CRM 2011 Beckons Partners

Contributing Analyst: Rob Helm

The next Dynamics CRM version will help developers extend the product and help partners promote extensions and services. The Dynamics CRM (customer relationship management) software manages marketing, sales, and customer service and can be extended to other processes, such as logistics. CRM 2011 (code-named CRM 5) will include many development improvements, including tools to assemble extension components into a single installation package, and the Microsoft-hosted CRM 2011 Online service will be able to run some extensions that include custom code. CRM 2011 will also link to the Dynamics Marketplace, an improved version of the Dynamics Solution Finder partner catalog that will distribute Dynamics CRM extensions (such as free trials) and capture sales leads.

Microsoft will offer partners up to 250 free seats of CRM Online for internal use and has significantly increased the fees that CRM Software Advisors can earn for selling CRM Online. Previously 18% for the first year and 6% for each year thereafter, a promotion has bumped the fee to 40% of the first year’s subscription value for subscriptions sold between Aug. 1, 2010, and June 30, 2011. The fee boost will help Microsoft compete better against Salesforce.com and NetSuite (which gives partners 100% of the first year’s revenue).