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NetSuite targets UK VARs with ground-breaking program offering leading ERP cloud software and 100% margins

NetSuite UK SP100 Programme Offers Rich Margins, Recurring Revenue, Free Training, and Marketing Support

LONDON, UK—March 28, 2011—NetSuite Inc. (NYSE: N), a leading vendor of cloud-based financials / ERP software suites, today announced the NetSuite UK SP100, a new channel sales Programme targeting UK channel partners. The new program is designed to help channel businesses meet customer demand for modern cloud-based solutions while migrating away from their current reliance on on-premise business models. The UK SP100 Programme includes a 100 percent margin payment offer on first year license subscriptions, and incorporates the new "NetSuite SuiteStart Service," which includes programme fee waivers, free training, and comprehensive marketing support. Following its successful roll out in the US over the past year, this UK version of SP100 brings together all the components solution providers in the UK need to reinvigorate their businesses.

With UK resellers still facing a challenging economic environment and factors such as the increase in the rate of VAT, the SP100 Programme is an ideal solution to allay reseller frustration over declining revenue streams and sagging demand for legacy on-premise systems. The SP100 Programme and SuiteStart Service give UK channel leaders the perfect opportunity to take advantage of cloud-based business applications that are rapidly growing in popularity among organisations of all sizes. The programme's upfront 100 percent margin offer gives UK resellers the revenue to cover their initial investment in up-skilling to sell cloud computing services, helping them to break-even more quickly and build recurring revenue streams for the future. For more information about the NetSuite UK SP100 Programme, please visit /portal/sg/landing/sp100/main.shtml.

The NetSuite UK SP100 Programme breaks the mould of traditional on-premise revenue sharing. For qualified new customer transactions of 24 months or more, NetSuite UK SP100 partners realise the entire year-one software subscription revenue, enabling them to quickly recoup costs of sale and make a return on their initial equity outlay. The programme should be particularly attractive to Sage and Microsoft VARs in the UK who have not had an on-ramp to Cloud ERP, missing out on the most significant and disruptive shift in business computing since the advent of client server. Under the NetSuite UK SP100 Programme, partners will then enjoy 10 percent margin on all subsequent renewals, establishing a lucrative recurring revenue stream as the partners' NetSuite business grows. Based on a channel survey conducted by NetSuite in 2010, the solution provider community emphasised the importance of channel enablement as a criterion when selecting new vendors. The SuiteStart Service was created with this feedback in mind.

"The success of the SP100 Programme in the US has shown that resellers are ready to get into the cloud, but have found that many traditional software vendors have been slow in developing applications that take advantage of cloud economics," said Merrill Kindred, EMEA Channel Director, NetSuite. "The business landscape is changing rapidly and VARs can't ignore that more critical business processes are being transferred to the cloud. With this new programme, UK resellers can safely cover their investment in cloud technology and reinvigorate their business. It's the perfect opportunity to add cloud computing to their portfolio with minimum effort and risk."

The NetSuite UK SP100 Programme includes many of the key advantages previously available to channel partners, including commissions paid on customer collections. Most NetSuite customers prepay for service anywhere from one to three years in advance, meaning the revenue split for the entire period is available to partners as soon as it is paid. In addition NetSuite remains the only top-tier cloud computing ERP suite provider who pays channel partners for customer renewals, not just new sales. The key components of the NetSuite SP100 Programme include:

  • The option to realise 100 percent of a new customer's first-year revenue and 10 percent of renewals in future years. New partners may also choose NetSuite's conventional revenue-sharing agreements while enjoying the other benefits of the SP100 Programme;
  • The NetSuite SuiteStart Service, designed to give partners immediate mastery of the cloud, and a shorter horizon to initial customer wins;
  • Waivers of first-year programme enrolment fees for new channel partners (an immediate £2,750 value);
  • Free first-year training in the NetSuite sales training and methodology courses for up to three sales reps;
  • Comprehensive go-to-market support, including marketing templates, start-up leads, and access to on-going leads for top-performing partners;
  • A free NetSuite license for partners, in good standing, to use to operate their own business.

"The NetSuite SP100 Programme has provided us with a great platform in which to introduce ourselves to the cloud computing space," said Murali Reddy, Managing Director at Suprasoft. "The programme offerings gave us the opportunity to start reaping rewards straight away, whilst having the support and resources of NetSuite behind us."

"We have been a NetSuite partner for over six years, and during this time there have been significant developments in the focus of the channel and the support in place for partners, especially over the last couple of years" said Mike Risley, Commercial Director at Nolan Business Solutions. "The support and various benefits NetSuite provides to its partners have enabled us to take advantage of the cloud computing opportunity, whilst also attracting new partners to the cloud and helping to grow their business."

To join the NetSuite UK Channel conversation on Twitter, follow @NetSuiteAPACUK.

For more information about NetSuite Inc., please visit www.netsuite.com.sg.

NOTE: NetSuite and the NetSuite logo are registered service marks of NetSuite Inc.