What is the New Commerce Experience (NCE)?

The way you purchase your Microsoft 365 Licences is changing. As part of the Cloud Solution Provider Program, Microsoft recently announced the New Commerce Experience (NCE) to transform the way customers purchase and maintain their Microsoft 365 licences. Originally launched in 2019 for Azure services, the NCE is a seat-based subscription model designed to streamline the buying process and provide long-term cost savings. It not only simplifies the buying process but also the selling process, as the NCE provides partners with new tools to help them manage subscriptions more effectively.

Microsoft is transitioning away from feature-specific programmes by introducing a new pricing plan, changing the way customers choose to buy. Customers now have the choice of a multi-year pricing plan, with the opportunity of securing up to a three-year plan. The other options include paying monthly, annually, or upfront. The size, scale, and requirements will now determine which pricing plan is the greatest fit for you as a customer.

The New Commerce Experience Timeline:

• 10th January 2022- The introduction of the NCE for Microsoft 365 products. This is the beginner period for both customers and partners, to get familiar with what the NCE is.
• 1st March 2022- This is the official launch of the NCE. All new and renewing subscriptions will now be purchased through the NCE.

What exactly does the NCE mean for you?

• Cost Savings- Despite the increase in prices for the monthly subscription, the long-term price locking allows those opting for the 12 month or the 3-year subscriptions to end up saving annually in the long-run. This is because they are immune to Microsoft’s annual price increases.
• Increased flexibility- The seat-based licencing gives customers the ability to scale according to the size of their business, allowing them to easily raise or decrease the seat count at any moment, depending on the pricing plan chosen. It also gives clients the option to choose how they would like to pay for their licences.
• Easier adoptions of new products- With various add-ons and new products, the NCE makes it easier than ever to make changes to your licences.
• Upgrade at any time- Business growth cannot always be predicted, and businesses may outperform the figures they predicted. The NCE allows customers to process an upgrade at any time, to help scale according to your business needs.

To find out more about the New Commerce Experience and how the changes will affect you, contact us today.