Very soon, it's no more Mister NCE guy. Are you ready?

The writing is on the wall for those partners who haven't yet embraced Microsoft NCE. The time is drawing near when, if you don't take affirmative and rapid action, your customers will be paying more than they need to for their licensing.

And if you haven't made an effort to get on board with Microsoft NCE, you can bet your bottom dollar that other partners have. And like all entrepreneurial businesses, they'll likely be offering your customers better pricing to win hearts and contracts. 

A quick recap of need-to-know and need-to-act dates

So, what have you missed and need to know? And critically, what do you need to do right now?

The general availability (GA) and introductory price promotions for seat-based offers in CSP new commerce began on January 10,2022 (Pacific Time) and January 11, 2022 (UTC). So even if you haven't, other partners are already taking advantage of these offers!

On January 22, 2022, Microsoft turned the autorenewal default to "On" for software subscriptions purchases in CSP in the new commerce experience. There are further details on the October 25, 2021, announcement here. This capability simplifies the renewal process for partners and your customers so software subscriptions can auto-renew on their designated renewal date by default. 

Azure big red flag! On February 1, 2022, the incentives and partner margin opportunity will disappear from the previous Azure offer. Action needed: All Azure legacy accounts will need to move to an Azure plan.

On March 1, 2022, the prices for Microsoft 365 Business Basic, Microsoft 365 Business Premium, Microsoft 365 E3, and Microsoft Office E1, Office 365 E3 and Office 365 E5 will increase – ready or not.

New subscription orders must be placed in NCE starting March 10, 2022. Unfortunately, it's also the end of the line for legacy subscriptions. Beginning July 1, 2022, all legacy subscriptions will be renewed in NCE.

Microsoft NCE promo – get a 5% discount on select Annual Commit offers until March 31, 2022, or a 16% discount on select Monthly Commit offers until June 30, 2022. Note: Promotional terms and caps apply, so click here to learn more.

What about partner incentives?

Microsoft plans to extend legacy CSP incentives for seat-based offers (such as Microsoft 365 and Dynamics 365) through December 2022. This is an extension on the original October 22, 2022 date – so there's some breathing space here.

And the FY23 Microsoft Commerce Incentive program will refresh on October 1, 2022.

What should you be focussing on, right now?

If nothing else, your priority should be to move any of your customers with subscriptions that are due to expire, as they will face a price increase between March 1 and June 20, 2022. This way, you can price protect your customers for 12 months.

After July 1, 2022, you'll need to transfer your customers to an NCE subscription, and they will have to wear the price increase. Which is not a good look.

The good news is that if you transition those customers to NCE before March 1, you'll not only secure their current pricing but also get a 5% discount from Microsoft. And if you purchase annual billing, we are offering a further 5% incentive.

What you do with those rebates is your call.  

So, what happens if you don't get on board?

It's not good. For example, Microsoft Office 365 E1 is subject to a 25% price increase on March 1, 2022.

So, if you don't move your customer before June 30, their next 12-month subscription will cost them 25% more. But if you auto-renew their legacy subscription for 12 months, it will be smiles all round.

And if you don’t transition all your customers’ products to NCE, you will receive two invoices until all subscriptions are under NCE. Your accounts department won’t thank you for that bit of added complexity.

What next 

We know that change can seem complex and even overwhelming at times. There’s a lot to take in, and when you’re already busy, it’s hard to find the time to give NCE the attention it most definitely demands, so you not only save your customers money, but retain their loyalty.

The good news is that Tech Data is strategically positioned to ensure partners understand and maximise the value of Microsoft NCE. Our global team have developed in-depth guides and content to help you though navigate the changes. And, launching this week, we are offering free online NCE training for resellers, to help you become an expert on the NCE implementation. The first 1000 people to complete the training will receive a digital NCE Advisor badge with their company logo.

Locally, we have a fully trained and knowledgeable sales team ready to talk you through the actions you need to take. Our StreamOne platform is built with NCE and is ready to help you transition your customers and white glove treatment is available as required to ensure a smooth transition.

We can show you how to de-risk your business and capitalise on price protection while amplifying profitability and customer commitment. All this will ensure that that you come out looking like the good guys to your customers and their accountants.