CRM Returns $5.60 for Every Dollar Invested, Nucleus Research Finds

Even second-, third-, and fourth-generation investments in CRM yields significant returns

BOSTON – November 28, 2011 – Customer Relationship Management (CRM) applications continue to deliver high return on investment (ROI), with an average benefit of $5.60 returned for every dollar spent, according to a Nucleus Research analysis.

Where other software areas show smaller incremental returns after reaping the greatest benefits in initial deployments, CRM was found to deliver significant ROI throughout its lifecycle, often enhanced by further investment. Organizations effectively deploying secondary applications, such mobile, social, marketing optimization and sales analytics can see triple-digit ROI while greatly increasing employee productivity. By deploying applications that run on top of existing CRM, companies have also seen an improvement in business forecasting and an increase in sales.

“With a return of $5.60 for every dollar spent, investing in CRM is a no-brainer. Further, that investment has significant staying power. As vendors add social, marketing, analytics, and mobile access capabilities to their offerings, organizations have an opportunity to gain even more returns from CRM” said Rebecca Wettemann, vice president of research, Nucleus Research.

With reductions in the cost of deployment via the cloud, a focus on end user productivity, and a push towards social and mobile applications, there have been fundamental shifts in the goals of the CRM market that contribute to maintaining a high ROI. This has driven vendors to produce more rapid deployments that are developed through continued innovation in this space.
The full research note is available at NucleusResearch.com

About Nucleus Research

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