What happens when a vendor and a distributor rethink software distribution? You get the Trend Micro Usage-based Licensing Program, a new method for solution providers to buy and resell security software.
Trend Micro and Ingram Micro have developed a new sales program based on a pay-as-you-go model. Simply put, solution providers can buy a block of licenses and then pay for those licenses monthly and only have to pay for the licenses that are in use.
This translates to an instant managed-services solution for solution providers to push out to their customers. Almost all Trend Micro security products are covered under the new program, and solution providers need to do little more than sign a resale agreement with Ingram Micro to get started.
The new program offers several advantages for solution providers, ranging from reduced start-up costs to recurring revenues. The idea here is for partners to sell monthly per-seat licenses into their client accounts, usually as part of a larger support solution or bundle. The program shifts security software purchases from a capital expense over to an operating expense. Customers will know exactly how much security costs them per desktop every month and can budget accordingly, while solution providers can predict how much income they will garner per month.
While per-seat, per-month billing schemes are nothing new to the channel, the usage-based licensing program does offer a unique feature: the ability to "turn on" or "turn off" licenses. Basically, solution providers inform Ingram Micro monthly as to which licenses are active, and Ingram Micro bills the solution provider accordingly.