Difference between CRM and PRM, their advantages and disadvantages, can they coexist?

CRM is one of common marketing tools. It has been developed by industry for decades, and concept of software is deeply rooted in people's hearts. PRM with a difference of only one letter is not a new word. After iteration of version, like CRM, under old packaging (name), functions are gradually being finalized to meet needs of new customers and new customer needs.

They are all client-oriented. What are similarities and differences between CRM and PRM? What are pros and cons? Is it possible to share it with same client?

Difference between CRM and PRM, their advantages and disadvantages, can they coexist?

CRM concept explained:

CRM, Customer Relationship Management, Customer Relationship Management, can simply be defined as a tool by which companies can understand user needs and adjust marketing plans according to evaluation objectives to meet or exceed user expectations, thereby increasing revenue .

This is more of a concept than a tool.

Any transaction for users is inseparable from following process: Acquisition-Screening-Communication-Sale-Service-Secondary Communication-Secondary Transaction... ...different companies in different scenarios, combination can also be N-power. Although it is constantly changing, user needs are real. Observing changes in user needs, identifying authenticity of needs, and identifying urgency of needs is key to getting into user's psychology and occupying their mind.

The key is CRM.

Difference between CRM and PRM, their advantages and disadvantages, can they coexist?

(CRM will provide customer data)

PRM concept explained:

PRM, partner relationship management, partnership management. Some companies, in addition to direct customer interaction (DTC), will also do business with third-party partners. Distribution, naming and dropshipping are more traditional and popular models. Since beginning of millennium, model of third-party cooperation has undergone tremendous changes, which mainly reflected in increase in business relations between suppliers of goods and partnerships.

To put it simply, in past, when a company gave goods to a third party, a ToB was performed. Now company and third party must coordinate various processes to ensure successful cooperation between two parties. This is role of PRM.

PRM is a completely customer-centric strategy, and in order to implement it, organizations must ensure that all channels use customer experience technology (technological means that allow communication between platform and customers). How to manage customers using technology to positively influence business of an enterprise is very difficult, and when this interaction and sales are carried out through channels, complexity increases three times, because upper and lower ends (enterprise and customer)) are subject of organizational services.

Difference between CRM and PRM, their advantages and disadvantages, can they coexist?

But no matter what, channels are still an important way to increase sales.

CRM&PRM Interpretation

1. CRM

CRM stands for Customer Relationship Management.

CRM applications are built for direct selling.

A CRM application helps your internal team manage interactions with potential and existing customers.

CRM applications collect data from all departments, store it in a centralized customer record and contribute to customer retention and future sales.

Difference between CRM and PRM, their advantages and disadvantages, can they coexist?

2. PRM

PRM stands for Partner Relationship Management.

PRM apps are built for indirect sales.

It's about maintaining a healthy relationship with a partner and maintaining trust between company and partner.

Affiliate relationship management solutions focus only on products and their sales to ensure long-term profit.

Can they coexist?

Ultimately, goal of PRM is to make it easier for partnerships, such as distributors, to do business with product suppliers; CRM provides a more complete view of sales process.

Each partner operates differently, and processes and business goals often don't align, making it difficult to report and measure channel results. The CRM system itself is not designed to manage this complex process. To truly manage indirect business relationship between an enterprise and its partners, an enterprise needs a PRM system to open loop between all participants.

Is there a difference between CRM and PRM? Certainly.

Difference between CRM and PRM, their advantages and disadvantages, can they coexist?

Should companies have both CRM and PRM? The answer is yes. Because both direct and indirect sales business models must be supported by systems specifically designed for optimal performance.


PRM is considered third evolution of SaaS tools. First came CRM, then marketing automation, and when market started to change, PRM filled that gap.

The market gradually began to move to a comprehensive method of partner management. According to statistics, more than half of foreign technology companies have implemented PRM tools, and these tools have brought significant income to enterprises. Businesses that continue to manage partners in traditional way using CRM or spreadsheets are not only missing out on new customer sales channels, but they are also missing out on data insights and important business development recommendations derived from data provided by channel partners.

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