ARN

Salesforce.com dismisses Microsoft hosted CRM effort

Salesforce.com CEO not worried about Microsoft's Dynamics CRM Live service because it's not available until some time next year

Executives from hosted CRM pioneer Salesforce.com are shrugging off Microsoft's belated entry into its core business.

In an interview Wednesday, Salesforce.com founder and CEO Marc Benioff noted that the full-feature version of Microsoft's Dynamics CRM Live service won't be available until some time next year.

Microsoft on Tuesday unveiled its long expected Dynamics CRM Live offering, which it has priced from US$39 per user per month -- far lower than Salesforce.com's low-end price of about US$65 per user per month.

"They have to deliver the product," Benioff said. "And the reality is, coming up with one that has an inferior price speaks more to the inferior quality of the technology then its competitiveness as a product. [Salesforce.com's service] isn't sold in Best Buy. It's sold by a professional services organization that delivers the right price to the customer and answers all their needs."

Nor was he worried about customers leaving Salesforce.com and heading to Microsoft to take advantage of the low price. "There is a reason why we're successful," said Benioff. "We focus on the success of every customer. We've never had a major customer leave us, and we've had amazingly low levels of customer attrition overall."

"I think that Microsoft has announced this service more often than Roger Federer has won Wimbledon," added Bruce Francis, vice president of corporate strategy at Salesforce.com, in an e-mail. "I think a clear sign of worry is a company that comes late to a market and then introduces a wan imitation of a competitor's superior product."

Microsoft's core packaged application business has faced serious challenges from upstart hosted offerings like Salesforce.com's in recent years, forcing the vendor to create the competitive service, according to industry analysts.

Come socialise with us! Facebook | LinkedIn

More about: Microsoft, Pioneer, Salesforce.com

Comments

Post new comment

The content of this field is kept private and will not be shown publicly.
Users posting comments agree to the ARN comments policy.
Login or register to link comments to your user profile, or you may also post a comment without being logged in.
Related Whitepapers
Latest Stories
Community Comments
ARN Directory | Distributors relevant to this article
ASI Solutions , Bluechip Infotech , Compucon Computers , Dicker Data , Express Data , Express Online , ICT Distribution , Impact Systems Technology , Leader Computers , Multimedia Technology , NewLease , Synnex Australia , Topstar Computer International , XiT Distribution , Xpress I.T.
rhs_login_lockGet exclusive access to ARN's news, research and invitation only events.
ARN Distributor Directory
Find distributors by name | vendor | location
Channel Deals
/deals/avg/213_avg-internet-security-3-pc-2-year-10-pack-reta
AVG (AU/NZ) Pty Ltd

AVG Internet Security 2012 10 Pack Retail Specials

More details »
ARN Vendor Directory
Find vendors by name | category

iAsset is a channel management ecosystem that automates all major aspects of the entire sales,marketing and service process, including data tracking, integrated learning, knowledge management and product lifecycle management.