Microsoft has announced a change in how customers purchase and manage their licenses through their Cloud Solution Provider (CSP) Program. The program is called Microsoft New Commerce, or NCE. 
Microsoft intends to reduce complexity and provide cost savings for long-term commitments.

As an MSP, you will now have 3 billing terms with NCE:
Monthly, Annual, and Tri-Annual. One can opt for any of these or even a combination of these plans, which makes reconciliation even a bigger challenge. 

Fortunately, Zomentum Connect can manage it end to end.

The 3 billing terms are:


1 - Month Subscription

12 - Month Subscription

36 - Month Subscription

Billing terms

Monthly

Monthly, upfront

Monthly, Annual, Upfront

Commitment

Flexible

Fixed

Fixed



Microsoft NCE gives you another advantage: You now have the possibility to combine subscriptions based on the commitment terms.


This adds an extra layer of complexity in managing the contracts/agreements as an MSP.


This also means that partners need to map the same M365 product to different services based on term duration. 
For example:


Microsoft 365 Business with 1-year commitment maps to Service M365 Business (Yearly)

Microsoft 365 Business with 1-month commitment maps to Service M365 Business (Monthly) 



Zomentum Connect solves this complexity for you. 
For Legacy CSP customers, all new subscriptions are already being made on NCE since March 1st 2022. 
And Microsoft will keep pushing for the change.

TABLE OF CONTENTS


How to switch from Microsoft CSP to NCE?


  • Open the Microsoft contract of your customer.

  • Click the “Enable NCE support” button



  • Acknowledge the change! Please be aware this change can’t be reverted once you press “Yes”.



  • We automatically calculate the yearly/monthly plan and show it in the overview table:


  • The plan is automatically calculated based on the dates we obtain..
    You can check and change this if needed in Configure section:

  • After activating Microsoft NCE, you need to configure the service mapping once:


    Note: If you have migrated from Microsoft CSP to Microsoft NCE, you can now even reconcile your licenses with Zomentum Connect. This includes licenses for Microsoft 365, Dynamics 365, Power Platform, and Windows 365 offers, plus associated add-ons.

How to manage Microsoft NCE subscriptions with different renewal dates.


With Microsoft NCE it is possible that you have multiple subscriptions with different renewal dates for the same end customer.  

To manage subscriptions with different renewal dates, we recommend creating different contracts.

- Enable NCE

- Select the end customer  in the contract wizard for the new contract:

- Select Microsoft NCE: Create contract for each product billing plan.

 

Based on the renewal date we create different contracts.

All the Monthly subscriptions are combined in one Contract.

The Yearly subscriptions are combined based on the renewal Month.