CRM failure rates: 2001-2009

Interesting Collection of Stats: As one of the people who constantly said that 50% of CRM implementations fail (although I believe that the number is higher) in the early 2000 while at Gartner, I see that the number is holding.

To me then, and still now, the main problems stems from two different things:

1. there is a lack of understanding of how to calculate ROI for CRM (actually, for most things. but we are talking about CRM) and thus when the results come in they don't match the expectations. I see this very often.

2. I would add that since close to 70% of implementations don't have a strategy (no, I mean a real one - specific numeric goals and objectives tied to the corporate strategy, list of steps to take to get there, set expectations) they don't know what to compare their results against. thus, they compare to the ROI model that was provided by the vendor and find out (surprise, surprise) that it does not match. then label it a failure. those projects were doomed to fail before they started.

you cannot measure the success or failure of ANY project unless you have specific metrics and values for them, timeframe and steps to achieve them, and what are you going to do with those results.

I am surprised that it is still 50% (as in, they never learn), but also that is not higher (I guess luck continues to affect about 1/2 of the success stories).; Posted by: Esteban.Kolsky Posted on: 08/03/09 You are currently: a Guest | Members login | Terms of Use