| Like all other things, CRM systems also have few | | | | Security becomes company's responsibility, which |
| shortcomings that they need to overcome. The | | | | can cause a few headaches - especially as is the |
| technology is still new and has lots of areas of | | | | case with many applications, security patches are |
| improvement. | | | | rolled out and one needs to install them very |
| Following are the major disadvantages that stops | | | | quickly. |
| CRM systems from becoming a perfect solution | | | | As the business grows, needs from a CRM |
| for any business: | | | | package also changes and adding these extra |
| Customer Dissatisfaction | | | | features can be quite expensive. |
| Although several businesses have implemented | | | | Improper Vision For Tomorrow's Needs |
| CRM systems to focus on customers, several | | | | Bottom line is that salespeople are only interested |
| clients are still dissatisfied with its execution. | | | | in things that help them sell more now. |
| They term CRM as "technology that delays" or | | | | A sales representative's only resource is time; |
| "stops service". For instance, lots of them find | | | | their most important goal is meeting quota or |
| automated voice systems (or Interactive Voice | | | | budget for this month, quarter, or year. |
| Response) as a big headache and look for | | | | Yes, they are concerned about the long run, but if |
| companies which have eased its use. | | | | they don't make quota now, they know that they |
| As per a recent study conducted by Accenture, | | | | probably won't be around to worry about the |
| receiving poor customer service remains the | | | | long-term. |
| number one reason why consumers abandon one | | | | It's not completely fair to say that CRM doesn't |
| service provider and move on to another, be it a | | | | benefit a salesperson in meeting short-range goals |
| mobile service supplier or a credit card provider. | | | | because in some respects it does, but most sales |
| Other factors weighing heavily in consumer | | | | representatives feel that they can be just about |
| defections include lack of customised products | | | | as effective in selling in the short term without it. |
| and senseless corporate bureaucracies. | | | | In other words, the benefits of CRM don't seem |
| Authenticity of Remotely Hosted CRM Services | | | | significantly greater than the investment of time |
| Lots of businesses these days tend to contract | | | | and effort required to use the system each day. |
| out CRM. At times, cost becomes the driving | | | | Training Sales Staff |
| factor in outsourcing CRM systems and not the | | | | As the CRM is still evolving, businesses are |
| vendor reputation. In such scenarios, it's possible | | | | required to devote enough time and revenue in |
| that the CRM service provider can disappear | | | | training sales personnel. The workforce should be |
| overnight, along with all official records. It is also | | | | able to judge how to use the stored data in best |
| possible that information kept with the service | | | | possible manner. |
| provider might get used for other purposes. | | | | If they don't use it (or the information they do |
| A good CRM service always allows the company | | | | put in is out of date, inaccurate, or spotty) then |
| to back up/export data so that the outsourcing | | | | they can be of little value to the company who |
| company has a control over the information. Also, | | | | "rolls up" all this "junk data". Inept call center |
| in some cases corporate and government laws | | | | employees can further worsen the situation. |
| stops the businesses from keeping all client | | | | Essentially, companies that don't provide service |
| information (such as Social Security Number, | | | | representatives with sufficient training or |
| Home Number, etc.) at an external location. | | | | information, or forms that make people fight their |
| Cost and Complexity Involved In Setting Up | | | | way through repetitive, fruitless support systems |
| Locally Hosted CRM Software | | | | are going to lose more customers. That's no big |
| Frequent technical expertise required for setups | | | | surprise. |
| and upgrades of CRM systems, makes the | | | | In a nutshell, bad CRM is sometimes worse than |
| businesses pay for ongoing support of the | | | | no CRM at all. |
| application. | | | | |