The Dynamics 365 Licensing Guide says “Since Marketing is a tenant-based license, customers may install, use, and configure one Marketing license with only one Dynamics 365 environment”
This has raised a few questions from customers and partners, and it is my impression the confusion often comes down to terminolgy.
Dynamics 365 Marketing is licensed per tenant. So what is a tenant?
A tenant represents an organization in Azure Active Directory. It’s a dedicated Azure AD service instance that an organization receives and owns when it signs up for a Microsoft cloud service such as Azure, Microsoft Intune, or Microsoft 365. Each Azure AD tenant is distinct and separate from other Azure AD tenants
Usually a company has only one tenant. In the below example is my tenant Test_Test_Contoso (with the domain name: josgaard.onmicrosoft.com)
One Marketing app license permits deployment on only one Dynamics 365 environment. So what is an environment?
An environment is a space to store, manage, and share your organization’s business data, apps, chatbots, and flows. It also serves as a container to separate apps that might have different roles, security requirements, or target audiences.
Each environment is created under an Azure Active Directory (Azure AD) tenant, and its resources can only be accessed by users within that tenant.
There are multiple types of environments. The type indicates the purpose of the environment and determines its characteristics. The important types for this article is Production and Sandbox.
In my tenant I have several environments, some Production, some Sandbox, some sits in Europe, some sits in the United States.
Every environment can have zero or one Microsoft Dataverse database, which provides storage for your apps and chatbots.
When you create a production or sandbox environment with a Dataverse database, you have the option to add Dynamics 365 apps such as Dynamics 365 Marketing during the creation process (by choosing Enable Dynamics 365 apps).
In my environment SBNAM_D365M I have several apps, including a Dynamics 365 Marketing app
To create an environment with a database, you need 1GB available database capacity
So if you have sufficient storage capacity you can create as many environments as you like, and, with the appropriate licensing in place, start adding apps to the environments.
Dynamics 365 Marketing app licenses
As discussed above, one Marketing app license permits deployment on only one Dynamics 365 environment.
However, many customers work through several phases (development, testing, user acceptance testing) before changes to an app are published to the end-users — and as such more than one Dynamics 365 Marketing app may be needed.
You basically have these types of licenses for the Dynamics 365 Marketing app:
- Marketing (standalone) or Marketing (attached)
- Additional Marketing application (production)
- Additional Marketing application (nonproduction)
Each app license is priced differently – if Standalone is 6X, then Attached is 3X, Additional Marketing application (production) is 2X, and Additional Marketing application (nonproduction) is X
A customer purchases Dynamics 365 Marketing and installs the app on a their production environment “Danish Sub”. Since they have at least 10 full users of Sales Enterprise they may license Marketing with the Attached license.
Shortly after, they decide they need to implement changes to the configuration, add a few customizations and third party solutions. So they spin up three sandbox environments and purchases three more Dynamics 365 Marketing licenses (Additional Marketing application (nonproduction))
Next year they acquire a new company who will need their own production environment, so they spin up a new production environment, and purchases a fifth Dynamics 365 Marketing app (this time the Additional Marketing application (production))
Its important to understand that for each additional app you purchase no additional marketing contacts are included, but you may continue to use your existing, tenant-level pool of marketing contacts.
Hope this helps.