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5 Reasons Companies Migrate to a New CRM System

Migrate to New CRMOver the years, your organization has invested a lot of time and money into its CRM system or contact manager.  The internal and external costs of implementation, customization, user support and upgrades have been significant.  However, the technology has not kept up with your business needs and the pain is starting to set in.

There’s often natural hesitation over moving to a new CRM, since so much has been invested in the existing system.  All this investment will turn into a sunk cost. If your company migrates to a new CRM from an existing CRM system or contact manager, will it be throwing the baby out with the bathwater? According to many companies that make the switch, the answer is “no”.

Many companies have found that, for a number of reasons, the benefits to migrating to a new CRM outweigh the costs of making the move. Here are five of the reasons that staying with a legacy system can be more costly.

1. Lack of Configurability and Scalability
Many companies hit a wall when they try to make their legacy contact manager evolve with their business needs. They find that either the database structure or the hooks to newer technologies simply don’t exist.  This mean either developing workarounds or forgoing functionality altogether.

2. Declining User Adoption Rates
Over the course of time, users can become disenchanted with a legacy CRM system.  If a salesperson has rejected an application altogether, it’s very difficult to win that person back.

3. Increasing Costs of Supporting the Application & Users
The costs of supporting a legacy contact manager or CRM can increase over time. Sometime, costs can even skyrocket if, for example, a long time administrator leaves the company. A lot of valuable knowledge around areas such as user setup, training, list imports, reporting and more can leave with that one individual.

4. Limited Access Methods
If a legacy CRM or contact management application only runs on specific versions of Windows, users who migrate to a new version of Windows or to a non-Windows platform, such as a MacBook, an iPad or a Chromebook, may be effectively shut off from the application.

5. Lack of Cloud Integrations
If a company adopts any contemporary, cloud-based productivity applications for sales or marketing, such HubSpot, Zendesk, Marketo or ExactTarget, the legacy application may have no way of integrating with new apps such as these.

Keeping the Baby
If the baby represents your defined business processes, you can drain the tub of that old, dirty bathwater, refill the tub and have a much happier baby.

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