In this second article of a two part series, ZS Principal John DeSarbo and Semdrive Executive Vice President of Sales Darren Yetzer discuss how channel partners can better manage their MDF spend and its impact. "How Channel Partners Should Invest MDF To Accelerate Profitable Growth” was originally published by Channel Marketer Report on December 2, 2014.
In our last article, we addressed ways IT manufacturers can make the move to digital marketing through better allocation of market development funds (MDF) to their channel partners. Now, we’d like to articulate strategies channel partners should follow once they have these funds to reach customers and drive profit in the year ahead.
When used properly, MDF can generate growth for both the channel and vendors. In fact, channel partners can witness as much as a 15% to 20% growth increase when they spend MDF properly. Plus, with the use of new tools, partners can achieve more than a 500% ROI on MDF-funded digital marketing activities.
To thrive in a world with fundamental shifts in how technology is researched and purchased, channel partners should take the following steps:
- Assess digital marketing capabilities
- Invest to address gaps and build new digital marketing capabilities
- Leverage analytics to identify opportunities to improve ROI
Read the complete article and learn how digital marketing focus will help channel partners better manage their MDF spend and its impact. In doing so, they will truly provide value, capture prospective customers, increase their current customer base and drive profit.