Marketing depts to lead many CRM projects in 2003, says Giga

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Marketing departments will take more of a lead in European CRM projects during 2003, according to Giga Information Group.

This is because, while they have been traditionally difficult to integrate into CRM teams, marketing departments are now becoming more CRM-aware, although they remain sceptical of the analytics features of enterprise CRM suites.

As a result, they will continue to go for best-of-breed offerings, even when less sophisticated products would suffice, said Richard Peynot, a Giga analyst in a report entitled IT Trends 2003: CRM in Europe.

Overall, however, the European CRM market will see flat sales due to several factors, Peynot added.

Top management is sceptical about the benefits of CRM and is delaying or cancelling large projects due to the tough economic environment and past difficulties in this arena. Elsewhere, large, ambitious initiatives are being reconsidered and divided into smaller, successive projects.

When choosing a CRM suite, however, many organisations are putting forward architecture as one of their key selection criteria, with an emphasis on scalability and connectivity.

SAP, meanwhile, is expected to take on Siebel for number one slot in the CRM market over the year ahead, after having seen significant growth, mainly from its installed base.

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