IT vendor marketing funds are a major source of income for the channel, intended to assist or enable channel partners carry out marketing activities that will increase sales of a vendor’s products or services.

In the UK, the total amount of vendor marketing funds available each year to the channel is believed to be worth several billions. But as product margins have plummeted over the years, there have been major changes to the vendor marketing funds that have traditionally been available to the channel.

The amount of funding available has decreased significantly and vendors are exerting much more control over how monies are spent. Their channel partners are struggling with multiple approaches and processes for claiming marketing funds and the level of measurement and reporting required from them is challenging and time-consuming.
However, there is a desire on both sides to make improvements to the current situation.

This white paper looks at the changes that have taken place in recent years to vendor marketing funds, discusses the impact this has had on the IT channel and vendors, and suggests ways in which both parties can obtain greater benefit from vendor funding programs.