Why CRM Online May Be More an Entry Point Than a Final Destination for New Users

Microsoft Dynamics officials have spoken frequently about the newly launched CRM Online attracting users from Salesforce.com.

But the reality may contain a different twist, says Andy Hafer, head of Dynamic Communities Inc., and its CRM User Group. He sat down with MSDynamicsWorld.com in the second of a series of interviews; the first one, last month, was about trends affecting Dynamics AX.

“Microsoft is going after Salesforce.com very directly,” based on ease of use and pricing, says Hafer. But once users make the switch, many will want more, he predicts.

“If you are on the product, and essentially using the introductory version out of the box, like Microsoft is serving online, you are way more likely to adopt CRM in the premises mode.”

Refugees from Salesforce.com are likely to be attracted initially by the ease of migration and implementation of CRM Online. “You don’t have to deal with the IT issues,” says Hafer. He notes that Dynamic Communities plans to implement CRM Online for its own operations.

The challenge for many companies comes when they decide they want some customization or other. “If you have to touch and modify it so as to gain integration, you find there are some things you can’t do, because it’s not your software to modify.”

At that point, users become candidates for Dynamics CRM 4.0. While earlier versions of CRM ...