Donnie, an auto shop owner from Texas, is planning on using a CRM software application for his burgeoning business. However, he is mulling whether to use a web-based CRM software or an on-premise one. He asks—
“Hi, I am 100 percent convinced that CRM applications are a great tool to help me with my business. But what type of CRM software should I use? Should I use an on-premise CRM software and get an in-house IT administrator to supervise it? Or should I choose instead an online-based CRM software to serve my needs?” –Donnie, TX
Thank you Donnie for asking. If you are also interested in reading a comprehensive CRM comparison page of accounting CRM applications, visit this side-by-side comparison of the best accounting applications for you.
Although on-premise or in-house CRM applications are good tools to use for your business, you should also consider getting a web-based CRM software. Here are top 5 reasons why an online CRM software may be the best for your B2B or B2C enterprise.
An online-based CRM software’s cheaper cost than an on-premise solution is arguably the best significant reason why you should consider getting the former. With a web-based application can operate online with the help of Internet, you do not have to worry about spending millions of dollars to purchase an in-house application and pay for IT personnel to supervise it.
You can even ask a vendor of a web-based CRM software if there is a trial version that you can try out. In many cases, trial versions are available.
A review of today’s online-based CRM software shows that many provide convenience to small businesses, because they store information online and do not need hard drive backups. This is an ideal business solution if you are working on a mobile basis or you have many users or employees in various locations.
Another good reason is that an online-based solution is fairly easy to use as it is fully functional by the time you buy it. The service provider of the application is the one maintaining the software, so you do not have to worry about its maintenance or upgrade. You just need to import the solution and use it according to your company’s needs.
The business data you are using will not be stored on your local servers. All the data you need are centralized in just one database that is secure. Thus, web-based CRM software applications make you and your employees avoid duplication of tasks. In addition, whatever information you want to make available to the customers are easily accessible to them. This makes it easier for your customers to transact from any location using your online solution.
Because it is web-based and there is a company securing its data, you do not need to wonder whether the security of your confidential data has been compromised. Since it is stored in a location that is remote, it will always be safe.
For more discussion on whether your business should use an on-premise or online-based CRM software, check out this ZDNet article discussing the issue. If you are also interested in how CRM has revolutionized the IT and business landscapes over the years, check out our history guide.
P.S. For further reading on CRM, check these helpful tips: 3 questions to ask before buying CRM software for small business; why online CRM software is ideal for nonprofits; and what to look for in CRM software vendors.
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