More than four in ten (41 per cent) marketing leaders say their CRM platform does not fully meet organisational needs, according to research commissioned by specialist independent CRM agency Flourish CRM and conducted by Censuswide, for its new report, The 2026 CRM Maturity Index.
The findings, based on a survey of 100 UK marketers in organisations with up to 2,500 employees, highlight a growing disconnect between the scale of investment in CRM and organisations’ ability to define and implement the right use cases – driven by gaps in strategy, data activation and team capability.
Global CRM spend is expected to exceed $159bn by 2030, representing the growing importance of the discipline within marketing. However, the report findings show many organisations are failing to unlock its full value. While many point to platform limitations as the root cause, the data indicates the issue is more fundamental, stemming from how CRM is structured and executed.
Lack of clarity around purpose
A staggering 56 per cent of marketing leaders say their CRM strategy is not clearly defined, highlighting a fundamental lack of clarity around what CRM is meant to achieve.
This confusion is reflected in how success is measured. While many CRM strategies claim to be customer-centric, 71 per cent of marketers rely on revenue-based metrics to assess performance, compared to just 43 per cent who use customer-focused indicators such as retention or churn.
Without a clear vision – whether focused on acquisition, retention, loyalty or customer experience – CRM risks becoming a tactical channel rather than a strategic driver of growth. This lack of direction makes it difficult to align teams, prioritise investment and measure success effectively.
Capability gaps are limiting performance
Even where ambition exists, organisations often lack the structure and resources to deliver. Four in ten (40 per cent) marketing leaders say their team or operating model contains gaps that restrict CRM performance, while a further 8 per cent report significant gaps in skills or capacity.
This creates a disconnect between what businesses want CRM to achieve and what they can realistically execute, with teams often constrained by limited capacity, competing priorities or a lack of specialist expertise.
Execution is falling short
These challenges ultimately surface in day-to-day delivery. Almost one in four (39 per cent) organisations report difficulties activating customer data effectively, pointing to a gap between insight and action.
In practice, fragmented systems, siloed teams and unclear ownership make it difficult to translate customer insight into timely, relevant engagement. As a result, CRM activity can become reactive and channel-led, rather than centred around the customer.
Technology is often the scapegoat for CRM failure, but these findings indicate a deeper systemic reality. True performance hinges on the intersection of strategic intent, organizational capability, and disciplined execution
“Across the businesses we analysed, the pattern is clear – CRM isn’t underperforming because of the technology, but because of how it’s being defined and delivered,” said Rich James, Managing Partner at Flourish CRM. “Without a clear vision for what CRM is meant to achieve, it quickly becomes fragmented and reactive.”
Ian Reeves, Managing Director at Flourish CRM, added: “What this research highlights is a gap between ambition and reality. Many organisations have the building blocks in place, but without the right structure, ownership and capability, they struggle to turn that into consistent performance.”
Share