MDF, including how much investment vendors are willing to make on partners and programs.
An MDF Accountability Made Easy for Channel Partners
As a trusted partner, Televerde’s programs can help channel partners leverage MDF dollars for maximum impact. Televerde is a global sales and marketing service provider dedicated to helping partners grow their pipeline, increase revenue, and build the trust necessary for a truly strong, and long, vendor/channel partnership.
Leverage a sales and marketing solutions company that has experience in:
- Sales outreach
- Customer advocacy
- Lead generation
- Pipeline growth
- Demand cultivation
Key drivers to channel partner success through a sales and marketing partnership:
- Focused relationship building: Fostering positive relationships with target prospects with a robust personalization strategy and lead nurturing process to improve conversion rates.
- Tailormade connection: By getting to know target prospects, a solutions partner can take a personalized approach and quickly transform prospects into customers.
- Increased efficiency: Manually handling MDF claims takes time and effort. Utilizing a partner with tools and knowledge will streamline MDF usage and execution, saving hours and dollars while ensuring results.
Finally, choose a partner with a proven track record of success. In the past three years alone, Televerde delivered over 137,000 marketing qualified leads through more than 2,200 campaigns.
As a global sales and marketing services company, Televerde is dedicated to helping channel partners maximize return on investment. In addition to hands-on services, Televerde partners get a suite of resources and tools to support overall business success.
Trust in a vendor with extensive channel partner experience to help you make the most of your market development fund dollars.