Transcript Microsoft
Let’s Break New Ground Together. Channel Incentives Commercial Distributor Channel Incentives Mike Haines – Director WPG Mark Gilleece – CI PM EMEA Christian Laustsen – ALSO Channel Incentives Channel Incentives Microsoft | EMEA Channel Partner Conference 2014 Mapping Design to Partner Incentive Principles Channel Incentives Market Opportunities Microsoft Sales Priorities Field sales targets Enable cross/upsell Align to MPN competency attainment Market Differences Product Market Share Drive business in different geography types Drive market share growth Drive Devices and Services revenue Focused on sales & transactions Partner Led Sales Global components and local accelerators Differentiate by levels for excellence Balance Simplicity and Performance Simplest mechanics to increase focus Manage to a set of performance metrics Channel Incentives Microsoft | EMEA Channel Partner Conference 2014 FY14 Distribution Incentive Strategy Channel Incentives Drive focus Increase Distributor focus on Microsoft line of business by improving Distributor profitability with Microsoft, especially for strategic products including Office 365. Enhance differentiation Increase effective Distribution marketing, breadth, and strategic product incentives to increase competitive differentiation between Distributors. Simplify engagement Simplify Distributor incentive programs through global management and single platform to improve partner engagement through program simplicity. Channel Incentives Microsoft | EMEA Channel Partner Conference 2014 FY14 Incentive Earnings for Distributors Sell O365 Open Open Annuity O365 Cash Back Solution Workloads 10 % 8%+ Sell O365 direct 6%+ 20 % + 1 % Channel Incentives SPLA Surface 3% Channel Developer 8% 8%+1% Channel Incentives Microsoft | EMEA Channel Partner Conference 2014 Annuity Model Generates More Revenue & MarginChannel Incentives Six Year Impact w/ Refresh Office Std. Cumulative Revenue: One User $738 Cumulative Revenue: 100 Users $73,800 $108,000 2.9% 8% $2,140 $8,640 Channel Incentive (Margin) Cumulative Margin – 100 users Channel Incentive (Margin) in WE Cumulative Margin – 100 users Office 365 $1,080 2.9% 2% Y1, 8%, 20% Cash Back $2,140 $9,405 46% More Revenue 4X as much Margin $180 $180 $180 $369 $180 $369 $180 $180 Revenue (per user) Incentive (per user) Year 1 Year 2 Year 3 Channel Incentives Year 4 Year 5 Year 6 Microsoft | EMEA Channel Partner Conference 2014 FY15 Commercial Distributor Channel Incentives Design Overview Strategic Focus and Design Proposals Channel Incentives Strategy Evolution Cloud Acceleration Solutions @ Scale Reach & Open Renewal Focus Key FY15 Design Proposals Increase Year-over-Year SMB CI budget Maintain Global Framework Increase Cloud Incentives Incent more Resellers for Cloud Revenue Best Premise Rates for Growth & Incubation in Annuity Enhance DISTI Solution Accelerator for Cloud Align Accelerators to Business Strategy Channel Incentives Microsoft | EMEA Channel Partner Conference 2014 Aim of this session Channel Incentives Demonstrate Microsoft Operations commitment to driving simplification, efficiency and responsiveness to achieve greater partner productivity, profitability and customer satisfaction Channel Incentives Microsoft | EMEA Channel Partner Conference 2014 Let’s Break New Ground Together in… Simplified Reporting CHIP Statement Availability Channel Incentives Enhanced Support Channel Incentives Microsoft | EMEA Channel Partner Conference 2014 Simplified Reporting | Current Situation Channel Incentives • Creating incentive reports on CHIP is time consuming • 6+ clicks required per report • Process must be repeated for each Performance Goal (incentive) Simplified Reporting • 20 incentives x 3 mins per goal = 1 hour 52 (weeks) x 1 hour = 52 hours / 8 hours = 6.5 days per year! Channel Incentives Microsoft | EMEA Channel Partner Conference 2014 Simplified Reporting | Opportunity Channel Incentives • Reduce # of screen clicks by 50% • Choose multiple Performance Goals (incentive) in a single request Simplified Reporting • Reports cached for quicker retrieval • Reduce time from 1 hr to 3 mins 52 (weeks) x 3 mins = 2.6 hours per year!Channel Incentives Microsoft | EMEA Channel Partner Conference 2014 Simplified Reporting | Current Situation Channel Incentives Channel Incentives Microsoft | EMEA Channel Partner Conference 2014 Simplified Reporting | Results Channel Incentives • Simplified Reporting is now available on CHIP • Training video is now available on the Readiness App Simplified Reporting Channel Incentives Microsoft | EMEA Channel Partner Conference 2014 CHIP Statement Availability | Current Situation Channel Incentives • CHIP statements are offline for too long! • You are “flying blind” without visibility to your CHIP statements CHIP Statement Availability • Current program set-up is complex & time consuming Channel Incentives Microsoft | EMEA Channel Partner Conference 2014 CHIP Statement Availability | Opportunity Channel Incentives • Immediate investment in CHIP • Simplify overall set-up process CHIP Statement Availability • Reduce amount of CHIP downtime - starting in H1 FY15 (July) Channel Incentives Microsoft | EMEA Channel Partner Conference 2014 CHIP Statement Availability | Next Steps & Key Actions To Be Taken Channel Incentives • Invest in CHIP during Q4 (April – June) • Redesign & simplify the set-up process during Q4 (April – June) CHIP Statement Availability • Ready for H1 FY15 set-up (July) Channel Incentives Microsoft | EMEA Channel Partner Conference 2014 Enhanced Support | Current Situation & Opportunity Channel Incentives • CLT Query Support • 72 hours Query SLA Opportunity • Live agent “Chat” Tool Enhanced Support • 24 hour Query SLA Support Channel Incentives Microsoft | EMEA Channel Partner Conference 2014 Enhanced Support | Next Steps Channel Incentives • Live agent “Chat” Tool - available in April • 24 hour SLA - available now Enhanced Support Support Channel Incentives Microsoft | EMEA Channel Partner Conference 2014 Partner Perspective Channel Incentives • Simplified Reporting - Reporting was not something I used – it is too time consuming - New reporting feature is simple and fast Simplified Reporting • CHIP Statement Availability - Need greater access to incentive statements – critical to run my business - Faster set-up times will really help CHIP Statement Availability • Enhanced Support - Live Chat will address my simple queries - CLT for more complex queries – faster responses Channel Incentives Enhanced Support Microsoft | EMEA Channel Partner Conference 2014 Summary | Where Are We Going? Simplified Reporting From... 1 hour reports CHIP Statement Availability Channel Incentives Enhanced Support To... 3 minute reports From... Reduced statement availability To... Greater statement availability From... CLT Query Support & 72 hour SLA To... Live agent Chat & Channel 24 hour SLA Incentives Microsoft | EMEA Channel Partner Conference 2014 Channel Incentives Thank you. Channel Incentives Clinic @ Room 8 Channel Incentives Future State Booth @ Coffee Area Channel Incentives © 2014 Microsoft Corporation. All rights reserved. Microsoft, Windows, Windows Vista and other product names are or may be registered trademarks and/or trademarks in the U.S. and/or other countries. The information herein is for informational purposes only and represents the current view of Microsoft Corporation as of the date of this presentations. Because Microsoft must respond to changing market conditions, it should not be interpreted to be a commitment on the part of Microsoft, and Microsoft cannot guarantee the accuracy of any information provided after the date of this presentation. MICROSOFT MAKES NO WARRANTIES, EXPRESS, IMPLIED OR STATUTORY, AS TO THE INFORMATION IN THIS PRESENTATION. Microsoft | EMEA Channel Partner Conference 2014