Strategic partnerships — whether with vendors, local businesses, or other MSPs — are critical for growth. However, their success depends on measurable outcomes. This guide explains how to evaluate partnership ROI using key metrics like lead generation, client acquisition, cost savings, and revenue growth. Following this can help ensure that every collaboration delivers value to your business.
Steps to Measuring the ROI of Strategic Partnerships
1. Define Clear Partnership Goals
Establish measurable and specific goals for each partnership so you can track success effectively. Partnerships without defined goals are difficult to measure and may drain resources without delivering ROI.
Actionable Tips
- Clarify the primary purpose of the partnership, such as generating leads, expanding services, or reducing operational costs.
- Examples of partnership goals include:
- Increasing qualified leads by 20% through vendor co-marketing efforts.
- Acquiring 10 new clients through referral agreements with local businesses.
- Reducing tool costs by 15% through a vendor partnership.
Next Step
- Create specific, measurable goals before entering into any new partnership. Use the SMART (specific, measurable, achievable, relevant, time-bound) framework to keep goals actionable.
2. Track Lead Generation and Client Acquisition
Evaluate how many new leads and clients a partnership generates, particularly through joint marketing campaigns or referral programs. Partnerships that generate leads and new clients directly benefit top-line revenue growth.
Actionable Tips
- Measure the number of leads generated from co-branded webinars, events, or campaigns.
- Track referral sources to determine which partnerships bring in the most high-value leads.
- Measure client acquisition rates by determining how many leads from partnerships convert into paying clients.
Next Steps
- Use your CRM to tag and monitor leads originating from strategic partnerships.
- Compare the cost of acquiring leads from partnerships versus other marketing efforts to identify the most efficient channels.
3. Measure Revenue Growth Directly Attributable to Partnerships
Partnerships should drive revenue growth through new sales, upsells, or expanded services. Revenue attribution ensures you can identify partnerships that have the highest financial impact.
Actionable Tips
- Track incremental revenue generated by services or solutions delivered through a partnership, like vendor-backed cybersecurity tools.
- Measure revenue growth from bundled services created in collaboration with other MSPs.
- Attribute revenue to specific partnerships by analyzing deals closed through referrals or joint opportunities.
Next Steps
- Monitor partnership-related revenue on a monthly or quarterly basis to assess trends.
- Analyze lifetime value (LTV) of clients acquired through partnerships versus other channels.
4. Calculate Cost Savings or Efficiency Gains
Some partnerships reduce operational costs or streamline your services, which also delivers measurable ROI. Partnerships that reduce costs or improve efficiency contribute directly to your bottom line.
Actionable Tips
- Measure cost savings from vendor discounts, such as reduced software licensing fees or bulk hardware purchases.
- Assess efficiency gains from partnerships, such as reduced labor hours by outsourcing specific tasks to another MSP.
- Track how partnerships improve resource allocation, like using a vendor’s tools to automate tasks or enhance workflows.
Next Step
- Calculate the percentage of cost savings achieved through each partnership. Compare it to baseline operational costs to determine impact.
5. Evaluate the Impact on Customer Retention and Satisfaction
Strategic partnerships can enhance the quality of services you offer, resulting in happier clients and improved retention rates. Retaining existing clients is often more cost-effective than acquiring new ones, and strong partnerships improve your ability to meet client needs.
Actionable Tips
- Monitor customer satisfaction scores (CSAT) or Net Promoter Scores (NPS) after implementing partnership-backed solutions.
- Track retention rates for clients benefiting from solutions provided through vendor or MSP partnerships.
- Identify whether partnerships enable you to solve recurring client problems, such as cybersecurity gaps or downtime issues.
Next Step
- Survey clients regularly to assess satisfaction levels with partnership-driven services.
6. Assess the Total Cost of the Strategic Partnership
Evaluating partnership ROI requires comparing the total investment in the partnership against measurable returns. Understanding the true costs of a partnership helps you determine whether it delivers a positive return or needs adjustment.
Actionable Tips
- Account for the cost of joint marketing efforts, certifications, partner program fees, or staff time dedicated to partnership management.
- Subtract total costs from revenue gained, leads acquired, or savings achieved to determine the net ROI.
- Use this formula for a quick calculation:
- Partnership ROI (%) = [(Total Benefits – Total Costs) / Total Costs] x 100
Next Step
- Reassess partnerships annually to confirm they deliver strong ROI and align with your business goals.
Companion Checklist: Measuring Strategic Partnership ROI
1. Have You Established Clear Goals for Your Partnerships?
- If Yes: Regularly track progress toward these goals to ensure alignment.
- If No: Define measurable goals like lead generation, revenue targets, or cost savings.
2. Are You Tracking Leads and Clients Generated Through Partnerships?
- If Yes: Use your CRM to analyze conversion rates and client acquisition costs.
- If No: Implement a system to tag leads originating from partnerships.
3. Can You Attribute Specific Revenue Growth to Your Partnerships?
- If Yes: Track revenue trends over time to identify your most profitable partnerships.
- If No: Align closed deals or upsells with the relevant partner activities.
4. Are Partnerships Delivering Measurable Cost Savings or Efficiency Improvements?
- If Yes: Use these savings to invest in other growth opportunities.
- If No: Reassess whether the partnership’s cost justifies its benefits.
5. Have Your Partnerships Improved Customer Satisfaction or Retention?
- If Yes: Promote partnership-backed services as a differentiator in your sales messaging.
- If No: Survey clients to identify potential gaps in your partnership-driven offerings.
6. Do You Evaluate Partnership ROI Regularly?
- If Yes: Use these insights to refine underperforming partnerships.
- If No: Schedule quarterly or annual ROI reviews for all strategic partnerships.
Next Steps
Measuring the ROI of strategic partnerships is essential for understanding their impact on lead generation, revenue, and operational efficiency. By setting clear goals, tracking key performance metrics, and evaluating cost-benefit outcomes, MSPs can focus on partnerships that deliver the most value. Use this guide and companion checklist to ensure your strategic partnerships remain profitable, efficient, and aligned with your business growth goals.
- Want more helpful guidance? Check out our Strategic Partnerships Answer Center.
- Have a question for our experts? Send it to editors@channelpronetwork.com
ChannelPro has created this resource to help busy MSPs streamline their decision-making process. This resource offers a starting point for evaluating key business choices, saving time and providing clarity. While this resource is designed to guide you through important considerations, we encourage you to seek more references and professional advice to ensure fully informed decisions.
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