Previously there was only the option of annual commit but without any imposed restrictions on cancellation and flexibility. Under NCE we have two types of commitment period with annual and monthly commitments, both have restrictions which we will cover below. There is a price advance to the annual commitment and a premium price on the monthly commitment.
With NCE you only have a 72 hour window to cancel your NCE order. This is a total of 72 hours from your end user informing you to Tech Data actually making this cancellation in the system. After this 72 hours you are tied into the contract for either the monthly or annual commitment based on which option you have ordered. There are no expectations currently to this 72 hour window and no refunds will be offered after 72 hours
Under Legacy we have been used to increasing and decreasing seats when needed. Under NCE this flexibility is not the same:
– Annual commitment: you can only make amendments to decrease the seat count within the first 72 hours after the order has been processed. After this point you are unable to decrease or remove licenses until the annual renewal. You can add new licenses and increase seat count through the agreement, just no decreases. You will have the ability to schedule changes for renewal to ensure you maximise that new 72 hour window on renewal
– Monthly commitment: again you only have the first 72 hours to make amendments and decrease the seat count, but as this is a monthly commitment you only have to wait until the monthly renewal to make those changes and have those reflected in your billing. Unlike the annual as your commitment is only monthly you are only contracted for those products and quantities for 1 month at a time and can change these for the monthly renewal. This flexibility is charged at a premium price point.