Executive takeaway: For most associations, an AMS is the simpler, lower‑risk path to reliable member self‑service and meaningful renewal/retention reporting. A CRM can work if you have the right implementation partner, but it typically adds expense and complexity through configuration, integrations and ongoing support.
I was chatting with the manager of a small association the other day. They just decided to purchase Monday.com as their new Customer Relationship Management (CRM) system.
When I asked why, they said, “Well, you know, we’re just a small organisation, and it seemed easy enough. And the board thought it was a good idea.”
I was confused by their answer because there are so many out-of-the-box Association Management Systems (AMS) in the Australia/NZ market that would likely fit their needs and budget better. And yet, they chose a generic CRM built for a business instead of an association.
This is, unfortunately, a common decision that often creates avoidable costs and complexities for membership organisations.
What’s the difference between a CRM and an AMS?
We often use these terms interchangeably, but an AMS was developed specifically for membership-based organisations and their typical needs.
This includes unique requirements like membership renewals, events management, certification or CPD management, corporate membership entitlements and reporting functionality designed for membership tracking, such as retention and renewal rates.
A generic CRM was originally designed as a system to keep track of sales or customer leads and interactions for a business. Any time an association uses a CRM instead of an AMS, it must be fully configured and often customised for their needs.
Why does this matter?
While the data captured may be similar between the two types of systems, the intention and functional use can be very different. When an association chooses a CRM over an AMS, it can lead to:
- Lots of siloed systems with no or complex data integrations, resulting in significant manual processes
- Members needing to create different logins to these systems depending on the service, such as for their renewal, an online class or their annual conference
- No single view of the member
- Limited or disparate reporting
When this happens, staff and members get frustrated because self‑service isn’t reliable or easy to use.
When would you choose a CRM over an AMS?
There are times when a CRM like Microsoft Dynamics or Salesforce makes sense, but not often. For the larger associations that have unique process workflows and requirements, like complex case management and multi-entity relationships that cannot be changed, it may be necessary to consider a more configurable system than what an AMS can provide.
Examples of this are when your member admission process includes multiple steps, including mandatory courses or certification pathways to be accepted. Another is when you offer unique services like insurance or professional advice that cannot be easily captured and processed through your current systems.
In these cases, most AMSs cannot be configured to support these non-traditional processes, and therefore, a CRM may be a better fit. However, if you are considering this pathway, it’s absolutely imperative that you choose a CRM partner who is an association specialist, not just any company.
I’ve seen too many poor implementations of Dynamics and Salesforce CRMs because the partner didn’t really understand how associations worked and relied on the client to fully articulate their requirements and be able to align them to the CRM’s out-of-the-box functions – very difficult to do.
A quick decision checklist (CRM vs AMS)
If you’re unsure which direction to go, work through these questions with your team (and ideally your board) before you shortlist vendors:
- Membership complexity: Do you have membership bundles, payment relationships between individual and corporate members, or complex admission rules?
- Renewals and retention: Do you need automated renewals, grace periods, and retention reporting out of the box?
- Events and education: Do you run conferences, training, or webinars with CPD requirements tightly linked to member records?
- Member self‑service: Do members need one login to renew, register, update details and access content reliably?
- Integration appetite: Do you have an internal IT team that is comfortable managing multiple systems, the integrations and the overall data architecture?
- Budget: Can you support a CRM program budget (often $500k+ for implementation and $250k+/year for licensing and support, depending on scope), plus the internal resourcing to run it (system owner/admin, reporting, and access to development capability)?
If you answered yes to most of these questions, you might want to consider a CRM. Otherwise, an AMS is likely the simpler, lower-risk choice.
Final Thoughts
Most associations should choose an AMS instead of a CRM. If you do decide to choose a CRM because of your unique requirements, ensure you pick a specialist partner who understands the association sector. Also, be prepared to properly budget for the implementation and ongoing licensing and support costs.
As for the association that planned to adopt Monday.com, they hadn’t started the implementation yet. So, I encouraged them to pause and consider the out-of-the-box capabilities of several AMS vendors first. And if they still decide to pursue the CRM, they should pick the right partner to help them with the implementation.
I help associations make the AMS versus CRM decision regularly. If you want a second opinion, let me know.
P.S. If you found this article helpful, you might want to read these too:
Tammy Ven Dange is a former charity CEO, Association President, Not for Profit Board Member and IT Executive. Today, she helps NFPs with strategic IT decisions, especially around major investments and risk mitigation.
