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Not Ready to Max Out Your Credit Card for Microsoft Consumption?

Can your credit card handle the Microsoft Cloud bills, and does it allow for growth?
Ernst Veen
October 23 2018

Yes, sure you want to consume Microsoft’s cloud – at SaaSplaza, we fully understand your enthusiasm for the power of Azure, Dynamics, Office, PowerBI, SharePoint, Skype and the like. However, can your credit card handle the Microsoft Cloud bills, and does it allow for growth? Are you looking for a more sustainable and easy way to receive your invoices?

It’s not hard to imagine a situation where you're using Microsoft’s cloud services, and you are purchasing this via a credit card, but credit card billing can be a nightmare for the Financial department. How can they consolidate, not to mention expense, the license cost? What happens if the credit card is maxed out? Can you make up for the difference in exchange rate?

Of course, you can buy on an invoice, but then you don't get the discounts. The best answer is CSP. CSP stands for Cloud Solution Provider and the CSP program enables Microsoft Partners to sell Microsoft’s cloud services to its customers.

CSP is more than a licensing program. The CSP model is designed for the Partner to add value to its customers’ cloud experience via support, billing, flexibility and advice. With the CSP program, a customer effectively has a buy, or pay, as you go consumption arrangement via the Partner.

Under the CSP program, a Microsoft Partner simply bills their end-customer via a Partner invoice and in the local currency.

Why would the end-customer prefer an invoice instead of the direct billing via a credit card?

  • Consolidation of Cloud cost is easier with an invoice.
  • List pricing for subscriptions is more expensive.
  • Credit card payment doesn’t allow for committed consumption (if the customer prefers a longer-term commitment).
  • Risk of exceeding the credit card limit, which could eventually result in suspension of your cloud services.
  • If the credit card expires or gets lost, there’s a lot of administration to change this for the subscriptions. 

From the above, it is obvious why customers should avoid using a credit card as the default and long-term solution to pay for Microsoft Cloud, but there are also some interesting benefits for Partners attached to work in CSP for their customers:

  • Serving your customers the best way: the benefits of an invoice vs. credit card.
  • Centrally manage all subscriptions for your customers with monthly consolidated invoices.
  • Automated Microsoft recognition as Digital Partner of Record. With a credit card payment, you need to manually add your company as DPOR. 
  • By working with an Indirect CSP provider, like SaaSplaza, the Microsoft Partner can reap the benefits of the CSP program and keep serving their customers the best solutions, while the risk and hassle of being a Direct CSP is taken care of.

Do you still use a credit card to consume Azure, Dynamics, Office, etc. and are you looking to improve? Contact SaaSplaza!

 We will review your current consumption, predicted growth and offer you competitive pricing – both if you are an end-customer or Partner with Microsoft. On top of the competitive pricing, we offer additional services that maximize the benefits of the cloud investments.

Contact the SaaSplaza team today!

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