Selecting the best CRM software solution to meet your company’s needs now and in the future can be a tricky business – the decision can seem overwhelming at first. Should you buy the software licences and host the solution on your own servers, giving you full control of the system? Or would it perhaps be better to rent a hosted CRM solution and save yourself the hassle of hardware maintenance and upgrades?
Hosted CRM software
Microsoft Dynamics CRM 4.0 is available as a SaaS (Software as a Service) product, delivered over the internet as a subscription service. Customers opting for this solution pay a simple monthly per-user fee for access to the system, and do not have to worry about maintaining servers or performing upgrades as everything is taken care of for them. A Hosted Microsoft Dynamics CRM 4 system is quick to get up and running as there is no hardware to install / configure. The data stored within the system is secure in an ISO27001 accredited data centre whilst being accessible from practically anywhere with an internet connection. This hosted subscription-based model is attractive for many businesses as the up-front cost is generally much lower than with more traditional on-premise solutions, and the time needed to get up and running is minimal.
On the downside, Hosted CRM solutions are reliant on having a working internet connection, though the Microsoft Dynamics CRM Outlook Client does also allow for offline data synchronisation to users’ laptops and workstations.
Hosted Microsoft Dynamics CRM 4.0 solutions do allow for some customisation, however customers with complex software customisation and development requirements may be better suited to an on-premise deployment to allow full server access.
On-Premise CRM software
Delivered as an On-Premise solution, Microsoft Dynamics CRM 4.0 allows the customer complete control. Companies managing their own CRM solution on their own servers have more options when it comes to customising the software than those using Hosted CRM, and are able to decide themselves whether to apply upgrades. Some businesses simply prefer their infrastructure to be managed in-house, keeping everything within their control. It is still possible to allow users to access On-Premise Microsoft Dynamics CRM solutions over the internet if desired.
Installing CRM On-Premise does have a higher up-front cost, as in addition to the CRM licences companies also need to allow for the server hardware purchase, installation and ongoing maintenance as well as the implementation costs.
On-Premise Microsoft Dynamics CRM implementations use Active Directory for user authentication, meaning that users do not need to remember a separate username and password for CRM.
The best of both worlds
The Microsoft Dynamics CRM 4.0 software is very flexible, and has been designed to change and grow with organisations over time. Data and customisations can be migrated from a hosted solution to On-Premise and vice-versa as business needs change, eliminating the need to start again from scratch in the future.
So, which is better?
No two businesses are the same, and neither are two CRM systems. Whether a hosted or on-premise CRM implementation is a better fit for your business depends upon your requirements, company size, existing in-house skills / resources and existing infrastructure. On-Premise CRM software and Hosted CRM solutions both have their pros and cons – the key is identifying which option is the best fit for your business and your needs.
Contact us to discuss your needs or request a free trial
The CRM Business has a wealth of experience providing both On-Premise and Hosted CRM solutions for clients across all industry sectors, from small businesses with just a handful of users to large organisations with several hundred. We understand that a successful CRM solution begins with understanding the people and processes involved and then shaping the technology to suit.
If you would like to discuss your requirements please don’t hesitate to contact us. Alternatively, sign up for your free 30-day hosted CRM trial on our website.
