Zendesk Is 43 Percent Cheaper Than Salesforce Service Cloud, Finds Nucleus Research

Switching to Zendesk has now been shown to reduce the total cost of ownership

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CRMLatest News

Published: January 29, 2024

James Stephen

Nucleus Research has published a report showing businesses that switched from Salesforce Service Cloud to Zendesk have managed to reduce their Total Cost of Ownership by 43 percent.

The study also found that – on average – Zendesk implementations are 53.7 percent quicker than Salesforce Service Cloud.

Moreover, Zendesk rated 26 percent higher than Salesforce in its ease of use and 54.5 percent faster at adapting to new requirements.

Cameron Marsh, Senior Analyst at Nucleus Research, added: “Zendesk is a solution that is well-equipped to help organizations navigate the growing complexities of providing elevated customer experiences. As business demands evolve, Zendesk’s solutions can adapt swiftly and effectively.

“The CRM platform is a value-driven option for organizations aiming to balance financial sustainability with best-of-breed customer service functionalities.

Just as Salesforce has established itself as a frontrunner in the CRM market through its feature-rich offerings, Zendesk similarly holds its ground in the customer experience field, offering a blend of functionality, adaptability, and cost-effectiveness.

The price disparity comes after Salesforce’s nine percent price hike, which came into effect in August last year.

While it was the first time Salesforce raised its prices in seven years, some have previously questioned its pricing model.

Like many other vendors, it has locked businesses into mandatory seat increases, which they’re not hitting.

According to one analyst, that feedback is becoming particularly loud for Salesforce.

Yet, from a broader perspective, Salesforce has a reputation for being a premium CRM brand. So, higher prices do come with the territory.

Moreover, Service Cloud is just one element of the Einstein 1 Platform, which allows data to flow and automation to run between Salesforce apps. That’s a big differentiator, unifying customer experience teams.

Then, consider feedback from other analysts, like Gartner. In its 2023 Magic Quadrant for the CRM Customer Engagement Center, Salesforce secured a market leader position. Meanwhile, Zendesk is placed as a “visionary”.

That said, both Salesforce and Zendesk have developed a significant global presence and rock-solid reputations. The former for its innovation streak and the latter for software ease-of-use.

So, ultimately, while the Nucleus Research report does present some thought-provoking statistics, it’s essential to consider the broader context.

 

 

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