When it comes to managing IT infrastructure for your dealership, the question of sticking with traditional on-premise servers or moving to the cloud is an important one. As technology continues to evolve, dealerships need solutions that not only handle today’s needs but also provide flexibility for future needs. This is why dealerships should choose Azure Cloud over on-premise servers. Here’s why moving to Azure cloud can give your dealership the edge over sticking with on-premise servers.
- Scalability: Grow Without the Growing Pains
Azure’s cloud infrastructure allows you to scale up or down based on your dealership’s needs. In contrast, with on-premise servers, you’d need to purchase, install, and maintain additional hardware to accommodate peak usage—often resulting in over provisioning. This makes Azure the more cost-effective and flexible solution.
- Cost-Efficiency: Pay Only for What You Use
On-premise servers require significant upfront investment in hardware, installation, and ongoing maintenance. With Azure, you only pay for the resources you actually use, which helps keep operational costs low. Over time, the Total Cost of Ownership (TCO) for Azure is typically lower, providing a better financial strategy for dealerships looking to manage expenses more effectively.
- Flexibility: Access Tools Without the Heavy Lifting
Azure gives you access to a wide array of services and tools, from building applications to integrating with existing systems, without the need for managing physical infrastructure. It simplifies operations and allows for rapid deployment, so you can focus on running your dealership instead of worrying about IT hardware management.
- Uptime & High Availability: Minimize Downtime, Maximize Business
Azure’s global network of data centers provides built-in redundancy and high availability, ensuring that your systems remain operational even in the event of a localized outage. Its ability to automatically shift workloads between data centers means significantly reduced downtime. On-premise servers, on the other hand, require manual intervention to achieve a similar level of uptime, often adding complexity and cost. This makes Azure the superior choice for keeping your dealership systems running smoothly without the hassle.
- Security: Protecting Your Data and Reputation
Data security is critical in today’s automotive industry. Azure comes with a host of advanced security features and compliance certifications, offering a level of protection that’s hard to match with on-premise servers. While on-premise systems can be secured, it requires continuous investment in security measures and constant monitoring. Azure simplifies this by offering built-in security protocols to protect sensitive customer information and ensure compliance with regulations.
- Seamless Integration with Microsoft Products
If your dealership already relies on tools like Office 365 or Active Directory, Azure integrates seamlessly with these services. This means you can streamline your workflows, enhance productivity, and reduce complexity by managing everything from one platform.
- Total Cost of Ownership: Uncovering Hidden Costs
On-premise servers bring hidden costs such as high power bills, hardware replacements, and constant maintenance. The average cost to run a server in the U.S. is around $731.94 per year—before you factor in cooling, space, and hardware refreshes every 5-7 years. Azure eliminates many of these hidden costs by operating on a subscription model with no surprise fees, giving you better financial clarity and long-term savings.
- Disaster Recovery: Built-In Business Continuity
Disaster recovery is essential to keeping your dealership running smoothly. While on-premise servers can be replicated to secondary datacenters, Azure’s cloud-based infrastructure offers faster and more reliable recovery options. Its built-in disaster recovery services ensure that your systems and data remain available around the clock, so you can focus on your business without worrying about downtime.
Beware the Cost of Not Moving to the Cloud
While it’s tempting to stick with what you know, resisting the move to the cloud could cost your dealership more in the long run. The hidden costs, maintenance headaches, and lack of flexibility make on-premise servers a less reliable option. Azure offers better scalability, cost-efficiency, and security, giving you the tools and support to future-proof your dealership. By comparing the Total Cost of Ownership over time, it becomes clear that Azure is the smarter choice for staying competitive, secure, and efficient. This is why modern dealerships are running on Azure.