Cost Analysis: Is Office 365 Migration Worth the Investment?

Did you know? Many large companies have transitioned their critical data to Office 365. This helped them in innumerable ways. Now, small to medium businesses might wonder - is migration worth the investment? The answer lies in this blog.

This detailed post delves into the cost breakdown analysis. It also lists down the benefits that will help you figure out whether Office 365 data migration is the right move for your company.

A Rundown on the Cost Breakdown for Office 365 Migration

Microsoft Office 365 migration is expensive for small to medium companies. Knowing the costs is important to decide if this change is right for the company. Here’s a simple overview of the costs for Office 365 migration.

1. Licensing Costs

To use Office 365 services, you are required to pay a fee. The cost is directly proportional to the number of users, and the plan’s features.

• Plan Types: Different plans offer different features. Choose the one that meets your needs perfectly.
• Monthly Costs: The monthly plan starts from just $7.20 per user.
• Annual Costs: The annual plan varies between $60-$360 per user.

2. Migration Costs

This cost is related to moving your data from the existing system to Office 365.

• Per Mailbox Migration Fees: It costs from $50 to $225 per mailbox.
• Data Volume: The more data you have, the larger the migration cost may be.
• Complexity of Migration: If your data is complex, it may require more time and resources to migrate.
• Additional Services: If you need help with public folders or special configurations, this may increase costs.

3. Data Cleanup and Preparation

Before migration takes place, it’s crucial to clean up your existing data. This typically involves removing bad data (like old emails) or organizing files.

• Data Cleanup: It may cost between $100 and $500. The cost is directly proportional to the amount of data.
• Time Investment: If data cleanup is done internally, it may consume a good amount of hours. This could translate to increased employee costs.

4. Training Costs

Once data is migrated, users may also require training to use Office 365 effectively.

• Training Costs: The cost depends on the training format, and the number of users. Usually, it ranges between $200 and $1000.
• Hands-On Training: In-person training sessions are more effective. This may cost more.
• Follow-Up Support: Consider budgeting for ongoing support after training.

5. Post-Migration Costs

Post-migration, you might also require technical assistance to fix potential issues.

• Support Charges: Depending on the service, the support plans range from $100 to $500.
• Ad-Hoc Support: This may cost around $50 to $150 per hour for pay-per-incident.

Business Benefits of Office 365 Migration

Migrating to Office 365 brings several benefits for companies. Let's explore some of them.

1. Cost Savings

Office 365 migration helps you save money in multiple ways. This includes:

• No Upfront Costs: Lower upfront costs for hardware.
• Pay-As-You-Go Model: Pay for only the services you need.
• Lower IT Maintenance: Reduce costs for IT support, and maintenance.
• Bundled Services: Includes multiple tools in one package.
• Free Updates: Get updates without extra charges.

2. Improved Teamwork

Office 365 improves how teams work together.

• Easy File Sharing: Share files easily with colleagues.
• Real-Time Editing: Work on documents together in real-time.
• Smooth Communication: Use Microsoft Teams for quick communication.
• Remote Connectivity: Stay connected even when out of the office.
• Access From Any Device: Allow users access to documents from their smartphones, tablets, or laptops.

3. Enhanced Security

Office 365 rolls out regular security updates to protect data.

• Data protection: Keep your data safe with modern security features.
• Regular updates: Stay protected with automatic updates, and patches.
• Data recovery: Recover lost or deleted data easily.
• User Access Controls: Set permissions to control who should see specific data.

4. Quick Access to New Features

With Office 365, you should be able to access new features instantly.

• No Manual Updates Required: Software updates happen automatically.
• Access to New Tools: Employees get to use the latest features as soon as they are available.
• Improved Functionality: Regular enhancements improve user experience.
• Avoids Compatibility Issues: Everyone uses the same version of software.
• Keeps Systems Secure: Always using the latest version helps protect against threats.

5. Larger Mailbox Storage

Office 365 offers generous email storage options.

• Increased Storage Capacity: Each user gets a large mailbox, reducing the need to delete old emails.
• Archive Options: Easily archive old emails without taking up space in the main inbox.
• No More Email Hoarding: Employees are able to keep important emails without worrying about storage limits.
• Easier Email Management: Tools to help users organize and find emails quickly.
• Reduced Server Load: Less strain on your own servers, improving overall performance.

6. 24*7 Support

Microsoft has 24-hour support available to help Office 365 users.

• Online Resources: Extensive documentation and tutorials are available.
• Community Forums: Connect with other users for useful tips.
• Regular Training Sessions: Microsoft offers training to help users maximize their tools.
• Peace of Mind: Know that help is available whenever you need it.

Summing Up

Making a shift to Office 365 is a smart move. Though there are initial costs that might seem significant. The long-term savings and benefits it offers make the migration worthwhile. Ultimately, the decision to migrate must be in-line with your business needs and goals. With careful planning, moving to Office 365 helps you create a productive workplace. If you are planning to migrate to Office 365, seek help from an Office 365 migration consultant.