How to mitigate the upcoming Microsoft 365 price uplift
Office 365 shall be more expensive from March 2022.
Microsoft 365 Business Basic – from $5 to 🔺$6 per user (20%)
Microsoft 365 Business Premium – from $20 to 🔺$22 (10%)
Office 365 E1 – from $8 to 🔺$10 (25%!)
Office 365 E3 – from $20 to 🔺$23 (15%)
Office 365 E5 – from $35 to 🔺$38 (8.6%)
Microsoft 365 E3 – from $32 to 🔺$36 (12.5%)
Notice no increase (again) on Microsoft 365 E5. For how long?
A typical share of Office in SAMexpert's customers' budgets is about 70%. That means that, unless you are on M365 E5, your Microsoft budget will grow by about 7-8% even without them trying (their sales target is a 15-20% uplift).
If you renew your Enterprise Agreement before March, you're in luck, for you can lock your prices for three years. We always suggest ordering at least one license upfront, so the price is locked.
On the other hand, Microsoft also understands it, so I'd expect their salespeople to be more reluctant to agree to substantial discounts.
If your renewal is later than March 2022, prepare for a more laborious negotiation if you aren't ready to spend more on software and services after the two rough years.
Most importantly, don't worry. There are multiple ways to mitigate it. If you want to talk about it, message us at any time.
How does it make you feel? Is this the right time for Microsoft to pressure customers, especially considering its impressive financial results? (discuss here)