Rectangle Shape

Private offers are how enterprise deals actually happen on AWS Marketplace. Fewer than 10% of enterprise transactions go through at list price. The rest are negotiated through private offers with custom pricing, payment schedules, and contract terms.

If you are an ISV selling through AWS Marketplace, you will encounter two types of private offers: MPPO and CPPO. Understanding the difference is not optional. Choosing the wrong one can delay deals, confuse channel partners, and create billing problems that take weeks to resolve.

This guide breaks down both types, when to use each, and how to set them up.

‍

TL;DR

  • MPPO (Manufacturer Partner Private Offer) is created by the ISV for a specific buyer with custom terms
  • CPPO (Channel Partner Private Offer) is created by a reseller or consulting partner on behalf of the ISV
  • Use MPPO when you sell direct to the buyer. Use CPPO when a channel partner owns the buyer relationship.
  • CPPO requires a Resale Authorization between the ISV and the channel partner
  • Both types settle through AWS Marketplace billing and count toward buyer cloud commits

‍

What is a Private Offer on AWS Marketplace?

A private offer is a custom pricing agreement between a seller and a specific buyer on AWS Marketplace. Instead of the buyer purchasing at your public list price, you extend a private offer with negotiated terms. These can include custom pricing tiers, adjusted contract duration (up to 60 months), flexible payment schedules, and specific EULA modifications.

Private offers are essential for enterprise sales because they replicate the negotiated deal structure that enterprise buyers expect, while keeping the transaction within the AWS billing and procurement framework. The buyer pays through their AWS account, the transaction counts against their committed cloud spend, and AWS handles invoicing and disbursement.

‍

MPPO: When the ISV Sells Direct

A Manufacturer Partner Private Offer (MPPO) is a private offer created by the ISV (the "manufacturer") directly for a specific buyer.

How it works:

  • You (the ISV) create the private offer in the AWS Marketplace Management Portal
  • You specify the buyer's AWS account ID, custom pricing, contract duration, and payment schedule
  • The buyer receives the offer and can accept it through their AWS account
  • Once accepted, AWS handles billing, invoicing, and disbursement to you

When to use MPPO:

  • You have a direct relationship with the buyer
  • Your sales team owns the deal end-to-end
  • No channel partner is involved in the transaction
  • You want to route a deal through a channel partner but maintain control over the offer terms (this is MPPO routed through a partner, sometimes called "ISV-initiated CPPO")

‍

CPPO: When a Channel Partner Sells for You

A Channel Partner Private Offer (CPPO) is a private offer created by an AWS consulting partner, reseller, or distributor on behalf of the ISV.

How it works:

  • The ISV first creates a Resale Authorization for the channel partner in AWS Marketplace
  • The Resale Authorization defines the wholesale price, authorized products, and terms
  • The channel partner then creates the private offer to the buyer based on that authorization
  • The buyer sees the channel partner as the seller of record
  • AWS collects from the buyer, pays the channel partner, and the channel partner pays the ISV (minus their margin)

When to use CPPO:

  • A consulting partner, SI, or reseller owns the buyer relationship
  • The buyer prefers to purchase through their existing channel partner
  • You want to enable a partner-led sales motion without managing every deal directly
  • You are scaling through a reseller network and need distributed deal execution

‍

CPPO vs MPPO: Side-by-Side Comparison

Here is a practical comparison to help you decide:

Who creates the offer? MPPO: The ISV. CPPO: The channel partner.

Who is the seller of record? MPPO: The ISV. CPPO: The channel partner.

Does it require a Resale Authorization? MPPO: No. CPPO: Yes.

Who controls pricing to the buyer? MPPO: The ISV sets final buyer price. CPPO: The channel partner sets final buyer price (within the ISV's authorized terms).

Who receives payment from AWS? MPPO: The ISV directly. CPPO: The channel partner, who then pays the ISV.

AWS Marketplace listing fee? MPPO: Standard listing fee (up to 3%). CPPO: Standard fee plus 0.5% uplift.

Counts toward buyer cloud commits? Both: Yes.

‍

Setting Up Resale Authorizations for CPPO

The Resale Authorization is the legal foundation of a CPPO. Without it, a channel partner cannot create private offers for your product.

To create a Resale Authorization:

  • Go to the AWS Marketplace Management Portal
  • Navigate to your product and select "Create Resale Authorization"
  • Specify the channel partner's AWS account ID
  • Set the wholesale price (what the partner pays you)
  • Define authorization duration and any restrictions

You can create multiple Resale Authorizations for different partners, each with different terms. This is how ISVs manage tiered partner programs through the marketplace.

‍

Common Mistakes with Private Offers

Using CPPO when you should use MPPO. If your sales team owns the deal and no channel partner is involved, CPPO adds unnecessary complexity and cost (the 0.5% fee uplift). Use MPPO.

Forgetting to create the Resale Authorization first. Channel partners cannot create CPPOs without an active Resale Authorization. This is the most common cause of deal delays in partner-led marketplace transactions.

Misaligning pricing between direct and channel. If your MPPO price to a buyer is lower than what the same buyer could get through a CPPO, you create channel conflict. Align your direct and channel pricing before you start.

Not tracking offer status. Private offers have acceptance windows. If a buyer does not accept within the specified period, the offer expires and you need to create a new one. Monitor offer status actively.

‍

Frequently Asked Questions

Can a buyer use their AWS committed spend on both CPPO and MPPO?

Yes. Both CPPO and MPPO transactions count toward the buyer's committed cloud spend with AWS.

What is the fee difference between CPPO and MPPO?

CPPO transactions carry an additional 0.5% listing fee on top of the standard AWS Marketplace fee. For example, a $500K SaaS private offer through CPPO would have a 3.5% total listing fee instead of the standard 3%.

Can I offer both CPPO and MPPO for the same product?

Yes. Many ISVs use MPPO for direct enterprise sales and CPPO for partner-led deals. The product listing supports both simultaneously.

How does Awssome help with private offers?

Apify uses Awssome's platform to manage deal registration with co-sell selected by default on every submission. The platform simplifies private offer creation and tracks offer status across the entire sales team.

‍

Keep Reading

Real ISV Results

‍

Need help with private offers on AWS Marketplace? Talk to the Awssome team. We handle CPPO and MPPO setup so your deals close faster.