12 Tips to Drive Office 365 and Cloud Sales

1. CLD02 Ro Kolakowski Company Partner 6th Street Consulting MPN partner since 2006 SharePoint Office 365:12 Things VARs Can Do To Be Successful Online Steve Pickle Partner Monitor Group Evan Richman Sr. Product Manager Microsoft Corporation Lisa Slim Microsoft Alliance Business Manager Hewlett-Packard MPN partner since 1989 HP Enterprise Business

2. What is this Session About? In this session you will… • Learn about the bottom line benefits of adopting Office 365 • Get 12 specific tips to drive Office 365 and cloud sales • Hear about 3 specific tools to help with Office 365 and the cloud

3. Not all VARs are the Same… • But they all have good reason to adopt Office 365… • Time & Materials (T&M) /Traditional • MSP/T&M • Hybrid • Solution • Cloud-Specialist • Embraces cloud through process of becoming Hybrid or Solution VAR • Migration builds on competencies in customer support • Resell, deploy and service premise-based hardware & software • Typically on hourly, as-needed basis • Sells Office 365 as a complement to managed services offering • Emphasis on monthly managed service contracts • IT outsourcing and/or traditional premise-based solution deployment • Customized software solutions (e.g., CRM, SharePoint) • Service expansion on a project or ongoing contractual basis • Sells Office 365 to expand solutions that can be used to build custom services (e.g., add Exchange expertise) • Exclusively resells cloud solutions, making Office 365 a natural fit for platform offerings • Resell cloud solutions • Custom development on cloud platforms (e.g., Azure) greater emphasis on traditional reselling greater emphasis on consulting and customizing off-premise Product/Service Focus

4. …And Doing So can Provide Margin Lift Year 1 Sales Recurring Sales – Beyond Year 1 Operating Margin T&M VAR MSP Mixed Model VAR Solution VAR Operating Margin T&M VAR MSP Mixed Model VAR Solution VAR Operating Profit $17.2k $16.2k • $30.1k • $30.5k $10.9k $15.5k Operating Profit $12.0k $12.5k • $23.9k • $25.7k $3.3k $5.3k Premise Based Office 365

5. Move Away from Lengthy Premise-Oriented Sales Process Avg. Time • Inhibitors to cloud service sales • Example opportunity accelerators Accelerated time Stage Current 100 Seat • 2 weeks Variable Targeting & Lead Qual. • Implement a structured approach to identify and qualify leads • No standard lead qualification process • 2 weeks 2 weeks Initial Convo/Sales Hooks Synchronize initial cloud conversation with early stages of refresh planning • Providing customer options instead of recommendation • 2 weeks 2 weeks Customer Education Focus on educating customers and building evangelism inside the clients • Waiting to have cloud discussions until customer is consideringrefresh/upgrade • 2 weeks 4 weeks Product Demo Provide "pre-demos" during customer webinars • Starting customer on 30-day trial or providing repeat demos 1 day 1 day 2 days 2 days Quote Prep. Sell on financial value and scalability • Treating Office 365 as investment similar to premise purchase Deal Closing ~11 weeks 6 weeks

6. We Have Identified 12 Steps to Help You During Each Phase of the Sales Cycle Avg. Time • Example opportunity accelerators Accelerated time Stage Current 100 Seat • 2 weeks Variable Targeting & Lead Qual. • Implement a structured approach to identify and qualify leads “ With cloud, the cost is so much cheaper than what you would pay for on-premise; it makes it very attractive.” “SMBs want to be up to date, but not necessarily cutting edge. ‘The cloud’ can seem daunting…” “SMBs need to witness organizations around them making the transition. Very few people want to be on the bleeding edge.” “The cloud is transformative. It is not a matter of if, but when. It is a decision based on business value, not technology.” • 2 weeks 2 weeks Synchronize Customer Transitions Assess Customer Readiness Sell On Familiarity Seed Customers Optimize Customer Interaction Engage Beyond IT Develop Cloud Experts Scale Customer Education Promote Lighthouse Wins Initial Convo/Sales Hooks Synchronize initial cloud conversation with early stages of refresh planning Demonstrate Thru Execution Sell On TCO (Value) Start Small…Scale Fast • 2 weeks 2 weeks • Designate one employee to serve as point of information for cloud • Leverage deep knowledge to answer customer questions/concerns • Hold regular Webinar demos for customers • Conduct customer education with multiple customers at once • Provide examples of cloud solutions used by similar size companies • Leverage existing cloud customers as references • Get the customer up and running as a way to experience Office 365 • Decrease sell time thru concept of lower upfront investment • Provide TCO and long-run savings statistics • Introduce the economics of a subscription based service • Provide phased roll out of Office 365 • Ease customers transition to operating expense model • Conduct cloud conversations during refresh planning • Incorporate cloud expansion with other changes • Emphasize similarity of front end UI • Decrease concern of need to learn new system • Engage BDMs and ITDMs in conversation • Reinforce technical advantages and business value of cloud solutions • Develop customer heatmap scoring system • Prioritize Leads based on • Readiness • Awareness • Ability • Maintain relationships for the eventual conversion • Drive check-ins and educational conversations • Coordinate conversation with existing maintenance visits • Leverage knowledge of customer business Customer Education Focus on educating customers and building evangelism inside the clients • 2 weeks 4 weeks Product Demo Provide "pre-demos" during customer webinars 1 day 1 day 2 days 2 days Quote Prep. Sell on financial value and scalability Deal Closing ~11 weeks 6 weeks

7. Office 365 Partner Resource Kit Sales Best Practices and Tip Sheet Lead Qualification Scorecard Starter To-Customer HooksAnd Messages • Easy Ways to start conversations with your customers 12 key best practices to accelerate sales Questions you can use as a starting point

8. An Opportunity Mapping Tool • Partner Type • Alternative Solution • Customer Relationship • Seats • Inclusion of Office CAL • 365 Version • Price per Seat • Attach Services

9. Three Key Takeaways After today you should… • Model the bottom line impact of Office 365 on your business • Identify specific actions you can take to drive Office 365 and cloud sales • Get specific tools to help with Office 365 and the cloud

10. Office 365 Go Do’s QuickStart for Microsoft Online Services: A partner onboarding experience www.quickstartonlineservices.com Enroll In Cloud Essentials Learn About Office 365 Determine How You Fit Build An Attached Service Business At WPC After WPC Moving Forward

11. © 2011 Microsoft Corporation. All rights reserved. Microsoft, Windows, Windows Vista and other product names are or may be registered trademarks and/or trademarks in the U.S. and/or other countries. The information herein is for informational purposes only and represents the current view of Microsoft Corporation as of the date of this presentation. Because Microsoft must respond to changing market conditions, it should not be interpreted to be a commitment on the part of Microsoft, and Microsoft cannot guarantee the accuracy of any information provided after the date of this presentation. MICROSOFT MAKES NO WARRANTIES, EXPRESS, IMPLIED OR STATUTORY, AS TO THE INFORMATION IN THIS PRESENTATION.