Using a non self-hosted CRM system, also known as a cloud-based CRM system, has become a popular choice for many businesses due to its accessibility and convenience. With a cloud-based CRM, all data is stored on a remote server and can be accessed from any device with an internet connection. This means that employees can access and update customer information from anywhere, at any time.
However, using a non self-hosted CRM system also comes with its own set of risks and drawbacks. One of the main dangers of using a non self-hosted CRM is the lack of control over data security. When you use a cloud-based CRM, you are entrusting the security of your customer data to the provider. While most cloud-based CRM providers claim to have strong security measures in place, there is always the risk of data breaches or unauthorized access to your data.
In contrast, a proprietary CRM system is one that is owned and controlled by your business. With a proprietary CRM, you have full control over the security of your customer data and can implement your own security measures to protect it. This gives businesses more peace of mind, knowing that they have complete control over their data and can ensure its security.
Another danger of using a non self-hosted CRM system is the potential for vendor lock-in. When you use a cloud-based CRM, you are essentially renting the service from the provider. This means that you are at the mercy of the provider when it comes to pricing, features, and updates. If the provider decides to increase their prices or remove a feature that you rely on, you may be forced to pay more or switch to a different provider, which can be time-consuming and costly.
On the other hand, a proprietary CRM system gives you full control over the system and its features. You can customize the system to meet your specific needs and can make updates and changes as needed. You are not reliant on a third party to make changes or updates, which gives you more flexibility and control.
Another danger of using a non self-hosted CRM system is the risk of data loss. While most cloud-based CRM providers have backup systems in place to prevent data loss, there is always the risk of data being lost due to server crashes, natural disasters, or other unforeseen events. If this happens, you may lose access to important customer data, which can be detrimental to your business.
In contrast, with a proprietary CRM system, you have the ability to create your own backup and disaster recovery plans. This gives you the peace of mind knowing that you have a plan in place to protect your data in the event of a disaster.
Overall, while using a non self-hosted CRM system has its own set of benefits, it also comes with a number of dangers and risks. These include the lack of control over data security, the risk of vendor lock-in, and the potential for data loss. A proprietary CRM system offers more control, flexibility, and security, making it a safer option for businesses that value the protection of their customer data.
