Last summer, Microsoft introduced new and extended support and service requirements for direct sellers. These new conditions come at considerable cost to some partners, financially and in both time and manpower.
All Direct CSP partners need to purchase a level of support with Microsoft if they want to maintain being a Direct CSP. The support can be in the form of ASfP (Advanced Support for Partners) or PSfP (Premier Support for Partners). These have a cost entry point of Circa $15,000 per year for ASfP and upward of $40,000 for PSfP. This considerable investment could increase operating costs and therefore impact business profitability.
These support package requirements significantly impact partners time to breakeven and demonstrate time on ROI. Choosing the right CSP model for your business is vital. It can affect your time to market, profitability and outlay investment.
Choosing the right CSP model is a business-critical decision. On average a partner working with a distributor will break even 4 times faster than a partner working with Microsoft in a Direct CSP model.
Accelerate your Microsoft cloud practice with Arrow
If these changes are affecting your business, Arrow is here to support you. Building a cloud practice with Arrow allows you to quickly offer customers greater flexibility, agility and predictable costs. We provide the support you need, removing this cost from your balance sheet. We also provide a fully approved Microsoft reporting and billing platform (ArrowSphere) saving your organisation the ongoing cost of supporting your own.
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Get started as an indirect reseller…
Follow the link through to our Business Partner Reserved Area and find out how to become a Microsoft CSP partner with Arrow and jumpstart your managed services business.