Making the most of New Commerce Experience
A simplified transaction journey
There are some new milestones in the new commerce experience journey which started already in 2019. The intention with NCE is to create a simplified transaction journey for both you, the client, and your CSP, Atech, so that the purchase is standardised. With General Availability from January 2022, subscriptions like Office 365, Microsoft 365 (as well as Dynamics 365 and Power Platform) transition into the same purchase motion. This is similar to what happened with Azure back in 2019. Microsoft is moving away from a purchasing experience that was fractured, with each licensing platform having its own experience and its own terms and condition.
There are, however, increased pricing starting 1st March for Microsoft 365 Business Basic, Business Premium, Office 365 E1, E3, E5 as well as Microsoft 365 E3, which means that now is the time to have a think about how to make the most of New Commerce Experience.
Simpler, standardised, consistent
The promise of New Commerce Experience is faster time to value in the Microsoft solutions you purchase and services you consume.
This is of course hugely welcome as for you as our client it means we can offer more choice and greater flexibility in how you purchase and manage your subscriptions, allowing you to choose whether you wish to commit monthly, annually or for three years. The increased flexibility is delivered without compromise on control – you, the customer, are in the driving seat when it comes to how you want to optimise your licenses and unlock savings. The new commerce experiences enhances the foundations of trust and security that are central to the way Atech as a Microsoft partner delivers solutions and services for our clients. This is why we are here to help you every step of the way.
The new commerce experience enables Atech to continue to help customers drive value from their technology investment.
- Cancellations and reducing seat counts will be possible if you are opting for a monthly term although this flexibility comes at a +20% premium.
- More choice by getting new Windows cloud PC on the monthly term
- New products and add-ons are available separately and are easier to adopt
- Trials will be auto-converting as opposed to manually converted as was the case previously, again, a simplified experience.
- Consumption-based billing is available for telco offers
Why act now?
- Avoiding price increases
- Flexibility and alignment with how your business operates
- Navigate even the most complex scenarios with help from Atech
- Visibility of your usage
- Spend forecasts
- Identify cost saving opportunities
- Scale in line with your business objectives
How do I make the best choice?
There are plenty of considerations to bear in mind when choosing your term. The good thing is that NCE now offers flexibility that wasn’t available before. For example, if your workforce is more elastic, and your operations use contract workers or have shorter term projects where you need to rapidly enable a team, the month-to-month term offers you the flexibility you need. However, if you have full-time employees and you know you are looking for a longer commitment, the annual option offers cost savings. You can still make subscription seat changes if they need to increase (i.e. more users joining) but the option to decrease seats is restricted to the annual renewal date. Your renewal date will remain the same no matter when seats are increased during the course of the 1-year term. In a long-term play where you have low churn and can easily predict the number of subscriptions needed, and you expect to increase seats (but not decrease), you can access savings by locking your price and opting for a 3-year term.
There are a few things to watch out for:
- Trials now have auto-renew on which means they automatically convert into paid offers with monthly billing, unless you convert manually during the trial
- Not every product has monthly or 3-year commit options. We can advise on the products you use that are annual.
- Think about your renewal dates and how your choice may add complexity to your renewals calendar. We can support you in managing these.
We work with you to understand:
- Whether you have any product trials that are going to convert automatically
- Which of your subscriptions will convert automatically
- How and when you can convert your subscriptions
- What eligible upgrades are available within your subscription, including partial upgrades which can be powerful in unlocking features where they are needed the most.
What is the impact is on your licences if I do nothing?
You will be moved to an annual contract with a 20% price increase.
What is the benefit of taking action now?
By moving to an annual commitment under NCE, you lock in existing rates and can still pay monthly, avoiding the price increases coming to selected products. It is worth taking action now.
How do I know what the impact is?
We are happy to run you through your current licensing and how this can evolve to ensure you are on the right term having considered your unique requirements.
Does this complicate our agreement?
No. In fact, it simplifies it by enabling one streamlined, electronic transaction in an agreement that doesn’t expire. There are flexible, relevant terms based on geo and segments. It scales for your
organisation, whether you’re a single user or a complex organisation. Additional purchases do not require new terms except where there is a specific offer or concession.
Now is the time to beat the price increase! We are happy to support you in assessing whether price locking is a better option for you. We can support you in making the transition and help with you with migration. Get in touch with us to discuss how to make the most of the changes and NCE.