Oracle CRM On Demand Exposed -
Pricing & Service (Hosted/On Site)
Oracle CRM On Demand is available in two different infrastructure delivery options. The product was designed to be delivered as a multi-tenant data center application, which means that multiple companies will share the same core application, database, servers, and network connectivity. Recently, Oracle has begun to offer the same core CRM application in an isolated tenancy model, which provides separate and distinct environments for each customer.
Free: Complete Report – Oracle CRM On Demand Exposed
The multi-tenant CRM application has a list price of $70 per user per month. Oracle discounts based on volume of seats purchased and the “status” of the customer. Oracle has a history of deep discounting in order to acquire a marquee name. Our research and Oracle’s history concludes that, like many other publicly traded software vendors, the end of a quarter is the best time to negotiate as they are highly focused on current earnings. More times than not, the price seldom falls below $60 per user per month, and that often comes with the requirement for a very strict three year agreement. This pricing is in line with the SFA offerings of other CRM vendors. Considering that SFA is Oracle CRM On Demand’s strong suit, this is an affordable option if marketing and customer support are not essential to your CRM project. For organizations that require the greater security and performance of a dedicated hosting environment, Oracle CRM On Demand is offered as an isolated tenancy application, but these advantages come at a steep price. The isolated tenancy component adds $55 per user per month to bring the combined list price to a whopping $120 per user per month. This premium pricing is aimed at competing directly with the majority of SaaS CRM providers that do not provide the more secure option of isolated tenancy. For example,
Salesforce.com, the recognized leader in SaaS CRM, does not even offer this option. The only other comparable that I was able to find
for an isolated tenancy SaaS application is Aplicor CRM, which is hosted only as an isolated tenant application , and is list priced for a more affordable $89 per user per month for what appears to be comparable functionality. While Oracle does discount this price, they tend to do so to a lesser degree given that it deviates from their core delivery model. While isolated tenancy should generally to appeal to larger organizations, Oracle’s price point offers no real gain in functionality and is considered a costly alternative.
Free: Complete Report – Oracle CRM On Demand Exposed
If you are unsure whether hosted or on premise is right for your company, you are not alone.
Oracle’s own sales team struggles in positioning the on premise versus the on demand versions. This fact, coupled with Oracle’s larger issues of rationalizing the myriad of industry players that Oracle now owns (remember PeopleSoft, JD Edwards, Siebel, Vantive, etc.), there little doubt that many of Oracle’s customers and prospects have redubbed their ‘Fusion’ vision as ‘Con-Fusion’. As one would expect from a company that derives massive revenues and profits from an on premise data center model, Oracle does little to ‘sell’ the SaaS model and quickly proposes the on premise applications. In many ways, Oracle CRM On Demand is viewed as a defensive move for Oracle enterprise customers. Ideally, Oracle wants customers to consume its on premise CRM but will offer the on demand version to keep you from adopting a competing SaaS product. We’ve heard of more than one large organization that has followed this path, only to convert to the on premise edition or to another vendor’s product once the shortcomings of Oracle CRM On Demand became evident.
Free: Complete Report – Oracle CRM On Demand Exposed