PART 2

HOW TO DEPLOY (or what will suit you best)

Areas covered:

1. types of CRM
2. which to choose ( or what will suit you best)
3. jargon buster

1. Types of CRM

In deploying CRM companies have to first consider the different types of CRM available so they make a choice about what will suit them best. Given the huge array of information available you would think this would be an extremely complex process but let me assure you finding the solution is relatively easy , as there isn't a great deal of choice, honestly.

There is an enormous amount of information about CRM, but most of it is about how the gathered information is used by companies and this is often where the confusion starts. Terms such as analytical CRM, operational CRM, collaborative CRM etc , etc, etc to infinitum, as new terms and experts look at CRM is ever increasing manners (See the Jargon buster at the bottom of this email about these 3 terms).

Furthermore these terms are bandied around, I suspect, to confuse customers to thinking they are getting something better/more advanced/progressive/improved than what the last salesman has discussed. But there is a difference between what types of CRM there are and how the information gathered will be used. Remember CRM is a technological tool that holds information in one place, nothing more and nothing less. How you use it is the clever stuff.

Let's be clear, there are only 2 types of CRM available those that are "on-line", often called Cloud or Hosted, and "on-premise".

On-premise are solutions in which you, as a company, own the software and hardware for the CRM system, and it is held at your offices or under your control at a datacentre - hence the term 'on-premise'

On-line/Cloud/Hosted solutions mean that you don't own any software or hard ware, you pay a company a monthly or yearly fee for their CRM services.

In both cases you can purchase out of the box solutions, but you can also have a wide range of customisation so you can have a CRM system that is tailored for your needs.

There are ONLY 2 types of CRM available 'on-line' and 'on-premise'

2. Which to Choose

Consider the analogy of buying a new car, you chose your company (Fiat/BMW/Porsche), add any modifications and then you drive the car. With CRM it is no different; you chose on-premise or on-line, you have the customisations if you want and then you start using the system.

The tricky part is deciding what would best suit your company and who do you choose to install the solution. To simplify this you should consider what some of the benefits and disadvantages are to each type:

ON-PREMISE

Benefits:

• · You own the whole solution
• · If you no longer wish to use your current CRM provider you can change with ease
• · Your data remains on your premises
• · No monthly outlay for licensing
• · Internet connectivity problems are less likely to have an impact on the system
• · You can implement all non-standard customisations
• · Greater control and flexibility
• · In-depth customisation capabilities

Disadvantages:

• · Upgrades may cause disruption
• · Additional costs may be incurred to keep software up-to-date
• · May require in-house IT resource

ON-LINE - Cloud/Hosted:

Benefits:

• · Can be put into place in a relative short space of time
• · Monthly fee is known and can be budgeted for
• · No large initial costs, so deemed affordable by many
• · Less disruption as software/hardware not incorporated at the workplace
• · Can still be customised
• · Minimised disruption with upgrades
• · CRM provider delivers installation, integration, testing, routine maintenance, and stores/manage all application data.
• · No costs/time associated with systems administration and maintenance, therefore companies internal IT staff concentrate on corporate IT projects.

Disadvantages

• · Poor internet connectivity may cause problems
• · Data back-up will be subject to service provider agreement.

When considering the two types of CRM you may be guided by something as simple as internet connectivity or whether you have the resources to maintain CRM in-house. But always think about how your company operates today, and how you consider it will operate in the future.

Both systems can be out of the box, and both can have high levels of customisation.

There are advantages and disadvantages to both solutions, when making decisions always consider both immediate and long term benefits

3. JARGON BUSTER

As mentioned earlier there are definitely only 2 types of CRM, but how the information is used, is what all the rest are talking about. Don't be fooled into thinking there are more.

Operational CRM:

This places the focus of any CRM system with the customer focused areas such as sales, customers service and marketing: (often thought of as the 'front 'office'). The data gathered gives a history of contact with customers.

Collaborative CRM:

This refers to the different departments in a company sharing the information they have about customers with the objective to improve customer service, retention and loyalty.

Analytical CRM:

This is a step further than the operational CRM, as the information gathered is analysed to give a views on specific areas, and behaviour patterns of customers. This allows companies to consider in more detail customer profitability, marketing campaigns effectiveness etc.

In a nut shell: gather information (operational, share information (collaborative) and analyse information (analytical)

We hope you found this information useful as a basic introduction to CRM. Part 3 will consider 'How to Deploy - or what you should know before you contact a CRM provider'

If you would like further information on this then please do not hesitate to contact us, we would be very happy to help. Or do look around our website for more information on our services and products.