If you’ve ever tried to keep track of all your business partnerships, you know it can get overwhelming fast. That’s where Partner Relationship Management (PRM) programs come in—they’re designed to make working with partners smoother and more productive. But here’s the big question: how can you tell if your PRM efforts are actually making a difference? Measuring ROI isn’t just a box to check for finance; it’s about making sure your approach is driving real results—like growth, efficiency, and, yes, profit.
In this blog, we’ll break down how to figure out if your PRM investments are working, with plenty of straightforward tips (and a few laughs) along the way.
Define Success Metrics for Your PRM Program
What Does ROI Mean for You?
Before we start crunching numbers, it’s crucial to define success in your PRM program. ROI might look different depending on your business and industry. For some companies, it’s about increasing revenue through expanded partnerships, while others might focus on improving partner satisfaction or reducing churn.
Think of metrics like:
- Partner Sales Performance: How much revenue are your partners driving?
- Time-to-Revenue: How fast are new partners becoming revenue contributors?
- Partner Retention Rates: Are your partners sticking around long enough to contribute to long-term success?
Why Metrics Matter
Data doesn’t lie! Companies using data-driven strategies are 23 times more likely to acquire new customers and six times more likely to retain them. When you define clear success metrics, you create a roadmap that keeps your PRM strategy intentional and measurable.
Track Your Program’s Costs
Direct Costs
Understanding ROI starts with knowing your costs. Obvious expenses—like software subscriptions, training, or onboarding resources—are easy to track, but indirect costs often slip through the cracks.
Hidden Costs
Raise your hand if you’ve spent hours debugging a partner portal integration or chasing overdue invoices. These activities may not appear in your monthly budget, but they come with real costs, particularly in terms of time. Atlassian estimates 60% of workers spend one-fourth of their workweek on administrative tasks.
Calculate Revenue Generated by Partners
Here’s where it gets fun. To measure ROI, you need to connect the dots between what you’ve spent on your PRM program and what your partners are actually bringing in.
Revenue Attribution
Advanced CRM systems can help by tracking which deals are driven by partners versus direct sales efforts. Want to make this process even smoother? Enter eoIntegrations.
With eoIntegrations, you can synchronize data across leading CRMs like Salesforce and SalesChain, ensuring clear revenue attribution for each partnership. By unifying your platforms, you’ll eliminate guesswork about which partners are adding value and which ones might need more attention.
Want to experience this efficiency yourself? Sign up for a free trial of eoIntegrations here.
Factor in Partner Engagement
Measure Activity
Your strongest partners are likely active participants in your PRM program, whether they’re accessing tools, attending training sessions, or providing regular deal updates. Tracking this engagement provides insights into the health of your partnerships.
Specifically, look at:
- Training module completions
- Portal logins and downloads
- Deal registration activity
Engagement Tools
Many PRM programs come with built-in analytics about partner usage, allowing you to tailor your future efforts. High-performing partners often correlate directly with high engagement rates, forming one of the most critical ROI indicators.
Evaluate the Effectiveness of Marketing Materials
Empowering Your Partners
Your partners are like branches of your own sales team, so they need great materials to promote your offerings. Do your sales enablement tools (e.g., brochures, proposal templates, co-branded ads) drive results?
Here’s a mind-blowing stat for you—companies investing in enablement content see sales productivity improve by up to 20%. Program success depends on helping partners hit their targets, so embed content tracking within your PRM system to monitor engagement rates and conversions.
Allocate Resources Wisely
If 80% of your partner network is thriving, but one underperforming group consumes the majority of your resources, it’s time to reallocate. Use detailed participation and engagement reports to pinpoint inefficiencies and take corrective action.
Monitor Retention Metrics
Long-Term Value
Partner churn can be a silent killer for your PRM program. One red flag is short-term partnerships where the ROI simply doesn’t materialize. Focus on the partners who stay and deliver results year over year. Retaining them costs far less than acquiring new ones.
Cost of Churn
The good news is that customer retention also benefits partners. According to Bain & Company, improving retention rates by just 5% can increase profits by 25% to 95%. Develop a strategy that prioritizes the satisfaction and trust of your partners to maximize long-term ROI.
Calculate Your ROI
The Formula
Here’s a simple way to calculate ROI:
ROI = [(Return – Investment) / Investment] x 100
Where:
- Return: The total revenue generated by your partners (after expenses)
- Investment: All PRM costs (e.g., software, support, training)
Make It Meaningful
Don’t stop with numbers! Use your ROI findings as a starting point for conversation. If metrics reveal consistent success with certain partner segments, double down on similar partnerships. Alternatively, low ROI can act as a wake-up call to introduce more automation or streamline processes.
Is Measuring ROI Worth the Trouble?
Absolutely. Think of ROI as your PRM program’s performance review. It tells you what’s thriving and what needs fine-tuning. ROI tracking isn’t about bragging rights—it’s about discovering opportunities to make your PRM stronger, faster, and more impactful for both you and your partners.
One Last Plug for eoIntegrations
Not to drop this in casually, but optimizing partnerships is a breeze when your systems actually talk to each other. With eoIntegrations, you’re not just syncing data—you’re creating a smoother, smarter workflow that helps you focus on growth and results. Still not convinced? Schedule your free demo now.
The Takeaway
PRM programs are a significant investment. Measuring ROI may take work, but the insight it provides is invaluable. Whether it’s through meticulous cost tracking, enhanced CRM integration, or fostering stronger partnerships, ROI provides clarity on maximizing your resources.
By focusing on the strategies outlined above, you’ll optimize every dollar you spend, turning your PRM program into a growth driver that boosts not just your bottom line but also your partner relationships.
Now it’s over to you—what’s your next step to better partnership ROI? Whatever it is, start measuring today.