Google Workspace vs. Microsoft 365: An In-Depth Look at Pricing and Value for Modern Businesses

Introduction

In today’s fast-paced world, choosing the right workplace software is pivotal to your organization’s success. Although there are many business options, Google Workspace and Microsoft 365 remain the most popular. This article highlights the various features and why Workspace’s pricing options, feature inclusivity, ease of migration, and total cost of ownership make it the superior choice. 

Overview of Google Workspace

Google Workspace offers a robust suite of tools for teams to connect, create, and collaborate. Built on a cloud-native infrastructure, it integrates widely used apps like Gmail, Drive, Docs, and Meet into a seamless platform accessible anywhere. For organizations operating hybrid or fully remote work, Workspace provides the flexibility and familiarity employees need to stay engaged and productive. With proven benefits—such as a 412% return on investment and a 36% increase in time spent on creative work—Google Workspace has become a strategic asset for organizations aiming to innovate and stay competitive.

Google Workspace and Microsoft 365 at a Glance

Feature

Google Workspace 

Microsoft 365

Entry-Level Pricing

$6 per user/month (Business Starter)

$6 per user/month (Business Basic)

Standard Plan Pricing

$12 per user/month (Business Standard)

$12.50 per user/month (Business Standard)

High-Tier Pricing

$18 per user/month (Business Plus)

$22 per user/month (Business Premium)

Desktop App Access

Full access to all core apps across plans

Desktop versions are only available from the Standard plan ($12.50+)

Storage (Standard Plan)

2TB pooled storage per user

1TB per user

Ease of Migration

High; familiar tools like Gmail, Drive, Docs Editor Suite

Moderate for entry-tier; limited familiarity with desktop versions 

Security & Management

Advanced security in Business Plus ($18)

Advanced security in Business Premium ($22)

Pricing Structure Overview- Business Editions

Since the Business Edition is the most popular with customers, let us examine the various tiered prices.

  • Google Workspace Pricing:
    • Business Starter: $6 per user/month
    • Business Standard: $12 per user/month
    • Business Plus: $18 per user/month

Microsoft also offers tiered pricing, which is slightly more expensive.

  • Microsoft 365 Pricing:
    • Business Basic: $6 per user/month
    • Business Standard: $12.50 per user/month
    • Business Premium: $22 per user/month

What is the value included in each Pricing Tier?

When comparing the features available on each tier, Google Workspace makes a compelling case for more value per dollar

On Google, all the essential Workspace apps are available even on the lowest plan, so you don’t have to upgrade to unlock crucial features.

In Microsoft 365’s entry-level plan, essential tools like Word, Excel, PowerPoint, and Outlook are only available in web and mobile versions, offering limited user experience and functionality compared to the full desktop version.

In the middle tier plan, Google edges both on pricing and storage. Microsoft 365 Business Standard ($12.50 per user) provides 1TB of storage per user, whereas Google Workspace’s Business Standard offers 2TB of pooled storage and costs $0.50 less per user.

On the highest editions, Microsoft 365’s Business Premium plan includes advanced security and device management at $22 per user/month. Google Workspace offers these features on its Business Plus plan, at a lower price of $18 per user/month. 

A recent IDC study also highlighted that Google Workspace users experienced a 28% higher productivity boost in field teams and a 35% increase for tech teams specifically because of this easy access to collaborative tools. 

Going from the above, it is clear that from a value standpoint, Google Workspace packs a powerful punch at every pricing level. 

Workspace’s familiarity makes migration and onboarding seamless for Organizations

One of the biggest considerations for business is how easy it is for teams to adapt to the new workspace environment. Apart from potential adoption costs, including training, change management is also crucial. Google Workspace’s familiarity gives it a massive advantage to businesses worried about change management. Tools like Gmail and Drive already have over one billion users on both apps, so your teams are likely used to Workspace’s interface. 

Interestingly, Google has a notable approach to change management, ensuring a smooth transition, addressing resistance, and facilitating adoption. It is called the Three Phase Migration Approach. While you can read more about it here, it essentially says:

  • The Core IT Team responsible for managing and maintaining your technology infrastructure during the migration is the first to stress-test and ensure the Workspace environment is ready.
  • Bring on the Early Adopters, a group of enthusiastic users willing to try out Google Workspace first. They will help to influence and support their peers during the broader rollout.
  • Lastly, implement the full rollout across your organization. 

Finally, what is the real ROI and Long-Term Value of Google Workspace? 

The long-term value of Google Workspace goes beyond just money. A recent Study indicated that Google Workspace customers saw a 36% increase in time spent on creative work. That’s the time they used to innovate and push projects forward. 

Moreover, another study by Quadrant Strategies found that 82% of Google Workspace users felt their team became more innovative after switching from Microsoft 365, compared to just 47% of Microsoft users who reported similar benefits. 

It’s not just about innovation; Workspace’s simplicity leads to higher employee satisfaction and retention. In the same study, younger Workspace users—the future workforce—indicated a strong preference for Google Workspace due to its ease of use on mobile devices. 

Conclusion

Although Microsoft has some unique benefits, Google Workspace as a whole delivers the most outstanding ROI. This makes it a cost-effective, innovative, and user-friendly productivity solution for businesses of all sizes. Contact us today to learn more about migrating to Google Workspace and maximizing your organization’s productivity.

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