A CRM solution is characterized by the following functionality:

• Scalability- the ability to be used on a large scale, and to be reliably expanded to whatever scale is necessary. Multiple -communication channels - the ability to interface with users via many different devices (phone, WAP, Internet, etc)
• Workflow- the ability to trigger a process in the backoffice system, e. g. Email Response, etc.
• Assignment- the ability to assign requests (Service Requests, Sales Opportunities) to a person or group.
• Database- the centralised storage (in a data warehouse) of all information relevant to customer interaction
• Customer privacy considerations, e.g. data encryption and the destruction of records to ensure that they are not stolen or abused.

Privacy and ethical concerns

CRM programs are not however considered universally good - some feel it invades customer privacy and enable coercive sales techniques due to the information companies now have on customers (persuasion etc.).

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