Cisco Capital is adding another weapon to its armoury withthe launch of a 2% rebate scheme for deals valued at £50,000 to £500,000 thatcomprise over 50% Cisco kit.
The PartnerPlus pilot scheme will run until the end ofSeptember and comes in addition to an already-running 0% financing programmeand a six-month payment deferral scheme. It will offer partners 2% rebates touse as they please, adding them to their Cisco margin or offering sales staffextra incentives, for example.
Cisco Capital European channel head, Stuart Hall, said theprogramme was designed to focus on two key areas of concern to partners;slower, slimmer customer order books and their own margin levels.
Hall said that the programme was open to all Cisco partners,and expected even higher tier resellers would get involved.
“Two years ago I’d have told you it was mainly for smaller,midmarket customers, but we are now expecting it to be taken up from SMB Selectright through to Gold as we’ve found enterprise customers are suffering the samepressures as SMEs,” he said.
According to Cisco, research conducted by the Yankee Groupsuggests that the addition of a financing package can increase deal size by34%, something Hall believes holds true even in the recession.
Hall added that in-house financing firms, such as CiscoCapital and Avaya Financial Services, currently have an edge over traditionalfinancial institutions because they are tied to companies and had not fallenvictim to the liquidity issues affecting the banking market.
“We have not changed our credit parameters in two years andwe do not intend to,” he said.