Microsoft Office products and cloud services are the second-largest money-maker for the entirety of Microsoft (second only to Microsoft Azure). Not only that, but MS Office makes more than twice the revenue of Microsoft Windows licenses, which is a figure that surprises almost everyone.
Now, a lot of people use open-source tools like G Suite because it allows them to use these tools sporadically. This way, they don’t have to worry about not getting the most cost-effective deal out of it. In the business world, on the other hand, things are a lot different.
If you’re using a tool on a daily basis and need more features, paying for premium software may be worth your while. This is especially the case in a scenario where you’re paying for an enterprise license, which means that you’ll get a better deal per account/device in use.
With all of this in mind, here’s what you need to know about using 365 for your business in 2024. Here are some of the biggest pros and cons.
Pro: A long tradition of being the productivity software
The rapid growth of platforms like Google Suite has made people forget that for decades, MS Office was THE productivity software. People only used tools like Notepad when they had no other choice, and barely anyone ever used Open Office (only when they were trying to cut costs).
This means that there’s a lot of habit and nostalgia involved in this. Now, sure, younger generations may have already started with tools like Google Docs, but there’s still a huge portion of the labor pool consisting of a bit older generation. For them, there’s nothing more intuitive than Microsoft 365.
Also, keep in mind that there’s a lot of nostalgia and habit involved here and that even the most successful Microsoft 365 alternatives copied its layout. Why? Well, because, for a long time, MS Office was so dominant that it set a standard for what these productivity tools are supposed to look like.
Con: Google Suite is very competitive (and free)
The single biggest con of using Microsoft 365 is the fact that it has a subscription. While this subscription isn’t that high, and it should fit your budget, you have some pretty decent (free) alternatives out there.
For instance, Google Suite is in no way inferior, and you would have to be really disingenuous to try and make Excel or Word sound clearly superior to their Sheets and Docs alternatives. The truth is that it’s mostly a matter of taste.
Now, some might argue that more and more people are using Google Suite, which makes document sharing more compatible within the industry. However, people making these statements are usually oblivious to how many people are still using Microsoft Office.
Pro: Completely cloud-based
The next major pro is that Microsoft 365 is completely cloud-based. This makes remote work amazing, which is incredibly important, seeing as how 12.7% of Americans work from home full-time, with 28% more working from home at least part-time.
Moreover, international teams are becoming a bigger and bigger driving force in the industry with every passing hour, which means that you need a tool that’s as widespread and accepted across the globe.
The most important part is the fact that you can integrate so many other programs and platforms. In fact, Microsoft 365 is so big that there are a lot of tools developed specifically for it. For instance, you may consider using Copilot for Microsoft 365, the spiritual successor of beloved Clippy, now with AI capabilities.
Con: Most people underuse its functionality
For a lot of people, the cost of the software is less important than the functionality you’re getting for it, and getting your money’s worth is not necessarily an easy thing to figure out.
The biggest problem is that, since it’s cloud-based, the platform now has better analytics than before and more insight into how the product is actually used. In the past, a lot of people would just buy the disc with the license (CD or DVD) and install it on their computer. Since there was no live service, it was impossible to determine what was going on.
Well, as it turns out, the majority of people don’t use more than 20% of features on Microsoft 365. This creates a pretty awkward spot where you’re really not getting your money’s worth and would probably have a more cost-effective scenario with an alternative.
Just look at it this way, there’s no way to pay just for the features that you’re using (this is not how these licenses work).
Pro: Paying on a subscription basis
If you have to pay for software, doing so on a subscription basis is usually the way to go. Why? Well, the simplest explanation is that you get a simpler way to track your expenses. You don’t pay for the use of features but get full access to a pre-set of software for a fixed price. This means that making an estimate of monthly expenses gets a lot easier. You at least get one expense that doesn’t vary from one month to another.
Moreover, you’re already paying a lot of different subscriptions (none of which you use even remotely as often as Microsoft 365 and its productivity tools). This is what makes the cost so easy to justify.
Lastly, a flat price requires a higher one-time payment (which is a harder step to make). Equipment acquisition can be so expensive that it often requires business loans.
Wrap up
The most important thing you need to keep in mind is that private use and use for business purposes are not one and the same. When it comes to the latter, you can actually make a more accurate analysis of the pros and cons. You can actually get the ROI and see exactly how you’re benefiting from this acquisition. Overall, even in 2024 and with so many free competitors, a strong case can still be made for using Microsoft 365, especially for businesses.
