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On-Premise vs Cloud CRM

by Cheena,on Feb 17,2020

CRM refers to Customer Relationship Management. It is a strategy to manage all your company's relationships and interactions with your potential and current customers. CRM system enhances a business's ability to cultivate and nurture customer relationships. The system provides a unified approach to organizing customer information while also streamlining processes. 


A CRM system is an incredibly important tool for every company, helping to foster customer loyalty and forge it into healthy revenue. It enables tracking every interaction with the company and collects information about the customer. This makes the interaction more personalized, increases the chances of conversion, and encourages customer trust and loyalty.

On-premise vs cloud CRM creates an interesting scenario for vendors and customers alike where the advocates of both designs put forward interesting arguments to justify their choice. Here are some key factors that you need to consider when weighing whether to use on-premise or cloud-based CRM software.

On-Premise CRM
On-Premise CRM is hosted on your office server, it’s necessary to install and configure it. Such CRM is accessed via Local Area Network of a company, that means it doesn’t require an Internet connection. On-Premise CRM is also called On-site CRM. 
On-premise CRM solution usually require large upfront and ongoing investments to purchase and manage the software and the related hardware, servers, and facilities necessary to run it.


Cloud CRM
Cloud based CRM software refers to the CRM system being hosted in the cloud. The cloud CRM is a subscription based model where the database is stored in the cloud and the database is hosted on third-party servers. You can access information from anywhere at any time and carry out your business activities easily from any corner of the world.
For Cloud-based CRM system, initial costs are typically much lower because you simply implement the software to your requirements and then access it through your computer's internet connection.Since there’s no hardware installation, Cloud CRM is extremely easy to implement.


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