Last evening, Jim Cramer had a brief conversation with Marc Benioff, the Chairman and CEO of Salesforce.com (NASDAQ: CRM). Cramer has been a skeptic of Salesforce.com's success and sustainability in the marketplace. He's dead wrong.

Cramer doesn't get the company's business model or understand its success.

Benioff was with Oracle Corp. (NASDAQ: ORCL) early in his career and learned the ropes there. He found that customers were frustrated because it took millions of dollars and 12 to 18 months to install new software and to train employees how to use it. Organizations were impatient with huge purchases taking too long to yield returns and improved functionality.

Salesforce.com is different. Its lead product is a CRM program, which stands for customer relationship manager. CRM, also Salesforce.com's ticker, allows for companies to track customer progress, customer happiness and customer status. The Salesforce.com programs are sold on a user-by-user basis, install very easily and are hosted at Salesforce.com's data center. There is no tying up of customers' databases. All is secured and backed up.

Benioff, in other words, understood the customer's needs and wishes. There are now several other business applications that Salesforce.com sells to its customers.

Continue reading Cramer dead wrong on Salesforce.com

Cramer dead wrong on Salesforce.com originally appeared on BloggingStocks on Thu, 12 Apr 2007 21:45:00 EST. Please see our terms for use of feeds.