Promotions in NCE

Microsoft supports promotions in CSP NCE sales motion. Promotions have varying discount amounts and durations. Microsoft makes available Microsoft 365, Dynamics 365, and Power Platforms promotions in the new commerce experience for different products. 

Supported promotions
Microsoft will support the following new commerce promotions:

Percent-off a subscription

• Promotions can be implemented as a percentage off a given subscription (monthly, annual, or multi-year).
•  Example: Price reduction by percentage off on given monthly or annual subscription price subscription.
  For each promotion, there will be additional guidelines regarding the following:

 Minimum and maximum quantities allowance

• Promotions can specify a minimum or maximum seat allowances.
• Minimum: Promotion can be applied to purchases of x or more seats.
•  Maximum: Promotion can be applied up to a maximum quantity of seats. Seats beyond the allowed quantity will be at regular price.
• Promotion eligibility checks will determine if a product SKU purchase is valid. If the purchase goes beyond the maximum, for example, the transaction will be determined ineligible, and the transaction won’t include the promotional discount.
• Seat increases will also enforce maximum constraints. Partners who have acquired a subscription-based on promotion with a maximum constraint will only be able to add seats under that constraint.

New customer eligibility

• Current new commerce promotions support confirming whether a customer has an active subscription to a product.

Add-ons

• Promotions will be individually applied to both primary offers and add-ons.

Promotion term

• Promotions that are acquired will be applicable for the duration of the term being purchased. If a partner purchases an annual term subscription, the promotion price will exist for the entire term. Seat increases during the term will respect the promotion applied for the duration of the subscription’s term.

Redemption limits

• Some promotions will have a redemption limit defined which allows only for a certain number of times a promotion can be acquired for a customer. This limit is respected at the customer level regardless of how many partners the customer might have.

Promotions based on existing products

• Some promotions will be available only if a customer has an existing product. If the customer has the products defined in the eligibility rules, the promotion will be applied to the purchase.

Geography restrictions

• Geographic restrictions are based on customer country. This information will be included in the promotional details.

Promotions can be restricted to specific purchase events

• Current new commerce promotions support only new subscriptions and renewal events.

New commerce promotions will automatically be applied if the partner’s customer is eligible. Partners have two important resources to understand which promotions are available: the Global Promo Readiness guide and the ‘getPromotions’ API. Partners can use these resources to understand which promotions are available and specifics concerning eligibility. Promotions will be explained in terms of discount percentages, not final price amounts. Microsoft partners are expected to pass the discount amounts through to their customers.

The wholesale partner margin percentage won’t be affected by applicable promotions. Incentives are earned based on wholesale pricing net of discounts or promotions. See the Partner incentives program page for further details.

Note! Products purchased for a term with a promotion will lock in that price for the remainder of the purchased term. If a partner purchases an annual term with a promotion, the price would be the UnitPrice* the percentage discount. This EffectiveUnitPrice holds true until the end of the term. Any additions to seats during this term will be at this EffectiveUnitPrice for the current term.
A subscription renews to the promotion discount price unless the promotion duration has passed, in which case the renewal will revert to the nonpromotion price.