Marco Schoch Finance
Zurich,
Comparisons
Microsoft Dynamics 365 vs. Salesforce: What do you need for your CRM?
Dynamics 365 Business Central is ERP software with basic CRM functionality. In addition, the Dynamics 365 suite offers various modules for customer relationship management. Salesforce, by contrast, is an advanced CRM platform focused on sales, marketing, and customer service. The question is: Do you need a standalone CRM tool such as Salesforce, or is a system that combines ERP and CRM features a better fit for your needs?
This article will help you find the answer. To do so, we compare the features of the two systems and look at customization options, scalability, support options, and security aspects. We also look at different scenarios to help you decide which solution is right for you.
Highlights
- Dynamics 365 combines ERP and CRM, while Salesforce is a specialized CRM
- Dynamics 365 integrates deeply with Office 365, Teams, and Power BI
- Salesforce offers AI features and AppExchange for CRM customization
- Dynamics 365 takes longer to implement; Salesforce is ready to use faster
- Dynamics for ERP and CRM, Salesforce for CRM, and a combined solution for complex needs
Marco Schoch Finance
Zurich,
Meet the contenders
An overview of business solutions
Microsoft Dynamics 365 and Salesforce take different approaches: Dynamics 365 offers an integrated ERP and CRM system, while Salesforce focuses entirely on customer relationship management. Choosing the right system therefore depends heavily on your company’s individual requirements.
Microsoft Dynamics 365: A flexible ERP system with CRM modules
Microsoft Dynamics 365 combines ERP and CRM functionality in a modular solution that can be adapted to your company’s needs. The Dynamics 365 suite also offers specialized customer relationship management modules that can be integrated seamlessly.
Companies that already use Microsoft products such as Office 365 benefit from deep integration, which enables consistent workflows and automation throughout the Microsoft ecosystem. Microsoft Dynamics 365 can be a comprehensive solution, especially for companies that need both an ERP and a CRM system.
These are the CRM modules offered by Microsoft Dynamics 365:
- Dynamics 365 Sales: Sales management, lead and opportunity management, forecasting
- Dynamics 365 Customer Service: Ticket management, omnichannel support, knowledge bases
- Dynamics 365 Field Service: Field service management, scheduling, IoT-enabled maintenance
- Dynamics 365 Marketing: Campaign management, customer interactions, automation
- Dynamics 365 Customer Insights: AI-powered customer data analysis, 360-degree customer view
- Dynamics 365 Customer Voice: Customer feedback, surveys, real-time analytics
Core features of Microsoft Dynamics 365:
- ERP functionality: Financial management, supply chain management, production planning, and human resources management
- CRM modules: Sales, customer service, marketing, and field service management
- Business intelligence: AI-powered analytics and automation
- Customization: Modular design with expansion options through Microsoft Power Platform
Recommended reading: “Microsoft Dynamics 365: A comprehensive overview for business owners”
Salesforce: The leading CRM provider
Salesforce has established itself as the world’s leading CRM system and focuses primarily on sales, marketing, and customer service. The cloud-based system enables companies to manage customer relationships efficiently and optimize the sales process through automation and AI-powered features.
For companies primarily looking for a powerful CRM system, Salesforce is one of the best solutions available on the market.
Core features of Salesforce:
- Sales automation: Lead and opportunity management
- Marketing Cloud: Campaign management, email marketing, and customer journeys
- Service Cloud: Customer service and support features
- AI-powered analytics: Forecasting and automation through Salesforce Einstein
- Flexibility: Extensive ecosystem of apps and integrations from Salesforce AppExchange
Where the differences matter
Salesforce vs. Dynamics 365: Comparing features
The cloud-based Microsoft Dynamics 365 platform offers deep integration between CRM and ERP, while Salesforce is a CRM platform with extensive AI and automation features. To help you understand the systems’ strengths and weaknesses and how they differ, here is an overview of the most relevant CRM features:
| Feature | Salesforce | Business Central & Dynamics 365 apps |
|---|---|---|
| Sales management |
SalesforceFocuses entirely on CRM and offers a specialized Sales Cloud designed for sales teams. With extensive automation features, AI-powered insights, and customizable pipelines, Salesforce supports the entire sales process.
|
Business CentralEnables close integration with ERP functionality, allowing companies to manage all their business processes, from procurement and production to sales, in a single solution. Integrated workflows and AI-powered features optimize sales automation.
|
| Lead and opportunity management |
Salesforce:
Salesforce offers strong lead and opportunity management with detailed analytics, AI-powered predictions, and a wide range of customization options. The platform helps sales teams target potential customers and optimize the sales process through to closing.
|
Business Central:
Lead and opportunity management are closely linked to other business areas, allowing sales and financial data to be combined seamlessly. Microsoft AI improves lead qualification.
|
| Sales forecasting and pipeline management |
Salesforce:
Salesforce uses Einstein for AI-powered forecasts based on historical sales data and market trends. Sales teams gain detailed insights into their pipeline so they can make informed decisions.
|
Business Central:
Deep integration with other business processes lets companies link sales forecasts directly with financial and inventory data to enable more precise planning.
|
| Marketing automation |
Salesforce:
With Marketing Cloud, Salesforce offers one of the most powerful platforms for multichannel campaigns, personalized customer outreach, and comprehensive automation features.
|
Business Central:
Dynamics 365 Marketing offers a full-fledged solution for automating marketing processes, including email campaigns, lead nurturing, and event management. It integrates closely with LinkedIn Sales Navigator.
|
| Campaign management |
Salesforce:
Relies on sophisticated workflows to automate and personalize marketing campaigns, with insights from AI-powered analytics.
|
Business Central:
Enables detailed campaign planning and analysis with deep integration into the overall business strategy.
|
| Customer service |
Salesforce:
Salesforce Service Cloud offers omnichannel support, AI-powered chatbots, automated ticket management, knowledge bases, SLA management, and analytics. Einstein AI optimizes service processes, and AppExchange integrations enable custom extensions.
|
Business Central:
Dynamics 365 Customer Service offers features such as omnichannel support (phone, chat, email, and social media), AI-powered chatbots, automated ticket management, knowledge bases, SLA management, and analytics to optimize service. Integration with Microsoft Teams and Power Platform also enables seamless collaboration and customization.
|
| Analytics and AI |
Salesforce:
With Tableau and Einstein Analytics, it offers comprehensive AI-powered data analysis that delivers informed business insights.
|
Business Central:
Uses Power BI for detailed real-time analytics and reporting. Azure AI offers advanced forecasting and automated decision-making.
|
Integration, extensibility, and customization of CRM solutions
To realize the full potential of business software, it needs to be easy to integrate and extend. Both Microsoft Dynamics 365 and Salesforce offer ways to integrate their features seamlessly with existing systems and customize them.
Both systems have powerful low-code and no-code tools: Microsoft uses Power Automate and Power Apps, while Salesforce offers intuitive customization through the Lightning Platform. For complex development, Dynamics 365 offers extensions through Microsoft Azure, while Salesforce allows in-depth customization with its own Apex programming language.
Salesforce
- AppExchange as a marketplace for third-party applications: Salesforce’s AppExchange offers a huge selection of third-party applications that can be integrated seamlessly. This allows CRM users to easily extend existing features, for example, with specialized tools for lead scoring, customer communications, or marketing automation.
- APIs and tools for customizations: With powerful APIs and the Salesforce Developer Platform, companies can develop their own extensions and integrations to tailor the system to their sales and customer service processes.
Business Central & Dynamics 365 apps
- Seamless integration with Office 365 and other Microsoft products: Companies that already use Microsoft applications such as Outlook, SharePoint, or Teams benefit from deep integration that makes data exchange and collaboration easier. This enables seamless synchronization of customer data with emails and documents, as well as smooth communication through Teams, increasing efficiency in sales and customer service.
- Use of Power Platform: With Power BI for detailed analytics, Power Apps for building custom business applications, and Power Automate for process automation, Microsoft Dynamics 365 offers powerful extensibility without extensive programming.
- Extensions from Microsoft AppSource: Companies can also expand their ERP system with a wide range of apps and extensions from Microsoft AppSource. If you only need specific CRM features, for example, you can integrate Act! 365 for small and mid-sized companies or LinkedIn Sales Navigator for customer management on LinkedIn.
Comparing ease of use and user experience
Ease of use and user experience play a decisive role when choosing a CRM or ERP system. Microsoft Dynamics 365 is deeply integrated into the Microsoft ecosystem and is particularly well suited to experienced users, while Salesforce focuses on an intuitive, visually appealing interface that is easy to use.
Salesforce
- Interface and navigation: Intuitive, modern design with Salesforce’s Lightning Experience.
- Design and ease of use: Visually appealing, with many drag-and-drop elements, and particularly intuitive for sales teams.
- Mobile access: User-friendly mobile app optimized for sales representatives.
- Personalization: Easy customizations directly through the user interface.
Business Central & Dynamics 365 apps
- Interface and navigation: Modeled on Microsoft products, familiar to Office 365 users but complex for new users.
- Design and ease of use: Functional, business-focused design that requires time to learn.
- Mobile access: Mobile app for CRM and ERP data; performance depends on customizations.
- Personalization: Highly customizable, but some technical knowledge is required.
CRM solution costs and licensing models
As a company, you should also budget for implementation, training, and maintenance costs. The same applies to Salesforce.
Salesforce
Salesforce offers various editions such as Essentials, Professional, Enterprise, and Unlimited, which differ in their features and pricing. In addition to licensing costs, extensions and integrations through the AppExchange marketplace may incur extra costs.
The CRM system’s monthly per-user fees start at €25 (approx. CHF 23.50) and go up to €165 (approx. CHF 155) for the Enterprise version.
Business Central & Dynamics 365 apps
Microsoft Dynamics 365 Business Central requires a base ERP license. Additional modules such as Dynamics 365 CRM for Sales, Customer Service, or Marketing incur additional costs. Total expenses depend on the type of license, the number of users, and the extensions you need.
You can find a pricing overview of the Dynamics 365 modules here.
Implementation of Dynamics 365 and Salesforce
Salesforce
Salesforce, by contrast, is known for fast deployment because it is fully cloud-based and does not require its own server infrastructure. The tool is usually quick to implement, especially when only CRM modules are introduced. Implementation is often completed within a few months.
Business Central & Dynamics 365 apps
Implementing Microsoft Dynamics 365 can take several months to more than a year, depending on the project’s complexity. The timeline depends, among other things, on whether the ERP software is deployed as a cloud version or on premises, whether the company already uses Microsoft products, and how complex its business processes are.
Both Microsoft and Salesforce have a large network of certified partners that support companies with implementation. Choosing the right partner is essential to the project’s success. Partners not only help integrate the system but also generally provide training for you and your employees.
This training is essential for using your chosen software efficiently. In addition to training partners, Microsoft offers its own training platform, Microsoft Learn. Salesforce’s equivalent is Trailhead.
Scalability of Business Central and Salesforce
Salesforce
- Scalability: Salesforce’s Sales Cloud is highly scalable and affordable, making it suitable for companies of all sizes.
- Industry solutions: Offers specialized solutions such as Financial Services Cloud, Health Cloud, and Nonprofit Cloud, tailored specifically to the requirements of certain industries.
- Internationalization: Also multilingual and designed for international use. The platform supports various compliance standards worldwide and offers extensive localization options for global companies.
- Artificial intelligence: Einstein offers AI-powered analytics, predictions, and automation for sales, service, and marketing. The provider continually invests in new technologies, including AI-powered chatbots, automation tools, and predictive analytics.
Business Central & Dynamics 365 apps
- Scalability: Thanks to its modular structure, Microsoft Dynamics 365 is suitable for small, mid-sized, and large companies.
- Industry solutions: Offers specialized industry solutions for manufacturing, retail, healthcare, financial services, and other industries. Integration with Microsoft Power Platform also enables industry-specific customizations.
- Internationalization: Supports multiple languages and currency formats and complies with international data protection requirements. Companies with a global presence benefit from deep integration with Microsoft’s global infrastructure.
- Artificial intelligence: Microsoft uses AI to automate processes, forecast business trends, and optimize workflows.
Based on your needs
Business Central, Salesforce, or a combination: Which solution is the best fit?
The choice between Microsoft Dynamics 365 Business Central, Salesforce, or a combination of the two depends heavily on your company’s requirements. Business Central offers an integrated ERP and CRM solution, while Salesforce is the leading CRM for complex sales and marketing processes.
Business Central alone: When an integrated ERP and CRM solution is needed
Instead of struggling to connect separate ERP and CRM systems, Business Central offers a comprehensive solution. But when is it really worth switching?
- Integrated ERP and CRM instead of disconnected systems: One platform for sales, accounting, purchasing, and logistics, with no data silos or interface issues.
- Ideal for Microsoft users: Direct connections to Microsoft 365, Teams, Outlook, and Power BI, enabling seamless workflows and analytics.
- Reduce costs and administrative work: A single system with clear structures and no separate IT infrastructure for an additional CRM.
- Data control and hosting options: Available as a cloud or on-premises solution, allowing companies to decide for themselves how to handle data protection and compliance.
- Modular design and scalability: Business Central grows with your company. Features such as inventory management, manufacturing, or financial accounting can be added as needed.
Recommended for:
- Companies with inventory management, such as e-commerce, wholesale, retail, and manufacturing businesses.
- Companies with close coordination between sales, accounting, and logistics.
- Companies with IT environments built around Microsoft that want seamless integration.
Salesforce alone: When a specialized CRM is needed
When choosing a specialized CRM for sales, marketing, and customer service, Salesforce is often the first choice. Companies that do not need a comprehensive ERP system or want to specifically extend their existing IT landscape benefit from the powerful, cloud-based platform. But when exactly is Salesforce the better choice?
- Best-of-breed CRM: Salesforce offers leading CRM technology with deep automation for sales, marketing, and customer service.
- Excellent for sales teams: Strong lead and pipeline management features for managing customer relationships efficiently.
- AI-powered marketing automation: Features such as personalization, predictive analytics, and campaign management improve customer outreach.
- Cloud-based and flexible: Ready to use quickly, with no IT resources needed for a major ERP implementation.
- Ideal for international teams: Salesforce can accommodate multiple locations, regions, and complex sales structures.
Recommended for:
- Companies focused on sales and customer retention.
- Agencies, SaaS companies, and service providers that do not need an ERP.
- Companies with an existing ERP that are looking only for a specialized CRM solution.
Combining Business Central and Salesforce: When best-in-class capabilities in both are needed
For companies that need both first-class sales and marketing features and a powerful ERP solution, combining Business Central and Salesforce may be the ideal choice. But in which scenarios is this combination particularly worthwhile?
- Large sales organizations benefit from Salesforce’s specialized CRM features, while Business Central provides the ERP for accounting, purchasing, and logistics.
- Companies with complex sales structures or international teams that want to manage sales and business processes precisely.
- Companies that already use Salesforce but need a modern ERP to make business processes more efficient.
- Companies with demanding marketing and customer engagement requirements that use Salesforce but want to handle ERP processes in Business Central.
Recommended for:
- Companies with global operations and their own sales teams and ERP requirements.
- Companies with demanding marketing, customer service, and lead management requirements.
- Companies that want to use Business Central as their ERP and Salesforce for sales
Make your decision
The bottom line: Nexova Dynamics is your partner for Dynamics 365 Business Central
The choice between Microsoft Dynamics 365 Business Central and Salesforce depends heavily on your company’s individual requirements. Business Central is especially suitable for companies looking for a comprehensive ERP and CRM solution, while Salesforce excels as a specialized CRM system, particularly in sales, marketing, and customer service. Companies that need the best of both can benefit from combining Business Central and Salesforce to integrate all areas of the business effectively.
Ultimately, your strategy determines which solution is the best fit. Do you want to optimize your sales processes and need a powerful CRM? Then Salesforce is the right choice. If your focus is on an integrated solution for finance, purchasing, logistics, and sales, Dynamics 365 Business Central is a good option. For companies with complex sales structures and ERP needs, combining the two systems can deliver the greatest value.
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