Reseller Channel – Past Present Future

1. Reseller Channel – Past Present Future Samantha Zammit Reseller Channel Director Small Mid Market Biz

2. AGENDA • Past - Our Journey • Present • Key Messages • SAM • Local team • H2 focus areas • MSF opportunity to help close deals • Partner ecosystem • Future • Customer segment map • FY09 opportunities & programmes • Call to action

3. Past

4. Our Journey

5. Present

6. Our Journey

7. Samantha Zammit Director Reseller Channel Shalini Anand SMSP LS Stephen Smith PAM – LAR Strategic Engagement Lisa Youlden Disti Sales Manager Licensing Marketing Team Thomas Kablau Strategy Ainslie McNamara Mktg/Comms Tony Parzakonis VL Readiness Katie Mortimer SMSP LS Malcolm Fraser PAM – LAR Strategic Engagement New Open Reseller PAM Jen Lilley PAM - Disti Operational Execution Brad Clarke Breadth Sales Manager Anthony Kola SMSP LS Team of 6 Telesales Reps Based in Manilla Breadth Sales Execution Reseller Team Structure MSF Financing Host Manager Katrina Braund – BDM/Mktg Brett Parker – MSF EPG Paul Weingarth – MSF SMSP Steve Kerr – MSF SMSP

8. Big Bets • Team • Channel Efficacy & Readiness • Measurement & Effectiveness • Return on Investment • Software Asset Management • Microsoft Finance

9. H2 Focus • Close revenue forecast • Drive Wave Launch • Open Value for Government • Readiness - Licensing Competency • Operational Excellence • Forecast accountability • Reduce order entry errors • Drive value back to your customers

10. Future

11. Enterprise

12. FY08 Business Priorities • Sell Platform and Solutions for a People Ready Business • Infrastructure Optimisation • Solutions (PSAs / IPSAs) • License + Socket Optimisation • Leveraging customers’ licensing lifecycle (including penetration) as a growth lever • Capturing opportunities for the up-sell and attach of products and solutions • Grow Revenue per Socket (CAL, Office, Server) • Engage as One Microsoft: • Perfect the Engagement Framework between ATU, STU and PTU • Partner, Services & Marketing

13. Team Structure ATUs (Account Team Units) Public Sector Commercial Sector CS PS FED PS NSW PS VIC PS QLD WA SA FS North Comm North Comm South Comms & Media STU (Specialist Team Unit) CORE Infrastructure Business Productivity Infrastructure Application Platform Priority Solutions / Business Applications PTU (Partner Team Unit) Alliance PAMs Solution PAMs SETU (Sales Excellence Team Unit) Infrastructure Optimisation (IO) Sales Optimisation (SO) License Optimisation (LO)

14. FY08 Business Priorities • Sell Platform and Solutions for a People Ready Business • Infrastructure Optimisation • Solutions (PSAs / IPSAs) • License + Socket Optimisation • Leveraging customers’ licensing lifecycle (including penetration) as a growth lever • Capturing opportunities for the up-sell and attach of products and solutions • Grow Revenue per Socket (CAL, Office, Server) • Engage as One Microsoft: • Perfect the Engagement Framework between ATU, STU and PTU • Partner, Services & Marketing • Sales Excellence & World-Class-Selling(the science & the art of selling) • 3 Core Sales Processes: • Relationship Management • Opportunity Management • Business Management

15. Sales Approach Capabilities Products & Sockets Procurement (LO) Vision Deploy & Service Strategy People Ready Business Solutions & Workloads Deployment Plans Premier & ITAP propositions with Partner Connection Licensing Lifecycle Grow Customer Relationships Customer Value Prop Accelerate Innovation Business Transformation Role - Based Productivity Solutions Drive Corporate Performance New EA Manage Risk & Compliance InfrastructureAgreement Improve Operations Component to Core CAL upsell Optimize Application Platform Core to Enterprise CAL upsell People - Ready Business Infrastructure Optimisation Solutions Renewal Optimize Business Productivity Infrastructure Operational Efficiency True-up & Attach MSFin - Structure Optimize and Secure Core Infrastructure SAM SA Benefits Relationship Management / Opportunity Management/ Business Management

16. Small & MiD Sized

17. Our Journey Same thing in 09 – you go to tactics – take it up a level talk strategy and then those will be examples of supporting tactics and metrics

18. Mid Sized >250 Seats

19. Market Opportuntity Market Opportunity 63.8M

20. Adoption Plans for Software Solutions BI & Portals Remain Key Focus For Short-Term Software Adoption BI & Portals Remain Key Focus for Short Term Software Adoption Source: Gartner ‘Dataquest Insight: Midsize Business IT Spending Plans, 2Q07 Update’ July 17th, 2007

21. Midsized Business Spending Forecasts • In the next 12 months, the Mid Market is expected to deliver strong growth in both Software and Services Spend. • In FY07: • The Australian Midsized Software Market was worth US$1.3 Billion • And the Services Market was worth US$4 Billion Source: Microsoft Research Based On IDC Data

22. Operational Issues Remain Top Of Mind Source: Brennan Mid Market Insight Series, Based On IDC Data, April 2007

23. Satisfaction Licensing Simplicity • Simplify the Process • More training for Partners • “how to buy”messaging for customers • Simplify Pricing • Reducing number of price points by 51% • Reducing SKUs by 51% • Simplify Agreements • Improved readability and referencing • Rearranging and rewriting contract terms • Agreement lengths reduced 10-50% • Simplify Access and License Management • Improvements to software download process • New tools

24. How Can You Capitalise On This?

25. Q. How important are each of the following qualities in a potential provider of IT solutions? Adding value to customers Source: Gartner ‘SMBs Use of IT, Asia Pacific, 2006’ February 7th, 2007

26. P MID SIZED CUSTOMER CAMPAIGNS P P P

27. Small 50-250 Seats

28. How Will We Do? Key Focus: • IW Socket Penetration in Non Annuity • Server & CAL Non Annuity Penetration Upper Breadth (100-250 PCs) – DATA and ANNUITY = RPS • Invest in data quality, profiling and customer contactability. Scale Renewal efforts. • Develop contact strategy based on improved segmentation and data mining. • Invest in Customer Acquisition Marketing to increase socket penetration. • Invest in ISV & Solution partners to build presales capabilities and Geo Coverage • Invest in additional SAM Telesales resource and implement SAM Thru Partner • Optimise SMB Lead Generation Team and develop centre of excellence Lower Breadth (<100 PCs) - SOCKET THROUGH CHANNEL • Increase active breadth VAR channel use Rebate to incent First VL • Increase emphasis on Thru Partner Marketing to execute Customer Campaigns • Leverage Web to drive self-serve relationship marketing and demand • Build new routes to market (e.g. Hosting, Mobility and Telco) • Increase focus on AP efforts by implementing SAM Thru Partner

29. Calls to Action • Continue to attend Business Briefings on regular basis – these sessions are built for you • Give us feedback if our Newsletters and other comms vehicles are not adding value • Provide feedback to your MS PAM if we can help you with any of your opportunities • Focus on your Licensing Competency • Engage and drive Wave Launch activities

30. THANK YOU!!FOR ALL THAT YOU DO EVERY DAY TO MAKE OUR CUSTOMERS HAPPY AND TO HELP MICROSOFT TO GROW