How to Deploy a Virtual Machine Pre-Loaded with Software on the Azure Marketplace as a Transactable Offer

30 August 2024

The Azure Marketplace is a powerful platform that enables software vendors to distribute their solutions to a broad audience of Azure customers. By creating a Virtual Machine (VM) offer that is pre-loaded with your software, you can make it easier for customers to deploy and use your solution on Azure. Additionally, by making your VM a transactable offer, you can simplify the purchasing process for customers and streamline your revenue generation. This blog will guide you through the process of deploying a pre-loaded VM on the Azure Marketplace as a transactable offer.

1. Understanding Azure Marketplace Transactable Offers

Before diving into the technical details, it's important to understand what a transactable offer on the Azure Marketplace entails. A transactable offer allows customers to purchase your software directly through the Azure Marketplace. This means that Azure handles the billing, and you receive payments through Microsoft’s payment infrastructure. There are several types of transactable offers, including SaaS (Software as a Service), Managed Applications, and Virtual Machine offers.

A Virtual Machine offer is ideal for scenarios where your software needs to run on a specific operating system or requires certain configurations that are best managed in a dedicated environment. By pre-loading your software onto the VM, you reduce the setup time for your customers and enhance their overall experience.

2. Preparing Your Virtual Machine

The first step in creating a VM offer is to prepare the virtual machine image that will be published on the Azure Marketplace. This involves the following steps:

a. Create a Virtual Machine in Azure

1. Log in to Azure Portal: Start by logging into the Azure Portal with your Microsoft account.

2. Create a New Virtual Machine: Navigate to the "Create a resource" section and select "Virtual Machine" under the Compute category.

3. Configure VM Settings:

o Name and Region: Give your VM a name and select the appropriate region.

o Size: Choose the VM size based on the requirements of your software.

o Operating System: Select the operating system that your software supports. Common choices include Windows Server or Linux distributions like Ubuntu or CentOS.

b. Install and Configure Your Software

Once the VM is created, you need to install and configure your software on it. This step includes:

  • Install Dependencies: Ensure that all necessary dependencies, libraries, and frameworks required by your software are installed.
  • Install Your Software: Install your software and any necessary services.
  • Configuration: Configure your software for optimal performance and security. This might involve setting up databases, web servers, or other components that your software relies on.
  • Testing: Thoroughly test the VM to ensure that your software runs as expected in this environment.

c. Generalize the VM

Before you can capture the VM image, you need to generalize the VM. Generalizing prepares the VM for use as an image by removing specific system information like the computer name, users, and unique security identifiers.

  • For Windows: Run sysprep.exe, a tool that prepares Windows OS for duplication.
  • For Linux: Use the waagent -deprovision+user command to deprovision the VM.

After generalizing, stop the VM and deallocate it.

3. Capture the Virtual Machine Image

After generalizing the VM, the next step is to capture the VM image. This image will be used to create the offer on the Azure Marketplace.

1. Capture the Image: In the Azure Portal, navigate to the VM, and select "Capture" from the menu. This will open the "Capture" pane.

2. Create Image: Provide a name for the image, specify the resource group, and select the option to automatically delete the VM after the image is created (optional).

3. Complete the Process: Click on "Create" to start the image capturing process. This process may take a few minutes.

Once the image is captured, it will be available in the Azure Portal under the "Images" section.

4. Create and Configure the Azure Marketplace Offer

With your VM image ready, the next step is to create the Marketplace offer.

a. Sign Up for the Microsoft Partner Center

If you haven’t already, you’ll need to sign up for the Microsoft Partner Center. This is where you will manage your offer, including submission, pricing, and monitoring. 1. Go to Partner Center: Navigate to the Microsoft Partner Center.

2. Create an Account: Sign up as a publisher and provide the required business information.

b. Create a New Offer

1. Create a New Offer: In the Partner Center, navigate to the “Marketplace offers” section and click on “+ New Offer”.

2. Select Offer Type: Choose “Virtual Machine” as the offer type.

3. Configure Offer Details: Provide a name, alias, and description for your offer. This information will be visible to customers on the Azure Marketplace.

4. Upload VM Image: Link the VM image that you previously captured in Azure to this offer.

c. Pricing and Plan Configuration

1. Define Pricing: Configure the pricing model for your VM offer. You can choose between different pricing models such as BYOL (Bring Your Own License), pay-as-you-go, or subscription-based.

2. Plan Configuration: Set up different plans if you offer multiple versions of your software (e.g., Standard, Pro, Enterprise).

3. Billing: Ensure the billing details are correct, as this is how you will receive payments from customers.

d. Marketing and Legal

1. Marketing Materials: Prepare and upload marketing materials, including a description, logos, screenshots, and videos that will be displayed on your offer's Marketplace page.

2. Legal Terms: Provide the legal terms and conditions under which customers can use your software. This might include End User License Agreements (EULAs), privacy policies, and support agreements.

5. Submit the Offer for Certification

Once you’ve configured all aspects of your offer, you’ll need to submit it for certification. Microsoft will review your offer to ensure it meets the technical, marketing, and legal requirements of the Azure Marketplace.

1. Validation: The certification process includes validation of the VM image, pricing, and all other aspects of the offer.

2. Testing: Microsoft will also test the deployment of the VM to ensure that it works as expected.

3. Approval: Once approved, your VM offer will be published on the Azure Marketplace.

6. Monitor and Manage Your Offer

After your VM offer is live, it’s important to continuously monitor its performance and manage customer interactions.

  • Analytics: Use the analytics tools in Partner Center to track downloads, revenue, and customer usage.
  • Customer Support: Provide timely support to customers who deploy your VM. This can help in building trust and ensuring customer satisfaction.
  • Updates: Periodically update your VM image and offer to ensure that it remains secure, performant, and aligned with customer needs.

Deploying a Virtual Machine pre-loaded with software on the Azure Marketplace as a transactable offer can greatly expand your software’s reach and simplify the deployment process for customers. By following the steps outlined in this guide, you can efficiently create and manage your offer, allowing you to focus on delivering value to your customers while Microsoft handles the distribution and billing. Whether you’re an established software vendor or a new startup, the Azure Marketplace provides a scalable platform to grow your business and reach millions of potential users. Contact your Microsoft SureStep Ambassador today at This email address is being protected from spambots. You need JavaScript enabled to view it. for further engagement, assistance, and guidance.

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