Considered one of the most eagerly awaited updates to pricing in the Dynamics 365 pipeline, the Microsoft Dynamics 365 October 2024 Pricing Update marks the first movement in over five years. We break down the changes, the reasons behind Microsoft's decision to update pricing, and what it means for existing and prospective users of Dynamics 365.
Why Is Microsoft Changing Dynamics 365 Pricing?
Over the last couple of years, Microsoft Dynamics 365 has been relentlessly transformed—with significant implementations for managing customer relations (CRM) and streamlining enterprise resource planning processes in ERP. More than hundreds of new features per year have been introduced, and as a result, customers' ability to drive efficiency in Marketing, Sales, Customer/Field Service, Finance, and Operations has increased significantly.
Some of the top reasons for the price changes are:
• Innovations in AI and Analytics: Dynamics 365 has introduced many breakthrough innovations around AI, reporting, data, and analytics to transform the customer journey, operations, and business visibility.
• Integration with Microsoft Copilot: The union of Microsoft Copilot and Dynamics 365 is further automating operations in ways that drive productivity and efficiency.
• Value Alignment: To continue delivering high-quality solutions and ensuring customers realize the highest ROI on their business applications, Microsoft is pricing the products in alignment with the enriched value that these innovations provide.
When Will The Dynamics 365 Pricing Change?
Dynamics 365 licensing changes will take place on October 1, 2024. Microsoft has also confirmed there will be standard price adjustments in all types of currency. Notably, the cloud pricing for Microsoft Dynamics 365 Business Central will remain unchanged.
Dynamics 365 October 2024 Pricing Update
Dynamics 365's new pricing applies to the following solutions:
Product | Price before October 1, 2024 | Price as of October 1, 2024 |
Microsoft Dynamics 365 Sales Enterprise | $95 | $105 |
Microsoft Dynamics 365 Sales Device | $145 | $160 |
Microsoft Dynamics 365 Sales Premium | $135 | $150 |
Microsoft Dynamics Relationship Sales | $152 | $177 |
Microsoft Dynamics 365 Customer Service Enterprise | $95 | $105 |
Microsoft Dynamics 365 Customer Service Device | $145 | $160 |
Microsoft Dynamics 365 Field Service | $95 | $105 |
Microsoft Dynamics 365 Field Service Device | $145 | $160 |
Microsoft Dynamics 365 Finance | $180 | $210 |
Microsoft Dynamics 365 Supply Chain Management | $180 | $210 |
Microsoft Dynamics 365 Commerce | $180 | $210 |
Microsoft Dynamics 365 Human Resources | $120 | $135 |
Microsoft Dynamics 365 Project Operations | $120 | $135 |
Microsoft Dynamics 365 Operations – Device | $75 | $85 |
Global Impact and Specific Adjustments
This adjustment will globally affect prices, increasing the US government list prices by 10% in October 2024 and again in October 2025. The price adjustment will be felt by new and existing customers upon renewal of subscriptions.
Strategic Considerations for Dynamics 365 Pricing Changes
Existing Contracts: Customers with existing contracts will experience a contract renewal impact and a corresponding price change. It is therefore the right time to review your contracts and devise a strategy for any anticipated contracts to avoid surprises.
Budget Planning: All existing and potential customers must accommodate the newly released pricing information for budget implementation. Proactive financial planning will cushion the impact of the change in prices.
Stay current, stay informed, and let’s navigate the future of Microsoft Dynamics 365 together.
About Live D365
Live D365 is a leading Microsoft Dynamics 365 partner offering expert CRM and ERP solutions. Our certified team ensures seamless integration, personalized consulting, and ongoing support to maximize your Dynamics 365 investment. Partner with Live D365 to drive efficiency and growth in your organization.
For more information visit the Live D365 website: https://lived365.com/
For more information visit the Microsoft Dynamics 365 official website: https://www.microsoft.com/en-in/dynamics-365
Notes:
• All prices are per user per month (or per device per month where noted).
• Prices shown are for informational purposes only and may not be reflective of actual list price due to currency, country, region, and variant factors. Contact a Microsoft sales representative for additional information on pricing.
• Pricing per user per month will increase by $15 in all tiers in Microsoft Relationship Sales. Only the 10-99 user tier shown for simplicity.
FAQs
What are the main reasons for the Dynamics 365 pricing update?
The main reasons include innovations in AI and analytics, integration with Microsoft Copilot, and value alignment to ensure high-quality solutions and better ROI for customers.
When will the new Dynamics 365 pricing take effect?
The new pricing will take effect on October 1, 2024.
Which products are affected by the pricing update?
The update affects several products, including Dynamics 365 Sales, Customer Service, Field Service, Finance, Supply Chain Management, Commerce, Human Resources, and Project Operations.
Will existing contracts be affected by the new pricing?
Yes, existing contracts will be affected upon renewal. It's advisable to review your contracts and plan your budget accordingly.
How can customers prepare for the pricing changes?
Customers should review their current contracts, plan their budgets, and consider contacting their Microsoft sales representative for detailed information and guidance.
Will the cloud pricing for Microsoft Dynamics 365 Business Central change?
No, the cloud pricing for Microsoft Dynamics 365 Business Central will remain unchanged.
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