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Trustmarque cuts ties with valueless volume licence resellers

Simon Quicke

Trustmarque has moved to cut relationships with resellers that use the LAR for volume license agreements as it looks to serve customers with a higher value service package.

The LAR sent out a letter to those resellers impacted by the move and although it didn't need the approval of Microsoft it did get the vendor's blessing on its actions.

"For those Microsoft Volume Licence Agreements that are presently held with Trustmarque as the chosen LAR, we propose that we begin to manage these agreements as a direct engagement," stated the letter.

"This would mean in addition to the customer being invoiced directly by Trustmarque, we would also offer support, technical advice and our professional services," it added.

Those resellers that preferred to manager the use relationship directly would be able to continue but the letter advised them to "look to move the Volume Licence Agreement to an alternative Large Account Reseller who can provide a direct channel model".

Speaking to MicroScope, Trustmarque CEO Scott Haddow said that it understood in the short-term it would take a hit in terms of revenue but in the mid to long-term it was part of moving to a higher value business.

"this is a very expensive low value part of our business," he added "We didn't want the customer that couldn't drive value."

He said there would be a handful of resellers it continued to work with but the long tail would be cut as it looked to grow its services business.


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