Dynamics CRM: Cloud vs on premise?

Clouds over forest and mountains

The very first hurdle you may face when choosing a CRM system is whether you want it deployed in the cloud or on premise.

While some CRM systems, like Salesforce, can only be deployed via the cloud, Microsoft Dynamics CRM gives complete flexibility over deployment options to fit your needs.

Both deployment options have their key advantages but you need to make sure that the option you choose best complements your businesses key requirements. We’ve compared some of the biggest deal-breakers between Dynamics CRM Online (cloud) with Dynamics CRM on premise below:



Microsoft Dynamics CRM On Premise Microsoft Dynamics CRM Online
Cost Model Large initial capital investment (CapEx)  Monthly Subscription (OpEx spend) 
Data Complete ownership and control over data (can be required to stay on-site) Securely stored in Microsoft data centre
Data Access Full access Access only via CRM API/ report connectors
Space This is only limited to available server storage 5GB (plus 2.5GB for every 20 licences)
Administration Requires in-house or partner maintenance Minimal internal administration required: Technical infrastructure managed by Microsoft
Deployment Longer deployment Quick to deploy
Hardware Use existing hardware or will need to purchase additional servers No hardware required
Maintenance Costs Requires servers to be maintained and upgraded

No maintenance costs

Uptime Do not rely on internet connectivity or external factors to access CRM Reliant on connectivity but 99.9% financially-back SLA from Microsoft
Updates Minor releases can be held back for on-premise until the next major release – minimising number of updates Major and minor releases rolled out regularly
Mobility Apps available and offline access – same as online Apps available and offline access – same as on-premise
Resilience Dependent on hardware – expensive to purchase redundant server for backup High site resilience achieved through redundancy
Power BI No Yes


Microsoft Gold Partners

As Microsoft Gold Partners, we understand Microsoft licensing and can consult and advise your business on the best deployment options and license types to ensure your business benefits from the most cost effective yet robust solution.

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