Dynatrace and Trace3 increase business growth together with the Microsoft commercial marketplace through multiparty private offers

Marketplace opportunities

Dynatrace, an observability and security platform, partnered with Trace3, a provider of IT strategy, solutions, and services, using multiparty private offers to drive new business through the Microsoft commercial marketplace. Both companies benefited, and their customers were able to choose from a greater selection of products and enjoyed an easier purchase and procurement process combined with the ability to have their purchases contribute to their overall cloud budgets.

Dynatrace is the market-leading observability solution (Gartner Magic Quadrant 2023) that’s reducing cloud complexity for enterprises around the world. For more than three years, Dynatrace has embraced the commercial marketplace, making it core to its sales efforts and having seen an approximate 275% increase in the number of marketplace transactions. Selling through the commercial marketplace helps Dynatrace streamline sales, and its customers can cut through procurement red tape. On average, Dynatrace’s commercial marketplace deals are double the size of non-marketplace deals. With multiparty private offers, Dynatrace now has even more opportunity to scale.

”Many of our customers have cloud commits, and we’ve identified the commercial marketplace as a significant opportunity for them to become more efficient with their IT budgets and increase growth by using those commits to purchase Dynatrace,” says Ayla Anderson, Microsoft Alliance Manager at Dynatrace.

Trace3 is a premier provider of advanced technology consultation services and solutions that offers a broad mix of end-to-end technology services and solutions ranging from AI and data science to cloud computing and security consulting. The company also offers a venture capital briefing program with a sharp focus on emerging technologies, and it provides clients with extensive research focused on the latest IT trends.

“Cloud marketplaces are going to have a huge impact on the way that our customers want to buy and spend. We project that in the next two years, 25–40 percent of our clients’ procurement is going to be through Azure Marketplace or cloud marketplaces in general,” says Shalene Careau, Senior Cloud Partner Manager at Trace3.

Multiparty private offers enable new opportunities to scale

Dynatrace sees tremendous value in the commercial marketplace opportunity as a go-to-market channel. Now, with multiparty private offers available directly through the commercial marketplace, Dynatrace has even more opportunities to scale through the power of others. Working with selling partner Trace3, it created a unique offer for one of Trace3’s customers.

“From the solution integrator perspective, our ability to transact through multiparty private offers allows us to better serve our clients in procuring software and services,” says Careau. “A selling process that used to take months can be condensed into minutes with a click of a button. Everything seamlessly integrates through Azure Marketplace. No purchase order is required—it’s simple and user-friendly, and our clients love it.”

Adds Erik Randles, Vice President of NORAM Partner Sales at Dynatrace, “We’re looking to continue driving efficiency and take some of the friction out of selling and procuring technology solutions. Multiparty private offers give us a huge advantage with respect to increased efficiency, which allows us to sell more to more customers and solve their problems.”

Customer benefits of multiparty private offers include:

• Customer spending power goes further. Dynatrace sells into the enterprise, and their customers have cloud commits. With Microsoft matching dollar for dollar when customers buy eligible solutions, 100% of a customer’s Dynatrace purchase on the Microsoft marketplace counts toward its cloud consumption commitment.
• Enables an end-to-end unified experience for customers that allows them to streamline purchasing and manage investments based on consumption.
• Customers can get the trusted services and expertise from their trusted partners, like Trace3, and better take advantage their spending power when purchasing.

New partner-to-partner opportunities

Dynatrace and Trace3 are early adopters of multiparty private offers, which have opened the partner-to-partner landscape for Dynatrace and for selling partners like Trace3. Dynatrace can now partner with its top selling partners and build a sales motion that focuses on driving business through the commercial marketplace. This supports the strategy of working with multiple partners to create unique offerings for customers with a streamlined purchase process, allowing those customers to use their cloud commitments to maximize investments.

“A really positive and core effect of the commercial marketplace is that it forces us to think strategically with our partners and to document our value proposition as an advisory, architecture, and engineering services provider,” says Chris Nicholas, Senior Vice President of Cloud Solutions at Trace3.

Adds Anderson, “With multiparty private offers, we recognized the channel as a whole as one of our key growth strategies to reach the most customers globally.”

By using the commercial marketplace and multiparty private offers, Dynatrace and Trace3 have together opened up new opportunities for one another while also satisfying customers’ needs and increasing their customer bases.