Partner Field Guide: Become a COA Champion

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TABLE OF CONTENTS Click on the section you want to learn more about below. WHAT IS THE CHANNEL ORDER APPLICATION? > 1. THE JOURNEY TO BECOMING A COA CHAMPION > 2. GETTING COA ACCESS > 3. HOW DO YOU USE THE COA? > 4. YOU’VE SUBMITTED YOUR ORDER. NOW WHAT? > 5. COMMON QUESTIONS > 6. TERMS TO KNOW > 7. 02

Welcome to the Salesforce Partner Field Guide BECOME A CHANNEL ORDER APP CHAMPION Accelerate your business with our Salesforce Partner Field Guides, your personal handbook and digital sidekick, accompanying you on your adventure in the Salesforce ecosystem. Each guide dives into a specific partner process—outlining best practices, addressing common questions, and defining key terms. Use this guide to get up to speed on Channel Order Application (COA) setup, order placement, and billing procedures. Then, polish up on your COA terminology and get your most common questions answered before you even ask them. Make cents? Let’s dive in. TERMS BECOMING A TO KNOW COA CHAMPION USING GETTING THE COA WHAT IS IT? ACCESS COMMON QUESTIONS

What is the Channel Order Application? 1. 1. 2. 3. 4. 5. 6. 7. 04

What is the Channel Order Application? Partners use the Channel Order Application After you’ve passed security review and published (COA) to place customer orders and report sales your application on AppExchange, it’s time to sell it to Salesforce. This allows Salesforce to track to the public. What happens after you’ve completed revenue sharing in accordance with your Salesforce your sales to end customers? The orders need to be partnership agreement. submitted to Salesforce via the COA. 1. 2. 3. 4. 5. 6. 7. 05

The Journey to Becoming a COA Champion 2. 1. 2. 3. 4. 5. 6. 7. 06

The Journey to Becoming a COA Champion Follow the steps in the journey to set up and submit your first order on the COA. Click on each step to learn more about each milestone along the way. Happy trails! START HERE 3. Complete Prerequisites 1. Sign Partner Agreement 4. Create and Submit Order 2. Request Partner 5. Receive Business Org Access Invoice 6. Complete Payment YOU CAN NOW SUBMIT ORDERS VIA COA! 07

Getting COA Access 3. 1. 2. 3. 4. 5. 6. 7. 08

Request Your Partner Business Org First things first. Once your partnership agreement To request your PBO, simply submit a case here. has been fully signed, you are able to request your Make sure to select “Partner Business Org” as own Partner Business Org (PBO), which you’ll need the case subtopic. You will also need to provide to get access to the COA. The PBO contains two free the mailing address listed on your Salesforce Sales Cloud licenses as well as the applications that partnership agreement. Alternatively, if you already partners use to manage their sales and distribution. have an existing Salesforce instance, you can opt to Each PBO comes pre-installed with the COA and the add your company’s two free Sales Cloud licenses License Management App (LMA). to the existing org. You will need to provide the existing org ID on the case and then install the COA Unsure if you’ve completed all the steps needed to and LMA separately. finalize your partnership agreement? Reference the ISV Onboarding Guide to find out. 1. 2. 3. 4. 5. 6. 7. 09

Do Your Homework to Get COA Access Once you have set up your PBO, make sure to complete the prerequisites listed below in order to use the COA successfully: 1. Take the COA Basics Trail Learn how to get started on COA, create orders, track order status, and ensure accuracy. Take the trail > 2. Assign Permission Sets to Channel Order App Users Provide COA access to team members who will be using it. 3. Define a COA email service After you assign Channel Order App (COA) permission sets, define an email service to make your org ready to sync your product catalog. 4. Request your COA credentials Submit your case for COA Service Credentials here using the “Service Order Credentials” subtopic and make sure to provide the appropriate Org ID of your PBO in the case. 1. 2. 3. 4. 5. 6. 7. 10

Get Some Help Along The Way Sometimes you need a little help along the way. Check out these these handy resources that will provide extra guidance as you complete the COA prerequisites. COA Setup Video Learn how to perform the initial COA set up, step by step. Watch the video > ISVForce Guide Learn to plan, build, distribute, market, sell, and support solutions that run on the Salesforce platform. Read the guide > 1. 2. 3. 4. 5. 6. 7. 11

How Do You Use the COA? 4. 1. 2. 3. 4. 5. 6. 7. 12

How Do You Use the COA? Congratulations! You’re now officially set up to place In order to keep track of various customer orders, orders within the COA. Now let’s move on to the good don’t forget that you can utilize the “SFDC Invoice stuff — how to actually use the COA in your day to day. Description” field to input key identifying information We’ve got all of the details in the pages ahead so that pertaining to the customer order such as a PO#. you can become a COA champion. It is important to know that partners are required to The date the partner submits their order to Salesforce is known submit an order to Salesforce via the COA for every as the Service Order submission date. The Service Start Date application subscription sold to an end customer. of the order should align with the start of the subscription Orders must be submitted within one business day of terms agreed upon between the partner and the partner’s end the partner’s receipt of the corresponding customer customer. Invoicing to the partner will begin on the Service Start Date and not the order submission date. The Service Start order. Date of the initial order will determine the monthly or annual contract renewal date for your end customer. Each individual order must contain specific information about the end customer including their: 1. Org ID 2. Customer name 3. Complete billing address 4. Order type 5. Products and quantity sold In the example above, the initial order establishes the 17th 6. Pricing of each month as the contract renewal date. If this order was 7. Start date connected with an annual contract, then the terms would 8. Acceptance of customer agreement terms renew one year from the Service Start Date listed. and conditions 1. 2. 3. 4. 5. 6. 7. 13

Choosing an Order Type Partners are able to submit various order types within the COA depending on the customer scenario. Take a look at the different options below and what they mean. Order Type Description Customer Type • The very first order submitted for a new customer. Initial • You only need to enter the customer’s full information for the initial order. For subsequent New customer orders you can enter the Company Name or the Org ID to identify the customer. Add-On • Addition of products or increase in number of licenses for an existing customer. Existing customer • An increase in price of existing licenses mid-contract. Upgrade And/Or Existing customer • Upgrade a customer to a higher-priced product mid-contract. • Renewal of existing contract that is not set to auto-renew. Existing customer Renewal And/Or • Change in price of existing licenses upon contract renewal. Reduction • Removal of some products or decrease in the number of licenses on a customer contract. Existing customer Cancellation • Permanent removal of all products at the end of a customer contract. Existing customer Upgrade and renewal orders must include all products and licenses the end customer should have within their org after this particular order is processed. APPY TIP Check out this visual to learn more. 1. 2. 3. 4. 5. 6. 7. 14

Order Terms & Conditions Your Contract Term contains the terms of your customer order in accordance with your Partner Agreement. It also includes your Partner Product Catalog, which is made up of the SKUs you can place orders against and other relevant information such as pricing and product special terms. By selecting your Contract Term, you will help us identify the specifics of your Salesforce agreement as well as your related product SKUs without the need to manually enter that detail into each order. If you only have one Contract Term, your order will default to those terms. Partners have the ability to recall COA orders shortly after the original submission to remove it from the processing queue. Simply click on “Recall” for the appropriate APPY TIP order within the Service Orders tab of the COA. 1. 2. 3. 4. 5. 6. 7. 15

Order Terms & Conditions Continued The table below includes a list of the available order terms. Please note: orders should contain the price agreed upon by both the customer and partner. Regardless of the price featured on the order, your revenue share rate with Salesforce will not change. Order Terms Condition Details Program Type • Is this for an ISVforce or OEM application? Contract Terms • The customer's contract terms including duration, renewal term, auto renewal, cancellation terms, and billing specifications. Price • What is the revenue sharing rate associated with your specific product SKU? • Is it a fixed rate product or charged as a percentage of net revenue? For more information on orders and order types, please check out our COA Order Submission Playbook and overview page for specific order type video tutorials, in-depth descriptions, and step by step order entry guidance. Reduction, renewals, and cancellation orders must be placed at least 30+ days prior to the contract renewal date. Learn more here. APPY TIP 1. 2. 3. 4. 5. 6. 7. 16

You’ve Submitted Your Order. Now What? 5. 1. 2. 3. 4. 5. 6. 7. 17

You've Submitted Your Order. will automatically be generated and emailed directly to Now What? the partner’s billing contact that we have on file. Your invoice will contain your account number, billing contact information, and total invoice amount including tax and Once your order(s) are submitted, you are able to track exchange rates when applicable. The invoice will include all the status within the Service Orders tab of the COA. order information including product start and end dates, You’ll see a high-level summary with the order number, order quantities, and product prices by individual order line customer name, customer org ID, order value, order type, items. Take a look at invoice examples below by region. and order status. For more detail, you can simply click on an individual order for more information including order terms Review a sample USD Invoice here > and dates. Review a sample GBP Invoice here > After Salesforce receives and reviews your order, we will Depending on the order type, the invoice will be issued activate the products and licenses for your customers. within one business day to up to one month. Salesforce will issue your invoices in accordance with your partner terms. Billing & Invoicing To streamline business processes, partners have the option of submitting a case to consolidate all invoices over the For each individual order placed on the COA, an invoice course of the month into a monthly account statement. Transfer licenses from one org to another for the same end customer via a case. APPY TIP Learn more about swaps and transfers here. 1. 2. 3. 4. 5. 6. 7. 18

The Payment Process rate is based on the partner’s shipping address. If you are eligible for a tax exemption, be sure to submit proper Partners are required to pay Salesforce for services provided documentation to Salesforce prior to transacting within to end customers via wire transfer. You can review key the COA. If partners do transact with Salesforce prior to information on wire transfer practices here based on the providing the necessary tax exemption documentation, partner’s region and country of origin. their invoices will include all applicable taxes and they will be due as invoiced. Partners must also pay their outstanding bills to Salesforce within 30 days of the invoice issuance unless specifically Eligible for tax exemption? Make sure to submit a tax noted otherwise in your partnership agreement. The exemption certificate by logging a case via the Partner required payment date is also listed on the copy of Community here using the subtopics “Sales Tax Inquiry.” the invoice. Please provide appropriate tax exemption certification and any accompanying material. Note that this is only applicable Don’t Forget the Service for partners based in the United States. Order Tax (for U.S-Based Partners) When reviewing your invoices, you may notice a sales tax will be placed on all COA orders. The specific sales tax 1. 2. 3. 4. 5. 6. 7. 19

A Few Things to Keep In Mind Invoices are issued the day before the order start date with For add-on orders, a prorated invoice will be issued to the exception of renewal orders, which will be reflected co-term the order with the existing licenses. Then the order in the recurring monthly invoice for your end customer. will be included in the customer’s monthly invoice moving Partners can also request to receive a monthly statement forward. containing all transaction activity billed against their account within a given month. Partners with an ISVForce Unless there’s a specific change in your Partner Agreement, program type are eligible to receive this by default. OEM or Salesforce will issue your invoice for each end customer on VAR partners must submit a “Billing Inquiry” case through a monthly basis based on the service start date of the initial the Partner Community to request for approval. Monthly order for that end customer. For example, if the customer’s Account Statements will be distributed on a separate basis service start date was on the 15th, then you will be invoiced on the 10th calendar date of the following month. on the 15th of each month for that customer. Reference example scenarios on how Salesforce ISV pricing works between PNR, APPY TIP floor price, and fixed price here. 1. 2. 3. 4. 5. 6. 7. 20

Common Questions 6. 1. 2. 3. 4. 5. 6. 7. 21

Q: How do I dispute my charges A: Per standard contract terms, all service orders are if I believe there’s an error on non-cancelable by partners after acceptance by Salesforce. It is the responsibility of the partner to my invoice? correctly submit service orders with the COA. If you feel there’s been a mistake on your invoice, Partners can submit a case via the Partner Community here using the subtopic “Invoice Inquiry.” This case should include the customer org ID, invoice details, and the dispute in question. If more than one dispute is being filed, the Salesforce Billing Dispute Template may need to be attached to the case. If required after the case is submitted, our support team will provide the billing dispute template to the partner directly. Q: How do I request contact A: Partners can submit a case via the Partner Community changes to my invoice (billing to correct any incorrect contact information on their invoices. Submit your case here using the subtopic information, responsible “Update Billing Information.” Please outline all the employee, etc.)? incorrect information in the case and the requested change(s). 1. 2. 3. 4. 5. 6. 7. 22

Q: How can I provide my tax A: It is important to note that tax exemptions are only exemption documentation? applicable for partners based in the United States. Partners who are eligible to submit a tax exemption certificate must do so by logging a case via the Partner Community here using the subtopic “Sales Tax Inquiry.” Please provide appropriate tax exempt certification along with other relevant documentation when submitting your case. Q: Why are my monthly bills A: It’s possible certain recurring monthly charges you are different values? anticipating from Salesforce may change in value from month to month. These rates are calculated by how many days are in each particular month rather than calculated on a flat rate divided evenly across each month. All predetermined annual rates will eventually equal the agreed upon fee at the end of the 12 month billing period. For example, partners would be charged different rates between February (28 days), March (31 days), and April (30 days). 1. 2. 3. 4. 5. 6. 7. 23

Q: Why am I getting A: Invoices are issued to partners for each individual order multiple invoices? submitted. Partners do have the option of submitting a case to consolidate all invoices over the course of the month into a monthly account statement. Q: What are derived A: Derived priced products are products where the price product fees? How are is calculated as a percent of a contributing license. Examples include sandboxes and platform encryption. these calculated? Derived product fees are calculated by multiplying any sales to your end customer by a predetermined percentage. These fees will be populated on your standard monthly invoices. Q: Where can I find additional A: You can refer to the Channel Order Application documentation around the page at p.force.com/coa for additional enablement documentation, including our COA FAQ. The ISVForce COA and partner experience? Guide is another resource that outlines the COA set up process and more. You can also find lots of useful COA documentation by searching within the Help section of the Trailblazer Community at https://trailblazer.salesforce.com/ 1. 2. 3. 4. 5. 6. 7. 24

Terms to Know 7. 1. 2. 3. 4. 5. 6. 7. 25

Contract The mutually agreed upon program model, product catalog, and product pricing between Salesforce Terms and the partner. Fixed Price Products within a partner catalog that have a constant, flat rate per unit. Products Floor Price The floor price is the lowest amount partners pay Salesforce for an applicable product, regardless of end customer pricing. License Transfers are required when moving product licenses from one org ID to another org ID for the same Transfer end customer. Order Entry COA order submissions that contain an error such as incorrect product, price, or quantity can be Revision corrected via a case submitted within the Partner Community. 1. 2. 3. 4. 5. 6. 7. 26

Org ID The Salesforce Organization ID or Org ID is the unique 15-digit identifier for your Salesforce instance. Partner The production environment that enables partners to publish and manage the sale and distribution Business Org of their products. The PBO has pre-installed AppExchange partner tools along with two free Enterprise (PBO) Edition Sales Cloud licenses. Partner Order Term used interchangeably for Channel Order App (COA). Partner Order is the term found within the AppLauncher in your Salesforce instance to enter the COA. Percentage The percentage of net revenue is the amount that the partner owes to Salesforce for each end customer Net Revenue sale by either per user or per org as dictated in their agreement as part of the revenue sharing model. (PNR) 1. 2. 3. 4. 5. 6. 7. 27

Product Swap Product swaps occur when a partner would like to change a product on their end customer’s contract with an equivalent product. Product The list of products that partners are able to sell to their customers based on the agreement they’ve Catalog signed with Salesforce. Salesforce An agreement between Salesforce and the partner that governs the partner’s participation in various Partnership Salesforce programs and utilization of the Partner Community. Agreement Service Order Service Orders are based on the corresponding order agreement between the partner and their end customer to provision services or deliver products with a known quantity, price, and service date. Service Orders are entered within the COA, based on the Salesforce Partner agreement, to help partners track end customer products, services, and revenue sharing with Salesforce. 1. 2. 3. 4. 5. 6. 7. 28

Keep blazing your trail! To learn more about the Channel Order Application, visit p.force.com/COA