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Broadcast simultaneously from California and New York, SAP recently announced that it will implement a hosted CRM service under its mySAP CRM program. The new service targets its mid-to-large agents. Salesforce.com currently dominates the small and medium-sized businesses. The senior director of product marketing at NetSuite, Sean Rollings, did say however, that NetSuite somehow expected SAP to serve small and medium-sized business entities with the new product.

SAP is new to the hosted CRM market and faces some tough competition such as Salesforce.com. The latter initially set out as a hosted service.

Rising to the challenge, SAP’s hosted CRM service starts at $75 per user, per month and may be purchased for as much as $125 per user, per month. SAP’s fees are similar to rivals such as NetSuite, which offers a similar service at approximately $75 per user, per month.

While SAP’s hosted CRM is cost-friendly, it is determined that it is also able to smoothly integrate with other applications. To achieve this goal, SAP is in the process of working with Microsoft on the Mendocino project to secure complete integration with Microsoft desktop applications.