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On-Demand CRM Services Will Continue to Take Market Share from Traditional Vendors
On-demand CRM customers are much happier with their vendors than customers of traditional CRM vendors, according to a recent survey of CRM customers conducted by Info-Tech Research Group, a technology analyst firm. 78% of Salesforce.com (an on-demand CRM provider) customers surveyed are very satisfied with the vendor, whereas only 37% of Siebel customers surveyed are very satisfied with their vendor.
"The results were somewhat surprising to us," says Janet White, the lead analyst on the study of 14 leading CRM vendors. "Fully 100% of Salesforce.com clients we surveyed were either satisfied or very satisfied with the vendor, compared to only 64% of Siebel customers who felt the same way."
The study also found that 100% of Salesforce.com customers were either very likely (67%) or likely (33%) to recommend the product to their peers, compared to only 64% (55% very likely, 9% likely) for Siebel customers.
"These results confirm that although on-demand CRM was born into small- and mid-sized early adopters, it has clearly matured into a mainstream technology that will begin to take significant market share from larger vendors," says Ms. White. "By the time many of the colossal in-house systems have reached the end of their lifecycle, even the staunchest technical laggards will need to seriously evaluate the on-demand model as part of their organizational CRM strategy." 01.12.2004, Info-Tech Research Group
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