Observed Signal · Jan 13, 2022 · Product Launch · Source: CMSWire · Impact: 3/5 · Sentiment: Neutral

Microsoft Customer Experience Platform Enters Competitive CX Market

Executive Signal Summary

Microsoft debuted the Microsoft Customer Experience Platform in November 2021, positioning it within its Dynamics 365 business solutions. The platform combines existing products such as Dynamics 365 Customer Insights, Dynamics 365 Marketing, Dynamics 365 Commerce, Microsoft Advertising, Azure Synapse Analytics and Azure Purview, with full customer data ownership, out-of-the-box AI and AI-orchestrated journeys. It enters a customer experience management market shaped by major consolidation, including SAP's $8 billion acquisition of Qualtrics, Medallia's IPO, InMoment's acquisition of MaritzCX and Zendesk's acquisition of Momentive. Analysts suggest Microsoft's scale, search-engine audience and partner ecosystem could help it compete, while the platform's Dynamics 365 integration and Power Apps/Power BI extensibility may appeal to existing enterprise customers. The article examines whether Microsoft can successfully shift from employee-experience software to customer experience leadership.

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High Confidence

Microsoft's entry into the customer experience management market with a Dynamics 365-based CX platform intensifies competition with Qualtrics, Medallia, Zendesk and other CX vendors, signaling a major platform player's expansion into MarTech.

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Key Takeaways & Evidence Grounding

  • Microsoft debuted the Microsoft Customer Experience Platform in November 2021.
  • The platform is built on Microsoft Dynamics 365 and includes Dynamics 365 Customer Insights, Marketing, and Commerce.
  • The customer experience management market was valued at $9.5 billion.
  • SAP acquired Qualtrics for $8 billion; Medallia went public; InMoment acquired MaritzCX; Zendesk acquired Momentive.
  • Microsoft's productivity and business processes segment generated $53.9 billion in revenue in Q4 2021.

Connected Companies & Entities

9 Entities mapped

“Microsoft debuted the Microsoft Customer Experience Platform in November....”

Primary Source Grounding & Direct Attribution
Direct Origin Attribution
Primary Reporting: CMSWire•Published: Jan 13, 2022
Original Coverage Title: “Will Microsoft Customer Experience Platform Compete in the CX World?”

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