Managed Reseller Incentives OverviewManaged Reseller Incentives OverviewFY13 Cloud Channel IncentivesRewarding partners for the sales, deployment and management of Microsoft Online Services

Anne GreenwaldDimension Data

FY13 (Office 365 & Windows Intune*)MOSA/Web-Direct

Tier B7%

2500+

4% Recurring

12%Core

Tier A6%

500 – 2,499

4% Recurring

12%Core

20%Cloud Accel. 4%

150 – 499 Seats

4% Recurring

12%Core

FY12

6% Recurring 4%

Recurring

12%Core

12% Sell

FY13 Online Advisor Incentives - MOSA

New Accelerators for Cloud Accelerate partners

Earn more and faster than today through Accelerators18% 16%

22% 23%

Year 1

All Partners

150 – 499 Seats 500 – 2,499 2500+

MOSA Accelerators based on cumulative seats sold in FY13

Cloud Essentials

Cloud Accelerate Pay for Performance

Year 1

* FY13 CRM Online Channel Incentives rate is 30% in year 1 – 26% sold or deployed and 4% manage

Office 365 example: $120/seat/yearRounded figures

$1K

$21K

$4K

$19/seat

$3K

$48K

$10K

$2K

$4K

$14K

$69KFY13

Core

Accelerator 4%

150 – 499 Net Seats

7%

2500+

6%

500 – 2,499 Up to 149

Cloud Essentials Cloud Accelerate Pay for Performance

16%20% 22% 23%

Selling Beyond 150 Seats (MOSA)

150 2,500500100 seats

Cloud Essentials Cloud Accelerate Pay for Performance

Not to scale

$24/seat

$26/seat

$28/seat

FY12

12% Deploy

FY13 Online Advisor Incentives – EA

Drive long-term customer engagement on EA through “recurring” manage incentives

Earn Accelerators – Max 23% per EA per year

Similar partner opportunity for MOSA and EA

• EA Accelerators based on a 70% deployment attainment per customer within six months• Accelerator seats thresholds based on the total seats of Office 365 or Windows Intune on a single EA

12%

Year 1

All Partners

FY13 (Office 365 & Windows Intune*)MOSA/Web-Direct

Tier B7%

2500+

4% Recurring

12%Core

Tier A6%

500 – 2,499

4% Recurring

12%Core

20%Cloud Accel. 4%

150 – 499 Seats

4% Recurring

12%Core

4% Recurring

12%Core

16%

22% 23%

150 – 499 Seats 500 – 2,499 2500+

Cloud Essentials

Cloud Accelerate Pay for Performance

Year 1

* FY13 CRM Online Channel Incentives rate is 30% in year 1 – 26% sold or deployed and 4% manage

Total year 1Sell: $1,440Accelerator: N/AManage: $480

Total year 1: $1,920

New seats sold: 100Total seats: 100Accelerator level: N/A

Sell: $1,440Accelerator: N/AManage: $40/month

Total Oct: $1,480

Aug Sep Oct Dec Jan Feb Mar Apr May JunJUL NovJul

Cloud Essential Partner sells 100 seats of Office 365 through Web-Direct. Example price: $10 per seat per month

FY13 Advisor Incentives Scenario

Incentive formulasSell Incentive = $10/seat * 12 months * 100 seats * 12% Manage Incentive = $10/seat * 100 seats * 4%Accelerator Incentive = n/a12 months period starts in Jan

$1.92K

$0.48K $0.48K

1.44K

0.48K

Manage

Sell

Accelerator

Year 1 Year 2 Year 3

$15,600K

$2.88K

$2.88K

8.64K

2.64K

4.32KManage

Sell

Accelerator

Year 1 Year 2 Year 3

New seats sold: 400Total seats: 400Accelerator level: CA

Sell: $5,760Accelerator: $1,920Manage: $160/month

Total Oct: $7,840

New seats sold: 200Total seats: 600Accelerator level: Tier A

Sell: $2,880Accelerator: $1,440Accel true-up for prior sold seats: $960Manage: $240/month

Total Jan: $5,560

Aug Oct Feb Mar May JunJul NovSep Dec AprJan

Total year 1Sell: $8,640Accelerator: $4,320Manage: $2,640

Total year 1: $15,600

Cloud Accelerate Partner sells 600 seats of Office 365 through Web-Direct.

Example price: $10 per seat per month

FY13 Advisor Incentives Scenario

Incentive formulasSell Incentive (Jan) = $10/seat * 12 months * 400 seats * 12%Sell Incentive (Apr) = $10/seat * 12 months * 200 seats * 12% Manage Incentive = $10/seat * 400 seats * 4% (Jan-Mar), $10/seat * 600 seats * 4% (Apr onwards)Accelerator Incentive (Jan) = $10/seat * 12 months * 400 seats * 4%Accelerator Incentive (Apr) = $10/seat * 12 months * 200 seats * 6%Accelerator True up (Jan) = $10/seat * 12 months * 400 seats * 2% 12 months period starts in Jan

New seats deployed: 100Total seats deployed: 100Accelerator level: N/A

Deploy: $1,440Accelerator: N/AManage: $40/month

Total Oct: $1,480

Aug Sep Oct Dec Feb Mar Apr May JunJUL NovJul Jan

Cloud Essentials Partner deploys 100 seats of Office 365 on 500 Online seat EA. Example price: $10 per seat per month

FY13 Advisor Incentives Scenario

Incentive formulasDeploy Incentive = $10/seat * 12 months * 100 seats * 12% Manage Incentive = $10/seat * 100 seats * 4%Accelerator Incentive = n/a12 months period starts in Jan

Total year 1Sell: $1,440Accelerator: N/AManage: $480

Total year 1: $1,920

$1.92K

$0.48K $0.48K

1.44K

0.48K

Manage

Sell

Accelerator

Year 1 Year 2 Year 3

$9.18K

$1.68K

$1.68K

5.04K

1.62K

2.52KManage

Deploy

Accelerator

Year 1 Year 2 Year 3

Seats deployed: 300Total deployed: 300Accelerator level: N/A

Deploy: $4,320Accelerator: N/AManage: $120/month

Total Jul: $4,440

Seats deployed: 50Total deployed: 350Accelerator level: Tier A

Deploy: $720Accelerator: $360Accel true-up for prior deployed seats: $2,160Manage: $140/month

Total Jan: $3,380

Total year 1Deploy: $5,040Accelerator: $2,520Manage: $1,620

Total year 1: $9,180

AUG SEP OCT DEC JAN FEB MAR APR MAY JUNJUL NOV

Cloud Accelerate Partner deploys 350 seats of Office 365 on 500 seat EA achieving 70% deployment rate within the six months. Example price: $10 per seat per month

FY13 Advisor Incentives Scenario

Incentive formulasDeploy Incentive (Jan) = $10/seat * 12 months * 300 seats * 12% Deploy Incentives (Apr) = $10/seat * 12 months * 50 seats * 12%Manage Incentive = $10/seat * 300 seats * 4% (Jan-Mar), $10/seat * 350 seats * 4% (Apr onwards) Accelerator Incentive (Apr) = $10/seat * 12 months * 50 seats * 6%Accel. true-up (Jan) = $10/seat * 12 months * 300 seats * 6%12 months period starts in Jan

Partner Resources

Cloud Programshttp://www.microsoftcloudpartner.com/

Cloud Incentiveshttps://mspartner.microsoft.com/en/us/pages/Solutions/downloads/online-services-advisor-incentives-guide.aspx