Deployment Choices &

Economics for
Microsoft Dynamics
CRM
Learning Objectives

Microsoft Dynamics CRM The economics of We have new tools and

offers deployment deploying Microsoft research that help to
choices online, on- Dynamics CRM extend demonstrate the total
premises, and on-Azure beyond the license costs economic impact of
deployment choices
Deployment Choice: On-Premises
Microsoft Dynamics CRM Servers
Server 2015 Customer Management:
→ IT manages CRM in-house
Applications
→ IT purchases & installs
Data software/hardware
Customer
→ IT provides storage, network, and
Runtime
datacenters to achieve global
scale
Middleware

You Manage
On Premises/
Private Cloud O/S Typical Deployment Approach

Virtualization → Deploys using virtualization or

physical installation
Solution Provider
Servers → Deploys in own datacenter
Storage → Handles all troubleshooting,
updates and upgrades
Networking
→ Achieves compliance as required
by business
Deployment Choice: Microsoft-Hosted
Microsoft Dynamics CRM
Online Microsoft Management:

You Access
Applications
→ Delivers a complete SaaS service
Data → Secures and manages for customer
Runtime → Provides global datacenters, hw/sw,
Microsoft networking to customer
Middleware
Public Cloud SaaS → Manages application, hardware, network
O/S
→ App/Data accessible to customer

Managed by
Microsoft
Virtualization Microsoft Deployment Approach:
Dynamics US Government
CRM Online Cloud for CRM
Servers → Deploys instantly into Microsoft’s Global
Datacenters
Storage → Certifies & ensures compliance for
Commercial & Government Customers
Networking
→ Integrates CRM Online with Office365 &
Azure for ease of use and single sign on
→ Works with customers on major
application upgrades
Deployment Choice CRM on Azure IaaS

Microsoft :
Applications
→ Provides hardware and infrastructure for
Data customer

You Manage
→ Certifies & ensures compliant for
Microsoft Runtime
Commercial Customers
Public Cloud
Middleware → Limited Availability near term
O/S Customer:
Dynamics CRM US Government Azure
Virtualization → Configures Azure Virtual Machines
Online Cloud IaaS
→ Manages & Updates Virtual Machines

Managed by
Microsoft
Servers
→ Manages & Updates Virtual Machines
Storage
→ Configuration all Azure services
Networking
 CRM Online is less expensive than CRM on Azure for most customers
1
CRM on Azure vs. CRM Online Licensing Cost

11 Azure 11 CRM CRM PRO

VM’s Servers (EAS) CAL (EAS)
$11.1K/m $1600/m $29/u/m*

Dynamics CRM Dynamics CRM

Online Pro Add-On Online Professional
to Office 365 $63.05/u/m
$48.50/u/m Notes
1. CRM Azure vs. CRMOL licensing costs do no account for:
2 Breakeven pricing Breakeven pricing between
• Customer VM Management costs
Monthly • Financially backed SLA and Support on CRMOL
Program between CRM Online CRM Online O365 Add-On
Cost
Pro and Azure and Azure • Additional CRMOL capabilities (MSE, Insideview, etc.)
EA Subscription $29 375 659 • Field must actively sell differentiated CRMOL value
EA L&SA (Yr. 1- $43.69 656 2,642 2. High breakeven count against CRM Online Pro
3) • Net-new (L&SA) customers have highest breakeven
EA SA (Yr. 4+) $18.72 287 427 • Breakeven grows substantially against Add-On to O365
* CRM cost per seat based on EA level A pricing; Azure based on public pricing, December 2015 expected pricing
Sales Productivity helps to see more than the tip of the iceberg
When positioning online to on-premises, make sure you dive deeper than pure license price!

Ex
Dynamics CRM Online CRM Server am
ple
Add-On to Office 365 On-Prem or Azure
License Price
i.e. how much a user pays for rights to access the solution $48.50 (1) $43.50 (2)
Online-only functionality $20 + $20 + $99 + $2 (3)
i.e. Social Engagement, Inside View, Sales Collaboration Portal Included Based on add-on pricing

Hosting Included $15

i.e. Data Center Capex and Opex Estimate based on Azure hosting cost model

The Business Value of Cloud Based CRM Included Not included

Suggest comparing with market specific vendors

Upgrades, SLA, privacy, security and support Included Not included

Refer to Dynamics CRM Trust Center Suggest looking at market specific vendors

Additional Software $2
i.e. CRM Server, Windows Server and SQL Server?
$0 Based on average 800 users;
Higher per user costs at smaller deployments

(1) Dynamics CRM Online Add-On for Office 365. Requires Office 365 Business Premium, E3, E5 or E5. Shown per user per month in USD.
(2) Price per user license per month, for EA Level A L&SA over 36 months. December 2015 pricing
(3) Power BI ($20) add-on for E3/ E4 subscribers; Social Engagement ($20) add-on for CRM on-prem Pro CAL; Inside View ($99); Sales Collaboration Portal ($2) add-on to CRM on-prem Pro CAL.
The Business Value of Cloud Based CRM
Benefits at the Intersection Cloud CRM Enhances the End-User
of CRM and the Cloud Experience

1 3
Cloud CRM Frees Up IT Assets and Budget Cloud CRM Enables Mobile Sales

2 4 © IDC
Dynamics CRM Online Powers Agile Topline
Growth Quicker Than On-Premises CRMs

Incremental revenue gain from

47% faster CRM deployment
Avoided upfront infrastructure
21% costs
Avoided costs of on-premises
20% CRM software licenses
Reduced ongoing CRM
11% maintenance & support costs

Microsoft Confidential. For internal use only.

© 2015 Forrester Research, Inc. Reproduction Prohibited

9
Tools to Make The Case For Your Customer
• Online calculators
• Suggested calculations & inputs
• PowerPoint printable analysis
• ROI, payback period, costs,
benefits, cash flow

Access both whitepaper and tool internally here:

http://infopedia/docstore/Pages/KCDoc.aspx?k=KC02-
23-78569
Partners, access the tool here:
https://tools.totaleconomicimpact.com/go/microsoft
and “Register” to create an account.

© 2015 Forrester Research, Inc. Reproduction Prohibited

Key Takeaways
Learn More about CRM
Licensing
• CRM Online & On Premises
Pricing and Licensing Guide
updates coming soon
• Infopedia & Partnersource have
latest resources
Understand the total Download Forrester’s TEI
economic impact of Tool and Whitepaper
deployment choices • Available on Infopedia here
• Coming soon to Partnersource
• Non-licensing costs
• Other benefits that accrue to
online deployments
 Disclaimer
© 2015 Microsoft Corporation. All rights reserved.
This presentation contains Microsoft Confidential Information and is intended for Microsoft internal use only, or for
Microsoft customers/partners under NDA.

The Microsoft Dynamics CRM features illustrated in this document are related to pre-release products under
development. The information herein is for informational purposes only and represents the current view of Microsoft
Corporation as of the date of this presentation. Because Microsoft must respond to changing market conditions, it
should not be interpreted to be a commitment on the part of Microsoft, and Microsoft cannot guarantee the accuracy
of any information provided after the date of this presentation. All pre-release product release dates and features
specified are preliminary based on current expectations, and are subject to change without notice. Microsoft may make
changes to specifications and product descriptions at any time, without notice.

MICROSOFT MAKES NO WARRANTIES, EXPRESS, IMPLIED OR STATUTORY, AS TO THE INFORMATION IN THIS

PRESENTATION. NO LICENSE, EXPRESS OR IMPLIED, BY ESTOPPEL OR OTHERWISE, TO ANY INTELLECTUAL PROPERTY
RIGHTS IS GRANTED BY THIS PRESENTATION. Microsoft products are not intended for use in medical, life saving, or life
sustaining applications.

Microsoft Confidential. Internal use only.

13