Justifying CRM Software Purchases Before it’s Too Late

Three Questions to Ask Right Now when Justifying CRM Solutions and Options

Investing in or upgrading a Customer Relationship Management (CRM) software package is something an IT department does not undertake lightly.

Presenting ideas and concepts at higher levels require some serious consideration – and not just of the obvious issues.

Advocating new software and justifying CRM software is much like presenting a case in court.

You need to have your argument (ducks) in a row. You also need to know the counter-arguments that are likely to be presented (it's a big undertaking, so it's possible some people won't want to give away their budget or resources to this sort of project).

Whether you run an IT department, own your own business or have been tasked with understanding and justifying CRM spend, here are three questions to consider of any potential CRM package.

Question 1: Are all of those Features really going to help Me today?

Lots of CRMs have plenty of impressive features to justify the expense of the package.

This can happen a lot with any kind of software – designers want to add value and so they throw in feature after feature (after feature) to try and make their product look better.

It's easy to get blinded by the plethora of features offered.

When evaluating CRM solutions, consider how much of the features on offer are just fancy add-ons and how many your company can actually use.

In preparing a case for justifying CRM and buying a specific solution, strip it back to only those features your business is reasonably going to use.

Experiment with how it will work in your environment.

Are other departments within your business wanting to ride on your coattails? Make them justify their own potential uses of the product.

This will help to strip the package back to the realistic points of its usefulness for your company.

Question 2: What type of user is the CRM solution targeted towards?

The ability to gather and analyse data is one of the central benefits of a CRM package, but it won't do your company much good if no-one can access it.

The software has to be available for everyone to use. Per user costs can add up pretty quickly and compromising on who will get to use the CRM may be a false economy that causes unforeseen bottlenecks.

A certain amount of user access may depend on the configuration of the software, so you'll want to understand the levels of permissions to data you're able to control.

Also, because it's dealing with hefty statistics, CRM software does have a tendency to deal with data outputs in a technical way. That may means some pretty intensive user training to make sure everyone is comfortable and confident with using the CRM.

Having to sort through screen after screen of data may be something your sales team is unlikely to do, so why purchase a package that asks them to do it?

CRM software needs to speak to all disciplines within your company to be effective.

Question 3: Do I really need to invest in the Full Monty?

The size and shape of your company when you buy a CRM package is likely to be quite different to its size and shape in the future.

After all, part of the reason you're looking at a CRM solution is to help your business grow; isn't it?

You have the option of buying something with so many features you're not going to use, or turning to something that will grow with your company.

There's a pretty big temptation to invest in something so much bigger than your company can cope with today and hope to grow into it. The rate of technological change in the modern business environment makes this sort of think rather high risk.

Instead, a smarter choice is to single out a CRM that can be expanded when needed; new users added, new modules worked in.

Choosing the most appropriate CRM software is about knowing what your company needs - today and tomorrow.

If you know the shape of your company, the departments that will use the software and where you are headed in the future, you'll be in a better position to make the right decision.