Measuring the return on investment for channel programs can be tough. There are a lot of moving parts and elements working behind the scenes to make programs successful, and ROI doesn’t always take a complete picture of performance. To really know how your investments are playing out for your business, it takes stronger, more dynamic metrics.
Find out how taking a nuanced approach to measuring program success can maximize your use of these metrics.
Read our previous article, “The ROI Myth” here.
So, are your channels driving successful outcomes? Let’s look at the data you can collect to find out, starting with specific metrics for assessing program health and your partners’ overall performance.
Dual Measurement Considerations
Your partners impact the trajectory of your program but the conditions in your program can also impact the trajectory of your partnerships. Since the two go hand in hand to define channel success, you’ll need to measure both.
Consider these two key measurement areas to ensure your channel incentive program is firing on all cylinders:
Program Health Metrics
These metrics focus on how well the program is functioning – whether it is designed properly, communicating effectively and motivating partners to participate.
Partner Performance Metrics
These metrics zoom into the actual behaviors of your channel partners and assess whether the program is driving the desired actions from them.
Measuring both aspects provides a holistic view: is the program working as intended (engagement), and is it achieving the desired business outcomes (performance)?
Program Health Metrics
When you’re under the weather, you probably have more than one symptom, right? The same is true of channel programs. Healthy performance isn’t defined by one factor alone, and you’ll need to look at several aspects of your program to know what’s working and what’s not.
With a range of metrics, you can gain a bird’s eye view of performance and have the needed range to hover over key activities, spot patterns, and pivot toward more effective solutions.
| Program Health Metrics |
| MEASURE | DEFINITION | SIGNIFICANCE |
| Enrollment Rate | % of eligible partners who have signed up for the program. | A high rate indicates a well-designed and communicated program. |
| Retention | % of participants who were enrolled/active at the beginning of a period and remained enrolled/active at the end of the period. | % of participants who were enrolled/active at the beginning of a period and remained enrolled/active at the end of the period. |
| % Active participants | % of participants who are actively participating in the program (e.g., portal activity, claims, learning, promotion opt-in, point redemptions, etc.). | One of several proxies for measuring program engagement. |
| Participation in Co-marketing Programs | # or % of partners who utilize your marketing development funds. | Reflects the level of partner engagement and willingness to collaborate on marketing initiatives, indicating the perceived value of the program and brand. |
| Net Tier Migration/ Year | % of participants in programs with status levels who move tiers within a program period (typically one year). | Suggests positive program growth and active partner engagement. Note: numbers that are too high could mean it’s too easy to advance. |
| Claims/Participant | Total number of claims or the total value of claims by a participant; claims can further be categorized by product/segment, participant level, earning value, division and region. | Strong measure of engagement and earnings; can also be useful as a leaderboard across participants. |
| # of Enrolled Dealers And # of Enrolled Participants / Dealer | Total number of dealers/distributors enrolled in the program. Total number of participants enrolled in the program within each dealer. | Measures interest in the program and appreciation or acceptance of the program’s value proposition. Can be useful as a leaderboard across dealers. |
| % Active Dealers And % Active Participants/ Dealer | % of the dealer population in which reps are actively participating in the program. % of participants at a specific dealer who are active in the program. | Proxy for measuring program engagement. |
| Claims/Dealers | Total numbers of claims or the total value of claims by a dealer; claims can further be categorized by product/segment, dealer level, earning value, division and region. | Strong measure of program engagement and earnings; can be useful as a leaderboard across dealers. |
| Partner Satisfaction Surveys | A strong measure of program engagement and earnings; can be useful as a leaderboard across dealers. | % of participants who were enrolled/active at the beginning of a period and remained enrolled/active at the end of the period. |
Partner Performance Metrics
Measuring sales is a given, but what else should we look at? Channel programs thrive when they acknowledge other actions and outcomes that are just as valuable as closing deals.
For example, think of the brand awareness that comes from partners continuously promoting your products in the market – even when it doesn’t result in a sale every time. Consider what receiving feedback from partners tells you, not just about your program but also about their current levels of engagement. Or how incremental steps throughout the partner journey – from onboarding to training to investing in products – can build momentum toward profitable outcomes.
There’s an entire spectrum of partner behaviors that drive program growth and profit your business – and they’re all worth tracking. Plus, it’s easier to recognize both intangible and tangible outcomes when broken down into measurable behaviors. Use these metrics to help quantify impactful partner activities for your program:
| Partner Performance Metrics |
| MEASURE | DEFINITION | SIGNIFICANCE |
| Transactional | Actions that directly drive revenue and customer acquisition, focused on sales (e.g., number of deals closed, revenue generated). | Indicates the program’s effectiveness in driving sales and acquiring new customers through partner efforts. |
| Marketing & Brand-Promoting | Activities that create awareness, generate leads and build brand loyalty (e.g., MDF usage, social media engagement). | Demonstrates the partners’ role in increasing brand visibility and generating potential leads. Shows partner investment. |
| Program Engagement | Participation in programs, initiatives, and interacting with the brand e.g., event attendance, portal logins, program opt-ins). | Shows the level of partner engagement and commitment to the program, reflecting their interest and active involvement. |
| Learning | Development of knowledge and skills to improve capabilities (e.g., completion of training modules, certifications earned). | Enhances partners’ capabilities, making them more effective in their roles and better equipped to drive business results. Shows partner investment. |
| Customer-Centric | Behaviors that prioritize customer satisfaction and build strong relationships (e.g., customer feedback scores) | Highlights the importance of customer satisfaction, strong partner-customer relationships, and client focus beyond the sale. |
| Operational | Actions that improve efficiency, accuracy, and internal processes, e.g., timely reporting) | Ensures smooth program operations, reducing friction and enhancing overall efficiency. |
Taking Control of Channel Program Performance
Channel programs are multi-faceted, and there’s not just one golden metric that can reveal all signs of success. To answer questions about your program’s effectiveness, you’ll need to pay attention to multiple KPIs that reveal positive momentum for your business beyond just tangible outcomes.
Many program managers find it helpful to collaborate with third-party experts who take a nuanced approach to data analysis. When you team up with Maritz, for instance, you gain wisdom in all aspects of performance, including your program’s strengths, partner trends and opportunities for improvement.
Regardless of how you define success and how you go about tracking it, giving these metrics attention will offer a lot of clarity about your program’s impact. Measure what matters, and you’ll be a step closer to maximizing the value of your investments.
Want more from your metrics? From balancing your budget with the right solutions to identifying must-watch metrics to optimize your program, we bring clarity to channel performance and help you drive repeatable results. Contact us to learn more.