$389,200.00

I recently had the good fortune to catch up with a former colleague. My friend Kevin is now VP of Sales at a rapidly growing technology services company. Kevin has a team of 60 sales reps which currently uses Salesforce for their CRM. Kevin recently attended Salesforce’s Dreamforce event in San Francisco where they let him know he was in their “top 1,000” tier of customers.

Of course since we compete with Salesforce everyday, I was curious how much does Kevin’s company spend on Salesforce?

Answer: $400,000

That is a lot of money. Kevin followed up that he likes his curent CRM software but then mentioned how it is full of a lot of bad data and burdensome processes. Kevin elaborated how they have a team of folks internally in “sales operations” whose sole job is the care and feeding of this CRM monster. For the record, the salaries of the sales operations folks are not included in the $400k.

How much would Kevin’s company pay every year if they switched to PipelineDeals?

Answer: $10,800

Kevin would immediately return $389,200 to his company by switching to PipelineDeals.

$389,200 can go a long ways for a business. Especially in today’s rough-and-tumble business environment. I pulled together a quick list of ideas for what Kevin could do with these newfound dollars:

     •  Hire 10 more sales people.
     •  Return $389,200 of EBITDA to his company.
     •  152 15 in. MacBook Pros.
     •  7 Tesla Model S’s.
     •  1,955 Kindle Fires.
     •  519 Apple iPad 2s with Wifi.
     •  you get the picture.

I still can’t fathom why companies continue to be enamored by these behemoth software companies and pay outrageous prices for CRM applications. I believe every sales team should have a CRM but the price tag should match the value returned to the company – plain and simple.

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