CRM is demonstrating benefits, says Aberdeen

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By: Wise Marketer Staff |

Posted on April 29, 2003

The majority of companies using Siebel System's customer relationship management (CRM) applications agree that the technology has yielded demonstrable benefits and produced notable investment returns, according to a survey by Aberdeen Group.

To determine the benefits and returns experienced by a large number of CRM system users, Aberdeen surveyed 325 of Siebel Systems' clients. As well as providing a sample size big enough to be statistically valid, Siebel's customers were able to provide a longer-term view on CRM's overall value, as many were among the technology's earlier adopters.

The survey found that more than 95% of respondents indicated that they are satisfied with their CRM investment and will continue to use Siebel solutions, and that 73% expect to add to or upgrade their CRM system within the next 12 months.

Key findings
The survey shows that, although most are not measuring their return on investment (ROI) in a formal way, the differences between clients that formally measure ROI and those that estimate it are not statistically significant.

The majority were able to cite specific benefits of CRM, including productivity improvements in specific areas. Respondents reported that, on average, sales productivity increased by 17%, service and contact centre productivity increased by 16%, and marketing productivity increased by 12%.

Additionally, operating costs were shown to have declined by 10.4% for more than 87% of the customers surveyed.

Denis Pombriant, vice president of CRM for Aberdeen Group, said: "Most of Siebel's clients believe that their CRM technology is helping them to compete more effectively, and to generate larger revenues and profits, as well as helping them to cut their overhead in ways that were difficult to accomplish before the introduction of those systems."

A free white paper, entitled Does CRM Work? Compelling Evidence from the Siebel Customer Base, summarises Aberdeen's research and presents its key findings in more detail, and has been made available through Aberdeen's online CRM community at

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