Study: CRM Applications Yield High Returns

Share this content:
Successful implementations of customer relationship management applications have yielded returns ranging from 16 percent to more than 1,000 percent, according to an ROI study from IDC, Framingham, MA.


IDC also found that technology-related savings account for only 7 percent of the average return, while benefits from increased productivity and business process enhancements account for 51 percent and 42 percent, respectively, of the return.


Other findings include:


· 19 percent of companies in the study generated an ROI of 50 percent or less, 52 percent generated an ROI of 51 percent to 500 percent, and 30 percent reported returns of 501 percent or more.


· 58 percent experienced payback in one year or less, 35 percent experienced payback in one to three years, and 8 percent experienced payback in three years or more.


· Median initial investment in a CRM application is about $426,000, which includes all costs incurred before the CRM implementation enters production at a site. Median total cost over the first five years is estimated at $1.2 million.


IDC conducted more than 30 in-person interviews with organizations in North America and Europe that implemented CRM applications.


close

Next Article in Data/Analytics

Sign up to our newsletters

Company of the Week

USAData helps businesses find new customers and grow their current customers through a combination of data and digital marketing services, and easy-to-use SaaS technology products. We enrich customer data so businesses can more effectively target and communicate with customers, and connect them with their best look-alike prospects through digital and traditional channels. We make it easy through simple, self-serve applications and APIs, as well as through full-service programs managed by our Data and Digital experts. 

Find out more here »

Career Center

Check out hundreds of exciting professional opportunities available on DMN's Career Center.  
Explore careers in digital marketing, sales, eCommerce, marketing communications, IT, data strategies, and much more. And don't forget to update your resume so employers can contact you privately about job opportunities.

>>Click Here

Relive the 2017 Marketing Hall of Femme

Click the image above