Overview of new Office 365 plans for SMBs · 2016-11-07 · One of the key benefits of Office 365 is that Microsoft has built Office 365 plans to meet the needs of many different
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New ‘Office 365 Business’ plans: a new set of plans with features and price points tailored for SMBs. These plans will be available for purchase for new customers on October 1st, 2014. Commitment to existing customers: These plans will replace the existing plans for SMBs over time (Small Business, Small Business Premium and Midsize Business). Existing customers will be able to use their current plan for at least 12 months, after which they will be able to move to any Office 365 plan (Business or Enterprise). Customers will continue to receive updates and value from their subscription until they move. Greater choice than ever: SMB customers will be able to combine any Office 365 Business & Enterprise plan to meet the exact needs of specific users, cost effectively, while also having access to additional solutions like Project, Visio, Dynamics CRM Online and more. Simplified getting started experience: We are delivering a simplified trial signup page and improved getting started experience, both for administrators and end users. Easy and consistent admin controls: We are streamlining and refining navigation in the Office 365 admin center with a modern look and feel. Most commonly used tasks and settings will be more discoverable and simpler to use, with increased use of toggles, quick actions and live tiles. This experience will remain the same across all Office 365 plans, allowing customers to move between plans with a consistent, familiar experience.
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One of the key benefits of Office 365 is that Microsoft has built Office 365 plans to meet the needs of many different customer types, and even different user types within the same organization. Here is a breakdown of what plans families are available within Office 365. <click> For Small and Medium sized customers, three of the plan families are most commonly purchased – Office 365 Small Business, Midsize Business and Enterprise.
Need a simpler and more cost effective way to sell Office apps to SMBs
We need to move between plans as our needs and business grow.
We expect the ability to combine plans to meet our needs – without worrying about which plans work together.
I need functionality available in the Enterprise plans
Simplify the upsell and cross-sell process
Fewer blockers and dead ends in the sales process – no ‘gotchas’ or ‘catchs’
More simple on-ramps to the cloud, to get customers started.
Choosing the right plan for me & my employees needs to be easier.
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[momentum] You’ve told us we can do even better. Office 365 has delivered on the promise of the cloud – as a solution that is continuously up to date and improving. Microsoft has delivered hundreds of updates to the service since launch…including new features and services as well as platform updates. (See Appendix for slide with details). One thing that hasn’t changed as quickly or as drastically in that time has been our SKU lineup – and this has been intentional, as changes to plans can be disruptive, if not executed correctly. At the original launch of Office 365 in June 2011, we delivered a simple, low cost plan for SMBs, called Small Business. In Feb 2013, we launched Office 365 Midsize Business and Small Business Premium plans to help further address the SMB segment of the market, providing plans that combined the core Office 365 services with the full Office desktop applications. These plans have been selling well. Microsoft has been actively soliciting feedback from customers and partners on how to improve. We’ve heard these things….[see speech bubbles on slide]
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BE: google compete, high cap, low price
One single, scalable admin experience
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Core plans for SMBs – (why E4, Kiosk, and all standalones are not listed). Advanced needs: Encryption, EOA, RMS, DLP, Enterprise voice, Oslo, video content management, BI tools in Excel, Office controls - Group Policy, Telemetry, Update Controls, Shared Computer Activation (RDS) Transitions: At renewal/manually – all supported Switch plans – current core scenarios supported at 10/1, adding more as we go. Working on downgrades…but no dates to share right now for that.
Why is this great for customers?
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The new Office 365 plans will provide customers with the following benefits: New Choice: The Office 365 Business plan ($8.25/user/month) makes it simple to get just the familiar, full Office apps at a great price – always up to date and available on all your devices including your PC, Mac, iPad and smartphone. The included 1TB of cloud storage makes it easy to access and edit your important files from anywhere. New Value: Business Premium includes Midsize Business’ services at the Small Business Premium price of $12.50 user/month. Business Essentials matches Small Business on price ($5/user/month) with improved features and additional services like Yammer and Active Directory support. The higher seat limit of 300 means even more businesses can take advantage of the great value these plans provide. New Flexibility: As you grow and your technology needs change, you can move your company (or just specific users) to an Enterprise plan, a different Business plan, or even add solutions like Project, Visio, Dynamics CRM Online and more.
Why is this great for partners?
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This new plan lineup delivers on partner requests for the following: Core Office apps for SMB. The Office desktop applications have been a key revenue generating product for our SMB partner channel over the past few decades. Partners can now more easily lead with Office when pitching a customer on moving to the cloud. Office 365 Business provides the core Office applications used by SMBs together with 1TB cloud storage, Office Online and access, editing and sync capabilities across PCs, Macs, iPad and smartphones – all at a compelling price point of $8.25/user/month. It is also easier to get customers up and running, as this plans does not require the movement of email or data. Simplified sales process. The new plan layout will be simpler for partners to sell and for customers to understand. The new Business plans all have one consistent seat cap of 300 and customers can now choose to purchase any Office 365 plan, regardless of the specific trial they signed up for. This shortens sales cycles, as partners don’t need to qualify a customer into a plan before moving to the trial stage. Greater value for SMB plans. Office 365 Business Essentials and Business Premium (which replace Small Business and Small Business Premium) increases the user limit from 25 to 300 users. This means that these plans can be sold to a larger set of customers at their affordable price points. We are also delivering additional value like Yammer, Active Directory support, and improved SharePoint and Exchange capabilities into these plans. Business Premium is also available at a more affordable price than Midsize Business ($12.5 to $15/user/month). New on-ramps for SMBs. Many customers prefer to get started with a single service in the cloud (e.g. email, cloud storage). Office 365 offers many standalone plans for this purpose, including the new Office 365 Business, Exchange Online plan 1 and OneDrive for Business. Customers are now able to start with these plans and move to Business Essentials and Business Premium. Previously, customers were only able to move to Enterprise plans. Improved upsell opportunities. Previous limitations in movement between Small Business, Midsize Business and Enterprise plans restricted the ability of partners to increase revenue through an upsell motion. Customers can now move fluidly between Business and Enterprise plans and add additional services like PowerBI, Project, Visio, Dynamics CRM, Azure RMS and more as they require.
Included Office 365 services
Office 365 Business Plan description Target customer
1-250 seats
Using Office 2003, 2007, 2010, wants the latest Office apps
Wants to access and edit Office files on tablet and smartphone
Has employees using point-solutions for collaboration and storage like Dropbox and Google Drive/Apps
$8.25 per user/month
Business-class email & calendar (Exchange)
Online meetings, IM, video chat (Lync)
Team sites & internal portals (SharePoint)
Private socialnetworking (Yammer)
Plan notes Included apps: Word, Excel, PowerPoint, OneNote, Outlook, Publisher
Apps can be fully installed to a PC or Mac, available offline
1TB of OneDrive for Business cloud storage
No domain setup required
Supports on-premises Active Directory sync for single sign on
300 user cap
Financially-backed 99.9% uptime service level agreement
24/7 support for business critical issues
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Note on “No domain setup”: Our previous SMB plans that included the Office desktop apps were Small Business Premium and Midsize Business. Both required customers to setup their domain for email and identity. Since this plan is just the Office applications (no email, etc), customers are not required to do this step.
Office 365 Business Essentials Plan description Target customer
1-250 seats
In need of a new email solution – either first professional email or to replace aging email server
Wants to access and edit Office files on tablet and smartphone
Has many point-solutions for collaboration, storage & online meetings and would like to manage holistically, while saving money
$5 per user/month
Office apps on up to 5 PCs & Macs
Office apps for tablets & smartphones
Plan notes 50 GB mailboxes with custom domains ([email protected]) & shared calendaring
1TB of OneDrive for Business cloud storage
Online meetings for up to 250 participants, with screen sharing, audio and video, virtual whiteboards, polls, and shared notes.
Supports on-premises Active Directory sync for single sign on
300 user cap
Financially-backed 99.9% uptime service level agreement
24/7 support for business critical issues
Included Office 365 services
Office 365 Business Premium Plan description Target customer
1-250 seats
Using Office 2003, 2007, 2010, wants the latest Office apps
In need of a new email solution – either first professional email or to replace aging email server
Has many point-solutions for collaboration, storage & online meetings and would like to manage holistically, while saving money
$12.5 per user/month
Plan notes Included apps: Word, Excel, PowerPoint, OneNote, Outlook, Publisher Apps can be fully installed to a PC or Mac, available offline 50 GB mailboxes with custom domains ([email protected]) & shared calendaring 1TB of OneDrive for Business cloud storage Online meetings for up to 250 participants, with screen sharing, audio and video, virtual whiteboards, polls, and shared notes. Supports on-premises Active Directory sync for single sign on 300 user cap Financially-backed 99.9% uptime service level agreement, 24/7 support for business critical issues
Business Business Essentials
Business Premium
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Price per user per month $USD (with annual commitment) $8.25 $5 $12.5
Seat Cap 300 (for each plan)
Off
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ns Word, Excel, PowerPoint, Outlook, OneNote, Publisher
Install Office desktop applications on up to 5 Windows PCs or Macs
Access to core Office apps and documents from all major smartphones, Windows tablets and iPad
Office Online - online versions of Word, Excel, PowerPoint and OneNote for collaborating on documents
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OneDrive for Business – 1TB personal online document storage & access on PCs, smartphones and tablets
Online meetings - Web conferencing, IM, video, presence (Lync)
Sites - team collaboration & internal portals, public website (SharePoint)
Private social networking (Yammer)
Adv
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On-premises Active Directory synchronization for single sign on
Supports hybrid deployment with on-premises servers
Upcoming services: Oslo, Video content management
Legal compliance & archiving needs for email – archiving, eDiscovery, mailbox hold
Information protection – message encryption, rights management, data loss prevention
1. Business plans include business hours support for all non-critical issues 2. Includes Word, Excel, PowerPoint, Outlook, OneNote, Publisher 3. Adds Access, Group Policy, Telemetry, Shared Computer Activation (RDS), Push Deployment, Update Controls, IRM, DLP, BI, Enterprise Voice, Site Mailboxes, Archiving & Retention
Core needs Advanced needs
Business ProPlus
Business Essentials Enterprise E1
Business Premium Enterprise E3
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This slide is meant to help partners “lead with and pitch” the right Office 365 plan to customers. This is not necessarily what the end ‘sale’ will be, but would be the recommended plan for a salesperson to lead with.
Customer’s current plan Before October 1, 2015 Starting October 1, 2015 Notes
Small Business
Stay on current plan1
Renew current plan
Renew to new Business Essentials plan Business Essentials includes all features in Small Business, plus additional capabilities
Small Business Premium
Most customers should renew to new Business Premium plan
Some customers may choose to renew
to Enterprise E3
Business Premium includes almost all the features found in the existing plans
Customers that require Access, Lync PSTN capabilities, advanced Excel BI scenarios or advanced IT management should consider
moving some or all of their users to Enterprise E3
Midsize Business
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Customers will continue to receive all the benefits of Office 365, including any feature and security updates (i.e. admin center updates, new suite navigation) and any new services (i.e. adding Yammer to Midsize Business, increase in OneDrive for Business storage) that are relevant to their subscription. Customer will also be able to add seats, add new subscriptions, and renew their existing subscription.
Everything in Small Business
Business-class email (Exchange)
Online meetings (Lync)
Cloud storage (OneDrive)
Team collaboration sites (SharePoint)
$5/user/month 25 seat cap
Business-class email (Exchange)
Online meetings (Lync)
Cloud storage (OneDrive)
Team collaboration sites (SharePoint)
$5/user/month 300 seat cap
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Also note – there are also some infrastructure improvements to SharePoint Online. Small Business previously included a custom version of SharePoint Online, now it is full SharePoint Online Plan 1. Raising seat cap of Small Business from 25 to 300 to match new Business Essentials plan, starting Oct 1, 2014. No lost functionality.
Everything in Small Business Premium
Office applications
Business-class email (Exchange)
Online meetings (Lync)
Cloud storage (OneDrive)
Team collaboration sites (SharePoint)
$12.5/user/month 25 seat cap
Office applications
Business-class email (Exchange)
Online meetings (Lync)
Cloud storage (OneDrive)
Team collaboration sites (SharePoint)
$12.5/user/month 300 seat cap
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Important note: Customers who need the lost functionality will need to move to Enterprise E3 for some or all of their users. With cross family mixing, customers can move only some users to E3, keep rest on Business Premium. Lync PSTN capability required on-premises deployment of Lync Server 2013 in order to enable enterprise voice features. Likely almost zero customers would have enabled this, but rather deployed Enterprise E4 (which provides full Lync Server 2013 rights), as it would be more cost effective that Midsize Business + Lync Server 2013. Notes on end user update experience, after customer uses Switch Plans User will be prompted to update their Office apps Lync will uninstall as part of the update process. Customers will need to install Lync Basic from the Software section of the Office 365 Settings page. Lync Basic provides almost all the capability of the full Lync app, minus the ability to connect with PSTNs. The update process will notify each user that their subscription to Office has expired Raising seat cap of Small Business Premium from 25 to 300 to match new Business Premium plan, starting Oct 1, 2014.
Everything in Midsize Business
Office applications
Business-class email (Exchange)
Online meetings (Lync)
Cloud storage (OneDrive)
Team collaboration sites (SharePoint)
$15/user/month 300 seat cap
Office applications
Business-class email (Exchange)
Online meetings (Lync)
Cloud storage (OneDrive)
Team collaboration sites (SharePoint)
$12.5/user/month 300 seat cap
Private social networking (Yammer) Private social networking (Yammer)
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Important note: Customers who need the lost functionality will need to move to Enterprise E3 for some or all of their users. With cross family mixing, customers can move only some users to E3, keep rest on Business Premium. Lync PSTN capability required on-premises deployment of Lync Server 2013 in order to enable enterprise voice features. Likely almost zero customers would have enabled this, but rather deployed Enterprise E4 (which provides full Lync Server 2013 rights), as it would be more cost effective that Midsize Business + Lync Server 2013. Notes on end user update experience, after customer uses Switch Plans User will be prompted to update their Office apps Lync will uninstall as part of the update process. Customers will need to install Lync Basic from the Software section of the Office 365 Settings page. Lync Basic provides almost all the capability of the full Lync app, minus the ability to connect with PSTNs. The update process will notify each user that their subscription to Office has expired Price change At their next renewal, existing Office 365 Midsize Business customers who have purchased through Direct and Advisor channels will see a price reduction from $15/user/month $USD with an annual commitment to $12.50/user/month $USD with an annual commitment. This is to match the new Office 365 Business Premium plan, which has a similar feature set, priced at $12.50/user/month $USD with an annual commitment. Open customers may be able to purchase additional seats and renew their subscription of Office 365 Midsize Business at a reduced price. Microsoft is lowering the ERP for 1 year of Midsize Business from $180/user/year USD to $150/user/year USD. Actual purchase price may vary from partner to partner.
Current Plan Upgrade Options
Small Business Business Essentials
Enterprise E1 Enterprise E3/E4
Small Business Premium Business Premium Enterprise E3/E4
Midsize Business Business Premium
Enterprise E1 Enterprise E3, E4
Exchange Online plan 1
Business Essentials Business Premium
Enterprise E1 Enterprise E3, E4
Top Supported Transitions1
http://aka.ms/switchO365plan 1. Offer availability and timing may be different between Microsoft and syndication partners.
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Key to call out Exchange Online plan 1 upgrade to new Business plans. Key ask from partners. Additional FAQs Will the Partner of Record status be preserved when I transition between subscriptions using the Switch Plans tool? Yes, the Partner of Record status will be automatically transferred to the new, upgraded subscription. How will Partners selling through Advisor be compensated on the upgraded seats? The Switch Plans tool creates a new subscription for the newly upgraded seats, cancelling the existing subscription. The upgraded seats will be treated as a “new” sale, and partners will be paid Advisor incentives accordingly, earning both Sell and Manage incentives, as well as any Accelerator incentives the Partner is eligible for (i.e. Cloud Accelerate). Why am I not eligible to switch plans? We have prioritized the top transitions but some scenarios are not currently supported, such as customers with multiple subscriptions or customers with add-ons.
Why can’t I use the switch plans feature? The “Switch Plans” feature is available for customers who have a direct billing relationship with Microsoft, in order to issues credits for the original subscriptions during the upgrade. Customers who buy Office 365 through Open purchase directly from a partner and therefore do not have a billing relationship with Microsoft. Microsoft current has no ability to understand the purchase price (as partners can set their own prices) or to issue a refund for the original subscription.
E1
(Plan 1)
(Plan 1)
Plan E1
E1
(Plan 1)
(Plan 1)
Plan E1
25
(Plan 1)
(Plan 1)
Plan E1
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Note – process is same for customers who have bought from an partner selling through Advisor model and customers who have purchased on Office365.com.
Update process will begin
Subscription Expired Sign in Select option
https://portal.office.com/OLS/MySoftware.aspx
Core Functionality Lync Basic Lync
Instant Messaging ● ● Presence – free/busy ● ● Lync to Lync voice calls ● ● HD video calls (1:1, group) ● ● Lync to Skype connection ● ●
Online Meetings Screen sharing ● ● Audio & video ● ● Virtual whiteboards ● ● Shared notes ● ● Add conf. details to Outlook ● ● External participants
Other Mobile apps ● ● PSTN connections1 ●
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Screenshot is for today’s Software download portal, this is being updated prior to Oct 1 launch.