Skip to main content

What is the Microsoft New Commerce Experience (NCE)?

With the launch of NCE, All Microsoft services as of March 2022 will enforce their commitment period to all of their subscription offerings. To ensure these changes to their terms of services, OzHosting will be offering Month-to-month, Annual and Tri-Annual (36 Month/3 year) billing options. 

All annual subscription terms will only be able to be cancelled or license count reduced within 72-hours after purchase. After that, All subscriptions will be held to the purchased license counts until the end of their subscription term.

Partners and customers are encouraged to review their current subscription services and purchase the monthly term option at the 20% premium markup if they have seats that are not able to commit to an annual term. 

This allows organizations to cancel at the end of the monthly term with no further payment obligation. Monthly subscriptions are encouraged for organizations with seasonal workers or if downgrading/changes to subscriptions are anticipated. 

Some businesses will also want to select the monthly term for a portion of their workers and one-year terms for the remainder. For most organizations, we believe that the Yearly term options will be the most popular.

Please also note that this change is for all subscriptions that have been purchased/renewed after March 1st 2022. If you are still in your agreed 12 month commitment period, these changes won’t come into effect until your annual commitment is due/renewed.

Key Billing Changes

Month to month term – Monthly Billing

With the NCE you will have the ability to purchase your Microsoft 365 licences on a monthly basis without an annual commitment. Microsoft is now offering this to provide flexibility to customers that need to make monthly changes to their Microsoft 365 or Office 365 licences plans and seat count. This subscription does come at a 20% price increase across all licence plans.

Yearly term – Annual Billing

With the 12 month subscription, your pricing will be locked in for the entire term – allowing you to benefit from the additional cost savings of any price increases due in that time. This subscription will allow you to increase but not decrease the seat count.

Tri-yearly term – 3 year/36 Month Billing

Microsoft is introducing a Multi-Year Pricing to the NCE, allowing you to secure 3-year pricing for longer-term licencing commitments. With this subscription, you’ll have the option to be billed monthly, annually or upfront. This subscription will allow you to increase but not decrease the seat count.

Additional Info – Microsoft NCE Announcement
Microsoft Pricing – Business Email Hosting