Multi currency deals in Azure Marketplace

cstocker Community Member
Founding Member
edited November 2022 in Finance & Operations

I don't work with AWS or Google, so I am not sure how they handle exchange rates or if they do it differently than Azure.

We transacted our first international deal last week with a customer in Australia and when I received payout notification from Microsoft this week there was a surprise, in that the payout is 15k less than we expected.

After discussing with Microsoft I understand now that when you create a private offer for a customer and extend it to them, the currency is converted from USD to local at that time AND (this is the important part) not again.

We created an offer for this Australian customer Sept 22nd. Once accepted by the customer the expected payout would have been $615k. But because the currency was converted on Sept 22nd and the customer didn't accept the offer until Oct 31st, the exchange rate had changed when they converted back to USD and the actual payout is $600k.

Our expectation was that they customers price would always be based on the USD amount the offer was for, regardless of when they accepted/transacted the offer. The marketplace functioning like this will make forecasting, order processing, etc very difficult and now has a couple VP's gun shy.

I'm curious if anyone has figured out a way to insulate the seller from this?



  • sarah.connor
    sarah.connor Admin, Tackle Employee
    10 Comments 5 Likes

    Really interesting situation @cstocker. I would also assume the price would be based on the USD amount that was presented in the offer, regardless of the exchange rate when the buyer accepts. I'm interested to see if anyone else has insight here, and while we're waiting I'll chat with some folks internally to see what information I can dig up. Stay tuned!

  • sarah.connor
    sarah.connor Admin, Tackle Employee
    10 Comments 5 Likes

    Hi @cstocker, Until another ISV chimes in with thoughts or experiences on this, I thought I'd share the Azure pricing and billing FAQ for other members who might not have already seen it: