Cloud or On-Premise: Selecting the Right CRM Solution

The market is filled with solutions for customer relationship management (CRM) and selecting the right one for your business can seem like a daunting task especially when you take into consideration that you now have the option to deploy your CRM system on-premise or in the cloud.

Both cloud and on premise systems have their pros and cons and deciding on what is right for your business depends on several factors including costs, infrastructure and the size of your business. In this two-part post, we look at why a business may consider either option.

Taking the cloud route

With a cloud based solution your CRM is hosted at a remote location allowing you to access the system via the internet and you would log in just as you would to an on-premise version.  A cloud based solution is a popular option for smaller businesses but anyone can benefit from a cloud based solution.  Here are some of the reasons you might consider a cloud based solution:

  • Implementation and operation are inexpensive compared to on premise CRM
  • Deployment is quick and easy limiting downtime
  • Does not require the services of in-house It staff reducing your IT budget
  • Makes data available to remote employees
  • Provides easy access via mobile with no compatibility issues
  • Reduces your business’s carbon footprint

Taking the on-premise approach

An on-premise solution is the conventional approach to CRM. Meaning that your CRM is loaded to its destination system and managed by an in-house IT team.  The on-premise approach is still popular with larger more complex companies who have the resources to support an on-premise solution. Here are some of the reasons you might consider a cloud based solution:

  • It is often a better choice for businesses with complex needs.
  • It’s best for businesses in industries (e.g. health care) that need to adhere to compliance regulations where all data needs to be stored on site at all times.
  • You will not be affected by connectivity issues if your CRM system is on-premise.
  • You can maintain complete control of your customer database.
  • If many workers need access to your database, it may be less expensive to host your own system.