Archives For Gartner

As a precursor to their annual Salesforce Automation (SFA) Magic Quadrant, several Gartner analysts ran a survey polling key decision makers at enterprises around the world about what they look for in an ideal SFA/CRM system. The results were published on Gartner’s site (note: subscription required) this week, and the results are not surprising.

Well, not surprising to us over here at SugarCRM. That is because the key areas that IT decision makers saw as important focus areas are the exact areas where we have built out the Sugar product and platform the most over the past few years.

So, according to the survey, what is most valued by IT leaders?

  • Intuitive Mobile Solutions
  • Mastery of Core Functionality
  • Ease of Integration

On the topic of mobility – I think we as an industry are finally coming to understand that mobile CRM does not mean “shrinking a CRM system down to a phone screen UI.” Rather, we are building more device and purpose-driven applications of CRM – and it is great that IT Decision makers also get this, meaning they are looking to optimize the real-life mobile usage scenarios customer-facing employees require every day. I am excited about the direction our mobile team is going, and we will have lots of cool announcements as 2016 unfolds.

When it comes to “core functionality” – we at SugarCRM have seen more and more companies select Sugar not by our “latest and greatest” or “edge functionality” but rather by Sugar providing absolutely mature and intuitive core SFA features on top of the most solid, extensible and scalable platform. In today’s world, IT leaders know they can develop and build features on a platform, but a solid and well-designed user experience must be there in order to start off on the right foot.

While Integration has certainly come a long way in the age of the cloud, we often forget than many of the large enterprises out there are still stifled by legacy applications. These products have older, proprietary back ends – making integration challenging. Sugar offers a wider range of integration options making it easier to integrate legacy enterprise applications with Sugar than with other CRM systems out there. And as integration becomes easier and easier, we are seeing even more innovative combinations of enterprise and Web data merged with Sugar data to create more highly informed users.

Again, these survey results are not surprising when you consider where we are at in terms of CRM trends. Large enterprises are moving away from legacy systems and the large giant incumbent software vendors, and midsize companies are entering the “strategic” phase of their CRM journeys. It all combines for what we see as an exciting era in CRM history, one that bodes very well for SugarCRM and our vision for the market.

I just read a recent blog post on Cloud CRM deployments by Gartner’s Michael Maoz and I think he hits on a very important point – while also missing a very important point.

Michael is absolutely correct that many of what he calls enterprise “cloud CRM” deploymeappsorangsnts have failed to handle the kind of complexity that even the Siebel Systems-era, on-premise deployments managed. However, I think he is not using the right terminology here. When he says “cloud CRM” in terms of these limited scope deployments – I believe a better term is “SaaS CRM.”

To be clear, when I talk about “SaaS CRM,” I mean a CRM tool or set of apps delivered ONLY via the Internet. And, that app is being hosted ONLY by the vendor that develops that software. Now, “cloud CRM” means a set of CRM tools or a platform that can be run in multiple cloud permutations: hosted and managed by the user on a public cloud like Amazon, hosted by a reseller or VAR partner, managed by the user on a private cloud stack, etc. In short, “cloud CRM” has a far more flexible definition – and provides the user far greater levels of ownership and power of choice.

A truly cloud-based deployment can, and does, offer the kind of flexibility and ownership of code and runtime that allows for the management of complex problems a la Siebel circa 2000. However, limited multi-tenant SaaS products (and even some SaaS platforms) must, by nature, limit individual deployments to insure performance and availability for the masses.

Every day, we see more companies with complex, cross departmental process-oriented approaches to CRM look at us because we offer that level of ownership, flexibility, scale, etc. – while also being “in the cloud.” When you look at large organizations like IBM, or even mid-market companies like Sennheiser – they are not simply using Sugar for case or opportunity management, they are looking to transform their business, their approach to IT and and their application development. We are helping companies take on agile, and devOps IT models. This is a concept that is limited with the SaaS model where the vendor absolutely owns the delivery of software.

Michael asked people to prove him wrong, but I think it is less about being wrong in his assumptions, and instead more accurate in his description of the types of CRM deployments and the level of complexity each deployment offers.

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Welcome to our roundup of customer relationship management (CRM) industry news from across the web. This week’s roundup will dive into the different ways you can leverage CRM from a marketing perspective. We’re hunting the ‘net for the latest and greatest, and bringing them to you here, in one convenient weekly post.

CRM can be an indispensable tool for marketers that wraps together many solutions, including prospect and customer targeting, multi-channel and multi-touch campaigns, as well as lead tracking and management. Here are some statistics on marketing functions that can be executed through a CRM system:

Companies that automate lead management see a 10% or greater increase in revenue in 6-9 months. (Source: Gartner Research)

89% of marketers said email was their primary channel for lead generation. (Source: Forrester Research)

Relevant emails drive 18 times more revenue than broadcast emails. (Source: Jupiter Research)

And here’s our latest collection of articles on how marketers can leverage CRM and improve their marketing campaigns across the board.

Empowering the Individual CRM User with Intelligent Data
Dun & Bradstreet (D&B) and SugarCRM have teamed up to announce their latest service offering with integrated business data. With D&B for Sugar, you will be able to better profile your prospects before you contact them as well as see growth potential inside new and existing customers. Segmentation and targeting just got a lot easier for your integrated marketing campaigns.
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The State of Marketing Automation Trends 2014 [Infographic]
“More and more companies understand that to remain competitive, marketing automation is necessary.” – Dayna Rothman

What do people search for when surveying the technology landscape for marketing automation vendors? The people over at Marketo and Software Advice have put together an infographic titled The State of Marketing Automation Trends 2014 that highlights what drives organizations to purchase these systems.
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How to Integrate Email Campaigns With the Rest of Your Marketing
This article emphasizes that email as a singular marketing tool will never be as effective as an integrated email campaign. Tying in social media, blogging efforts, mobile, and analytical data into your marketing campaigns can help effectively boost your reach while increasing your click-through and conversion rates.
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What are you waiting for? Work smarter not harder. I hope you enjoyed this week’s roundup with its focus on CRM with a marketing lens. Got ideas for other great articles we should include in future CRM Roundup posts? Let us know in the comments below!

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Welcome to our weekly roundup of customer relationship management (CRM) industry news from across the web. This week, in honor of Valentine’s Day, we’ve brought together articles that get to the “heart” of CRM in one convenient post.

Gartner Says CRM Will Be at the Heart of Digital Initiatives for Years to Come
Analysts at Gartner summarize how organizations are leveraging CRM technologies as a major part of their digital initiatives to enhance the customer experience. They delve into what they believe are the main drivers behind the hot topics of CRM including the Internet of Things, where sensors connecting things to the Internet create new services previously not thought of.
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Looking for Customer Love in All the Right Places
Christopher J. Bucholtz iterates the importance of service in its correlation to customer loyalty. Bucholtz believes, “even with CRM providing the so-called 360-degree view of the customer, businesses continue to operate with significant blind spots.” He offers five broad categories to consider when developing metrics around your customer-facing operations.
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Avoiding a Brand Breakup This Valentine’s Day
“73% of consumers want to have a long-term relationship with brands that reward them for being a loyal customer.” according to Responsys, a marketing cloud and services provider that commissioned a nationwide survey of more than 2,000 U.S. adults, to take a look at how brand-customer relationships are built, and why they “break up.”
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Got ideas for other great articles we should include in future CRM Roundup posts? Let us know in the comments below!

maglassWhen talking about the CRM market, a lot of numbers are thrown around. Analyst firms like Gartner and IDC do amazing jobs of calculating the annual spend in the market, which will be more than $30bn in a few years. There are lots of huge companies selling CRM software (usually among other technology pieces), and the space gets a lot of news coverage.

But while these numbers and the continual buzz in CRM seems impressive…is it really?

SugarCRM co-founder and CTO Clint Oram and I have had an ongoing dialog for nearly a year now, about how the CRM industry has – in a lot of ways – utterly failed to live up to its potential over the past two decades.

“Failed?” You ask?

Yes, a big #Fail.

What we have been talking about internally is that the CRM industry now serves roughly 20-25m end users (you can take a composite of all research and it usually ends up around this number give or take a few million users). Now, while this seems like a big number, let’s look at some other “relationship management” tools out there and their user counts:

LinkedIn (professional relationship management): 200m+ Users

Facebook (personal relationship management): 1bn+ Users.

When we stack CRM up against similar (yet admittedly consumer oriented) concepts, CRM falls down in comparison in terms of seeding its total addressable market. Clint calls this, “The Case of the Missing Zero.” And I agree, why aren’t we asking the bigger questions about CRM, namely: Why is this a 20m user market and not a 200m market today?

I think the answer lies both in looking at the success of companies like Facebook and LinkedIn, and also in the history of business technology. In short, CRM originated in a time before such life-changing trends as: the internet, social media, cloud, mobile…pick your buzzword. Early CRM was expensive, difficult to deploy, and benefitted management and not the actual front-line users of CRM – those who deal with prospects and customers. And a lot of expensive, traditional CRM deployments are now in place, lack the modernity expected by today’s workforce, which only exacerbates the issue. And, what’s more, nearly every traditional CRM providers’ offerings were built in this pre-web/social/mobile/cloud era and are thus ill equipped to meet the needs of the individual user.

But…there is hope. If we as an industry start focusing more on the actual users of CRM, and build tools that help them do their jobs, not simply capture data, we can bridge this huge adoption gap.These tools should be simple to use, mobile friendly, and not only make sense of the mounds of structured and unstructured data about every customer – but provide fast and valuable insight around this data to every user at every turn.

And by creating pricing that actually works with companies to put the software in more users’ hands – we can start seeing the true promise of CRM. This isn’t about selling more software (well, in some ways it is), but rather empowering more people in the organization who touch the customer. It’s not about having to make hard decisions about who does and who does not get to use the tools designed to improve the lifeblood of your business – your customers – it’s about giving everyone access to the information they need to provide better service, make more informed decisions, and simply promote better customer relationships.

We are making headway in this area, and made some significant announcements this morning to that effect. While it is early in what I feel is a transformative time in CRM, I am excited. By bringing innovation back into this industry in a big way, empowering more individuals in every company we serve, and simply helping make great customer experiences happen, I hope to see this industry find that missing zero (yes, everyone not just SugarCRM) and show what a difference great CRM can really make.

Larry Augustin

SugarCRM has been named a Visionary in the 2013 Magic Quadrant for Sales Force Automation published by Gartner(1). SugarCRM was recognized as a visionary software provider based on Gartner’s criteria, which notes that visionary companies “anticipate emerging/changing sales needs, and move the market ahead into areas where it hasn’t yet been.” (2).

We’re disrupting the CRM market, and we’re honored that Gartner has recognized us for our view of how CRM needs to change.

Sugar builds CRM that helps the customer-facing professional do their job better.  We turn our users into customer experts.  We focus on the real constituents of CRM: the individual customer and the individual user.  We help users do their job when engaging with customers.  We help the seller sell.

Historically, CRM has focused on the needs of management.  What did our sales people do today? How many meetings have they had?  How many calls did they make?  What is their forecast?  While answering those questions is important to management, those questions don’t help the seller do their job.

Our focus is on helping the seller sell, rather than enter data and forecast updates after the deal has happened. Sugar strips away the irrelevant data entry layers and user controls that impede sales productivity and ultimately CRM adoption.

Because we remain laser focused on delivering innovative solutions for the individual user first and what they need to do their job, we not only raise the bar on sales productivity, we also deliver real value to our customers. Sugar offers a price point that allows for the broad-based CRM adoption businesses require, to enable every customer facing professional to successfully engage their customers.

SugarCRM is disrupting the industry, delivering innovation while driving value for our customers.  It’s core to who we are. SugarCRM was one of the first commercial open source applications in the space – empowering organizations to deploy CRM broadly across the customer facing organization at great value and with more control over their CRM initiative. And, Sugar was one of the first CRM products to be available across multiple cloud environments – giving users the ultimate level of choice in deployment. Today, we are developing some of the most innovative, user-focused CRM products available across devices.

Not using Sugar and want visionary CRM for your business? Try SugarCRM for yourself for free.

SugarCRM’s third quarter was yet another strong one. The company added 650 new customer companies and continued to grow its momentum in the enterprise market. Annual recurring revenue growth sustained its pace, coming in at more than 45 percent year-over-year, and SugarCRM notched its 12th consecutive quarter of year-over-year billings growth, with a 23 percent increase in the third quarter of 2012.

“As global demand increases for enterprise-wide CRM systems that equip all customer-facing professionals with the insight they need to drive deeper, more relevant customer engagement, SugarCRM is well positioned to carry on its global expansion,” said Larry Augustin, CEO of SugarCRM.

The company’s list of highlights for the quarter is a long one: