Darren Roberts, Vuzion Azure Commercial Lead, writes …
Microsoft has launched a new commerce experience called Azure Plan, and which is part of an evolving commercial platform that helps streamline the way that customers engage with Microsoft products.
There are a few important changes compared with the current Azure service that partners need to be aware of to ensure that they continue to be recognised for their hard work.
The Good News
The good news with Azure Plan is that it unlocks some great benefits:
- Much easier transition from PAYG or EA customers to CSP
- Makes transactional-only relationships between customers and their providers less justifiable, with margin provided for value add-partners
- Unlocks Azure Cost Management, which is a great tool to provide even greater value to customers with the ability to provide insights, recommendations and governance of customers’ cloud spend.
The upfront margin model has been replaced with ‘Partner Earned Credit’ (PEC), a reward for partners delivering managed services to their customers.
With PEC in place, partners receive the discounts against the RRP of Azure model.
To receive PEC, partners need to ensure that they retain 24*7 operational control and management of the customer’s Azure resources in CSP with relevant RBAC (role based access control) access (i.e. Delegated Admin Access) – in short, when an Azure Plan is purchased, this access is automatically assigned, and needs to stay in place. If it’s removed for any reason, then all discounts will be removed.
This change will, in my opinion, improve the behaviour across the CSP channel and benefit the partners providing value.
Another major change with Azure Plan is that all resource prices will be exchange rate fixed against the global USD price each month. The pricing is then adjusted into the end customer location currency. The benefit of this is that it helps to keep pricing predictable against exchange rates.
Azure Cost Management
- Monitor cloud spending – track resource usage with rich insights to enable informed decisions
- Increase organisational accountability – implement governance policies to increase accountability with budgets, cost allocation and departmental chargebacks
- Optimise cloud efficiency – gain recommendations which can result in cost savings with reservations, rightsizing or removing idle resources
- Manage cloud spend – and avoid Azure ‘bill shock’.
To find out more about Azure Plan, download a copy of our eBook, Azure Plan - Microsoft new commerce experience for Azure in the CSP program, or contact the Vuzion Partner Team on 0333 009 5939 or at email@example.com.