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Knowledge Base

Customer Purchasing Program - Program Definitions and Policies (71392)

Last Updated: 8/27/2019Categories: InformationalTotal Views: 11610Language:
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This article provides program definitions and policies for VMware's Customer Purchasing Program.

Solution

Program Definitions

Customer Eligibility
To receive Customer Purchasing Program benefits, it is important that customer chooses the appropriate eligible products at the time of placing the order.

Partner Eligibility
Provided they are in good standing and are purchasing VMware branded products through a VMware Authorized Distributor, the following partner types may offer their eligible customers the benefits of Customer Purchasing Program: Corporate Reseller, Global System Integrator, OEM Corporate Reseller, Premier, and the Enterprise level of Solution Provider, System Builder, Technology Provider partners.
Distributors and Resellers are restricted from using Customer Purchasing Program to order products for internal consumption

Product Eligibility
Most VMware license and SnS products, except renewals, contribute towards customer qualification in Customer Purchasing Program. However, discounts are only applied to the license portion of a customer’s purchase. Services and SnS renewals are excluded from discounting under the program.

Points
VMware has established and maintains a Customer Purchasing Program point value for each available and eligible VMware product. For most products, one point is roughly worth $100 USD or a similar amount in local currency. Point values may vary.
The list of products and points can be found using the Customer Purchasing Program Configurator. Points cannot be redeemed for VMware products or services. The point value of a given product is the same across all geographies. Points are rounded up to the nearest whole point. Points may deviate from our guideline for promotions.
For example, vSphere Enterprise Plus is worth 36 VPP points no matter where, or in what currency, the product was purchased.

Minimum Purchase Requirements
To qualify for a Customer Purchasing Program discount, a minimum purchase of 250 points or greater is required. Once a customer has qualified for a discount, it is only for one time.

Discounts
Discounts are only offered for the license portion of the purchase. There are 3 tiers of discount for which Customer Purchasing Program members may qualify. As illustrated in this, Tier 1 (T1) represents the entry-level discount, with Tier 3 (T3) representing the highest level of discount offered in Customer Purchasing Program:

How Points Translate to Discounts?
To qualify for discounts, Customer must submit a PO worth 250 points or more. The points earned on this initial order will determine the discount tier for which the customer is eligible.

Purchase Date

Points

Discount Level

6/1/2019

300

T1

5/25/2019

600

T2

Customer Purchasing Program SKUs
A SKU is a number or string of alpha and numeric characters that uniquely identify a product. VMware provides SKUs to our channel partners that will facilitate the PO process when using the Customer Purchasing program. SKUs are available for most VMware License products and must be used on a PO in order to qualify for Customer Purchasing Program discounts when ordering VMware license products. Partners and customers can use the Customer Purchasing Program configurator tool to determine the appropriate SKUs for a given customer’s order.

Discount Flow
VMware does not set final prices or payment terms for licenses acquired through its resellers. Final prices and payment terms are determined by agreement between the customer and its reseller. VMware is not accountable if a reseller chooses not to pass on the Customer Purchasing Program discount. VMware reserves the rights to change the terms and benefits of the membership at any time, for any reason.

Tools
Customer Purchasing Program has the following tools:

Configurator—Online tool to determine eligible discounts and the appropriate Customer Purchasing Program SKUs to use on a PO. The configurator is accessible to Customer Purchasing Program customers via the Customer Purchasing Program landing page.

Purchase Order Requirements
To expedite Customer Purchasing Program orders, this information is required to be present on the PO:

Name on the PO

Customer Purchasing Program license SKUs (if applicable) at the correct and uniform discount level

Minimum Purchase Requirements
To qualify for a Customer Purchasing Program discount, a minimum purchase of 250 points or greater is required.

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