What is Cloud CRM?

What is a Cloud CRM?

In todays’ fast paced business environment, maintaining strong customer relationships is essential for organizations to establish a credible presence in any industry and ultimately leads to sales success. So, what is Cloud CRM? Since its inception, Cloud CRM has emerged as a means of revolutionizing the way businesses manage their customer relationships. In this article, we’ll look closer at the practical benefits of cloud-based CRM, and provide insights into how you can optimize your cloud-based CRM solution to truly fulfil your ever-changing business requirements.

Cloud-based CRM definition

A cloud-based CRM is a type of customer relationship management software that’s hosted on a CRM provider’s server (in the cloud) and can be viewed by users online at any time on any device with an internet connection, providing ease of access and scalability for users. This kind of software solution is known as SaaS (Software as a Service).

Since its introduction, cloud CRM has become an increasingly popular choice for many businesses. A recent report by Gartner found that 80% of all CRM sales in 2020 were cloud-based [1]. The shift toward cloud-based CRM can be attributed to key features, namely the ease of installation; where cloud CRM sees the external software provider responsible for the management of the solution instead of the burden falling to the in-house I.T team – freeing up resources to be reinvested elsewhere in the business.

Cloud CRM vs On Premise CRM

Cloud CRM is often compared to “Traditional CRMs” which are categorized as On-site or On-premise. The difference between the two solutions is their approach to customer relationship management, most notably, where they’re hosted, which determines how they are implemented and maintained.

On-premise CRM solutions are built for purpose by a business for their own usage. These solutions require in-house IT specialists to build the system and oversee day-to-day maintenance tasks, meaning the organisational data isn’t handled by a third-party vendor.

A cloud CRM is a different kind of solution. Rather than being managed on-site, a cloud CRM is outsourced to a provider. Instead of paying massive upfront costs, a cloud CRM system usually requires a monthly subscription fee to the respective provider in exchange for their services. Between 70% to 80% of CRM investments are made in SaaS tools, according to Gartner [2] which indicates the more popular option of the two.

Top 5 Benefits of Cloud-based CRM Software

As mentioned, the uptake in Cloud CRM can be largely attributed to its accessibility and ease of installation as the implementation and maintenance is outsourced. Plus, upfront costs are much lower than alternative solutions, making it the most cost-effective solution in the CRM space.

Cloud-based CRM is particularly advantageous for B2B product businesses, as it facilitates real-time data synchronization. A cloud-based CRM that’s integrated to the back-office accounting, ERP or inventory management system equips customer-facing teams with the right information for the sales process, eliminating the risk of under/over-selling. Here are our top 5 benefits of cloud-based CRM Software:

1. Scalability & Data Accessibility

With a cloud-based CRM solution, businesses can access customer data anywhere providing that you’re connected to the internet, building the foundations for a system that can be easily scaled as a business grows. Data synchronization allows teams to view customer data in real-time, enabling them to make better, data-driven decisions. The centralized platform also facilitates collaboration among team members. With cloud CRM, employees can access data anytime, anywhere and on any device – ideal for employees working remotely.

2. Cost Effectiveness

There are usually significant cost savings associated with cloud CRM compared to on-premise CRM. For on-premise CRM, everything must be done in-house resulting in a significant cost in hardware and software. Cloud CRM on the other hand sees lower upfront costs, as well as lower maintenance and upgrade costs. For SMBs and SMEs, the choice should be a no brainer. With a significantly reduced start-up cost, cloud CRM is particularly appealing to the SME market.

3. System Customization/Configuration

By opting for a cloud-based CRM system, businesses benefit from high-level system customization such as intelligent and configurable dashboards, allowing businesses to instantly see what’s most important. Undoubtedly, there’s a much greater degree of flexibility offered through cloud CRM as opposed to traditional CRM systems, allowing businesses to tailor the solution to complement business processes and workflows.

4. Data Security & Compliance

An essential advantage of cloud-based CRM systems is the robust data security and compliance, such as data encryption and access controls, reassuring businesses their data is in a safe place. Through cloud CRM, data backup is available as well as enhanced security, keeping customer data safe and secure for peace of mind.

5. Enhanced Customer Experience

All of these benefits of cloud CRM combined create an enhanced customer experience. In a cloud-based CRM, customer data is captured in a centralized place for customer-facing teams to action, enabling them to deliver personalized and timely interactions with customers, improve lead nurture time, experience and close rates. From checking in with customers, to recording and logging important customer issues, cloud CRM helps you stay on top of the things that matter to your customers.

Build and Optimize your Cloud CRM

Implementing a CRM solution takes careful consideration and planning. Here are some top tips for getting started with our robust, cloud-based CRM solution, Access CRM.

• Assess your business needs – Before you commit to any CRM, assess your requirements as a business, so that you can get the best out of your chosen software. Consider what features and functionality are must-haves, the number of users you may need (as this will directly determine the plan you’d require) as well as integration abilities with other essential business tools like accounting, inventory management, marketing tools and productivity apps.
• Choose the right plan for business requirements – CRM providers offer different levels of plans to suit varying business needs. Select a plan that aligns with your budget and your team size, but don’t forget to opt for a plan that is flexible and has the capacity to scale with your business, instead of hitting a roadblock further down the line.
• Integration & system customization – Assess the degree of customization you’d need in a CRM solution. This could determine whether you go for a cloud-based CRM or for complete control over configurability through an on-premise CRM. Robust integrations with your existing tech stack, particularly back-office finance and operations systems, are also essential to avoid uprooting trusted businesses processes.
• Train your team & participate in onboarding – It’s critical to encourage uptake of the new system through team training and onboarding sessions. The first three points are critical steps to implementing a CRM solution, but without successful user adoption, implementation will likely fail - so make sure to get your team onboard!
• Monitor and optimize the CRM – Regularly review CRM performance and usage to pin down areas for improvement, then optimize and refine your CRM processes to operate at its best capacity.

Access CRM is a full cloud-based CRM with seamless integrations, pipeline management, closed loop reporting, mobile access, marketing automation, and configurable workflows. Elevate your B2B processes and trial Access CRM for 14 days for free.

References & Citations:

• [1] Gartner (2021). Market Share Analysis: Customer Experience and Relationship Management Software, Worldwide, 2020
• [2] Gartner (2022). Software Market Insights: Customer Relationship Management (CRM), 2022