CRM – On-Demand or On-Premise — which is Right for You?

There is a lot of confusion among CRM buyers today, with so many deployment options available, choosing the right company and software package which suits their requirements is becoming more complex,

Maximum value for their investment, with ease of use and multiple coApp’s to support different business functions is what’s on a customer’s mind while selecting the best CRM among the lot,

Customers today have multiple options, they can either go for a traditional or conventional on-premise CRM software package, or subscribe to one of the new breed of on-demand services delivered via the Internet,

Of course, there are pros and cons to each approach, but over the past several years, most CRM customers – particularly small and mid-sized businesses – have chosen Hosted web based applications instead of an On-Premise model may be because of its ease of access and low initial cost.

While bigger business with couple of thousand employees might want to opt for an on premise model as they might have security concerns regarding the information stored in the system, and even though the friendly hosted CRM vendor might provide data security for the data stored in their system bigger organizations would rather exercise full control over their data and hence opt for a on premise model. Vendor stability and reliability also are important issues.

Businesses need to choose the right type of CRM which best matches their needs while delivering superior performance, applications integration and functionality.

Modern day CRM has expanded to include a wide range of predefined tasks, customized and integrated business functions that maximize the value of the customer relationship at the same time also contribute to sustainable revenue growth.

An on-demand solution can be combined with the security and control of an on-premise solution to give you the best of both worlds, and at a really affordable monthly subscription price. it is also a preferred option as the vendor ensures data integrity and security while updating the system from his end with regular updates in software as per changing business needs and security patches making the On demand model more trouble free and enhancing the user experience.

CRM encompasses everything companies use to manage customer relationships, including capturing and analyzing customer information and then leverage that data toward better sales performance. Effective customer and prospect relationship management is critical to the success of a business, and that takes technology-enabled solutions like CRM to make the job more convenient and effective.

Looking at it from the return on investment (ROI) perspective, and on demand CRM clearly has its benefits with almost negligible initial investment and a affordable monthly subscription, small and medium sized business or first time users can leverage it to their benefit.

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