Commercial model

Mirroring a simple wholesale model, Cloudmore purchases the service from the Vendor and then resells the Service to the IT reseller, who in turn invoices the customer. In all circumstances the IT reseller retains the billing relationship with the end user customer and is able to dictate the margin and sale price. Often the IT reseller will bundle with other Cloudmore services or with their own services then actual end user price of the service may not be transparent. This is a vital component to the business model and successful IT resellers will be under ever increasing margin pressure. In order to sell a cloud type service they must be able to create and charge for added value around what might be a commoditized service. Cloudmore do not set the level of the slice of margin that is needed to successfully launch and manage a service. This would depend on many factors including the market opportunity, vendor brand, ease of sale and supportability. There may be additional dimensions specific to a service.