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By | Paul Kunert 11th October 2011 15:31

HP extends reseller rebate changes into fiscal 2012

Still tough out there, vendor says

HP is again extending its linear Pay For Results compensation model for Enterprise Server, Storage and Networking (ESSN) resellers as the economy continues to limp along.

The US tech titan removed the gating metrics for back-end margin in its Q2 started February and extended it into Q3, then Q4 ... and now into the first three months of its fiscal 2012.

Under the revised model, resellers begin accruing fees from the first product shipped, rather than after hitting 80 per cent of the sales target.

Kevin Matthews, UK and Ireland ESSN channel manager at HP, confirmed the move: "It offers a level of predictability for partners [in the current climate]," he told The Reg.

A bonus accelerator kicks into the PFR programme for any dealer that surpasses 100 per cent of the target.

Matthews said the set-up gives resellers rebate visibility so they can invest in targeted marketing programmes or technical resources during these uncertain times. ®

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