Why does reseller sell office 365 cheaper than microsoft?

[Windows Central Question]

Hello, everyone. I want to know why reseller selling office 365 cheaper than microsoft ?

 

[Deborah_Sawyer]

The plan is to get you to buy the product the first year or hardware.

 

[tgp]

Generally speaking, Microsoft sells to their resellers at a wholesale price. The resellers can sell for whatever they want. While some stick to retail price, others might discount a bit to generate sales.

Selling retail costs more than selling wholesale, which is part of the reason Microsoft sells to resellers for a lower price. The reseller buy in bulk, and they also take some of the responsibility of customer service.

 

[Lee_Bo]

It's probably also a way to get you using Office 365 for a great price (for the first year) then the price goes up the following year.

 

[raycpl]

Over here, its best to visit actual shops... I bought my 365 (single user) last year for around USD23,... After it expired I got a Home edition for around USD52 but it's for 5 users... Which works out even cheaper...