Portals eNewsletters Web Seminars dataWarehouse.com DM Review Magazine
DM Review | Covering Business Intelligence, Integration & Analytics
   Covering Business Intelligence, Integration & Analytics Advanced Search

View all Portals

Scheduled Events

White Paper Library
Research Papers

View Job Listings
Post a job


DM Review Home
Current Magazine Issue
Magazine Archives
Online Columnists
Ask the Experts
Industry News
Search DM Review

Buyer's Guide
Industry Events Calendar
Monthly Product Guides
Software Demo Lab
Vendor Listings

About Us
Press Releases
Advertising/Media Kit
Magazine Subscriptions
Editorial Calendar
Contact Us
Customer Service

Aberdeen Group: CRM Spending and Satisfaction

  Industry Statistics published in DM Direct Special Report
May 13, 2003 Issue
  By DM Review Editorial Staff

The Aberdeen Group recently released "CRM Spending and Satisfaction Report," based on a survey it conducted with RealMarket in Q4 2002. The survey reached a broad cross-section of the CRM, respondents were from all levels of decision-making authority and from company's with revenues less than $10 million to more than $1 billion.

Thee survey reflected the state of the business world in general. With global uncertainty and a sluggish recovery as a backdrop, many organizations will look to prove the benefits of existing CRM implementations before adding new capacity. Others will be on the lookout for concrete signs of returns on their existing investments and similar projections on any new acquisitions.

Some key findings include:

CRM spending will pick up significantly in 2003 - most organizations have increased their budgets and have specific purchase requirements.

Figure 1: CRM Budgets Increase in 2003

In a significant sign of pending consolidation in the industry for full suite products, 64 percent of those surveyed said that their CRM purchases would be made at the enterprise level. In comparison, only 44 percent of the respondents said that over the previous five years they had purchased CRM at the enterprise level as opposed to the department or division level. This apparent shift of purchase decisions to enterprise-wide from smaller acquisitions should not be seen as an absolute shift to larger deployment, however. Given that slightly more than three- quarters of those surveyed represented SMB and mid-market companies and that such companies may view any CRM acquisition as an "enterprise" deployment, the change may indicate a subtler trend.

Users of CRM technology are relatively more satisfied with sales applications that with marketing and customer service applications.

Figure 2: Distribution of CRM Module Types

Sales force automation (SFA) and related sales applications continue to be the modules most in demand, and more respondents report having sales tools than any other CRM Technology. SFA is usually the first and frequently, the only CRM module installed at many organizations, and nearly twice as many organizations have only SFA than organizations that have only marketing modules.

 Users see different benefits depending on their primary orientation (i.e., sales, marketing, customer service).

Figure 3: Overall CRM Benefits Ranked by Existing Users

There is a significant difference between the benefits that people expect and what they actually get according tot he survey data. Most often, prospective users of  CRM applications indicate that they expect the technology will help them drive new business and top-line revenue growth. In contrast, existing users of CRM report that the biggest benefit the have observed is in the area of productivity improvements.

More end-user organizations are seriously considering acquiring CRM as hosted solutions or services.

Questions about hosted solutions provided the most surprising findings of the survey. Although only 24 percent of the respondents indicated that they were currently using CRM delivered as a hosted service, a simple majority (52 percent) indicated they would consider using a hosted solution in the future; that number was slightly higher (56 percent) among C- level officers.

When prospective CRM users were asked if they would subscribe to hosted CRM services, more than 88 percent said they would. This finding stands in contrast to the industry-wide assumption that CRM customers, in general, are unhappy.

Although many people find CRM solutions challenging to deploy, they continue to purchase these solutions because they find the long-term benefits reward their efforts.

Figure 4: Areas of Improvement for CRM

There are several areas where users fell CRM can be improved. However, the fact that there are several areas and that no single area scored a significant majority of responses indicates general satisfaction with the product class. CRM continues to deliver value, although at a high price relative to other IT solutions organizations purchase.


For more information on related topics visit the following related portals...

This piece has been brought to you by the DM Review Editorial staff.

Solutions Marketplace
Provided by IndustryBrains

Customer Relationship Management for IT
Web-based CRM and more with Autotask: Great business management software optimizes resources and track billable project and service work. Get a demo, then try it free with sample data. Click here for your free trial!

Numara Track-It! Help Desk & CRM Software
Numara IT Solutions provides Track-It! - the leading help desk software solution for employee & customer self-help, call tracking, problem resolution, remote control, asset management, LAN/PC auditing, and electronic software distribution. Free demo

Find CRM Consultants
Post You Project for Free. Get Bids from Thousands of Pre-Screened Consultants.

CRM & Accounting Software Consultants NJ NY CT PA
Shelko Consulting is a provider of consulting services for acccounting & CRM software. They will analyze your needs, design, implement, customize, manage and support the right accounting and CRM software for your organization in NJ, PA, NYC area.

Data Mining: Levels I, II & III
Do you know who your best customers are and why? Learn how to anticipate customer behavior using your existing data with predictive modeling. View upcoming events in data mining.

Click here to advertise in this space

E-mail This Industry Statistics E-Mail This Industry Statistics
Printer Friendly Version Printer-Friendly Version
Related Content Related Content
Request Reprints Request Reprints
Site Map Terms of Use Privacy Policy
SourceMedia (c) 2006 DM Review and SourceMedia, Inc. All rights reserved.
SourceMedia is an Investcorp company.
Use, duplication, or sale of this service, or data contained herein, is strictly prohibited.