Introducing subscriptions
Subscription licensing (also referred to as OnDemand or SaaS) is becoming increasingly relevant in both the Boyum partner ecosystem and the industry in general. Processing subscription orders through the Boyum portal is part of our strategy for maintaining an efficient operation, with a clear impact on ensuring the best service to our partners. It also necessitates structured procedures that enable our partners to have more flexibility, transparency, and control over their customers.
Subscription is a licensing model in which a product is available for a certain number of users, during a predetermined period of time: 1 quarter or 1,2, or 3 years - the longer time of commitment, the cheaper the price. You can have as many subscriptions for a customer as you’d like, distributed on one or more SAP installation and system number(s). The customer display in the Boyum Portal gives you an overview of the entire user count.
The main benefits of subscription licensing are:
Flexibility: Order what your customers need when they need it! The new structure allows you to see the user count and duration for each subscription and to increase the number of users whenever needed, ensuring that your customer is covered with the right number of licenses at any time.
The initial subscription of a given product for a customer can be set for 1 quarter, 1 year, 2 years, or 3 years. Additional users can be included in the existing licenses, by booking upsell subscriptions.
Transparency: Prices* are related to the committed period: the longer the commitment, the better the price (individually for new subscriptions and upsells). Volume discount will apply based on Total Contract Value (TCV). Sign up for longer and get volume discounts on top of better prices. Prices are honored for the committed subscription period (individually for new subscriptions and upsells).
*We have sent out new prices in December 2019. They are available in the Boyum Portal: Shop > Price List for each subscription period.
Control: You can manage your customers’ subscriptions and control their license expiration, renewal periods, and new license orders as well as monitor subscription payment periods and amounts.
How to purchase subscriptions and FAQs
How to purchase? You can order subscriptions the exact same way as you order perpetual licenses from the Shop in the Boyum Portal. The user(s) will be available as soon as the order has been placed, according to the Subscription Start Date and you will not be invoiced until the last day of the month.
Go to the Boyum Portal and go to Shop > Purchase.
Select Purchase Software, find the customer in the drop-down menu and select Subscription.
Now, select the product and correct IN/SN from the list and click Next.
Select the date that you want the subscription to start. Please note that your users will be available from this date.
Select the duration of the subscription.
Select how many users you want to include in this subscription for each product. If you want to have more users for the specific product, but you don't want to order them right now, you will simply do an upsell later on. This will be a new subscription and run in parallel with this one with its own duration, price, and number of users.
If you want to proceed straight to the Cart, press Add to Cart/ Go to Cart. You can continue shopping if you want to include more products to the order for the same or other customers.
Please note that the immediate price for a subscription order will always be zero. The reason for this is that subscriptions are invoiced by the end of the month and every quarter going forward. If you add services or perpetual licenses to the Cart, the price will display as always.
If you have selected that the subscription should start on today's date, the users will be accessible as soon as you have completed the order. The users will work until the invoice has been paid in accordance with the due date printed on the invoice.
How can I see manage subscriptions? The license below consists of 4 users, which were booked from different subscriptions, having different durations. At this actual time, all 4 users are available. Go to Subscriptions to see the full overview.
When opening the subscription overview, you will see that 1 B1UP user is available for 36 months, whereas the additional 3 users are available for 24 months only. This means that if the 3 user subscription is not renewed, the total user count will be decreased to 1 after May 26th, 2022.
Subscriptions are renewed keeping the duration price and margin from the original contract, with the option to reduce the number of users. The blue bars under Duration provide a visual overview of the user distribution across time. Furthermore, you are able to see additional subscription information, such as the Total Contract Value (TCV), Remaining Contract Value (RTV), dates, order references, and more.
What is the price? The price for a subscription is based on the period (1 quarter or 1,2, or 3 years). You can always see the price in the Portal under Shop > Price List > Subscriptions. The price listed in the price list is per user per month. The price applies to all new subscriptions and upsell. Basically, an upsell is a new subscription and will be invoiced separately, but you will have a total user count for the respective license under the customer.
Under Subscriptions you will see that the monthly price is total of the entire subscription (all users included), meaning that your partner margin and volume discount/discounts (if any) have been deducted.
When are the users available? The users will be available on the selected start date. If you select a later start date, the users will not be available until this date. You can postpone the start date for up to 10 days.
How do I pay? You pay on a quarterly basis. An invoice is sent to you on the last day of the month of the respective subscription start date and each quarter from this very month. You will receive one invoice per customer. Therefore, the invoices will not be sent for each quarter (Jan, Apr, Jul and Oct), but based on the actual month of activation.
How about the margin and recognition? The total contract value (TCV) is based on the current price list valid for the selected product and period, and terms applicable for your respective partner program. You can add a subscription order to the Cart together with other orders and this way benefit from the volume discount. Partner points will be calculated based on the TCV.
What happens when the licenses are about to expire? If you chose to renew a subscription, the license will be extended for the period, price, and margin you originally signed up for. If not renewing, the licenses will not be valid after exceeding the expiry date.
Subscriptions are automatically renewed by default unless you actively select otherwise on the overview page. The cancellation period varies according to the duration of the subscription.