Microsoft Dynamics 365: What It Is, What It Costs, and What It Means to You
As you have heard by now, Microsoft has officially released Microsoft Dynamics 365. What exactly is Dynamics 365? How does it differ from Dynamics CRM or Dynamics AX? What does it offer, and how does it affect you? Over the upcoming weeks, we’ll be digging down into this paradigm-shifting new solution—in blogs and webcasts—to help you get answers to these questions and more. Our first blog presents an overview of the product, pricing, and other options. This is just the beginning…stay tuned for more.
Microsoft Dynamics 365 is a new cloud service that repackages and rebrands what was formerly called Dynamics CRM Online into applications (or apps). In addition, Dynamics 365 Enterprise Edition (see below for an explanation of Enterprise Edition) combines the former Dynamics CRM and Dynamics AX, which is an Enterprise Resource Planning (ERP) application. Now, AX will be one of the apps available within Dynamics 365. Dynamics 365 also comes in a Business Edition, which is described below.
Below is the “official” image that, sort of, helps you visually understand what Dynamics 365 is (items highlighted in orange).
The first exciting piece of news about Dynamics 365 is that you have the option to select only the apps you need—and add more as your needs change (or your budget allows).
What is included with Microsoft Dynamics 365?
Microsoft combines Dynamics CRM and ERP solutions into one, cloud-enabled product offering. The Dynamics 365 Apps are Sales, Field Service, Customer Service, Project Service Automation, Marketing, Financials, and Operations. In addition, two new apps, PowerApps and Flow, have been introduced to help users customize their Dynamics 365 solution:
PowerApps provides a no-code approach to building mobile apps with specific functionality. For example, you could build a time and expense app that runs on mobile devices and updates data in CRM. Think of these as mostly task-specific apps.
Flow, on the other hand, is a workflow engine that works across all Dynamics 365 apps, as well as with third party services. If you have ever heard of IFTTT or Zapier, Flow is Microsoft’s version of those apps.
How much does Microsoft Dynamics 365 cost?
Pricing, unfortunately, is a little more complex than just giving a number. First, there are two editions of Microsoft Dynamics 365; Enterprise and Business. The Enterprise Edition is for organizations with more than 250 users, and the Business Edition is for companies with 1 to 250 users.
Not only are there two editions, but there are also different bundling, transition, upgrade and promotion offerings. Suffice to say, we will be doing a deeper dive in later blogs and webinars to explain it all. Until then, below are the standard list prices:
Dynamics 365 Business Edition:
- $40 (per user per month) for full users. This price is for Financials (accounting) only at this time.
- The Business Edition Plan (not released yet) will be $50. It will come with new Sales, Marketing and Customer Service modules that are not defined yet. These apps will be a lighter version of the Dynamics CRM Online features most of us know today.
Dynamics 365 Enterprise Edition (available in two plans):
- Plan 1 is $115 (per user per month) and includes Sales, Marketing, Customer Service, Project Service, Field Services, Power Apps, and Flow—but not Operations (ERP).
- Plan 2 is $210 (per user per month) and includes everything, including Operations.
- Microsoft is also introducing a Team license for $10 per user per month. Think of this as a very light user license for $10 (mostly read only, with some ability to create activities and notes).
I will reiterate, these are list prices only. If you are close to purchasing or renewing, please give us a call.
AppSource: Extend Dynamics 365 with exciting apps
AppSource is an App Store for Microsoft Dynamics 365 that lets you evaluate, purchase, and provision apps and extensions, similar your mobile experience of the Apple App Store or Google Play. This will be the new way of finding and installing extensions.
Does Dynamics 365 integrate with Office 365?
Yes. As Dynamics 365 is mostly a rebranding, Integration with Office 365 is mostly the same as before. There is a new Outlook integration that looks promising and adds new features and improvements over the current Outlook client.
The bottom line
There is a lot of information, which we will be reviewing with you in the coming months. We are very excited about the direction and capabilities that Microsoft has added and will be adding in the near future. Even better, these are not just features; rather, they are new capabilities that will improve the usability, efficiency, and productivity of your organization.
To see Microsoft Dynamics 365 in action, be sure to attend our webcast, Microsoft Dynamics 365 Deep Dive Series – Introducing a New Generation of CRM and ERP, on January 18th, and watch for more in our Microsoft Dynamics 365 Deep Dive Series, featuring blogs and webcasts.