Cloud Adoption Profitability Playbook for Partners

1 Cloud Adoption Profitability Playbook for Partners microsoft Partner Network Cloud Adoption Profitability Playbook Objectives To share the opportunities and best practices for driving Adoption of microsoft Cloud services To provide tools and resources for Partners to realize increased Profitability through IP (Intellectual Property) Services, Managed Services, and Project Services business models Contents Cloud Adoption Profitability Best practices & scenarios Drive Office 365 ProPlus Adoption CRM Online Playbook for Partners Cloud customer engagement process Drive Exchange Online Adoption Improve sales and customer service Drive OneDrive for Business Adoption with CRM. The Partner opportunity microsoft Selling and Consumption Process Drive Skype Adoption Drive Dynamics CRM Online Adoption Why drive Adoption and customer lifetime value?

2 Best practices for driving Adoption of Cloud Drive Yammer Adoption services Windows Across microsoft Cloud Partners are evolving their business . models microsoft Azure Devices-SMB and Enterprise Pillars of customer lifetime value strategy (CLV) Cloud ready, Cloud first with microsoft Windows Across microsoft Devices Why microsoft . Azure for the enterprise Tactics for keeping end customers loyal Cloud ready, Cloud first with microsoft Adoption Resources Office 365 Azure for SMB. MPN Cloud Services Partner Dashboard Modernize the workplace with Office 365 Enterprise Mobility Suite (EMS) Digital Partner of Record Drive Office 365 Adoption Enable a mobile and remote workforce Key Adoption tools for Cloud services with EMS. This module provides microsoft 's suggested approach for informational purposes only.

3 microsoft makes no warranties, express, implied or statutory as to the information in this module. Results may vary. The partner opportunity Cloud Adoption is achieved when customers use the service on a regular basis, realize the value of the service, and the service becomes critical to their daily lives and work. By focusing on driving Adoption you can: Use the Cloud to Increase customer Grow and extend create a continuous satisfaction, retention, your opportunities revenue stream and loyalty with customers This module provides microsoft 's suggested approach for informational purposes only. microsoft makes no warranties, express, implied or statutory as to the information in this module. Results may vary. Why drive Adoption and customer lifetime value? Key insights It costs 7X more to acquire a A 5% increase in customer Customer Profitability tends new customer than retain an retention can increase profits to increase over the life of a existing one!

4 By 25% retained customer Source: Bain & Company Source: Bain & Company Source: Leading on the Edge of Chaos, Emmet Murphy & Mark Murphy This module provides microsoft 's suggested approach for informational purposes only. microsoft makes no warranties, express, implied or statutory as to the information in this module. Results may vary. Cloud Partners are evolving their business models Find the right combination of business models for short term Profitability and cash flow and longer term valuation by increasing average gross margin (AGM). IP Services Value based, unique UP. Packaged Product Services Managed Services Recurring Revenue Billable packaged services Solutions & Services, as a service Project Services Recurring revenue Cloud consulting services Work-for-hire and break/fix Product solutions Online services Billable hourly-rate services Devices & accessories 5% 35% 45% 65%.

5 AGM AGM AGM AGM. This module provides microsoft 's suggested approach for informational purposes only. microsoft makes no warranties, express, implied or statutory as to the information in this module. Results may vary. Why microsoft microsoft offers a comprehensive, differentiated suite of Cloud services that customers want and trust. With these services, you can streamline your offerings across a platform that provides customers choice and flexibility to solve their business challenges and achieve real outcomes. Productivity Database Platform Business Applications Infrastructure Critically important: This module provides microsoft 's suggested approach for informational purposes only. microsoft makes no warranties, express, implied or statutory as to the information in this module.

6 Results may vary. Best practices and scenarios Cloud Services: Office 365, microsoft Azure, Enterprise Mobility Suite, CRM Online, Windows Devices Cloud customer engagement process 1. Sell It Right 2. Deploy 3. Drive Usage 4. Grow & Extend Close every deal with a viable Make the service available to use. Identify business scenarios, create Validate value delivered and drive deployment & Adoption Plan in Deployment includes remediation an Adoption plan, launch the both the addition of new users place, including a clear path for of the customer's infrastructure program, measure, and iterate. A and the implementation of new the customer to fully utilize the and integration with the Cloud comprehensive usage plan will workloads and scenarios across solution service include executive support the organization Customers must incorporate the service into their daily lives to realize value.

7 Adoption represents a state of satisfaction with the service and sustained usage over time. This module provides microsoft 's suggested approach for informational purposes only. microsoft makes no warranties, express, implied or statutory as to the information in this module. Results may vary. microsoft Selling and Consumption Process 1. Sell it Right Develop Strategy Prove Close every deal with a viable deployment & Adoption Value Plan in place, including a clear path for the customer to fully utilize the solution Quality Leads 2. Deploy Make the service available to use. Deployment includes Negotiate Create Terms remediation of the customer's infrastructure and Leads integration with the Cloud service microsoft Selling Process Assess microsoft Consumption 3. Drive Usage Process Ready Identify business scenarios, create an Adoption plan, Upsell/.

8 Launch the program, measure, and iterate. A Cross-sell Onboard comprehensive usage plan will include executive support Renew Identify new 4. Grow and Extend services or users Report Manage Usage Progress Validate value delivered and drive both the addition of new users and the implementation of new workloads and scenarios across the organization This module provides microsoft 's suggested approach for informational purposes only. microsoft makes no warranties, express, implied or statutory as to the information in this module. Results may vary. Best practices for driving Adoption of Cloud services People Hire a customer success manager to look after the customer's usage, look for opportunities to cross-sell and upsell new services and build plans to ensure customers are adopting and deploying the services they have purchased.

9 Create train the trainer sessions with super users and IT staff. These engagements tend to increase satisfaction and Adoption . Process Assign a Cloud business owner on the leadership team of the customer to get all different parts of the business aligned and excited about adopting the new technology you are implementing. Reward customer retention and loyalty renewals, product and services attach. Infuse a customer focused strategy and culture. Technology This module provides microsoft 's suggested approach for informational purposes only. microsoft makes no warranties, express, implied or statutory as to the information in this module. Results may vary. Best practices for driving Adoption of Cloud services People Understand your customer's business pains and needs to drive usage by helping them solve those business pains.

10 Sell it right and take a staged approach to Cloud deployment to increase Adoption rates. Build a customer Adoption plan that includes goals, expected outcomes, Adoption metrics and rollout projects. Process Add managed services to your offering and become your customer's outsourced IT. department. Increase customer value by identifying upsell and/or cross-sell opportunities and next logical purchases. Leverage microsoft Cloud roadmap to introduce new opportunities. Create customer evidence stories that help your customers understand how others are Technology adopting and using this technology. This module provides microsoft 's suggested approach for informational purposes only. microsoft makes no warranties, express, implied or statutory as to the information in this module.