Updated: May 11, 2021
This is a business weather forecast with the latest updates: today, the CRM is cloudy with a chance of constant SaaS. Just kidding! As for the real current situation in the business world, choosing a cloud CRM over an on-premise one has become as frequent as seeing rain clouds in autumn.
CRM has become a real business buzzword: everyone is talking about it, every company, despite the size, understands the importance of acquiring one, yet some people are still dithering between cloud-based and on-premise CRM systems. Why? Because it is literally a million-dollar choice. And now, get ready for a short journey to understand the differences of on-premise CRMs from cloud ones and discover benefits of the latter. All right, let’s get started!
What is Cloud CRM System?
If you have ever met phrases like cloud-based CRM or web-based CRM system, this is it, the cloud CRM software. The functionality of the system is based on cloud technologies. In simple words, unlike on-premise software that requires local servers to store the data, the company pays the vendor to host the information imported on the cloud-based CRM. Instead of accessing the software via desktop applications, users view the customer data on browsers opening them on PCs, laptops, mobile devices, etc.
According to a recent survey conducted by SelectHub among over 500 businesses of different sizes, 63% of companies give their choice to cloud-based CRM solutions, 35% are open to both cloud and on-premise systems, and only 2% of businesses will go for on-premise software only.
What’s the reason behind such “biased” statistics? Let’s find out by studying the 3 main advantages of cloud CRM systems over on-premise ones - secure data storage, flexible access, and headache-free deployment.
1. Data Storage and Security
The very first question that businesses ask is where cloud-based CRMs store the data, and then the second one follows – how secure those storage systems are?
Companies acquiring on-premise solutions should also have a vigilant IT team that will implement and manage the system. It includes setting up servers, loading the data, conducting regular data backups, replacing server equipment if needed, upgrading to a new software version. Your IT staff is the only responsible party for the deployment and successful performance of the on-site CRM software. Large businesses may have the required resources, but for small and medium-sized companies, the maintenance of the local option of CRM software needs a lot of time, energy, and money.
Cloud-based CRM solutions, as opposed to on-premise ones, don’t require any local server for successful performance. The data inserted in cloud-hosted CRMs is collected and stored in the database of the vendor. In simpler words, when you purchase a cloud-based CRM software, you pay the vendor to host your data and ensure its security. However, many companies are still prejudiced that clouds have weaker security and contain a higher risk for breaches. The reality is that first-rate cloud CRM providers deliver top-notch security for your sensitive data. They encrypt your data, constantly monitor the system, conduct frequent data backups, etc.
So, summarizing everything said, here is one rhetorical question – if you think that your data is insecure in the databases of world-class CRM solution providers, how can it be safer in your local servers?
2. Flexible and Mobile Access Options to the CRM System
The worldwide lockdown caused by the COVID-19 taught us all a valuable lesson – companies should invest in remote working solutions, one of which is cloud-based CRM. Why? Cloud CRMs allow accessing the platform and entering the data 24/7. It means that you can log into the system and insert, change, or view the information there as long as you have an internet connection. But even if your internet is not available at the moment, cloud CRMs allow creating offline records, which are later synchronized and updated in the system once you are back online again.
If on-premise CRM systems are accessed via the machines where the software is installed, cloud-based CRM solutions are more flexible on this matter.
Cloud CRMs ensure the mobility of users by allowing access from not only designated machines but from any device at hand – PC, laptop, mobile phone, or tablet. How? It’s quite simple. The way you log in to your Facebook or LinkedIn account, the same way you access the CRM platform. It is especially convenient for those companies whose employees work at the customer’s site. Isn’t it amazing having the whole database under your fingertips?
3. Straightforward and Headache-Free Software Deployment
“I want a CRM solution whose deployment is complicated and confusing,” said no one ever. Companies want to get the system up and running as soon as possible since the delay of each minute affects business operations.
The implementation of a CRM system shouldn’t be like deciphering the Da Vinci Code. It should be hassle-free and straightforward. In the case of on-premise CRM solutions, the implementation of the software assumes the availability of local servers, and the full engagement of the IT staff. It may pose a challenge to not only small but also medium size and large businesses. As for cloud CRMs, after you’ve chosen the solution, it won’t take long to pay for it, get the licenses, set-up, and give your employees their log-in info. Boom, you’re ready!
If you’re migrating from on-premise software to a cloud one, it may take some time for employees to make friends with the newcomer. Fortunately, most CRM vendors offer webinars, online courses, and many resources, so you’ll never be short of information, for example, Salesforce Trailhead is a free source to learn about cloud CRMs. Alternatively, you can also take personalized training for your staff.
Ok, now you have something to ponder on, don’t you? Just like Hamlet of Shakespeare would say, “cloud CRM or an on-premise system, that is the question.” Well, maybe it’s not a fatal decision, but it’s definitely vital for your business. Unlike Hamlet’s issues, your questions are answered, and da dam the ultimate winner is cloud CRM. And let Hamlet live on with his problem, meh. :-D
We are curious about your thoughts on this matter. Talk with us in the comments and follow us on social media to learn more. If you need someone to discuss your choice of CRM system, ping us @ email@example.com
Thank you! This was SYSTRONICS with the latest business weather news.