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Should You Have Your CRM in the Cloud? Part 2


This is the second in a series of articles that focus on whether you and your firm should have your CRM in the cloud.


What about the cost?

Always having the absolute latest version of the CRM software. Never having your computer(s) down while someone updates your software. Having a complete and total backup of your data. Never having to take a backup of your CRM data offsite. Complete portability; being able to get to your client data wherever there’s a computer and Internet access.

Are any or all of these issues important to you? If so, then consider having your CRM or Contact Management hosted in the cloud. None of those issues mentioned above are problems with cloud-based apps. Just remember, that’s what your monthly-fee-per-person will buy you. Those are the benefits for your monthly fee.


But also remember to add up the monthly fee times however many years you think you’ll be using the app. From our observation, most ACT! users upgrade every 5 years or so. So, measure a one-time fee (roughly $275 for a copy of ACT!) against using, say, SalesNexus.com or even SalesForce.com (each one charges roughly $55 per month per user) for a combined total cost of $3300 ($55 per month x 12 (one year) x 5 years). From a pure, total cost standpoint, the premises-based app is far cheaper than the cloud-based app. Now, remember that some cloud apps are free or very inexpensive. Zoho is free for the first 3 users and then $12 per month per user for each additional user. Jeffrey Gitomer’s Ace Of Sales is $20 per user per month.


So, do the math and decide for yourself if cloud-based CRM is right for you.

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