Nucleus Evaluates the Real ROI from Siebel Reference Customers

September 23, 2002

61% Of Siebel Reference Customers Report Negative ROI On Software Deployments

Nucleus Research study also finds Siebel installations cost $18,000/user per year; Reference customers cite exorbitant license, consulting and maintenance costs as key ROI inhibitors

More than 61 percent of Siebel Systems’ reference customers report a negative return-on-investment (ROI) on their Siebel implementations after more than two years of use, according to a report issued today by Nucleus Research (NucleusResearch.com). The independent research found Siebel customers listed as references on the company’s Web site experienced business results that directly contradict marketing claims from the software giant that its customers receive positive ROI in fewer than 10 months. Saddled with a per user, per year cost of more than $18,000 (not including training and hardware), longer-than-expected implementation cycle and challenging Siebel/customer relationship issues, Nucleus Research’s study found Siebel’s e-business solutions are an expensive proposition-even for the company’s marquee customers.