On-premises CRM
Pros...
- the company explicitly purchases licenses from CRM provider
- CRM software resides on Company's own servers
- companies with complex needs this approach
Cons...
- the company takes care of the cost of any upgrades
- required complete company's data integration during CRM installation
Cloud-based CRM
Pros...
- data and CRM software is stored on an external/remote network
- company employees can access CRM anytime/anywhere, when there exits internet connection
- CRM vendors charges companies on a subscription basis with option of monthly/yearly payments
- companies required limited tech/logical expertise or resources
Cons...
- compatibility issues may arise when data is initially migrated to cloud from company's internal system
- CRM provider goes out of business/acquired by another company, then companies data might be compromised or lost
- fees for software can be more costly over time
Open source CRM
Pros...
- CRM system make source code available to the public
- companies can enable to make alterations at no cost
- not required a licensing commitment from CRM vendors
Cons...
- vendors don’t offer much support for their free versions
- not available all the functionalities which are offered in paid systems
- changes/updates from open source software might affect functionality and requires more effort to fix the bugs
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