Microsoft listens to feedback. The PowerApps Portals pricing that was revealed at Inspire and quickly drew many double takes is getting revised with tier pricing.
Below is the full chart of details on the tiers, but the summary is that pricing is based on the amount of logins you purchase per month, with packs of higher counts of logins being cheaper than lower counts. Just like normal tier pricing and part of what I had asked and suggested in my previous post about the October 2019 pricing changes.
This is great news, firstly Microsoft has taken the feedback of the customers and community as to what the pain points were with the original pricing and are addressing that openly. Secondly high login usage sites are no longer as penalized with extreme costs when there was only 1 publicly disclosed tier. Thirdly the gap of those that could be lower cost than the per instance pricing model is slightly wider now.
The breakdown, per login pricing…
- 100 logins at $200 = $2 per login
- 1000 logins at $1000 = $1 per login
- 5000 logins at $3500 = $0.70 per login
The scenario I had written about previously comparing a 10,000 external user portal with a once a year renewal would now look something like this.
10,000 users / 1000 * $1000 = $10,000 (half the previous cost)
Accounting for 75% of users logging in at least once more during the year (accounts for some not logging in at all and others logging in multiple times over 24 hours).
10,000 * 0.75 = 7500 logins / 1000 = 7.5, round up to 8 * $1000 = $8000
Total Portal Cost Annually: $18,000
Funny enough $18,000 is actually the number it would cost that 10,000 external user scenario right now as well based on the Dynamics 365 portals per instance model. Boom! Better.
You probably need to include that you have to split that over 12 months as your allocations go per month so costs will likely rise but at the same time give you that room for your development and test environments as well.
10,000 users + 75% additional logins = approximately 17,500 logins per year. Divide by 12 months = 1458.33 logins average per month. Rounding options:
Round to 1500, cost per month is $2000 ($1000 + 5 * $200)
Round to 2000, cost per month is $2000($1000 * 2)
Clearly you will go with the 2000 logins for $2000 as a per month cost to give you flex in that month and room for your other environments.
$2000 * 12 = $24,000
This is approximately because you probably are going to have some months higher than others and therefore maybe have a $1000 month or $3000 month in places.
$24,000 is higher than $18,000 you might be saying though. It is but $500 a month times 3 is also maybe kind of low for the volume previously as well. Like I stated in my previous post, there will be benefit to the smaller use cases and pain or cost of the larger but that actually reflects usage now which in the overall is a better thing.
What is still a pain point
Pre-buying login packs. Having to guesstimate the number of logins can be hard especially if you have unknown events. I am much more a fan of the post paid billing model than the pre-paid. I can understand why pre-paid is great for budgeting and some corporations but it seems like a great way to waste, lose or never use purchased capacity as well.
I am still in favor of a monthly unique active user based pricing that is post-paid. However the tiered announcement is a huge awesome change that many should be happy about and widens the audience that portals is actually cheaper for than it is today.
Go checkout the new licensing FAQ for a bunch more portal related questions and answers, allocating the logins, as well as other PowerApps and Flow licensing details.
Clarification: This new pricing is still effective for new customers of Dynamics 365 portals as of October 1st, they will be considered the same thing. The FAQ below outlines the changes between the models, not that the old model is still available.