SaaS Fuels the Next-Generation CRM Technologies

Posted on July 9th 2014

SaaS Fuels the Next-Generation CRM Technologies

Customer Relationship Management (CRM) systems continue to evolve impressively and have been tipped to witness a new wave of on-premise and Software as a Service (SaaS) solutions in the near future. Enterprise CRM software suites have emerged on top as the most crucial ingredient for delivering superior business intelligence solutions, client servicing and operational efficiency. Contemporary CRM technologies can be deployed in two ways, namely on-premise and Cloud SaaS based models, and through this article we will compare future deployment aspects between the two and see in what situations the two could coexist.

SaaS CRM to oust on-premise CRM systems soon

As per a report by Forbes, Cloud SaaS based CRM deployments may overthrow on-premise CRM suites by the next year and the industry is expected to grow at almost 15% CAGR. Gartner Inc., the information technology research and advisory firm, published many valuable insights and growth projections in its study called The Gartner CRM Guide, 2014’, according to which cloud based SaaS deployments of CRM could be as much as 80-85% by the year 2025. Gartner report says that “the CRM software market is projected to grow at a 14.8% compound annual growth rate (CAGR) through 2017, with cloud revenue growing at more than 22.6% CAGR”.

The market for enterprise-grade CRM software suites has matured over the years, and the presence of several prominent industry players has made this a multibillion dollar industry. Vala Afshar, the Chief Marketing Officer (CMO) with Extreme Networks, tweeted that CRM revenue was in excess of $20 billion during 2013, out of which almost half of the revenue was contributed by the top five CRM players including Salesforce, SAP, Oracle, Microsoft and IBM. It must be noted that cloud SaaS remained the favorite CRM deployment amid small- and medium-sized enterprises (SMEs) and other global firms.

More and more companies are opting for agile systems to serve their new and existing clients in a more ordered manner, which is why there has been a greater focus on advanced CRM strategies and solutions. On-premise systems are failing to compete with the enhanced agility, flexibility and cost effectiveness offered by cloud based SaaS systems. However, top industry experts and analysts believe that both on-premise and SaaS CRM systems can co-exist in what could be referred as a hybrid design.

Why cloud-based SaaS CRM systems are the future

Cloud systems offer flexibility, scalability, less input cost and resource utilization, in addition to unparalleled data security. Cloud based SaaS CRM can be seamlessly accessed from anywhere, anytime through web and mobile applications via Application Programming Interfaces (APIs). The API led revolution has completely transformed the traditional client management process, since SaaS CRM solutions can be easily integrated with legacy CRM models. The result: Better customer experience, information distribution, operational efficiency, quicker sales cycles and lead to sales conversion.

The growth of cloud-based SaaS CRM systems has compounded due to its ability to provide superior insights regarding sales of a product or a service in real-time to the service  representative. The CRM applications (web or mobile) are designed to assist and guide sales reps to take significant action when stuck in a complicated situation or in an event when astute decision making is required. CRM’s ability to proactively understand and identify client needs and building relationships is what made it a smashing success that it is today.

GSabharwal

Gaurav Sabharwal

Co-Founder , IT Chimes

Gaurav Sabharwal is the Business Head at IT Chimes. He is an avid blogger, and likes to pen his thoughts about building, managing and leading teams in IT, top-level decision making and time management. Find him on Twitter @GauravSabh

Involved with evolving business opportunities since childhood, Gaurav has been a part of the technology world for over 10 years, successfully setting up various ventures and brands to be handled by professional management.

After graduating from the Stern School of Business, New York University and handling business development for a reputed firm in New York for three years, Gaurav ventured into IT to pursue and consummate his passion for technology. Gaurav co-founded three main brands under Saffron Tech, namely IT Chimes, Search Eccentric and Moability, and aspires to keep building and growing as a team through effective use of technology, management and business acumen. With an infectious drive for innovation and spearheading the sales and client relationship management, Saffron Tech has achieved unprecedented growth and high impact results for both retail and partner clients.

Gaurav Sabharwal with his experience sits on the Board of Directors of the partner companies of Saffron Tech. He helps the new businesses and helps these businesses to get stable and grow exponentially in their individual fields.

Gaurav is a passionate traveler and loves to be close to nature whenever the work pressure piles up or he has to take a break to think of innovation for new or existing business. He likes to spend his evenings playing some sport, going for long walks with his wife or hitting the local gym. Loves to spend time with family and friends and is a true believer of loving life and making the most of it.

 

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