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INTUIT ADOPTS QBES COMMISSIONS

Intuit logoIntuit has implemented a commission system for sales of its QuickBooks Enterprise Solutions. While I thought this was part of an effort to stymie the channel conflict that has driven many traditional resellers from selling the mid-market version of QuickBooks, one reseller said it was an effort to curtail cut-throat pricing between the VARs themselves. The new system has Intuit making the sale at the Intuit price and paying its resellers a post-sale commission.

Since Intuit has a habit of offering discounts of 20-percent to 30-percent on its Web site, the commissions are not going to come in at the highest level most of the time. A statement attributed to Karen Hartsell, manager of ISP programs and strategies, said that, "In an effort to provide a better purchasing experience for customers and Intuit Solution Providers, Intuit recently made a decision to change to the way QuickBooks Enterprise software is sold through the Intuit Solution Provider channel." Hartsell said the model would reduce the accounts receivable burden faced by resellers while producing a predictable earnings model.
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