OPINION ARTICLE
Selling a SaaS CRM Solution to your IT Director
Overcoming Objections to SaaS Software from your IT Department
It used to be thought that clouds above were a bad thing – possibly hinting to rain on the way or at least a block of the minimal amount of sun we actually receive on this little isle. But ‘cloud’ has a whole new meaning which has emerged over the last couple of years. That of ‘cloud computing’ which is changing the way we approach many systems including crm business solutions.
In a blog post last year, Dan Elam, VP of IQ Group, a global management consulting firm focussed on eCRM technologies, wrote the following predictions for cloud computing in 2010:
Cloud & SaaS
Not only do organizations want fast ROI, but they want to accelerate deployments and reduce their up-front costs. Cloud computing and ECRM software as a service (SaaS) are already fast-growing segments of the population, but this is going to increase at an even more accelerated rate. Microsoft is spending billions to build data centers that can host applications like SharePoint and their CRM products. A new version of Microsoft Office will run as a cloud model — further paving the way to make more organizations comfortable with data being outside the firewall. Even the federal government is getting behind cloud computing with a significant push. Former federal government CIO Karen Hughes noted that the government is good at buying systems but is weak at maintaining them. That is a sentiment that many commercial firms can empathize with as they move to more applications in the cloud.
Let’s look at six common objections and some reasons to challenge them:
1. Too Expensive
IT Directors often think they can build an in-house solution for a fraction of the cost. But is this realistic? Consider how much time is required to build a robust CRM business solution? One that meets all the requirements for the various departments who will be using it: including customer service, sales, marketing, IT, and sometimes even the executive board. There are a lot of different hands in the pie who all need to view data in different combinations and for different business purposes. To build a database sophisticated enough to meet all of those divergent needs isn’t easy.
Besides the time, there may be specialist skills required to write the software that may not exist currently in your team. Then you might require additional hardware to run the in-house system and make your in-house CRM business software accessible to your staff on a round-the-clock, secure fashion.
Then there is maintenance and updates to plan, schedule and implement. There may also be customisation required to accommodate the needs of certain departments.
When you add up all the costs for development, testing, tweaking, maintaining and updating, not to mention training your staff in use and providing help desk service, it adds up to a significant investment in an in-house solution.
With a SaaS software solution you pay only a monthly licensing fee which covers all of that. When you add up all the costs involved, it starts to look a lot more cost effective.
2. Dependency on SaaS provider
Most SaaS software solutions allow a certain degree of user customisation which means you can adapt the interface to meet your particular needs. And you will have round-the-clock access to support who can assist with any problems and advise on any user interface issues. There is also specialist training available to get your staff up to speed quickly on using the SaaS software.
While some IT Directors might see this as a dependency on the SaaS provider, most users see it as excellent service which allows them to get on with their jobs at hand using the eCRM software to help them achieve their marketing, sales and operational business goals and targets while removing many of the frustrations and headaches of developing new systems.
3. Confidentiality/Security of Data
Cloud computing is proving that hosting data remotely can be even more secure than hosting it on internal databases which can be hacked. Very few companies can match the sophisticated security of your average cloud SaaS providers. With advanced hardware and security systems in place, your data will enjoy unparalleled confidentiality and security while allowing your staff to access the data when they need it, where they need it - with assurances that the data will travel safely through their secure portals.
Any SaaS provider is required to follow the provisions of the Data Protection Act 1998 which covers a number of requirements for the safe and secure storage of personal data. Rest assured that SaaS providers take the confidentiality and security of your data very seriously. It’s their business to do so.
4. Irreversibility of Solution
Nothing is ever irreversible. Contracts have termination dates; nothing is ever written in stone. While SaaS software solutions tend to be very satisfying to end users (marketing, sales) it may not be the right fit for your company. So after trying it out for a period of time, you may decide that it isn’t for you, in which case your contract have clear exit clauses for you to enact. The contract should also spell out how you can exit with a copy of the most recently backed up version of your client data for your future use.
5. Support Services
Many IT Directors question whether the SaaS providers will be able to offer sufficient help desk support, especially in the off chance of there being urgent response required for major issues. SaaS software vendors are in the business of customer service. They only make money when companies sign up to use their services. If their products do not meet and exceed customer expectations, and if there isn’t the service behind the software to ensure worry-free use, then customers are going to vote with their feet and take their business elsewhere. So a SaaS provider who has been in business for some time must be getting these things right or their customers would have moved to a competitor.
But don’t just accept it at face value. Ask questions. Look for testimonials and case studies and ask to speak to current customers in order to reassure yourself that the support you require will be there when you need it. Any reputable SaaS software provider would be happy to provide these assurances.
6. IT System Modifications
Another common fear of IT Directors is that the SaaS software will somehow change or alter their existing IT infrastructure. That’s where the beauty of ‘cloud computing’ comes into play because the SaaS software solution is external to your existing IT infrastructure. You access it through a remote portal so there is no need to install anything on your existing network.
This also means your staff can access the SaaS software from anywhere they might be working: home, client’s office or while working/holidaying abroad.
The IT Director is still firmly in control of their internal network while giving their sales/marketing staff the ability to use their SaaS tool from wherever they may need it. This creates an ideal win-win scenario.
Call Us
If you’d like to talk about how a SaaS eCRM system might be right for you, we’d be happy to walk you through the Cabestan platform.
The Clouds above
It used to be thought that clouds above were a bad thing – possibly hinting to rain on the way or at least a block of the minimal amount of sun we actually receive on this little isle. But ‘cloud’ has a whole new meaning which has emerged over the last couple of years. That of ‘cloud computing’ which is changing the way we approach many systems including crm business solutions.
In a blog post last year, Dan Elam, VP of IQ Group, a global management consulting firm focussed on eCRM technologies, wrote the following predictions for cloud computing in 2010:
Cloud & SaaS
Not only do organizations want fast ROI, but they want to accelerate deployments and reduce their up-front costs. Cloud computing and ECRM software as a service (SaaS) are already fast-growing segments of the population, but this is going to increase at an even more accelerated rate. Microsoft is spending billions to build data centers that can host applications like SharePoint and their CRM products. A new version of Microsoft Office will run as a cloud model — further paving the way to make more organizations comfortable with data being outside the firewall. Even the federal government is getting behind cloud computing with a significant push. Former federal government CIO Karen Hughes noted that the government is good at buying systems but is weak at maintaining them. That is a sentiment that many commercial firms can empathize with as they move to more applications in the cloud.
Overcoming Objections
As a SaaS provider we encounter objections from IT Directors and CIOs to implementing a SaaS crm solution. But SaaS software can be one of the best ways for a company to hit the ground running with implementing a crm business tool to drive their integrated marketing solutions.Let’s look at six common objections and some reasons to challenge them:
1. Too Expensive
IT Directors often think they can build an in-house solution for a fraction of the cost. But is this realistic? Consider how much time is required to build a robust CRM business solution? One that meets all the requirements for the various departments who will be using it: including customer service, sales, marketing, IT, and sometimes even the executive board. There are a lot of different hands in the pie who all need to view data in different combinations and for different business purposes. To build a database sophisticated enough to meet all of those divergent needs isn’t easy.
Besides the time, there may be specialist skills required to write the software that may not exist currently in your team. Then you might require additional hardware to run the in-house system and make your in-house CRM business software accessible to your staff on a round-the-clock, secure fashion.
Then there is maintenance and updates to plan, schedule and implement. There may also be customisation required to accommodate the needs of certain departments.
When you add up all the costs for development, testing, tweaking, maintaining and updating, not to mention training your staff in use and providing help desk service, it adds up to a significant investment in an in-house solution.With a SaaS software solution you pay only a monthly licensing fee which covers all of that. When you add up all the costs involved, it starts to look a lot more cost effective.
2. Dependency on SaaS provider
Most SaaS software solutions allow a certain degree of user customisation which means you can adapt the interface to meet your particular needs. And you will have round-the-clock access to support who can assist with any problems and advise on any user interface issues. There is also specialist training available to get your staff up to speed quickly on using the SaaS software.
While some IT Directors might see this as a dependency on the SaaS provider, most users see it as excellent service which allows them to get on with their jobs at hand using the eCRM software to help them achieve their marketing, sales and operational business goals and targets while removing many of the frustrations and headaches of developing new systems. 3. Confidentiality/Security of Data
Cloud computing is proving that hosting data remotely can be even more secure than hosting it on internal databases which can be hacked. Very few companies can match the sophisticated security of your average cloud SaaS providers. With advanced hardware and security systems in place, your data will enjoy unparalleled confidentiality and security while allowing your staff to access the data when they need it, where they need it - with assurances that the data will travel safely through their secure portals.
Any SaaS provider is required to follow the provisions of the Data Protection Act 1998 which covers a number of requirements for the safe and secure storage of personal data. Rest assured that SaaS providers take the confidentiality and security of your data very seriously. It’s their business to do so. 4. Irreversibility of Solution
Nothing is ever irreversible. Contracts have termination dates; nothing is ever written in stone. While SaaS software solutions tend to be very satisfying to end users (marketing, sales) it may not be the right fit for your company. So after trying it out for a period of time, you may decide that it isn’t for you, in which case your contract have clear exit clauses for you to enact. The contract should also spell out how you can exit with a copy of the most recently backed up version of your client data for your future use. 5. Support Services
Many IT Directors question whether the SaaS providers will be able to offer sufficient help desk support, especially in the off chance of there being urgent response required for major issues. SaaS software vendors are in the business of customer service. They only make money when companies sign up to use their services. If their products do not meet and exceed customer expectations, and if there isn’t the service behind the software to ensure worry-free use, then customers are going to vote with their feet and take their business elsewhere. So a SaaS provider who has been in business for some time must be getting these things right or their customers would have moved to a competitor.
But don’t just accept it at face value. Ask questions. Look for testimonials and case studies and ask to speak to current customers in order to reassure yourself that the support you require will be there when you need it. Any reputable SaaS software provider would be happy to provide these assurances. 6. IT System Modifications
Another common fear of IT Directors is that the SaaS software will somehow change or alter their existing IT infrastructure. That’s where the beauty of ‘cloud computing’ comes into play because the SaaS software solution is external to your existing IT infrastructure. You access it through a remote portal so there is no need to install anything on your existing network.
This also means your staff can access the SaaS software from anywhere they might be working: home, client’s office or while working/holidaying abroad.
The IT Director is still firmly in control of their internal network while giving their sales/marketing staff the ability to use their SaaS tool from wherever they may need it. This creates an ideal win-win scenario. Call Us
If you’d like to talk about how a SaaS eCRM system might be right for you, we’d be happy to walk you through the Cabestan platform.
- April 27- White Paper : Loyalty programmes > Read more
- April 22 - Opinion Article : Selling a SaaS CRM Solution to your IT Director > Read article
- April 13 - Exhibition: E-Commerce Manchester > Read more
- March 22- White Paper: Converting new prospects - Using the best scenario that triggers the best return > Read more
- March 2 - Opinion Article : 10 reasons why SaaS software is an unbeatable solution for eCRM > Read more
- January 25 & 26 - Exhibition : Cabestan will be present and will speak at Forum E-marketing 2011 in Paris - Stand K 115 > More information
- January 15 -White Paper : 360° Management of Customer Data > Read the White Paper








