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Microsoft Dynamics On-premise to Cloud Migration

Microsoft's strategic commitment to cloud technology is undeniable, urging all customers and partners to embrace this transformation.

This page outlines the changes introduced by Microsoft and reveals how Companial empowers Microsoft Dynamics partners to thrive in this shift.

Get in touch with us today to see how we can support your customers’ migration to the cloud. How can Companial help you?

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Microsoft's Dynamics Price List (DPL) Revolution: Changes Affecting SMB Customers

Microsoft is introducing drastic changes through Dynamics Price List (DPL) – the way to acquire on-premises perpetual licenses for Microsoft Business Applications for SMB customers:

  • Price increase for the on-premises perpetual licenses, October 2023.
  • Price increase for on-premises subscriptions, October 2023.
  • Phasing out “On Azure” discounts for existing customers, October 2023.
  • Increasing Business Ready Enhancement Plan (BREP) annual fee, October 2023.
  • Discontinuation of GP and Business Central on-premises perpetual license options, October 2025.

Find out more in Dynamics 365 On-Premises Pricing Update guide.

Want to learn more about the changes affecting on-premises SMB customers?

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Customers are embracing the cloud. Microsoft partners can help meet their needs:

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By 2024, 70% of workloads will be on the cloud.

Source: Gartner® Research, “Approaches to Avoid Common Cloud Strategy Pitfalls,” October 2022

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72% of organizations reported their industry’s pace of transformation has been accelerating as a result of the pandemic.

Source: The transformation imperative: Digital drivers in the Covid-19 pandemic, 2021, The Economist Intelligence Unit, sponsored by Microsoft

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80% of small businesses use the cloud to support some or all of their business processes.

Source: SMB and Hybrid cloud adoption likely to explode exponentially, Techaisle February 2021

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85% of organizations will embrace cloud first.

Source: Gartner Cloud will be the Centerpiece of new digital experiences, November 2021

With the clear preference among businesses for cloud solutions, the attractive customer migration promotions, and incentives for partners facilitating this transition, there has never been a better time to discuss with your on-premises customers migrating to the cloud.

By initiating these conversations now, you can not only future-proof your customers’ businesses but also open doors to new opportunities and growth!

Microsoft's Cloud-Boosting Offers

Microsoft Dynamics Partners can leverage these offers to persuade and win over customers, encouraging them to embrace Microsoft cloud solutions:

  • Microsoft Bridge to the Cloud 2 Promotion offers a 40% discount during a 3-year term when migrating Dynamics 365 on-premises commercial customers to most Dynamics 365 online products licensed through the new commerce experience (NCE) subscription. See details here.
  • New attach licenses for Microsoft Dynamics 365 Business Central, Dynamics 365 Sales, and Dynamics 365 Customer Service customers (bundle with discounted license price) offer customers a way to do more with less. See details here.
Microsoft Dynamics Partners can leverage these incentives to strengthen the practice:
  • Microsoft Dynamics 365 CSP incentive rewards Cloud Solution Provider Partners who drive the sale and customer adoption of Business Applications products and services through the CSP experience; migrating from Dynamics 365 on-premises to the cloud counts as the customer add, sale, and adoption.
  • Expansion of Partner investments in Business Applications through Partner workshop-based activities accelerates the customer sales journey (pre-sales) and time to value for Business Applications solutions (post-sales).

For more program details, such as partner/customer eligibility and payout calculations, visit here.

  • Microsoft cloud revenue has a direct positive impact on Microsoft AI Cloud Partner Program (MCPP) requirements, helping Partners achieve the Microsoft Solutions Partner Business Applications designation. This provides marketing, support and advisory, and product benefits, allowing Partners to grow and expand their business.

Want to learn more about the cloud-boosting offers?

Don’t miss out on the opportunity to take advantage of the benefits that come with Dynamics cloud solutions. Show your customers the path to the cloud and maximize your potential as a Microsoft Partner. 

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The Impact

DLP pricing changes and cloud boosting offers will increasingly influence the total cost of ownership (TCO) for Microsoft on-premises business applications compared to a SaaS-based cloud solution, aiming to influence customers to make the move to the cloud. Future proof your business now!

Navigating Change: Strategies for Business Adaptation

This section provides an overview of the main strategies to adapt to the cloud business, and suggestions on how Companial supports you in smoothly transitioning your customers to the cloud.

It’s challenging for a Microsoft reseller to keep track of the market, your customers, your prospects, the Dynamics Partner network, and news coming from Microsoft.

How does Companial help?

Partners use the Companial community to stay informed, benchmark with other Partners, and learn and develop on both the product and commercial level. Get the best information about Microsoft Business Applications changes, with Partner and customer perspectives, through the Companial Community. Sign up for updates on Microsoft Business Applications.

Microsoft recently introduced Dynamics 365 Copilot, the world’s first AI copilot integrated into customer relationship management (CRM) and enterprise resource planning (ERP) applications in the cloud, that is designed to augment workflows, uncover insights, identify the next best actions, and reduce time spent on administrative tasks. Businesses relying on on-premises applications will struggle to compete with peers embracing AI-powered technologies in the cloud.

How does Companial help?

Being a certified Microsoft AIM Modernization Center, we offer organizations a tailored path to move critical processes to the cloud with confidence through access to a dedicated team of migration advisors, expert assessments, investment offers, tools, and migration support.

Recruit new customers, a vital source of growth, revenue, long-term viability, and success in a dynamic and competitive marketplace. In the Microsoft Business Applications area, having a cloud offer that includes your own solution, structured customer acquisition, and onboarding usually does the trick. 

How does Companial help? 

  • Expertise and experience come with deep focus, and that is why Microsoft Business Applications, Dynamics 365, and Power Platform are at the heart of what we at Companial do. As a result, it’s safe to say that we are the best option among Microsoft CSP Indirect Providers (Distributors) for all the Dynamics and Power Platform resellers out there. Learn more.
  • Online Business Applications solutions have to keep up with Microsoft’s release cycle. While updates happen automatically, there can be incompatibilities with new releases. To address these incompatibilities, we offer an , which ensures customization compatibility with all upcoming Business Central versions for a fixed monthly fee.

Retaining existing customers is not only cost-effective but also essential for maintaining a stable and profitable business. These customers provide a foundation for steady revenue, growth, and brand reputation, while also offering valuable feedback and opportunities for upselling and cross-selling. Vendors who fail to address these concerns may risk losing customers to competitors offering more up-to-date and competitive solutions.

As a Microsoft Partner, offering Dynamics cloud solutions to customers can provide numerous benefits for your business. By guiding customers through the migration process, you can secure your customer relationships and open up new opportunities for modern services such as proactive and managed services. By transforming license revenue from on-premises to cloud revenue through the Microsoft Cloud Solution Provider Program (CSP) and new commerce experience (NCE), you can increase your Microsoft channel margins and incentives.

How does Companial help?

Companial possesses unique expertise, and for over a decade, has been helping Partners migrate business applications of different complexities. We offer interim solutions for even the most unusual situations, such as a business not being able to upgrade to SaaS yet, a solution not being SaaS ready, requirements for deeper access to servers or databases, integrations, or VPN, etc.

Microsoft Dynamics business growth, like any other professional services business, relies heavily on talent, their knowledge, skill development, and engagement. We need enough consultants and developers to achieve growth.

How does Companial help?

Companial Business Central Learning Journeys can help you empower your workforce with the necessary skills and knowledge to drive innovation and productivity in your Dynamics 365 business.

Stressed out by the overwhelming amount of information to digest?  Don't worry, we've got you covered!

Companial is here to help you navigate the maze of information.

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We appreciate the trustful cooperation and that we are always up to date with the latest information on Microsoft cloud through the offered webinars. Through the direct contact with Microsoft, which we would not have without Companial, our own growth from 0 CSP licenses to a Gold ERP and Small Midmarket Cloud partner was only possible thanks to the support of Companial. The only way to go to be successful in Business applications.

Andreas Eickel, Nico Straub Managing Directors, NAS conception GmbH

Working with Companial helps us to align our business strategy with Microsoft's vision and recommendations. Together we advance our cloud-oriented transformation strategy, addressing training issues, partner program competencies, application re-design, adoption of new technologies or exploring new market approaches. We are talking about global transformation, about our own digitization as a company for a new reality where software-as-a-service is on the top of mind.

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