Seven things you need to know about Microsoft’s New Commerce experience
Introducing Microsoft’s New Commerce experience
In this blog we find out more about the changes to Microsoft’s pricing structure and what it means for you and your organisation.
1. Why now?
Microsoft’s Cloud Solution Provider (CSP) program continues to evolve as they adapt to support the constantly shifting needs of today’s businesses. As part of their investment in the CSP program, Microsoft has been working to reduce licensing complexity and costs, as well as provide flexibility to support a range of client purchasing scenarios. To achieve this, Microsoft launched the New Commerce Experience (NCE) for Microsoft Azure in 2019 – and in Autumn of 2021 expanded NCE to include Microsoft 365, Dynamics 365, Windows 365, and Power Platform.
2. What is NCE?
The New Commerce Experience (NCE) ‘per seat’ model for Microsoft 365, Dynamics 365, Windows 365, and Power Platform subscriptions is the latest in the evolution of Microsoft’s CSP program.
3. What does New Commerce Experience include?
Microsoft’s goal for the NCE is to reduce licensing complexity and costs but also provide flexibility and choice to support a range of purchasing scenarios for different organisations and user groups.
Legacy – CSP today
Cancellation at any time
Price lock for 12 months
Can cancel/move to another indirect supplier at any time
New Commerce experience – Annual
Can flex seats up at any time
Cannot decrease after first 168 hours until annual renewal
Paid monthly or annually depending on type of plan
Price locked for 12 months
Can’t cancel or move supplier after 168 hours
New Commerce experience – Monthly
1 month subscription
Can flex seats up at any time
Decrease seats at monthly renewal (30 days)
168 hours to cancel but only 1 months’ notice to cancel subscription
Prices only locked for 1 month
Using NCE you will have the option to combine monthly, annual, and triennial subscriptions to suit your needs. Microsoft is also introducing mid-term upgrades and add-ons to provide you with more flexibility within your subscriptions.
Pricing benefits for annual term subscriptions
Multi-year plans for Dynamics 365 and Microsoft 365
Increased offer and subscription availability
Improved subscription management
Easier adoption of new products and add-ons available
Monthly term subscription that allows cancellation or seat cost reduction as needed
5. What’s changed?
To reflect the shift towards hybrid working and to support the technological advances in Office 365 and Microsoft 365, prices will increase. However, the longer you commit to the service, the better price agreement you will get.
You won’t be able to move suppliers or cancel your contract partway through.
Once your contract is up for renewal, you have a 72-hour cooling-off period where you can reduce your licenses. If you miss this slot, you will only be eligible for increases or upgrades.
6. Why choose Trustmarque?
We are a Microsoft accredited partner, with decades of software licensing experience. We are already a CSP Direct partner meaning customers work with us and we work directly with Microsoft and offer licensing expertise across both Public and Private sectors. All our customers have access to our experienced and dedicated teams who deliver a range of services to meet the demands needed from technology in today’s ever-changing climate. Regardless of the size of your organisation or sector, we offer you the best advice on Microsoft licensing arrangements to help you reduce costs and improve your performance and take advantage of any licensing discounts and funding programmes.
7. What do you need to do now?
If you’re concerned about the changes and would like to speak to somebody at Trustmarque, then please contact your account manager or email us at [email protected]. You can also register your interest in the webinar below where we will be discussing NCE in more detail.
Written by Julia Bluckert, Content and Communications Manager at Trustmarque