Top cash rebates tempt MS partners

Top cash rebates tempt MS partners

HOT on the heels of its Open Licence Value (OLV) programme, Microsoft New Zealand has launched a new programme under which customers will receive cash rebates of between $1200 and $60,000 on software licences they have not yet paid in full.

The scheme is set to boost the uptake of OLV, which the vendor claims has already performed exceptionally well since its launch at the beginning of this month, with higher uptake in the first week than in any other country it has been implemented in.

Under the new programme, which runs until June 30, the software giant will give customers who buy at least five licences for Microsoft Office software under OLV, a rebate of between 15% and 25% of their purchase price.

This means that since end-users pay their licences off over three annual instalments under OLV, they will receive money back for their purchases after making only an initial payment.

Speaking exclusively to Reseller News, Microsoft partner group manager Steve Haddock says this will be the major draw-card of the scheme, particularly to small and medium business, giving resellers the opportunity to combat one of the most common objections they face from customers.

“Cost is always a major objection, but the rebate eliminates that,” says Haddock.

“Now a customer can pay for licences over three years under OLV and also receive a lump sum up-front that can go towards the cost of implementation.”

While the deal also applies to the customer under the vendor’s select and enterprise plans, Haddock believes it would be most warmly received by small and medium businesses under OLV.

Rebates begin at $1400 for between five and nine licences and are capped at $60,000 for customers with 200 or more licences; and would be paid directly from the vendor by cheque within 12 weeks.

Microsoft will undertake some direct advertising to promote the programme to end-users, but Haddock says the company wants to to see it driven through the channel. “If I was on the road, I would lead every conversation with customers with this — it gives partners something new to talk to customers about.”

The arrangement is only available through Microsoft partners that have signed on to become Microsoft Service Providers (MSPs), which is what partners offering OLV are known as.

Haddock says 150 MSPs have signed on in New Zealand, and he expects numbers to grow due to the rebate programme. “However that was not the aim of the promotion.”

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