Assuming the conversion to Apple School Manager (ASM) is similar to ABM, I can answer your questions for what happened in our environment. ASM was available to education first so there are more of us already using ASM.
1. Existing VPP licenses will be in the console when we used the older VPP sToken from the VPP site imported into AirWatch OG's (I'm not going to be calling ' AirWatch' by that really long name ' ...UEM' anytime soon!). We started AirWatch before ASM was possible so all our licenses were already there.
2. DEP devices were immediately available in ASM and no longer able to log into deploy.apple.com (redirected to ASM). The same functionality exists in ASM for managing devices like DEP so there is no real impact to DEP other than a different web site to log into with the sub-heading ' Device Assignments' equivalent to the DEP interface.
3. We had 48 VPP accounts previously. All were migrated at once to ASM as ' Content Managers' and were then assigned to one of our 42 ' Locations.' Nothing changed for their process - they could still buy apps at the VPP store and they sync to the sToken and show up in AirWatch. The VPP store doesn't require two-factor authentication yet either so is easier.
4. ASM requires two-factor authentication on all of the Apple IDs so we had to go through that process of connecting known phone numbers to those accounts.
5. Once the VPP Apple ID logs into ASM they see what they have at their location as Content Managers. There is a section called ' Apps & Books' that when selected will have a big ' Get Started' button along with a little text. If you click this button the process of converting from VPP to Location based sToken happens. All of the apps previously purchased as Managed Apps (Available Redeemable Codes need to be converted to Managed Apps first) will be listed there as well as how many copies are used and available. Then the new Location based sToken needs to be downloaded and imported into the console. Then you can still buy apps at the VPP store or the new way in ASM and they will both sync. This is normally a smooth process but for one of our locations the console complained the new token was not an update to the old token. In that case it was a real pain because although we could create a new OG as a child of the old one to import the new token and start over, we wanted to maintain all of the groups and profiles already configured. This required replacing the old token with the new one which removed and replaced all of the apps. This will delete all data stored in the app.
The main reason to do this app token conversion from VPP to ASM Location, as I understand, is to be able to transfer licenses between locations. We had one use for this with an app purchased by the SPED department having to be installed on a school iPad but otherwise I see no reason to make that app conversion unless you are prepared for the possible consequences so we have stopped converting them to ASM until doing a whole school's summer refresh on all devices.