Microsoft Dynamics 365 costs at a glance for Swiss companies

Licensing fundamentals

Dynamics 365 is designed so you can select only the modules that are truly relevant to your business. If your company focuses heavily on sales and customer relationships, you may need only CRM modules such as Dynamics 365 Sales and Customer Service. A company with complex production and supply chain processes, on the other hand, can add modules such as Supply Chain Management or Finance.

This modular structure gives you the flexibility to align costs with your actual needs and pay only for the features you actively use. This is particularly beneficial for Swiss companies, which often face high labor and infrastructure costs, because the solution can be scaled and adapted to your company’s growth goals.

Dynamics 365 licensing models

Several licensing models are available for Dynamics 365. The SaaS model (software as a service) is particularly attractive: your company uses the software through the cloud, achieving greater flexibility with lower infrastructure costs. On-premises licenses are also available if you want to host your data locally, although you should expect higher hardware investments and maintenance costs.

Subscription-based licenses (SaaS model)

With the SaaS model, your company pays monthly or annually for access to Dynamics 365 modules. This licensing model has the advantage that you pay only for the services you use and the users who need access, which is helpful as your company scales.

On-premises licenses

On-premises licenses for Dynamics 365 allow your company to install and use the software on its own servers, giving you full control over your data and the underlying infrastructure. This licensing option allows more customization, but compared with cloud-based solutions, it also requires more IT resources for maintenance and administration.

Costs per user and application

Licenses are user-based, which means that every employee who needs access to specific features requires a license. User license prices vary significantly depending on the module and how extensively it is used. For example, sales and marketing licenses are less expensive than licenses for ERP features such as finance or logistics.

Different license types

Microsoft Dynamics 365 offers two main types of user licenses:

• Full User: Users have access to the system’s full range of features, making this license ideal for managers and employees in key positions. Full Users can access complex features such as analytics tools and financial management, while Team Members can perform only basic tasks such as data entry and simple reporting.
• Team Member: This license is for employees who access the system only occasionally and therefore need only basic features. This distinction can help your company save significantly. Team Member licenses cost considerably less, giving companies with many users an affordable way to provide them with system access.

Dynamics 365 module prices at a glance

The ERP and CRM modules in Microsoft Dynamics 365 differ not only in their features but also in price. Most CRM modules, such as Sales and Customer Service, tend to cost less than ERP modules because they offer a narrower range of management and planning features. Dynamics 365 Business Central combines a CRM system with ERP features for small and mid-sized companies; its pricing is customized.

Prices for CRM modules

The CRM offering includes modules such as Microsoft Dynamics 365 Sales and Customer Service. These modules are designed for companies that primarily want to maintain and improve customer relationships. Here is an overview of current prices (as of November 2024):

Customer engagement:

• Dynamics 365 Sales starting at CHF 58.20 per user/month
• Dynamics 365 Customer Insights starting at CHF 895.50 per user/month when another Dynamics 365 application is already in use; otherwise CHF 1,522.40 per user/month

Service:

• Dynamics 365 Customer Service starting at CHF 44.80 per user/month
• Dynamics 365 Contact Center starting at CHF 98.50 per user/month
• Dynamics 365 Field Service starting at CHF 94.00 per user/month

Prices for ERP modules

ERP modules such as Finance and Supply Chain Management offer comprehensive features for managing business operations and are therefore ideal for larger companies with complex requirements. ERP modules include:

• Dynamics 365 Supply Chain Management starting at CHF 188.10 per user/month
• Dynamics 365 Finance starting at CHF 188.10 per user/month
• Dynamics 365 Project Operations starting at CHF 120.90 per user/month
• Dynamics 365 Human Resources starting at CHF 120.90 per user/month

Other modules and their prices

Dynamics 365 Guides is a Microsoft Dynamics 365 application developed specifically to create interactive, visual instructions, primarily for augmented reality (AR). The feature helps employees follow work instructions and process steps in real time using HoloLens or other AR devices.

• Dynamics 365 Guides starting at CHF 58.20 per user/month

Dynamics 365 Commerce offers an integrated platform for seamless customer experiences in retail, from e-commerce to POS, and can be used on its own or as part of an ERP system.

• Dynamics 365 Retail starting at CHF 188.10 per user/month
• Dynamics 365 Commerce starting at CHF 3,582.10 per user/month

Dynamics 365 Remote Assist is a mixed-reality application that enables employees to efficiently solve technical problems on site with real-time remote support from experts. The solution works with HoloLens or mobile devices, making maintenance and repair work easier.

• Dynamics 365 Remote Assist starting at CHF 58.20 per user/month

Dynamics 365 Business Central prices

Dynamics 365 Business Central is a cloud-based ERP solution from Microsoft developed specifically for small and mid-sized companies. It offers comprehensive features for financial management, project management, sales and purchasing processes, and inventory management. Business Central enables your company to automate and optimize business processes by providing real-time data and promoting seamless collaboration between departments.

The Dynamics 365 Business Central ERP system can be extended with additional modules, such as Dynamics 365 Sales or Customer Service. This gives you an ERP and CRM system tailored to support your company’s business processes.

Recommended reading: “Business Central vs. Navision: Why upgrading benefits your company.”

The cost of Dynamics 365 Business Central varies based on your company’s requirements and size. The system is subscription-based, and each user needs a license. Nexova Dynamics can help you calculate the total cost for your company.

Current prices for Dynamics 365 Business Central:

• Essentials license starting at CHF 64.80 per user per month
• Premium license starting at CHF 89.10 per user per month
• Team Member starting at CHF 6.50 per user per month

Want to learn more? This article offers a comprehensive overview of Business Central implementation and operating costs.

Factors affecting the cost

There are three main factors that affect the cost of using Dynamics 365:

• Company size: The number of users and the complexity of requirements determine the total investment. Larger companies generally need more comprehensive modules and support options.
• Deployment type (cloud vs. on-premises): Cloud solutions are generally more cost-effective and flexible, while on-premises solutions require higher upfront investment and ongoing maintenance.
• Add-on services and additional features: Additional services such as Power BI or Automate provide valuable features but come with extra costs.

Implementation and customization costs

Costs include not only licenses but also implementation, customization, consulting, and any additional apps that need to be integrated. Here too, your company’s size and the complexity of its business processes are key factors in determining total costs.

• One-time implementation costs: These include basic setup, customization for specific business processes, and initial system configuration. Using internal resources also creates indirect implementation costs. Depending on the scope of the project, however, it may be advisable to hire a service provider to implement Dynamics 365.
• Customizations and integrations: If custom solutions or integrations with other systems (such as SAP or specialized accounting tools) are required, implementation costs may increase.
• Implementation, consulting, and configuration costs: After the initial setup and customization, additional training and support may also be required throughout the implementation process. Ongoing consulting and customizations may also be needed after the initial implementation.
• Microsoft AppSource integration: Microsoft AppSource is an online platform offering a wide range of applications and solutions developed specifically for Microsoft products such as Dynamics 365. You can add industry-specific apps, affecting both one-time and ongoing costs.

Recommended reading: “ERP implementation in 8 steps: How to make it successful.”

Maintenance and operating costs

Once Dynamics 365 has been successfully integrated into your company, there are ongoing operating costs you should keep in mind. These include regular updates, support, and maintenance. Microsoft offers several support options tailored to your business’s needs. Operating costs vary depending on the selected deployment model, cloud or on-premises.

Maintenance costs

Cloud solutions

For cloud-based Dynamics 365 solutions, Microsoft takes full responsibility for maintaining and updating the software. This eliminates internal operating costs for updates and system maintenance. You benefit from regular, automatic updates that add new features and security improvements without requiring additional effort.

Microsoft also provides backups and patches automatically, reducing the workload for your internal IT team. The cloud option therefore offers better cost control and greater security through centralized management.

On-premises solutions

With an on-premises implementation, you are responsible for maintenance and updates. This means internal IT resources or external service providers must handle system maintenance, security patches, and software updates. Operating costs for on-premises solutions therefore include not only the purchase and upkeep of server hardware, but also the cost of regular updates, security patches, and backups.

You are also responsible for maintaining compliance with security standards, which increases ongoing costs. This can lead to higher operating costs, especially in companies with extensive IT infrastructure.

Prices for support options

Microsoft offers several support options for Dynamics 365: Basic Support is included in the license price, while the “Professional Direct” and “Unified Enterprise” support plans are paid options for companies with higher service requirements. “Professional Direct” support for Dynamics 365 products is available starting at $9.00 per user per month (minimum 20 users).

The premium “Unified Enterprise” option includes prioritized request handling, dedicated support, and proactive consulting on system optimization, and applies to all Microsoft products. Pricing is available by request only.

Support options at a glance:

• “Unified Enterprise” support: price upon request
• Free Basic Support
• “Professional Direct” support starting at $9.00 per user per month

Who uses Microsoft Dynamics 365?

Thanks to its flexibility, modular features, and integration with other Microsoft products, Dynamics 365 is used by companies and organizations of all sizes across a wide range of industries. Small and mid-sized companies (SMEs) particularly benefit from the solution’s flexibility and scalability, which allow them to automate and optimize business processes without investing in complex IT infrastructure.

Large companies use Dynamics 365 to integrate complex business processes and use real-time data to make informed decisions. Industries such as retail, manufacturing, healthcare, financial services, and professional services find customized solutions in Dynamics 365 that are tailored to their needs.