Channel partners of Brocade Communications Systems Inc. can now offer customers what Brocade calls its most flexible IT financing option to date, Brocade Subscription Plus.
Announced today at the Brocade Partner Summit 2013 in New Orleans, Brocade Subscription Plus combines the vendor's existing Brocade Network Subscription -- a usage-based monthly subscription service option for network infrastructure with no term commitment -- with a fixed-term lease on third-party services and solutions.
According to Regan McGrath, vice president of global channel sales and marketing for the company, solution financing is something Brocade partners were asking for to meet customer needs.
Bill Culbreth, inside sales support and business development manager at Abacus Solutions LLC, a Brocade partner based in Marietta, Ga., said that his company's customers have a variety of financing needs, including both outright purchase and leasing. Regarding the new Brocade Subscription Plus model, he said, "I'll look at it and use it as it's needed by customers. It's up to them and what they need."
In order to help their customers meet their business goals, industry experts agree that having flexible IT financing options opens the door for more deals, and helps to close them as well.
The new financing model offers Brocade partners significant opportunities for revenue growth and net-new customer acquisition, with financed deals proving four times larger than cash deals on average and offering a repeat business rate of more than 80%, according to the company.
In an interview with SearchITChannel last month, McGrath said that financing is strategic to helping its channel partners transition to cloud services, as well as sell cloud solutions to clients.
Brocade Subscription Plus is available to customers in the U.S., Canada, the U.K. and Germany through Brocade Alliance Partner Network channel partners.