The document discusses opportunities for increasing revenue and profits through Microsoft's partner network. It provides statistics showing that Microsoft partners earned $8.70 for every dollar Microsoft made in 2009, totaling $10.1 billion that year. Partners who invested more in their business achieved 28% greater revenue per employee and 68% larger deal sizes. The document also describes several Microsoft partner programs, including the Top VAR program and VAR Champions Club, which provide benefits like incentives, marketing funds, and support to help partners grow their businesses.

1. Opportunities to Increase
Revenue & Profits

2. Microsoft Partner Network

3. Partners Make More With Microsoft
For every dollar Microsoft made in 2009, its
The value of partner-to-partner activities
partners made $8.70 For themselves.1
= 2009 $10.1 billion
2007 $6.8 billion
The software and services subset made $4.43
In a study of the International Association of Microsoft Channel
Partners and its members’ business activity, IDC found the total
value of partner-to-partner activities rose from
$6.8 billion in 2007 to $10.1 billion in 2009.1
44% 56%
The compound annual growth rate in
22% this time was 22%
44% Of hardware sold 56% Of software sold
(by value) ran on (by value) ran on
Microsoft operating Microsoft operating
systems systems
3 Source: Partner Opportunity in the Microsoft Ecosystem - IDC white paper, commissioned by Microsoft Corp., March 2011

4. Partners Who Invest More, Perform Better
Companies investing more had Higher-investing partners had
28% greater revenue per employee 68% larger deal sizes
28% 68%
4 Source: Partner Opportunity in the Microsoft Ecosystem - IDC white paper, commissioned by Microsoft Corp., March 2011

5. Renew Your Microsoft Partner Network Membership
Retain your robust benefits and resources exclusive to
Microsoft Partner Network members
Is my organization due to renew?
1. Sign in to the Microsoft Partner Portal with your Windows
Live ID.
2. Click View Your Membership Account at the top of the
page to see your membership renewal date.
3. If the drop-down message indicates that you have 90 days
or fewer left in your membership, then it’s time for you to
begin the membership renewal process.
Yes, my organization is due to renew…
Get started by following this step-by-step guide
Please Note: The Program Administrator is the person authorized to complete your organization’s renewal.
If the Program Administrator is not accurate, please contact the Regional Service Center to update your
information so you can renew your membership.
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6. SMB Partner Engagement Framework
STRATEGIC IMPERATIVES
• Continue volume
growth in core
Reseller
Shared Coverage
Scale
revenue
Model with LAR
• Increase cross-sell 13
& upsell across Partners
MS stack
• Drive more growth BDM (10)
~600 Unique Partners
Champions Clubs
from top partners CCC 1:35 ratio
• Grow Cloud 286 350 partners cap.
VCC, CCC
partner capacity Partners
• Increase annuity
mix VCC PTM (10)
• Drive Emerging & 372 1:35 Ratio
Growth solutions
Partners 350 partners cap.
• Secure broadline
VAR revenue dTPAM (45)
Top VAR
• Drive attach to the 2200 1:60 ratio
Server Socket Partners 2700 Partner
• Increase annuity Capacity
mix
• Increase frequency
SBSC TPAM
• Drive geo (3)
coverage to recruit 699 Partners 1:250 ratio
Disti/Programmatic
and activate 750 Partner
channel around Capacity
VAR/Advisor
Core, Growth and
Cloud
MOSPA Advisors
7914 Partners Disti Only
Coverage
Unmanaged VARs
8114 Partners
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7. U.S. SMB Top VAR Program
Take your business to the next level
The U.S. Top VAR Program is designed to reward committed Microsoft Partners
while helping to increase their revenue and profitability.
Program Benefits
Expert Guidance Assigned Tele-Partner Account Manager
(T-PAM) support to expand your practice
Greater Incentives Increased channel incentives with
up to 25% on current rebates (Payout rates: 4%, 8% , 25% depending on
solution)
Marketing Development Funds (MDF) Marketing development funds to better
promote your services* ($500 per Program Period)
New Competencies Special subsidies to increase your Microsoft competencies
($150 in Exam Subsidy Funds)
Program Eligibility Requirements**
• 25+K SMB Open Revenue
• 4+ Minimum Transaction Requirements
• MPN Enrolled
*Must have at least one competency to receive MDF benefit
**Over 12 Month Eligibility Period as outlined in Program Guidelines, Terms and Conditions
https://partner.microsoft.com/us/TopVAR
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8. VAR Champions Club
Reap the rewards of being a
champion
The VAR Champions Club recognizes and rewards US partners for their impact in the SMB
market. It offers significant rebates, resources and support for members to take their
business to the next level.
Club Benefits
There are 3 program tiers, with benefits increasing by tier
• Microsoft Field Engagement
• VAR Champions Club Rebate
• Marketing Development Funds
• Business Investment Funds
• Practice Accelerators
• Ready-to-Go Customer-to-Partner Leads
“I think the SMB VAR • Technology Strategy Solutions Engagement
Champions Club is one of • Other community-specific offerings
the most progressive Club Eligibility Requirements
Microsoft programs. The first • Tier 1 –$100+K in SMB Open non-recurring, 20+
rebate check we received License Agreements, 2+ MPN Competencies
was awesome!” • Tier 2 ––$200+K in SMB Open non-recurring, 20+
License Agreements, 2+ MPN Competencies
Bryan Kuntz,
including 1 Target Competency
Vice President of Operations,
Intellicom • Tier 3 ––$400+K in SMB Open non-recurring, 20+
License Agreements, 2+ MPN Competencies
including 1 Target Competency and 1 Gold
Competency
For more information, simply visit: https://partner.microsoft.com/US/varchamps
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9. FY12-H2 Channel Top VAR Rebate Payouts
FY12-H2 Rebate Opportunity Matrix (Annuity Payout Rates on New Revenue*)
VAR 3% 7% 20%
(OV/OVC)
Top-VAR 4% 9% 25%
(OV/OVC)
6% 11% 30%
VAR Champions Club
(Open/OV/OVC)
1% (Open-L)
Enroll for Rebates at: http://www.oneview.ms/VAR/
* Rebate payout calculated on ERP, See Top VAR FY12-H2 Rebate Program Guidelines, Terms and Conditions for all Program Details.
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10. SMB Cloud Champions Club
Expand your cloud service horizons
The Cloud Champions Club gives US partners the support they need to grow
their cloud services business. It offers expert advice, resources and funds to help
your cloud business soar.
Club Benefits
There are 3 program tiers, with benefits increasing by tier
• Assigned Business Development Manager
• Technical Solution Professional Engagement
• Cloud Champs Practice Builder Toolkit
• Business Investment Funds
• Marketing Development Funds
• Promotional Incentives
“Membership in the Cloud
• Enhanced Operations Support
Champions Club is helping
• Other community-specific offerings
our business thrive… I can’t
imagine building a successful
cloud-based offering without
Club Eligibility Requirements
• Tier 1 –6+ active SMB customers and 150
being a member of the club.”
seats in total & Cloud Essentials or Cloud
Ken Klika, Accelerate
Director of Networking
• Tier 2 –16+ active SMB customers and 400
Services, BCG&Co
seats in total & Cloud Accelerate
• Tier 3 –40+ active SMB customers and 1000
seats in total & Cloud Accelerate
For more information, simply visit: https://partner.microsoft.com/US/cloudchamps
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11. The Annuity Opportunity
Consistent and Predictable Revenue Stream

12. SA Benefits: Comprehensive Benefits at Every Phase
New Version Rights Deployment Planning Services: *
Spread Payments* Desktop
SharePoint
Lync & Exchange
SQL Server
Public Cloud
Private Cloud
Extended Hotfix Support Developer Tools
Windows 7 Enterprise
MDOP – MS Desktop Optimization
Pack *
Training Vouchers *
24x7 Problem Resolution Support*
E-Learning
TechNet Subscription Through Software
Assurance Home Use Program
Cold Backup for Disaster Recovery
* Only available with Open Value licensing programs

13. Why should you care? Be the Trusted Advisor
• Sell Annuity and build customer loyalty
o Avoid customer shopping each transaction, secure customer for 3 years
o Annual payment and True-Up meetings open the door for sales conversations
o Become an administrator on your customer’s volume license site
• Services Revenue
o Predictable and budgeted software costs via annuity frees up money for services
o Always the current version – move to Plan and Deploy
o Deployment Planning Services benefit
o Under licensing opportunities – Software Asset Management (SAM)
o Year 4 and beyond software cost reduction

14. Customer Objection:
“Why should I buy Open Value? I don’t know when
a new version will release and isn’t it cheaper for
me to just buy Open ‘L’ licenses?”
• Software Assurance can actually help you save money and
reduce complexity
• Renewal Cost in Years 4-6 is ~40% less than Years 1-3
• Consider Open Value Subscription as lower cost alternative
• Customer needs to consider all SA benefits and consider
cost if bought separately

15. Tips for Positioning SA To Customers
• Quote and lead with Open Value
• Land the message of predictability for software planning & spend
• Know Software Assurance benefits; align to customer pain points
• Present 6-year analysis of OV vs. License Only + Re-Buy
• Monetize benefits and compare to buying separately
(training, consulting services, support)
• Compare Software Assurance to competitors’ maintenance
programs and point out that SA includes a more comprehensive
range of benefits
• Consider getting a License History Report from Microsoft

16. Customer Benefits of Open Value Licensing
1. Control of your Software Investment
• New versions of licensed software included
• Deploy software as needed
2. Simplified License Tracking
• Single agreement for all licenses
• Standardized desktops reduce license tracking
• Ability to add licenses to same agreement during years 2&3
3. Better Cost Management
• Predictable annual budget
• Cost benefit to standardizing company wide
• Reduced up-front costs
• Maximize SA Benefits

17. Annuity Benefits for Partners
1. Generates services opportunities
(deployment, training, development)
2. More customer budget available for services
3. Creates a customer for life
4. Opportunities for annual revenue stream
5. Recognition for Microsoft reseller programs
VAR CHAMPIONS CLUB and Top VAR Programs
6. Larger payouts for many back end rebates & incentives

18. Selling the Microsoft Stack
Increase your deal size

19.  Office is highest per seat revenue generator for licensing
 Server software drags hardware, storage, services, etc…
 Office compliments server products - it’s the glue!

20. Selling the Microsoft Stack
Quoting/Selling Add This Why Upgrade?
Microsoft Office 2010 Microsoft Exchange Server 2010 & CALs To take full advantage of Office 2010 features you need
Exchange 2010
Microsoft SharePoint 2010 & CALs Optimize collaboration with integration with Infopath &
document sharing & co-authoring
Microsoft Windows 7 Purchasing with office provides the Best Productivity
experience!
Windows Server 2008 R2 Microsoft Office 2010 Professional Plus Use the Server OS with the most current application
Microsoft System Center Essentials 2010 Virtualization management as well as physical server &
desktop management.
Remote Desktop Services (aka Terminal Services) Another way to provide desktop virtualization that scales
better to the SMB customer.
Microsoft Forefront Protection Suite Provides protection to server /desktop from viruses &
malware.
Microsoft SQL Server 2008 R2 Microsoft Office 2010 Professional Plus Take advantage of Business Intelligence features in SQL
2008 R2 you need Office 2010 (Excel). E.g. Power pivot,
Slicers etc…
Microsoft Windows Server 2008 R2 & CALs Take advantage of the ability to virtualization on your
server. Upsell to SQL Premium.
Exchange Server 2010 Microsoft Office 2010 Professional Plus If you don’t have Office Pro Plus you can’t take advantage
of email archiving, mail tips, multi-exchange mail boxes
etc.
Microsoft Windows Server 2008 R2 & CALs Take advantage of the ability to virtualization on your
server. Upsell to Exchange Premium.

21. Partner Resources / Next steps
1) Sign-up or Renew your Microsoft Partner Network membership!
https://partner.microsoft.com/
2) Connect with your preferred Microsoft authorized distributor:
https://partner.microsoft.com/40014697
3) Sign-up for the VAR Rebate program:
http://www.oneview.ms/VAR
SELL THE MICROSOFT STACK & WATCH YOUR PROFITS GROW!!