Leads with the Cloud Offers a comprehensive solution Telephony ERP CRM - Customer Engagement Document Management & Workflows Dynamics Partner Office 365 Customer BI, IoT, Dashboards Business Consulting Mobile Access Deeply understands customers’ business processes Owns customers’ technology strategy Owns solution integration and validation Owns the billing relationship Offers managed services including support Microsoft CRM ERP Dynamics 365 Microsoft continues to expand the CSP program to more partners with access to new cloud services, more markets and new capabilities. Partners own the end-to-end customer lifecycle with direct provisioning, billing and support of Microsoft cloud services. Partners create the offer, set the price and own the billing terms with their customers. Sell Integrated Offers and Services Own and Control the Billing Provision, Manage and Support ** Dynamics AX coming soon! • Primary approach for existing Dynamics partners • Only recommended approach for Dynamics AX – with a few caveats • Familiar approach for the business applications market • Opportunity to expand the Dynamics 365 business into the Office 365 channel • New business models and innovative offerings • Primary approach for existing Dynamics partners • Only recommended approach for Dynamics AX – with a few caveats • Familiar approach for the business applications market • Opportunity to expand the Dynamics 365 business into the Office 365 channel • New business models and innovative offerings Transition from CRM Competency based on either on-premises or Cloud revenue/seats, exams and customer references To Packaged, repeatable solutions via unique industry IP Cloud CRM Competency Cloud CRM Competency based on Cloud assigned seats, exams and customer references ERP Competency based on on-premises revenue, exams and customer references ERP Competency based on on-premises or cloud performance A differentiated approach based on the Cloud maturity of each respective market Transition from CRM Competency based on either on-premises or Cloud revenue/seats, exams and customer references To Packaged, repeatable solutions via unique industry IP Cloud CRM Competency Cloud CRM Competency based on Cloud assigned seats, exams and customer references ERP Competency based on on-premises revenue, exams and customer references ERP Competency based on on-premises or cloud performance Dynamics 365 Competency Impacts - To be determined - Appropriate time to transition - Rich and expanding training offerings on the connected solution • Support the transformation of the channel to cloud-based, repeatable vertical solutions • Includes both CRM and AX partners – expanding to NAV/GP in the coming year • Provides clarity to the field and prospects by clearly identifying our most qualified partners by vertical • Provides training, recognition, a logo/brand and leads to the partners that qualify for the program • Increases opportunity pipeline and win rates while reducing sales cycle times • >100 partners worldwide One destination for business users to discover, trial, and acquire line-of-business apps Simplifies the discovery, trial, and acquisition of line-of-business apps An ecosystem to help business users get started using apps faster Helps business users do more with their existing Microsoft apps Vertical Strategy • Professional Services (AEC, Accounting & IT Consulting) • Manufacturing (Industrial Equipment & Life Sciences) Cloud Services • Dynamics 365 (CRM) • Azure Mobile Workforce • Use-case solutions (Activity Buddy, Colleague, Attendee, etc.) Turn business away that • We don’t chase Financial Services deals • We refer out SMB deals to other partners is not strategic Focus 100% of our marketing efforts on Industry • Events, branding, digital marketing, inside sales Subject matter experts • • Sales Delivery Live and breath the cloud • All internal development is on Azure • O365 deployed internally Targeted marketing to legacy on-prem customers • Cloud transformation offerings • Strategic selling cycles with Microsoft (create incentives to move) “Cloud Only” mentality • All new projects are Cloud Consumption depends on the Mobile strategy • Mobile drives maximum adoption and usage Mobile development is “use-case” specific • Dynamics 365 addresses the Macro needs • Mobile development should address the Micro needs Mobile IP can be horizontal • Identify needs that all your Dynamics 365 customers require Our Experience • Two successful vertical efforts (small markets) • Over 45,000 seats of Dynamics CRM • 4 Partner of the Year Awards Our Methodology • • • • 100% Focus on A/E/C and Legal Pre-configured industry IP (repeat, repeat and repeat) Pre-built data synchronization and harvesting tools Best Practices for Business Process and Implementation Benefits of Approach • • • • Industry recognition, acceptance and momentum Ability to complete (win percentage and speed to win) Implementation success and referenceability REAL $$$ VALUE! (recurring revenue and leverage) • What are customers in these vertical markets asking for? oDo I have a partner that understands my business? oDoes Microsoft have solutions that fit my business? oHow can I reduce my investments cost(s)? oHow can I reduce my risks? oHow can I leverage all the data that I have in house? oHow can I get my users to actually use the system? oHow can I leverage the investments we have made in technology? • • Microsoft Win(s) • • Clients Win(s) Partner Win(s) Industry partner drives new opportunities Compete more effectively against the bad guys Larger number of seats per install and expansion Longer on-going relationship (vertical stickiness) • • • • Speed to install (time to value) Reduced cost of delivery and implementation Less risk Higher user adoption • • • • Quicker Wins against less viable competition Highly differentiated approach Reduced pressure to discount More deal revenue: (CSA, application layer, Services and On-going support) 20/50/80 FY17 Partner Incentives Strategy Cloud Solution Incentives On Premise Solution Incentives Cloud-First strategy Simple and stable Make incentives easier Drive usage Continue to deliver solution selling incentives Optimize for EA and CSP Introduce Online Services Usage incentive Retire OSA – Manage incentive Timeline Overview July - Oct Nov-Dec H2FY17+ CRM OL Sell & Manage Sell & Manage Sell & Usage AX Cloud Sell Sell Sell & Usage Dynamics 365 Plans, Sales and Operations Sell Sell & Usage Dynamics 365: Rest of Apps Sell Sell &Usage as available Consistent incentive rate and structure as Dynamics transitions packaging to Dynamics 365 CRM Online Dynamics AX Incentive Microsoft Dynamics 365 Enterprise Edition Plan 2 Plan 1 Operations Other Apps Sell* 26% 65% 65% 26% Usage** 10% 10% 10% 10% *Based on 12 months billed revenue **Usage Incentive is coming in H2FY17 CSP incentives for Dynamics 365 are consistent with AX and CRM incentives CRM Online Dynamics AX Dynamics 365 Enterprise Edition Dynamics 365 Business Edition Plan 2 Operations Plan 1 Other apps Financials App CSP Incentive Direct Discount Rebate 25% 8% 30% 8% 30% 8% 25% 8% 30% 8% Indirect Reseller Discount Rebate * 8% * 8% * 8% * 8% * 8% *Discount provided by the Indirect Distributor A $1M $500K 50% AX $250K $125K 35% B $500K $250K 45% CRM $0 $0 12% CRM $100K $50K 12% C D $100K $0 $50K $0 40% 20% FY17: Top SPA-Only Partners ($4M+ USD): 55% License Discount Enhancement Plan incentives remain unchanged (July 2016 – April 2017) (From May 2017-) License Incentive Rates will be reduced in FY18 Software Assurance only fee will remain unchanged at 5% FY17 Top partner License Incentive Rate • AX in EA Partners ($1.3M + USD) 40%: • CRMOP Partners ($2.5M + USD) 14%. aka.ms/wpcevals
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