CRM software has expanded over the years thanks to advancements in Internet capabilities and movements in information technology.
What was once available only as a software package run in-house by a company's IT department has grown into advanced solutions that are provided by the Vendor via the Internet.
The benefit associated with Hosted CRM software solutions are in line with the rest of the markets movement to the "Software as a Service"(SaaS (News
)) or "cloud computing" model.
This movement brings information and functionality right to customers without the need for businesses to add hardware or software infrastructures for their IT departments to handle.
Aside from the benefits Hosted CRM software solutions provide, companies looking to implement the solution must also consider the possible risks involved.
Among the risks associated with a Hosted CRM software solution are security, reliability, compatibility and vendor commitment. Each of these topics point to an increased trust for the Internet and the Vendor hosting the services since vendors have control over standards and protocols of the system and must have a strong CRM business model to succeed. Also trusting the Internet's reliability and security is a must.
On the upside, in addition to cost benefits, the hosted CRM software solution also offers companies a competitive advantage since vendors can easily upgrade systems to keep up to date with the latest capabilities and comprehensive access makes the solution beneficial for companies because it provides immediate, international access when it's needed.
For examples of how specific CRM software implementations brought financial and efficiency gains, as well as a look at vendors who offer various solutions, check out the VendorGuru.com
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Stefania Viscusi is an assignment editor for TMCnet, covering VoIP, CRM, call center and wireless technologies. To read more of Stefania’s articles, please visit her columnist page.