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Tips To Help You Decide Between On-Premise CRM And Hosted CRM

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So you know that your organization would benefit from a CRM solution - but now it's decision time.  Not only do you need to pick a solution but you also need to pick a deployment method, either hosted Software as a Service (SaaS) or on-premise that you host yourself.  Because some CRM software solutions are limited to only one deployment method, it is a good idea to know what type of deployment best fits your company before you begin comparing CRM solutions. 

There are a few basic indicators that should help you decide whether to go with hosted CRM or on-premise CRM. 

SaaS is the right choice for you if you...

  • Do not have internal IT staff and/or hardware to support on-premise software.
  • Are looking for a short implementation time-frame (the solution is readily available to you whenever your business is ready for the solution).
  • Prefer a monthly software fee rather than a large upfront investment.

On-Premise is the right choice for you if you...

  • Need a large number of customizations made to your CRM to support your business processes.
  • Have data access needs that require two-way integrations with other applications, like your ERP system.
  • Can afford an upfront software and implementation cost that can be recouped during a payback period resulting in greater long-term cost benefits than paying a monthly fee.
  • Have an on-site IT staff and the hardware to support the system readily available.

Regardless of whether you select a hosted or on-premise CRM implementation, the best long-term solution for your business is to choose a CRM software with a flexible deployment which will allow you to switch between their on-premise and hosted deployments as your business needs grow and change.  Microsoft Dynamics CRM and Microsoft Dynamics CRM Online are great examples of a CRM product with flexible deployment options.  Get a taste for what both deployments can offer by trying Microsoft Dynamics CRM Online free for 30 days!

By Holly Chamberlain and Tom Furr, CRM Solutions Consultants at Socius, an Ohio Microsoft Dyanmics CRM Partner

3 Responses to “Tips To Help You Decide Between On-Premise CRM And Hosted CRM”

  1. Matt Kallas says:

    CRM is becoming a priority for all businesses, but this does not necessarily require increased expenses. Companies should look towards online applications, rather than on-premise. Our CRM software company (Intelestream) has found that as more applications are delivered on the cloud, companies are able to significantly scale down their IT budgets. intelecrm, is one example of how an application delivered online removes the need for a costly in house team of IT experts. A good whitepaper on the subject can be read at Intelestream web page.

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