Large companies have high adoption; CRM and project management key areas

WELLESLEY, Mass.--Rapid implementation and ease of use are fueling the increased adoption of on-demand solutions, according to a new study by Nucleus Research and KnowledgeStorm. More than half of the companies surveyed say they are now using on-demand offerings, and nearly two-thirds say they plan to implement an on-demand solution in the next year.

In an effort to explore on-demand user adoption trends, Nucleus and KnowledgeStorm surveyed 198 organizations across numerous industries. The research found that companies of all sizes are shifting to on-demand CRM, project management, content management and e-commerce initiatives. Rapid implementation and ease of use were the two reasons cited most often for adoption. Surprisingly, only nine percent said cost was a factor, despite the early industry hype about cost savings.

The report shows that technology companies, finance organizations and insurance companies are the broadest users of the on-demand solutions, with more than one out of two organizations in those industries adopting on-demand offerings.

“The on-demand delivery model has truly emerged as a key disruptive technology, enabling organizations to cost-effectively leverage the latest technologies with a rapid deployment and low ongoing cost,” said Rebecca Wettemann, vice president, Nucleus Research. “The multitenant nature of on-demand solution also allows them to take advantage of the latest innovations on an ongoing basis without the traditional drawbacks of upgrades.”

Despite its popularity, however, it is important for organizations to be aware that some vendors are marketing solutions that they claim are on-demand, when in fact they are not. The report also provides a checklist potential on-demand customers can use to determine if a solution is an on-demand offering.

“This survey shows that the on-demand model is beginning to outgrow its image as a small business solution that, while cost-effective, couldn’t scale reliably,” said Jeff Ramminger, executive vice president, KnowledgeStorm. “Now, companies of all sizes can take advantage of the efficiencies of these types of solutions.”

This report and others from Nucleus can be found at www.NucleusResearch.com

About Nucleus Research

Nucleus Research is a global provider of IT advisory and research services that provides CFOs, CIOs and their staffs with the real-world information they need to maximize the business returns from their technology investments. For more information, visit www.NucleusResearch.com.

About KnowledgeStorm

KnowledgeStorm is the Internet’s top-ranked search resource for technology solutions and information. Leveraging the KnowledgeStorm Network of premier partners and its extensive search expertise, KnowledgeStorm is able to reach technology buyers and deliver the information they need no matter where their search begins. KnowledgeStorm, with its network, search expertise and performance tools and services, is a powerful resource for technology vendors, providing them the most opportunities to reach buyers on the Internet and convert them into Web leads. For more information, call (877) 340-9274 or visit www.knowledgestorm.com.