Price Hikes in Salesforce Products

Salesforce has announced price rises for its products which will be effective from Augest 2023.The Salesforce products are going to see an average of 9% hike in their pricing across Sales Cloud, Marketing Cloud and Tableau.

Reasons for Price Hike

• Salesforce's previous list price adjustment occurred seven years ago.
• Continuous Innovation: Over the years, Salesforce has delivered 22 new releases, showcasing its commitment to ongoing improvement.
• Extensive Feature Additions: Thousands of new features have been introduced, enhancing the platform's capabilities.
• Generative AI Innovations: Recent advancements in generative AI have been integrated into Salesforce, enhancing its value.
• Significant Research and Development Investment: Salesforce has invested more than $20 billion in research and development to enhance its offerings.

Products & Editions to be Affected

• Professional Edition
• Enterprise Edition
• Ultimate Edition

New Pricing List

Prices are USD/user/Monthly (Billed Annually)

• Professional Edition: Complete CRM for any team size $80 Up $5
• Enterprise Edition: Customizable sales CRM for your business $165 Up $15
• Ultimate Edition: Ultimate CRM Power & Support $330 Up $30

Effective immediately, corresponding list price increases will also be implemented for Industries, Marketing Cloud Engagement and Account Engagement, CRM Analytics, and Tableau.

Market impact of the Price hike

• Salesforce dominates the CRM market with it's premium services.
• Salesforce could experience increased revenue & improved profitability.
• Customer retention & acquisition strategies may be affected.
• The market's response could influence other players' pricing strategies.
• Market share may fluctuate depending on customer & competitor responses.
• Customer perception of value & quality may be influenced.