Developer: CRM vendors missing the point

A local developer has cited reports that have found more than 50 per cent of customer relationship management (CRM) installations were considered "failures" by customers.

Chris McFadden, the local managing director for newly Microsoft-partnered CRM developer GoldMine, was quoting American CRM guru Bob Thompson. McFadden added that CRM software vendors in Australia have "missed the point".

McFadden attributed the low success rate of CRM installation to many large international vendors' poor understanding of the SME infrastructure needs in Australia. He explained that many well regarded international CRM vendors confused the meanings of terms such as "small to medium enterprise" when servicing clients from both the US and Australia, because the terms carried vastly different meanings.

As a result, US developers claiming to cater to the CRM requirements of SMEs need to downscale their infrastructure and software products dramatically in order to properly fit the needs of Australian SMEs, he said. The Australian SME market, as defined by GoldMine, comprises businesses of "between two and 200 seats".

McFadden said GoldMine's worldwide target market was businesses of this size. He added that this target market, although defined by the company's US headquarters to cater for a relatively small cross-section of the US enterprise market, accounted for 98 per cent of all Australian businesses.

GoldMine provides CRM and IRM (infrastructure resource management) software products to 1250 client organisations in the Asia-Pacific region. The company's IRM products enable clients to fully benefit from assets such as technology products, McFadden said.

GoldMine, which today announced it had partnered with Microsoft, has 27 staff in its Sydney, Melbourne and Brisbane offices, as well as 60 local reseller partners.