The Advantages of Implementing a Proprietary On-Premise CRM
There are several advantages of having an on-premise CRM (Customer Relationship Management) solution for business owners, not the least of which is the organization and maintenance of virtually all customer-related activity (including sales, marketing, customer support, and technical support) that can be found in both the on-demand, hosted CRM as well as in the licensed, on-premise CRM version. Despite the initial purchase price, which is significantly higher than the on-demand monthly fee requirement, an on-premise CRM delivers an array of possibilities and utilization that is often more economical in the long run.
Why is On-Premise CRM so popular?
While there is a reliable alternative available in the form of a cloud CRM, several reasons contribute to the popularity of on-premise CRM among businesses:
- On-premise CRM mostly has a lower total cost of ownership (TCO), compared to the monthly costs of cloud plans.
- Mostly on-premise CRM has open-source code access; therefore, these are easier to customize than cloud CRM.
- Businesses have full control over their data with an on-premise CRM solution.
Top 7 Advantages of an On-Premise CRM
If you are unsure why you should choose an on-premise CRM, below are the top advantages of having one. While they may vary across departments, these benefits affect all on-premise CRM users.
- Complete Ownership
- Confidentiality and Security of Critical Information
- Visual Dashboards
- Ease of Integration
- Enhanced efficiency through automation
- Simplified collaboration
- Reliable Reporting
The primary asset of an on-premise CRM lies in the fact that once paid for, it is housed in and completely owned by the business for which it operates. Provided there is an adequate information technology team to install, maintain, update, operate and repair the system, this in-house ownership allows for ease of flexibility and customization of your on-premise CRM which often translates into greater user satisfaction for both employees and customers.
Confidentiality and Security of Critical Information
Another valuable advantage of an on-premise CRM’s in-house location is security. Customer and company information is completely confidential since there is no need for any communication to go across a third party when using an on-premise CRM. Similarly, with this same level of autonomy in the entire customer environment, companies can utilize their on-premise CRM to tailor any facet of the customer’s experience to suit their liking.
The traditional methods of managing company data involved the use of a spreadsheet. This meant manual data entry or importing, spending hours to sort out useful metrics, and then presenting the data in a graphical manner. Today, an on-premise CRM does most if not all of this for you. A CRM platform enables you to set up a dashboard for all those with login credentials within your company. With the dashboard, you can easily view how many of your company personnel were contacted for a particular development, how many have viewed your email, and more. Visual CRM dashboards provide useful information at a glance and allow users to get actionable insights regarding crucial workflows without having to dig through piles of documents highlighting the benefits of implementing an on-premise CRM system.
Ease of Integration
An on-premise CRM provides a degree of integration with a business’ present system components, which can be extremely beneficial for companies with specialized procedures or equipment. Whereas an on-demand CRM may require a company’s previous technological applications to conform to a rigid, uniform system for everyone, an on-premise CRM offers the advantages of ease of integration and customization to suit nearly any variety of needs.
Enhanced Efficiency through Automation
Automation saves precious time, enabling employees to focus on revenue-generating tasks instead of redundant activities, and it also lowers the chance of human errors. On-premise CRM makes use of chatbots and automated messages to handle simple customer queries and frequently asked questions. Techniques such as drip campaigns help save time otherwise spent on creating and sending emails are some unique advantages of implementing an on-premise CRM solution. With mundane tasks taken care of with automation, employees can focus on better and more important duties enabling the company to operate more efficiently.
CRMs keep a record of notes, contact details, conversations, and interactions. Some on-premise CRM platforms also feature built-in collaboration tools enabling multiple people (basically everyone with access to your on-premise CRM) to simultaneously work and track progress on a single task file. This enables teams to utilize the best of their abilities and continue to collaborate with maximum efficiency, instead of working in silos.
Businesses who show dedication to maintaining error-free data can utilize their on-premise CRM platforms to accumulate, arrange, and organize that data. A systemized and error-free data paired with reporting features is easier to interpret and paves way for several other benefits as the company leverages information obtained from this on-premise CRM data analysis. An advantage of on-premise CRM platforms is the ability to show businesses who interacts with their company and how.
Long Term On-Premise CRM Value
The long-term value of an on-premise CRM is another boon that will likely prove itself. Over a prolonged period of time, the total cost of ownership will almost certainly be lower than that of the on-demand version. This economic practicality is sure to aid businesses experiencing rapid growth, as well as those with a degree of stability. Enterprise-scale companies will generally see the benefit of an on-premise CRM’s cost efficiency, especially in light of the following features which typically accompany it.
- Global implementation support that allows for the operation of international currencies and languages.
- Capabilities for synchronization enable workers to alter system data offline before utilizing their changes once reconnected.
- Intuitive tools give information technology staff the ability to set up and administer the on-premise CRM system.
If you would like to learn more about on-premise CRM systems, refer to our CRM software buyer’s guide and use our comparison tools to rank the top CRM system vendors on the market to ensure that you go with the right on-premise CRM vendor that fits your needs.