CRM PSP losing steam

In a recent report prepared by Forrester Research Inc., a Cambridge, Mass. Firm, 40% of the companies surveyed said they wouldn’t recommend their CRM professional service provider (PSP) to others.

Forrester analyst and author of the report, William Band said that, "One of the things that struck me is that software vendors have been beat up in this sector for a while.." He also added, "But the consultants they use and depend on heavily, don’t come out as well as I thought they might."

Band explained that the irony of it all is that customer dissatisfaction with PSPs arises out of their relationship with clients. In a survey of 119 CRM buyers, about half of that number felt that their PSP was difficult to conduct business with and seemed to be more concerned with sticking to a rigid budget. The up side is that when asked whether or not the customers understood the technical aspects of the software, the feedback was positive.