Annual Term on Annual Billing - New Commerce Experience (NCE)

Annual Term on Annual Billing - New Commerce Experience (NCE)


Annual Commitment with Annual Payment


The concept of Annual Commitment with Annual Payment refers to subscriptions that have an annual term (e.g., purchased on the 14th of January 2022 and then renewal date is 13th of January 2023) with an annual upfront payment of the subscriptions required. Please note that as part of the provisioning process, upfront payment of the annual invoice is required

Please note that once the cancellation window (7 Days) has passed, you are unable to adjust the billing frequency. 

Billing

The use/purchase of annual commitment with annual payment will result in an annual invoice being generated within 24-48 hours of the order being submitted; the invoice will be sent to your Accounts Department (based on the contact details stored within the PRISM portal). The provisioning of the new subscription will not occur until payment is made against the invoice and receipted by rhipe’s Finance Department (unless upfront payment exception arrangements have been previously made with rhipe Finance Department). The annual invoice will contain the charge for the full term of the commitment. Any increases to the quantity of the annual subscription will result in a new invoice being generated; the additional quantity invoice will show the term as per the original term; however, the line item will display as a pro-rata value containing the quantity change date to the end of the term.


For example: for a subscription order on the 16th of February 2022, with a 1-year term, you would receive an invoice with the term stated as 16th of February 2022 to 15th of February 2023; if a quantity increase then occurs on the 22nd of March to increase the quantity by 2, you would receive an invoice with the term stated as 16th of February 2022 to 15th of February 2023, however, the line item will display as 22nd of March 2022 to 15th of February 2023 and a billable ratio will be used to create the pro-rata charge value. 

Example #1 with no FX rates (AUD, JPY, NZD, KRW, USD): a product with an annual (12 months) price of AUD $900.00, that is provisioned on the 16th of February 2022 has an end date of the 15th of February 2023 with a quantity of 1; would receive a full term invoice using the calculation = Annual Price * Quantity = 900*1 = 900. 

Example #2, quantity increase with no FX rates (AUD, JPY, NZD, KRW, USD): a product with an annual (12 months) price of USD$200.00, that is provisioned on the 16th of February 2022 has an end date of the 15th of February 2023 with a quantity of 1; and then a quantity increase occurs on the 22nd of March 2022. Would receive two invoices. The first invoice for the full term using the calculation = Annual Price * Quantity = 200*1 = 200. The second invoice for pro-rata quantity change, where the calculation method is Annual Unit Price * Quantity * (Billable Ratio). Where a billable ratio is the number of days the subscription is active for in the term divided by the number of days in the term. Example 200*1*(329/365) = 180.20

Example #3 with FX rates (USD-to-Local Currency): a product with an annual price of USD$350.00,  that is provisioned on the 16th of February 2022 has an end date of the 15th of February 2023 with a quantity of 1; where the FX rate was 4.45 at the time of purchase. The annual invoice value would be (USD Annual Unit Price * FX Rate)*Quantity; for example $350.00*4.45*1= 345.55

Example #4, quantity increase with FX rates (USD-to-Local Currency): a product with an annual price of USD$100.00, that is provisioned on the 16th of February 2022 has an end date of the 15th of February 2023 with a quantity of 1; and then a quantity increase occurs on the 22nd of March 2022. Would receive two invoices. Where the FX rate was 1.45 at the time of purchase, and 1.32 at the quantity increase purchase time. The first invoice for the full term using the calculation = Annual Price * FX Rate * Quantity = 100*1.45*1 = 145. The second invoice for pro-rata quantity change, where the calculation method is Annual Unit Price * FX Rate * Quantity * (Billable Ratio). Where a billable ratio is the number of days the subscription is active for in the term divided by the number of days in the term. Example 100*1.32*1*(329/365) = 118.99


Provisioning Subscriptions

Within PRISM, either create a new tenant or use an existing tenant, select “Add New Subscription”


Within the Add Subscriptions page, ensure that the billing toggle is set to “Annual” so that only Annual products are shown.


Using the Filter Products search bar search for the product you wish to order.

Note: NCE Products will be identifiable by having “NCE Product” in the product name or the Product SKU ID will have a “:00” within it.



Update the quantity to match the quantity you would like to order. This action will update the Order Summary on the right-hand side to show the total monthly value of this order.


Once product quantity and pricing are confirmed, select the I acknowledge check box, then select “Submit Order”.


In the top right-hand corner, you will be presented with several notifications as the subscription prepares for invoicing.


The order will then be visible under the “Pending Order” heading on the Manage Tenant screen.


Within 24 hours an invoice will be sent to your Accounts Team for payment. Please note that prepayment is required before provisioning can be completed. 


Once the invoice is paid, your subscription will move to a provisioning state with Microsoft, and once the provisioning is completed, you will be able to see the subscription listed as “Active” under the Manage Subscription page, and “active” under the Manage Tenant page.




Managing Subscriptions

For subscription under Annual Commitment with Annual Payment, the only form of management functionality is to increase the quantity against the subscription.

Increasing Subscription Quantity 

To increase the quantity, navigate to the tenant and select Manage next to the subscription requiring a quantity increase.


Use the plus icon to increase the quantity to the desired new quantity.


On the right-hand side of the screen, an Order Summary will appear with the estimated value of the quantity change invoice. Please note that the quantity change invoice will be a pro-rata invoice from the date of the quantity increase request until the end of the subscription term.



Once product, quantity and pricing are confirmed, select the “Update Quantity” button.


A job will then be lodged with Microsoft to provision the change, in PRISM you will see the below notification whilst this job is occurring, and all change options will be greyed out.


Once completed, the job notification will be removed from the Manage Subscription page, and the quantity will be adjusted on the Manage Tenant and Manage Subscription screens.

Suspending Subscriptions

To suspend a subscription, navigate to the tenant and select Manage next to the subscription requiring suspension.

Note: Suspension pauses the subscription in PRISM and Microsoft Partner Centre, but the billing of the subscription will continue until the end of the term.

Under the Manage Subscription page, select the “Suspend Subscription” button

A job will then be lodged with Microsoft to provision the change, in PRISM you will see the below notification whilst this job is occurring, and all change options will be greyed out.

Once completed, the job notification will be removed from the Manage Subscription page, and the subscription will no longer appear under the “Active Subscriptions” section of the Manage Tenant screen.

You will be able to turn the “Show Only Active Subscriptions” toggle off to see all suspended subscriptions. Under the Subscriptions section, the suspended subscription will be displayed with the status as “Suspended”.


Resuming Subscriptions

To resume a previously suspended subscription, navigate to the tenant, and turn the “Show Only Active Subscriptions” toggle off to see all suspended subscriptions.


Then select “Manage” next to the subscription you require to resume.

 

Under the Manage Subscription page, select the “Resume Subscription” button.


A job will then be lodged with Microsoft to provision the change, in PRISM you will see the below notification whilst this job is occurring, and all change options will be greyed out.

Once completed, the job notification will be removed from the Manage Subscription page, and the subscription will now appear under the “Active Subscriptions” section of the Manage Tenant screen.

Cancelling Subscriptions

To cancel a subscription, navigate to the tenant and select Manage next to the subscription requiring cancellation.


Under the Manage Subscription page, select the “Cancel Subscription” button.

Note

Subscription will go straight to cancellation if the subscription is being cancelled within the 7 day window.
Subscription cannot be cancelled after the 7 day cancellation window, it can only be suspended.


On clicking the “Cancel Subscription” button, you will be presented with a popup box asking for your confirmation on the cancellation.

On selecting “Yes”, A job will then be lodged with Microsoft to cancel the subscription, in PRISM you will see the below notification whilst this job is occurring, and all change options will be greyed out.


If a cancellation is requested after the 7 day window, “Cancellation” is not possible for an annual commitment. Subscriptions can be suspended anytime using the suspend button after the 7 day cancellation window.













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