Microsoft Contract Negotiation Tips

Did you know that there are a few companies that actually pay 20%-40% more on Microsoft contracts than they should? In this blog post, we will walk you through some of the essential tips for Microsoft contract negotiation.

Essential Things to Know about the Microsoft Contract Negotiation Process

· The business desk is responsible for making all of the key decisions related to pricing, etc.

· Make sure that you have the proper affiliate language

· Your sales representative has two important roles: to sell you an E5 license and to get your company to adapt to Azure

· Your company’s rates cannot be ensured by placing a price cap on specific products

· Microsoft’s fiscal year strategically ends on 30th June

· If you are converting from a continuous agreement to an Office 365 contract, you can bargain for the lowest price you can get from the Microsoft team

· Consider whether or not your company would benefit from the Microsoft Products and Services Agreement

Important Things to Know

Microsoft has a presence in almost every well-established firm around the globe. Ever since the internet rose to popularity, the Microsoft Office Suite transformed the way we work. History has enabled Microsoft to become a fast follower of other key players in the marketplace. This allows Microsoft to keep tabs on new technologies and concepts before utilizing their own resources.

Microsoft Contract Negotiation Tips

With any contract negotiation, you should conduct as much background research as possible. This will enable you to ask the right questions and you will also be able to understand the technicalities behind every contract. Here are the five essential tips to keep in mind during your Microsoft contract negotiation:

Don’t Review Renewal Negotiations as a One-Time Event

Your Microsoft account reseller will probably start thinking about the next renewal term before the current term even expires. Software asset management engagements and true-ups are the most common post-renewal events you should consider and you must negotiate and manage as diligently as possible.

Be Ready for an Audit

If you have not experienced an audit yet, be prepared for one soon. You should use your own tools and methods to validate compliance, establish accurate deployment counts, and skillfully interpret the terms and conditions of the licensing program.

Don’t Wait Until the Last Minute to Renew

Microsoft allows better pricing, offerings, and discounts if you renew your contract earlier in the quarter. So don’t miss out on the opportunity. Moreover, if you really want to lower the cost, be sure to understand how business requirements align with the standardized terms and which programs support your budget, technology, and business.

Validate Reseller’s Opinion on Licensing

Your seller may not be familiar with all of the ways to subscribe to Microsoft’s offerings. Use an unbiased person’s opinion to assist your team during the vetting process; aiding in constructing agreements that cost less and have higher utility.

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