EXCLUSIVE: HP changes partner rebates

Vendor cans many target-based compensation schemes to help partners through tough times

By Sara Yirrell

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03 Feb 2009

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HP has sent a letter to its channel partners this week informing them of changes to its Pay for Results (PfR) rebate scheme.

In a letter leaked to CRN, the vendor highlighted how effective from 1 February, it is removing many of its target-based compensation programmes in favour of what it describes as "linear fixed percentage schemes".

In a nutshell, the target-based PSG, ISS, SWD and HPS volume PfR schemes will be replaced by uncapped fixed percentage compensation schemes.

Further reading

Additionally for the IPG PfR scheme, the vendor is lowering the threshold level of rebates from 80 per cent to 60 per cent.

The vendor claimed the changes are based on partner feedback and have been designed to help “reduce the uncertainty and vulnerability that the current market conditions present”.

See CRN next Monday for more details.

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