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SaaS based CRM systems contribution on SME’s growth

Written by C. Foglin, N. Holmander

Paper category

Bachelor Thesis


Business Administration>Marketing & Sales




Thesis: it is important to recognize SMEs (small and medium enterprises) rather than treat them as small and large companies. In addition, he also stated that the only difference between SMEs and large companies is not only in size, but also in the number of companies within the two groups. In a city, you can see that the vast majority are small and medium-sized companies, and usually only a few can be regarded as large enterprises. A notable result is that most marketers work in small and medium-sized enterprises, while the proportion of high-profile marketing jobs in large companies is much smaller. Lack of financial strength is very common among SMEs, although there are some exceptions (ibid.). Therefore, the actual marketing work will be affected by insufficient funds. Lack of expertise may also be seen as another reason for not spending money, because if they are used for ineffective or unwise purposes, the company may end up wasting it all. Lack of money also means that the marketing carried out may also have little impact on the market. Therefore, this means that companies must highlight their differentiation and characteristics to the market (ibid.). Baker (2003) said that the marketing of small and medium-sized enterprises is not necessarily different from that of large companies, but simply asks questions about the nature of marketing in SMEs, and people just imply that there are differences. When it comes to marketing plans, Baker (2003) said that most of the literature considers this to be a very important tool when used; this is because it follows a logical process of action and implementation through the evaluation, evaluation, and analysis phases. However, Baker (2003) believes that due to the lack of market dominance and organizational scale, it is difficult for SMEs to follow the textbook framework. It is difficult for a formal marketing plan to be as responsive and flexible as an SME in order to keep up with the turning point of the market. When it comes to conducting textbook market research, SMEs must face many restrictions, which can be very difficult. In many cases, low levels of expertise, short schedules, and insufficient funding force owners or managers to make adjustments and switch to more natural and casual market research methods. This can be seen as collecting information in different ways instead of Research the market (ibid.). There are many theories, tools, and techniques that are not applicable to SMEs. Therefore, the limitations of the organization, the characteristics of the entrepreneur or owner, and the way in which decisions are made determine the nature of marketing within the organization (ibid.). 2.2 Definition of SAAS SaaS can be used in almost unlimited fields. According to Blokdijk (2008), due to the flexibility of SaaS that can be changed and modified to meet the needs of users, its definition will continue to evolve. However, leading companies in the industry have formulated four cornerstones to define what SaaS means at the basic level (ibid.). For a service that is truly called SaaS, it should be tough. Not only should everyone from individuals to large organizations be able to use the same custom programs, but also should be able to connect to third-party programs that cooperate with the original SaaS (ibid.). ). The next cornerstone is that SaaS should have a feedback mechanism so that customers and software can deliver feedback immediately when the program is used (ibid.). This is why SaaS is so flexible and adaptable, because instant feedback creates opportunities for frequent updates. According to Blokdijk (2008), the last and most important point is that SaaS is a service where customers only pay for what they use, which means that customers only pay for the resources they consume and will not be bound for a long time ( Same as above). Bart Czernicki (2010) explained that the cornerstone of the SaaS model includes hosting, maintaining, and updating services from a centralized location, thereby strengthening the previous definition of SaaS. In addition, Wohl (2008) claimed that the definition of the most basic format of SaaS is a method of using the Internet to deliver computer programs to users. In short, Czernicki (2010) describes that this basically means that consumers receive content via the Internet and from domains that consumers do not own. Within these limits, SaaS can be used for anything, from analyzing sales and marketing work to CRM and acquiring new employees and mapping potential employees in the following ways. SaaS applications are sometimes referred to as web-based software, on-demand software, or hosted software. Regardless of the name, the SaaS application runs on the SaaS provider's server. The provider manages access to the application; including security, availability, and performance (Blokdijk, 2008). In more detail, SaaS is an online service joined by applications that exist on a platform, managed by a SaaS provider, and located in the premises of the user's company (Wohl, 2008). These applications can be accessed through mobile devices such as computer desktops, laptops, smartphones, and tablets, and always synchronize user actions in the applications with the online version to keep everything up to date (ibid.). She went on to mention that the reason for doing this was to allow work to proceed uninterrupted and to exclude online factors as a necessity. By excluding online factors, users can now use the service without an online connection, even when the network is down, traveling by plane, or located in remote areas; however, the synchronization process. Read Less