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SMP Frequently Asked Questions and Answers

Get answers to the most common questions about the Supplier Membership Program.

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From Program Definitions to the Future of the Ariba Network

  1. What is the Ariba Network?
    As the world’s largest web-based trading community, the Ariba Network connects leading global organizations with their trading partners and provides a broad-based platform for all key business collaboration needs. It supports everything from trading partner discovery and e-procurement to e-invoicing and working capital management, allowing participants to buy, sell, and manage cash rapidly and effectively. The Ariba Network delivers unparalleled ROI, reach, flexibility, and value to both buyers and sellers, helping to make business commerce as easy as consumer commerce. Nearly 1 million companies—including more than half of the Global 2000—now use Ariba to streamline and automate their collaborative business processes.
  2. What is the Ariba Supplier Membership Program (SMP)?
    The Ariba Supplier Membership Program (SMP) helps sellers maximize the benefits of the Ariba Network for their businesses by bundling value-added functionality, services, and support tailored to their level of participation. The program offers five membership subscription levels on the Ariba Network: Standard, Select, Premier, Enterprise, and Enterprise Plus. The subscription level each seller receives is aligned with the financial volume and number of documents they transact on the Ariba Network as well as their technology usage.
  3. How do sellers obtain access to specific features or services available at their subscription level?
    Many of the subscription features and services are available directly on the Ariba Network, so sellers can access them by simply logging in to their accounts. For answers to more specific questions, sellers may contact their account manager or Ariba Customer Support.
  4. How are SMP fees calculated?
    Sellers may use the Ariba Network at the no-cost Standard subscription level until they transact five or more documents and $50K or higher in at least one customer relationship annually. After that, SMP fees are determined based on the seller’s transaction volume across all customer relationships as described below:
    • Network Transaction Service (NTS) fees are assessed as a small percentage (0.155%) of a seller’s total transaction volume over the Ariba Network. The NTS fee for any customer relationship with an annual transaction volume exceeding $12.9M is capped at $20K per year.
    • Subscription fees are assessed according to the following transaction volume thresholds:
    Seller’s Total Annual Transaction Volume* Subscription Level and Fee
    $50K to less than $250K Select: $50
    $250K to less than $1M Premier: $495
    $1M to less than $10M Enterprise: $2,495
    $10M or more Enterprise Plus: $7,495

    *Note: Sellers transacting fewer than five documents or less than $50K annually do not pay any fees. Sellers transacting five or more documents and $50K or more annually in at least one customer relationship who use cXML or EDI technologies automatically receive the Premier subscription or higher.

    The following tables provide some illustrations of subscription levels and NTS fees:

     

    Annual Document Count + Transaction Volume per Customer Total Annual Transaction Volume Subscription Level
    Seller with 1 customer relationship

    Customer 1: 7 docs + $40K    		 $40K Standard
    Seller with 3 customer relationships

    Customer 1: 2 docs + $27K

    Customer 2: 9 docs + $12K

    Customer 3: 1 doc + $63K    		 $102K Standard
    Seller with 3 customer relationships

    Customer 1: 4 docs + $40K

    Customer 2: 25 docs + $100K

    Customer 3: 80 docs + $200K    		 $340K Premier
    Seller with 4 customer relationships

    Customer 1: 2 docs + $40K

    Customer 2: 3 docs + $100K

    Customer 3: 27 docs + $200K

    Customer 4: 93 docs + $700K    		 $1.04M Enterprise

     

    Transaction Volume in Billing Period3 Examples of NTS Fees in Billing Period
    $50,000 $78
    $150,000 $233
    $250,000 $388
    $1,000,000 $1,550
    $7,000,000 $10,850
    $250,000,000 $20,000
  5. How are “transaction volume” and “document counts” calculated?
    In most cases, annual transaction volume is the total financial value of purchase orders (POs) plus non-PO-based invoices sent over the Ariba Network for the preceding 12 months. To avoid double counting, PO-based invoices sent via the Ariba Network are not included in the transaction volume. Sometimes, however, a seller’s total invoice volume (both PO-based and non-PO-based invoices), rather than PO volume plus non-PO-based invoice volume, may be used to determine fees. Annual document count is the number of POs and all invoices (both PO-based and non-PO-based invoices) for the preceding 12 months. Order acknowledgements, change orders, advance ship notifications, and settlement/payment remittance advice documents are excluded from the document count; sellers may transact an unlimited number of these at no cost.
  6. Is there an option for sellers to upgrade their subscription to a higher level?
    Yes, optional upgrades are available for those sellers who wish to access Select, Premier, Enterprise, or Enterprise Plus features and benefits but do not qualify for those subscription levels through their current transaction volume. Sellers interested in this option may log in to the Ariba Network and click on the “Service Subscriptions” page.
  7. How does Ariba determine the master anniversary date for a seller’s SMP fees?
    A seller’s master anniversary date is the date the seller first becomes eligible for a paid membership on the Ariba Network; that is, when they have at least one customer relationship transacting five documents and $50K over the Ariba Network within a one-year period. Once that occurs, the following guidelines are used:
    • NTS fees: Ariba charges for future usage of the Ariba Network based on historical usage to achieve simplicity and predictability in membership fees. Some sellers are billed on an annual plan, and other sellers (including all newly chargeable sellers) are billed on a quarterly plan.
    • Subscription fees: Subscriptions for Ariba Network Select, Premier, Enterprise, and Enterprise Plus are calculated and billed annually on the seller’s master anniversary date, regardless of whether the seller account is billed annually or quarterly for NTS. In addition, eligibility for specific subscription levels is evaluated on a 12-month historical basis, regardless of whether the seller is on an annual or a quarterly NTS billing cycle. Subscriptions last for one year, and subscription level and fee are reevaluated only at the seller’s master anniversary date.
  8. Are there any fee exemptions?
    If a seller transacts with public-sector buyers and the seller’s business is certified as small and disadvantaged, women-owned, minority-owned, or veteran-owned, they might be exempt from Ariba NTS fees. Ariba defines public-sector buyers as the following:
    • Federal government
    • State government and state universities
    • Local government: city, county, township, school district
    • Non-profit organizations, as certified by the IRS 501(c)(3) definition
    For more information about determining eligibility for fee exemptions, sellers should contact Ariba Customer Support.
  9. What is an ANID number, and how does it impact how seller fees are calculated?
    An Ariba Network Identification (ANID) number is a unique identifier of an Ariba account. Sellers may maintain multiple ANIDs for various reasons. For each of these ANIDs, purchase orders and invoices—as well as transaction (dollar) volume—are counted for each customer relationship to determine when the thresholds are reached for SMP fees. Once the seller transacts at least five documents and $50,000 annually in at least one relationship, NTS and subscription fees are assessed across all relationships within the same ANID. Sellers with multiple ANIDs may roll up their accounts into a “multi-org” parent-child relationship to take advantage of per-relationship caps.
  10. Why might a seller have to pay now when previously they were transacting for free?
    Sellers who receive their first Ariba SMP invoice have reached an important e-commerce milestone. They’ve crossed a high-volume threshold and are now transacting, with at least one customer, five or more documents worth $50,000 or more annually via the Ariba Network. To maintain their momentum—and the Ariba Network relationships their customers have come to rely on—it’s critical that they renew their membership and remit payment before the due date on their invoice to avoid service interruption. Only then can they continue to enjoy the measurable benefits of being an Ariba Network seller.
  11. If a seller is renewing their membership, why might their fees be different than last year?
    Seller fees can vary depending on the seller’s activity level on the Ariba Network. Each year, upon the seller’s subsequent master anniversary date, the Ariba Network performs an annual look-back on transaction volume and relegates the seller account to the appropriate subscription level for the next 12 months. In addition, each year or each quarter, the Ariba Network performs an annual look-back to evaluate Network Transaction Service (NTS) fees, which are fixed for one quarter or one year.
  12. How can a seller pay their invoice?
    Payment is handled via a web-based process, accessible through the seller’s Ariba Network account. Only users with Ariba Network administrator privileges will be able to perform the payment process. Here are the steps they should follow:
    1. Log in to their account
    2. Select “Service Subscriptions” from the drop-down menu by clicking on the drop-down arrow next to the seller’s name in the upper right-hand corner
    3. Go to the “Billing” tab to review any outstanding fees
    4. Click the “Pay Invoice” link for any of the subscriptions for which payment(s) are due
    5. Follow the instructions for selecting a payment method and accepting the Terms of Use
    Once this is complete, click “Submit.” Sellers can pay their membership fees with a credit card, electronic funds transfer (formatted as Fedwire, ACH, or SEPA), or check (payment options vary by region).
  13. What happens if a seller does not pay their Ariba Network fees?
    The seller’s account will be suspended. They will not be able to use the Ariba Network to receive purchase orders, submit invoices, or engage in any transactions, and the seller’s customers will be notified of their account suspension.
  14. What payment types are accepted for the Ariba Network?
    It depends on the value of the Ariba invoice. In most cases, sellers can pay their SMP fees with a credit card, electronic funds transfer (formatted as Fedwire, ACH, or SEPA), or check (payment options vary by region). However, for invoices below $750 in USD, we ask that sellers pay via credit card. (For a complete list of credit card thresholds by currency, click here.) This requirement is part of our effort to better meet seller needs, including offering greater convenience and time savings, as well as protecting sellers from the risk of not being able to transact with their customers if a payment is more than 30 days late.
  15. Where can sellers learn more about the Supplier Membership Program?
    There are several ways in which sellers can get more information about the Supplier Membership Program:
    1. Download this datasheet
    2. Send us an email at aribasupplier@ariba.com
    3. US/Canada-based sellers may call 1-866-31ARIBA
    4. Latin America-based sellers may call +1 412 222 6170
    5. EMEA-based sellers may call +44 (0) 20 7187 4185
    6. APAC-based sellers may call +65 6311 4585
  16. How will the Ariba Network evolve?
    Sellers are—and will continue to be—the focus of significant strategic investments at Ariba. To further our goal of consumerizing B2B e-commerce and helping both sellers and their customers realize more value through the Ariba Network, Ariba has planned many exciting enhancements over the next several releases, including: 
    • Continued integration of the Ariba and Quadrem networks: Ariba will expand seller access to new customers and global collaborative commerce opportunities by bringing together catalogs, services procurement, and ultimately source-to-settle/market-to-cash capabilities within the largest buyer-seller network in the world.
    • Additional support resources: Through various new support teams, Ariba will offer higher levels of assistance to sellers who are committed to evolving their business commerce capabilities and innovating in new areas, reducing barriers to collaboration and making it easier to resolve issues rapidly.
    • New business opportunities: Ariba will provide more ways to increase sellers’ market exposure and make it easier for sellers and buyers to discover and collaborate with each other; for example, through continued investments in Ariba Discovery and Ariba Sourcing.
    • Enhanced working capital collaboration: Ariba will continue to offer sellers new resources that help them accelerate cash flow and turn receivables into cash.
    • Expanded collaborative commerce benefits: Ariba will continue to invest in tools and technology to ensure that all sellers can have true, straight-through processing automation and benefit from the 75-percent-plus process-cost savings often available only to technologically advanced sellers.
    • Educational tools and courses: Ariba will keep providing e-commerce training courses, webinars, online chat sessions, and other resources designed to help sellers evolve and grow their e-commerce capabilities, including: our seller e-newsletter, Supply Lines, and Ariba Exchange, an online forum offering content and community services for the sharing of ideas and best practices as well as networking and researching among e-commerce professionals.

For more frequently asked questions, download this datasheet.

1 The Ariba Integration Connector powered by Dell Boomi, is included in the Enterprise and Enterprise Plus subscriptions allowing connection from one Ariba Network ID/account to one back end system from the list available from Ariba at the time you order. Activation of this license requires acceptance of additional terms.
2 All financial amounts are in US dollars.
3 Billing period may be annual or quarterly, depending on when the seller crosses chargeability thresholds. Those that became chargeable before September 1, 2011, are generally on an annual billing cycle; those that became chargeable on or after September 1, 2011, are generally on a quarterly billing cycle.