Johannesburg, 08 Feb 2008
The recent Gartner report that worldwide customer relationship management (CRM) software revenue is up 14% from last year's figures is something that doesn't surprise Keith Fenner, strategic sales director: Softline ACCPAC. Especially as it's a scenario that's being exceeded by our local industry.
"We've seen a huge uptake in the South African market for CRM solutions. There's definitely a drive towards service excellence and recognition of the role of CRM in contributing to this."
Fenner says a greater awareness of CRM solutions, and a better understanding of what they do and the value they add to business is driving investment in this space.
Pricing is also playing a role in making solutions accessible: "Pricing of CRM solutions have now reached the point where it's a viable option for entry-level users. This means SMEs are starting to invest in CRM solutions and become significant players in an area that used to be reserved for larger businesses."
He adds that as South Africa starts to market itself as a global competitor, companies are realising the need for centralised databases. "For us to compete both in Africa and the rest of the world, our service levels have to be on a par with those expected internationally. This has made CRM solutions that much more important to all types of companies."
While Gartner reported that the strong CRM performance noted internationally had been partly fuelled as a result of the explosive growth of software as a service (SaaS) solutions, Fenner says this is not the case in South Africa.
"While the SaaS application market is mature and catered for by players like Softline ACCPAC, we currently don't have the necessary telecommunications infrastructure to support it. As soon as this becomes more reliable, I'm sure we'll see a definite upswing in this market as the benefits are significant."
Fenner describes South Africa's CRM landscape as one that generally reflects that of international trends. However, unsurprisingly, he notes 2010 as a unique local factor that will keep driving South African demand for CRM solutions way beyond the Soccer World Cup itself. "The current focus on infrastructure development and provision will definitely make things like SaaS solutions viable in the next couple of years. The added interest in and attention on South Africa and the business opportunities available in the country will also continue to fuel the need for impeccable service."
With so many demand-drivers for CRM then, the future looks bright for established players in the CRM market like Softline ACCPAC. It would also seem the opportune time for companies - no matter their size - to "jump on the CRM bandwagon" if they aren't already on it.
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