Microsoft MDF for US Partners

Market Development Funds turned into approved proposals, executed campaigns and evidenced pipeline - for US Microsoft Partners.

Microsoft MDF, decoded for US partners.

Market Development Funds (MDF) are the marketing dollars Microsoft makes available to US partners to accelerate GTM around specific solution areas, workloads and FY priorities. Unlike earned co-op, MDF is proposal-based - you pitch a plan, Microsoft approves the spend, and you evidence execution to release the funds.

For a US Microsoft Partner, MDF is typically the single largest lever for funded marketing. It is also the one most consistently left on the table - either because the proposals do not land, or because proof of execution fails after the campaign has run.

How MDF works in the US, in practical terms.

US partners access MDF through their Microsoft Partner Development Manager (PDM) or Channel Marketing Manager, tied to a specific solution area - Data & AI, Modern Work, Security, Infrastructure, Business Applications, or a workload-level focus like Copilot, Azure migration or Dynamics 365.

The strongest MDF proposals are anchored in Microsoft FY priorities, name the customer segment and the workload, quantify the pipeline goal in USD, and specify the campaign vehicle - not a wish list of tactics.

Approved funds must be executed inside a defined window and evidenced with proof of execution (POE): the assets, the audience reached, the leads generated, and the pipeline attributed.

The MDF process we run for US partners

1

Align to a Microsoft FY priority

We start from what Microsoft is funding this fiscal year - not what your team wanted to run anyway. That is the single biggest reason proposals get approved or declined.

2

Build the proposal your PDM can defend

Clear customer segment, workload, pipeline target in USD, campaign vehicle, and a credible measurement plan. Written to be forwarded up the Microsoft chain unchanged.

3

Execute against the approved plan

Campaigns, content, events and demand run to spec, in the approved window, with the trackable UTMs and lead capture MDF reporting requires.

4

Evidence with proof of execution

POE package ready before the deadline: creative, audience data, spend record, lead outputs and pipeline reporting - so the funds actually release.

FAQs

Frequently asked questions

Is MDF the same as co-op funding?

No. Co-op is earned as a percentage of eligible revenue and is broadly discretionary within Microsoft's rules. MDF is proposal-based, tied to a specific approved campaign, and released only against evidenced proof of execution.

How much MDF can a US partner get?

It varies by solution area, partner tier and Microsoft FY priorities. Amounts are set by your PDM against the specific proposal - there is no fixed allocation you can look up.

What kills an MDF proposal in the US?

Misalignment with Microsoft FY priorities, vague customer targeting, no pipeline number in USD, and a measurement plan that Microsoft cannot report on internally. Those four fix most declines.

What happens if we cannot evidence execution?

The funds do not release, and it damages the relationship for future proposals. Building the POE plan into the proposal - not after the campaign - is how you avoid it.