According to Redmond Channel Partner:
As with BPOS and other Microsoft cloud offerings, the payouts are 12 percent for net-add seats and 6 percent in annual recurring fees. The 6 percent fee starts paying in the first year, making the first-year fees 18 percent.
As a partner you will only get those fees if your customer registers you as the partner of record when they sign up. Unfortunately, that is optional and not a mandatory of the sign up process. In fact, it’s a link that is tucked away off to the side.
The customer will be asked for the Partner ID of the partner of record. That’s not public information. So here’s what might happen. A customer wants to sign up after you’ve sold the concept of cloud computing. They go to the site. They go through the process. Even if they see the link and understand what it does, they won’t have your Partner ID, they’ll likely skip it, and pay Microsoft without you becoming the partner of record.
My suggestions for the people selling O365 (yes; I’m talking to you, sales people):
- Have your partner ID handy. Don’t make it public, because it is used for a few different things in the partner programs. Know what the ID is. Most MSFT partners have no idea what their partner ID is. You can find it when you log into the Microsoft Partner Network website.
- When your customer agrees to sign up, go out to them (or remote assist them) and walk through the sign up process. Think of it as “value added reselling”. You know what your partner ID is and you’ll know to hit that register partner link. If you’re not there, the customer is sure to miss it, or they’ll not be able to find/read your email containing the ID.
A customer can add or change a partner of record using the instructions on O365 online help. I’ve just done it for my subscription … giving one lucky partner in Galway all of a few cents per month.