Microsoft MDF, decoded for partners.
Market Development Funds (MDF) are the marketing dollars Microsoft makes available to 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 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 practical terms.
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 your local currency, 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 partners
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.
Build the proposal your PDM can defend
Clear customer segment, workload, pipeline target, campaign vehicle, and a credible measurement plan. Written to be forwarded up the Microsoft chain unchanged.
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.
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.