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How to Create Incentives for Partners to Use MDF 

Market Development Funds (MDF) are a valuable tool in channel marketing, enabling partners to grow their business while promoting your brand. But here’s the catch: they’re only effective if your partners actually use them. Many businesses struggle with MDF underutilisation, often because partners don’t see the value or find the process too cumbersome. 

At CI Group, we’ve worked with many businesses to design MDF programmes that partners are eager to engage with. Here are some practical strategies to incentivise your partners and ensure your MDF programme delivers results. 

 

Make It Worth Their While 

Partners are busy. To capture their attention, MDF needs to feel like a worthwhile investment of their time and effort. Start by communicating the benefits clearly. 

• Highlight the potential ROI: Show how MDF can generate leads, boost sales, or increase their market visibility. Use data, case studies, or real examples from other partners to illustrate the impact. 

• Personalise the pitch: Tailor your messaging to the partner’s business. For example, explain how MDF could help them enter a new market or expand their customer base. 

When partners see how MDF directly benefits them, they’re much more likely to take advantage of it. 

 

Simplify the Process 

A complex or confusing MDF programme is a major turn-off. Make it easy for partners to understand and access the funds. 

• Clear guidelines: Provide a concise overview of what MDF covers, how to apply, and the approval process. 

• Quick approvals: Streamline your process to reduce delays and administrative headaches. 

• Dedicated support: Assign a team or individual to help partners navigate the system and answer questions. 

Simplifying the process lowers the barrier to entry, making partners more inclined to participate. 

 

Provide Pre-Approved Campaign Ideas 

Not every partner has the resources or expertise to design campaigns from scratch. Offering pre-approved options can help them get started with confidence. 

• Templates and toolkits: Provide ready-made campaign templates or co-branded materials that partners can customise. 

• Funded activities: Suggest specific initiatives like social media ads, email campaigns, or in-store promotions that align with your brand’s goals. 

Taking the guesswork out of the process makes MDF feel more accessible and less daunting. 

 

Create Rewards for Engagement

Incentives can motivate partners to engage with your MDF programme and use it effectively. 

• Performance bonuses: Offer additional funding or rewards for achieving specific results, like increased sales or successful campaign execution. 

• Recognition: Celebrate partners who excel with MDF by highlighting their successes in newsletters, events, or social media. 

• Tiered benefits: Provide higher funding levels or exclusive perks to partners who consistently utilise MDF. 

These rewards not only encourage participation but also strengthen your relationship with partners. 

 

Align MDF with Joint Goals 

MDF works best when it feels like a collaborative effort. Work with your partners to align the funds with shared objectives. 

• Co-create campaigns: Involve partners in designing campaigns that benefit both parties. 

• Tailored training: Use MDF to fund training sessions that equip partners to market and sell your products effectively. 

When MDF supports mutual success, partners are more likely to invest their time and energy into it. 

 

By making MDF accessible, rewarding, and aligned with your partners’ goals, you can transform it from an underused resource into a driving force for growth. At CI Group, we’re here to help you create an MDF programme that works for you and your partners. Let’s talk.