By Andrew Karasev
This is probably one of the most delicate questions, we are discussing on the internet. As you probably know that in order to get access to purchasing new modules for Microsoft Great Plains – you need to be on annual maintenance program – this program ranges from 16 to 25 percent of the software price list. 25 percent or Standard B plan gives you unlimited number of support cases you can open per year. In this small article we will be going to the point where Microsoft Business Solutions VAR has a room for the software price negotiation.
• Los Angeles Syndrome. The Microsoft Business Solutions VAR competition in Los Angeles/Southern California area is fabulous to be very harsh. And potential customers got some benefits here by pushing down software price – trying to feel what is VAR software margin and cut it 50% and even higher
• Normal Negotiation. Regular Certified Microsoft Business Solution Partner Microsoft Dynamics GP Software margin is from 35 to 52 percent and as you can imagine – this is your room for the negotiation. However – for off-Los-Angeles VAR the more you negotiate – the less interest VAR has in selling and implementing your MRP. One of the reasons probably to mention – ERP MBS VARs consolidation – when mid-size and large Auditing companies acquired technology and IT consulting forms in the beginning of the 21st century
• Other Channels. Microsoft CRM is usually sold through CDW or other provider nationwide. This means that even software reseller/MBS partner in Houston has to resell the product through the nationwide distributor
• Certification Requirements. This is the message for end customer. We – Microsoft Business Solutions VAR/Reseller/Partner had to invest a lot of funds and management time into our consultants certifications to be able to sell you Microsoft Dynamics GP-AX-NAV-CRM products
About the Author: Andrew Karasev is Chief Technology Officer at Alba Spectrum Technologies ( http://www.albaspectrum.com http://www.greatplains.com.mx http://www.enterlogix.com.br ) - Microsoft Business Solutions Great Plains, Navision, Axapta MS CRM, Oracle Financials and IBM Lotus Domino Partner, serving corporate customers in the following industries: Aerospace
Source: www.isnare.com
