We currently purchase our Microsoft 365 licenses directly from Microsoft, and the process has been simple. We are preparing to move to Business Premium and received a quote from CDW, so we are considering switching to a reseller. What are the practical pros and cons of buying through a reseller instead of managing the licenses directly with Microsoft?
4 Answers
Direct purchasing is hard to beat for convenience: you can add a license immediately, remove users yourself, and avoid another vendor relationship. If the reseller is only changing who receives the payment and offers little discount or support, the extra billing and administrative step may not be worthwhile. On the other hand, an invoice-based arrangement can be valuable if company-card payments are difficult to manage.
A reseller will often offer at least a modest discount, and the biggest advantage can be support. A good partner may answer licensing questions quickly, help size your subscriptions correctly, and escalate difficult issues to Microsoft. They may also offer invoicing instead of requiring a company card, which can make accounting easier. Make sure any support response-time commitments are written into the agreement.
The support difference can be significant, but it depends heavily on the reseller. I would ask exactly what support is included and what their escalation process looks like before switching.
There can be less-obvious licensing savings through a reseller, especially when bundling products or buying services such as Windows 365 and Copilot. Some partners can also consolidate billing and provide alternatives to paying Microsoft directly. The savings vary, so compare the complete annual cost rather than assuming every reseller has a better price.
We changed partners because our first reseller could not quote a particular Windows 365 configuration, while another found an option that saved us a substantial amount each year.
The drawbacks are mostly about control and dependency. License changes may require going through the reseller, which can delay additions, reductions, or renewals. Depending on the arrangement, Microsoft support cases may also need to be opened by the partner. Review the reseller's delegated administration permissions carefully, especially GDAP access, and confirm how quickly they can make changes.
This is not always a problem. Some partners provide a portal where customers can add licenses themselves, and certain resellers still allow customers to contact Microsoft directly. Confirm what tools and permissions you will actually receive.
I would compare the discount against the cost of slower license changes, minimum terms, and any accounting overhead. The right choice depends more on the reseller's service model than on the reseller label itself.