Is a Truism Holding True?

The software industry often expounds that you are 1st,  2nd or 3rd  in your category or simply out of business. The question I pose is whether the announcement that Entellium, makers of Rave CRM, has falled on hard times is an early warning of more fallout to come in the CRM space.

If you believe the numbers, that less than 20% of small and mid-size businesses are using CRM, you can understand the opportunity.  Yet, potential users need to show caution in their selection of a CRM product and vendor.  Another truism might be that the marketplace does not care about the “best technology”. 

A CRM project must be approached as a blending of strategy, process and technology for sales, marketing and customer service.  While selecting the right software that facilitates this blending is important, it is not the most important activity. 

Some pointers on the right way to approach CRM

A CRM implementation will have more chances of success if:

•  It is not considered a technology project

• There are clear and documented step-by-step processes for how you go to market, how you sell and how you achieve customer loyalty

• There is an implementation plan with clear, measurable, and phased objectives for each user group

• Management takes the time to determine the real ROI for a CRM implementation and evaluates each phase against the established ROI for corrective actions

• You don’t get overwhelmed by the features of sophisticated systems. Evaluate systems based on the features that will help you reach your current goals, plus potential for additional capabilities

• You consider hiring an expert for selecting and installing your solution and/or training if your company doesn’t have the necessary skills or resources

I cover all this, and much more, in an earlier posting “Building Customer Relationship – A Blueprint for Success” 

If you have not read that post, I encourage you to do so before venturing too far down the CRM selection path. 

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Comments

[Mike]

The first question you should be asking, is whether or not the information you are putting out is true! Based on the facts that Entellium has NOT closed it's doors, don't you think this article is a bit misleading? I would suggest that you do a bit more research before you post your name next to false information! Thanks, and Good Luck!

[me]

Where do you get your information, a rudimentary textbook? This is such lame info and provides no real help at all.

[Bob]

Mike, I stand corrected and changed the copy. I had seen an early press notice that employees had been locked out and assumed too much. I do hope that readers will share their thoughts if in this economy we will see more vendors in trouble and what customers can do to protect themselves.

[Bob]

Me, I suggest that those of us who are in the CRM space daily may want to remember that a VP of Sales and Marketing has other things to do with their professional life then living on the edge of CRM information. I will defer to others option if we are meeting a need here or not. I hope you will make additional, thoughtful contributions that take the discussion to a higher level.