Asked by Melina Collins on May 11, 2024
Verified
List and describe the five alternatives to traditional, on-premise CRM systems. Suppose your organization cannot afford an on-premise CRM system; which of these alternatives would you choose to implement and why? In your answer, you should consider the advantages and disadvantages of each option.
On-Premise CRM
Customer Relationship Management software that is installed and runs on the premises of the organization using it, rather than being hosted on cloud servers.
Traditional CRM
Traditional Customer Relationship Management (CRM) refers to the practices, strategies, and technologies used by organizations to manage and analyze customer interactions and data throughout the customer lifecycle, aiming to improve business relationships.
- Describe alternatives to traditional on-premise CRM systems, including their advantages and disadvantages.
Verified Answer
NP
Ndamulelo PetuniaMay 14, 2024
Final Answer :
On-demand = vendor-hosted CRM system; benefit = cheaper (SaaS); limitation = unreliable vendors, modification difficult/impossible, integrating with existing software difficult/impossible, security and privacy
Mobile = CRM through mobile devices; benefit = interact with customers anywhere at any time; limitation = small screens and internet isn't everywhere (limitation not in book)
Open-source = source code available; benefit = free, lots of applications, easy to customize, updates and bug fixes quickly available; limitation = quality control, no central authority for overseeing quality (depend on volunteers), must have same IT platform in place as the one on which the open-source CRM system was developed
Social = social media to get customers involved in collaborative conversations; benefit = getting customers involved and meet customer needs quickly and unexpectedly (Morton's Steakhouse example); limitation = customers can say bad things (limitation not in book)
Real-time = organizations are able to respond to customer product searches, requests, complaints, comments, ratings, reviews, and recommendations in near real-time; benefit = meet customer needs quickly and efficiently (Southwest Airlines example); limitation = privacy (limitation not in book)
On-demand = vendor-hosted CRM system; benefit = cheaper (SaaS); limitation = unreliable vendors, modification difficult/impossible, integrating with existing software difficult/impossible, security and privacy
Mobile = CRM through mobile devices; benefit = interact with customers anywhere at any time; limitation = small screens and internet isn't everywhere (limitation not in book)
Open-source = source code available; benefit = free, lots of applications, easy to customize, updates and bug fixes quickly available; limitation = quality control, no central authority for overseeing quality (depend on volunteers), must have same IT platform in place as the one on which the open-source CRM system was developed
Social = social media to get customers involved in collaborative conversations; benefit = getting customers involved and meet customer needs quickly and unexpectedly (Morton's Steakhouse example); limitation = customers can say bad things (limitation not in book)
Real-time = organizations are able to respond to customer product searches, requests, complaints, comments, ratings, reviews, and recommendations in near real-time; benefit = meet customer needs quickly and efficiently (Southwest Airlines example); limitation = privacy (limitation not in book)
Learning Objectives
- Describe alternatives to traditional on-premise CRM systems, including their advantages and disadvantages.