2023
The volume of the global CRM systems market reached $40.2 billion for the year
In 2023, the cost of CRM systems (customer relationship management tools) globally reached approximately $40.2 billion. This industry has been showing steady positive dynamics since 2018, as stated in the Market Research Future review, published at the end of October 2024.
One of the drivers of the market in question, analysts call the introduction of artificial intelligence and machine learning. The integration of these tools with CRM platforms allows you to expand functionality and improve customer experience. In particular, it becomes possible to collect data using speech technologies. In addition, bots and virtual assistants help automate routine tasks, such as generating reports and extracting data from large amounts of information, as well as reducing human error.
Market Research Future analysts identify two key segments in the CRM market - software and services. The software provides the largest amount of revenue, which is due to the desire of companies to gain a strategic and competitive advantage, as well as to attract new customers. Local, cloud, and hybrid solutions are distinguished by deployment type. The cloud sector is leading the way, which indicates the desire of companies to increase flexibility, scalability and cost-effectiveness when implementing CRM systems. The cloud model does not require the cost of deploying and maintaining the hardware infrastructure, which provides significant savings.
In terms of the tasks to be solved, the authors of the study name five key categories: customer service, customer experience management, analytics, marketing automation and sales automation. The customer service segment occupies the largest share. Industry areas include banking, financial services and insurance (BFSI), healthcare, IT and telecommunications, retail and e-commerce, manufacturing, government sector and defence, media and entertainment. The largest costs were recorded in the BFSI sector, which is explained by the ongoing digital transformation. The list of the main players in the global CRM systems market includes:
- Salesforce;
- SAP;
- Oracle;
- Microsoft;
- Adobe Systems;
- Freshworks;
- Convergys Corporation;
- Huawei Technologies;
- Infor Solutions;
- SAS;
- IBM.
Geographically, North America is leading, followed by Europe. At the same time, the Asia-Pacific region is showing the highest growth rates. In general, the study authors call digitalization, the development of cloud computing, technological progress among small and medium-sized organizations, as well as the ongoing modernization of marketing and trade strategies in developing countries as stimulating factors.
Major industry players are investing heavily in R&D to expand their product range, which will drive further market growth. CRM solutions help companies stay in touch with their customers and increase profitability, as well as optimize workflows, the study notes. |
At the end of 2024, revenue in the global CRM systems market is estimated at $46.3 billion. Market Research Future analysts believe that in the future, the CAGR (average annual growth rate in complex percentages) will be 11.5%. As a result, by 2032, costs globally will reach $156.3 billion.[1]
The volume of the global market for systems for communication with customers grew by 5% over the year and reached $8.79 billion
In 2023, costs in the global market of systems for communicating with customers reached $8.79 billion. For comparison, in 2022, the volume of this area was estimated at $8.33 billion. Thus, the growth was about 5%. The market situation is described in the Market Research Future review, published at the end of October 2024.
The authors of the study name several factors that stimulate the development of the industry in question. One is a significant shift towards personalized customer engagement. Companies that invest in advanced consumer communications management solutions are better positioned to build brand loyalty and customer satisfaction. And this contributes to an increase in income. In addition, through personalized interaction, organizations are able to segment their audience, forming proposals that take into account the interests of certain consumer groups.
Another driver is advances in technology. Tools such as artificial intelligence, machine learning and automation tools significantly expand and improve the ability of enterprises to interact with customers. Using these technologies, organizations can optimize their communication processes, which leads to increased efficiency and efficiency. Digital transformation initiatives also allow companies to integrate different communication channels into a single platform, developing multi-channel strategies. The result is more convenient and versatile communications.
There has been an increase in the popularity of self-service platforms where customers prefer to interact through automated systems. This trend is reinforced by the growing adoption of chatbots and virtual assistants. Cloud solutions are becoming more common, allowing companies to access customer communication tools remotely. Hybrid deployments are also gaining popularity as they combine the benefits of both cloud and on-premises solutions, enabling organizations to efficiently tailor communication strategies.
The authors of the study identify four key market segments: customer interaction, document management, multi-channel communication and workflow automation. In 2023, the costs in the first of these areas amounted to $2.76 billion, in the second - $2.1 billion. The multi-channel communications sector recorded revenue of $2.22 billion, while automation brought in $1.71 billion. Geographically, North America became the leader with revenues of $3.5 billion. In Europe, costs are estimated at $2.5 billion, in the Asia-Pacific region - at $1.8 billion. The contribution of South America amounted to $0.7 billion, and the Middle East and Africa provided $0.29 billion.
The competition in this market is due to the presence of a large number of players, each of whom offers unique solutions that meet the diverse needs of corporate clients. Among the significant participants in the industry are named:
- Pitney Bowes;
- Oracle;
- Quadient;
- SAP;
- Hyland;
- IBM;
- OpenText;
- Zendesk;
- Kofax;
- Cimpress;
- Adobe;
- Nintex;
- Xerox;
- Smart Communications;
- DocuWare.
In 2024, the volume of the industry under consideration in the world may reach $9.27 billion. In the future, Market Research Future analysts believe that the CAGR (average annual growth rate in complex percentages) will be 5.48%. As a result, by 2032, costs are expected to rise to $14.2 billion.[2]
2021
CRM market for social networks valued at $2.2 billion
The global CRM market for social networks at the end of 2021 is estimated at $2.2 billion. Enterprises are actively interested in solutions from this segment to provide customers with the best customer experience. Such data in mid-February 2022 were presented by analysts at ResearchAndMarkets.
CRM software provides benefits such as mapping customer paths from initial product perceptions to post-purchase interactions, typically overlooked by businesses. In addition, CRM software assists businesses in generating reports as well as providing useful insights into previous consumer behavior data.
CRM software is used to manage the interaction of the organization with current and potential customers. CRM is defined as a management concept aimed at creating, developing and expanding relationships with customers in order to optimize consumer value, market profitability and, ultimately, shareholder value.
Analysts note growing demand for CRM for social media in emerging economies such as China and India. Asia Pacific is expected to have the largest share of revenue in the segment in question.
Depending on the type of deployment, the CRM market for social networks is divided into local and hosting. Analysts believe that in the next few years, the largest market share will be occupied by the local segment.
Depending on the type of deployment, the market is divided into small and medium-sized businesses, enterprises. The enterprise segment will have the largest market share over the next few years.
Among the key players in the CRM market for social networks presented in ResearchAndMarkets analysis, companies such as:
- Microsoft;
- Oracle;
- Amdocs;
- IBM;
- Pegasystems;
- SAP SE;
- SugarCRM;
- CRM Creation;
- Zendesk Sell;
- Locobuzz;
- Nutshell CRM;
- Simple CRM System;
- SalesforceIQ;
- InStream;
- SalezShark;
- Salesboom CRM;
- Prosper Works.[3]
Gartner Magic Quadrant for CRM Client Service Management Solutions
In May 2021, Gartner presented the results of a new study on the CRM solutions market (Customer Engagement Center subsegment) - Magic Quadrant for the CRM Customer Engagement Center.
The new quadrant includes 16 companies. The leaders include: Salesforce, Pegasystems, ServiceNow, Oracle, ZenDesk and Microsoft. To applicants (Challenger) - SAP. Freshworks fell into the Visionaries section. The remaining 8 market participants were included in the niche players section: Verint, Applan, Creatio, eGain, SugarCRM, Zoho, Cherwell and CRMNEXT.
2020
Global spending on CRM systems rose 12.6% to $69 billion
Global spending on customer relationship management systems in 2020 increased by 12.6% compared to 2019 and reached $69 billion. This is evidenced by the data released in August 2021 by the analytical company Gartner.
The market growth rate decreased - in 2019 they were measured at + 15.9%. The lowest growth dynamics in 2020 was registered in the segment of CRM marketing systems, where sales increased by 9.5%.
Developers of solutions for online stores and other e-commerce projects did the best. In this category, there was a 17.1 percent increase in revenue.
As for the largest manufacturers software in the CRM class, the companies retained their leadership in 2020, and Salesforce. SAP Their Oracle shares in the open-label sample for the Gartner study were not named.
The following companies were classified as market leaders by Grand View Research analysts (listed by share size, which are also not specified):
- Salesforce.com;
- Microsoft;
- SAP;
- Oracle;
- Adobe;
- SugarCRM;
- Zoho Corporation;
- Copper CRM;
- Insightly;
- Creatio.
According to Grand View Research, the global market software for customer relationship management reached $43.7 billion in 2020, and in subsequent years it will grow by an average of 10.6% per year. The growth of this cost ON is facilitated around the world by factors such as high demand for automated interaction with customers, expanding the scale of digital operations and improving the quality of customer service and services. In addition, the market is helped by the development of technologies, the cloud computing emergence of serverless computing and, hybrid cloud environments as well as the availability of various service models, such as and. SaaS IaaS
In addition, the COVID-19 coronavirus pandemic acted as an additional catalyst, since in an unfavorable epidemiological situation, people began to work more often from home. This prompted companies to look for effective tools for remote work with customers.
Experts have listed several trends that have been observed in the CRM market in 2020:
- Go to the clouds. All successful products are sold either only by subscription, or necessarily have a cloud version, and its popularity is only growing over time. The advantages of this approach are obvious: low initial costs, flexible tariffs, no need to buy and maintain a server, etc. Among the shortcomings is dependence on the availability of the Internet and the decency of the provider.
- Expanding the functionality of CRM systems. Being initially a customer and claims accounting system, this type of software has evolved to some extent into an enterprise management system, and this trend continues.
- Transformation into BPM and ERP. Digitalization poses new challenges to business and leads to the emergence of new solutions. As a result, today in the most progressive companies, the introduction of BPM systems is gaining momentum, which are gradually replacing the functionality of CRM to one degree or another.
According to Grand View Research, by 2020, about 91% of organizations with a staff of 10 or more use CRM systems. About 82% of companies use such software to report sales and automate processes. Business leaders are increasingly looking for effective tools to process customer data and use practical information derived from unstructured datasets to make decisions based on them, analysts say.[4][5]
Gartner Magic Quadrant for CRM Lead Management
In August 2020, Gartner's Magic Quadrant for CRM Lead Management, an annual study of the global market for lead management solutions (CRM Lead Management) and their suppliers, was published. In 2020, Gartner experts included 15 systems in the report.
Gartner Magic Quadrant for Sales Force Automation (SFA) Solutions
In July 2020, Gartner's Magic Quadrant for Sales Force Automation was published - a study of the global market for Sales Force Automation (SFA) solutions. According to analysts, in 2019, the growth of the SFA solutions market was 11.1%. The SFA is a key tool in the technology stack for sales and plays an important role both during the outbreak of the COVID-19 pandemic and during the recovery period.
Recall that in world practice, SFA is usually supplied as an integral part of CRM.
Gartner Magic Quadrant for CRM Client Service Management Solutions
In June 2020, Gartner published a new study of client service management solutions - Magic Quadrant for the CRM Customer Engagement Center. The quadrant includes 16 solutions, the leaders include: Salesforce, Pegasystems, ServiceNow, Oracle, ZenDesk and Microsoft.
2019
Market growth 15.9% to $56.6 billion - Gartner
At the end of 2019, the global CRM systems market grew by 15.9% and reached $56.6 billion. Such data are provided by Gartner in its[6] report[7]published in May 2020. CRM systems are most commonly used in Customer Support and Customer Services. Marketing has become the fastest growing area of CRM use . The three leaders in the global CRM market among vendors remained the same - Salesforce, SAP and Oracle.
2018
Market growth of 15.6% to $48.2 billion - Gartner
The volume of the global market for customer relationship management systems in 2018 reached $48.2 billion, an increase of 15.6% compared to 2017. Such data were released on June 17, 2019 by the analytical company Gartner.
According to experts, CRM remains the largest and fastest growing segment of the enterprise software market, which in 2018 amounted to $193.6 billion and rose 12.5% compared to a year ago at $172.1 billion. Thus, CRM solutions accounted for almost a quarter of the proceeds from the sale of corporate software.
Among CRM systems, approximately 72.9% of expenses were occupied by SaaS products (software as a service). According to experts, in 2019 the SaaS category share will grow to 75% due to the rapid adaptation and flexibility that such solutions have. In addition, the growing demand in this segment is facilitated by the needs of companies for remote and mobile employees.
Gartner Research Director Julian Poulter says that the growth rate of sales of cloud CRM systems is decreasing, but they still remain higher compared to the entire market - + 20% versus 15.6%, respectively, at the end of 2018. The expert explained the weakening of dynamics in the cloud segment by a large degree of penetration of such software.
The research report also indicates that the five largest manufacturers of customer relationship management systems (Salesforce, SAP, Oracle, Adobe, Microsoft) in 2018 occupied more than 40% of the market. There was only one change in the top 5: Microsoft climbed to fifth position, not much ahead of Genesys.
In the leading five, Salesforce showed the strongest growth in CRM revenue - by 18.3%. Microsoft's sales grew worst - by 2.7%.
According to the head of sales at SAP Alex Atzberger, the company expects to double its business in the customer relationship management system market by 2020. In 2018, SAP's share of the CRM market remained unchanged at 8.3%.
Most often, CRM systems are still used in customer support services. In 2018, this area accounted for 35.7% of the total costs in the market under consideration. Marketing became the fastest growing use of CRM solutions - here expenses in 2018 increased by 18.8% and exceeded 25% in the total market. Sales of all types of CRM products, depending on their purpose, rose by 13.7%.
To leverage the market's greater opportunities, product managers at CRM application companies should focus even more on cloud implementations and consider adding new features to the fast-growing marketing segment, says Julian Pulter. |
In June 2019, Gartner introduced the so-called "magic quadrant" (research) in CRM solutions used to serve and support customers. Salesforce is recognized as the leader of this segment for the 11th year in a row thanks to its Salesforce Service Cloud product, which provides call centers employees (working in the office or remotely) with a set of AI, analytical and other tools to help solve customer problems.
In addition to Salesforce, the leaders in the CRM systems service and customer support segment in 2019 included Pegasystems, Zendesk, Oracle and Microsoft.[8]
The "magic quadrant" included 14 companies. According to experts, modern CRM systems for customer service should work seamlessly on a common platform using common development and integration tools, as well as open APIs and a common graphical user interface.
Market Leaders According to Nucleus Research
In October 2018, Nucleus Research published a rating of key players in the global CRM market - CRM Technology Value Matrix. Among the leaders were the following solutions: Salesforce, Infor CX, Oracle CX Cloud, Bpm "online, Microsoft Dynamics 365, as well as the systems of Veeva Systems and Satellite Technologies.
According to Terrasoft, referring to the results of the study, the Bpm'online platform has been included in the ranking leader sector for the third year as one of the most functional and ergonomic CRM systems in the world. In this platform, experts noted the capabilities of predictive analytics, data management tools, machine learning technologies and the Marketplace site with many ready-made extensions and templates.
CRM Technology Value Matrix Customer Relationship Management System manufacturers are ranked by Nucleus Research and updated every six months. Analysts are exploring the possibilities of CRM solutions for automating sales, marketing and customer service, evaluating them according to two key criteria - ergonomics and functionality.
The study says that Salesforce.com, Oracle and Microsoft continue to create great deals for users through the integration of their products and built-in artificial intelligence.
According to experts, more than 90% of CRM projects are deployed in the cloud, since such services create minimal difficulties for customers when changing solutions. Vendors are following this trend to stay competitive and are offering innovation and new opportunities to boost revenue every few months, said Rebecca Wettemann, vice president of research at Nucleus Research[9]
Gartner Magic Quadrant for Sales Management Systems
In July 2018, Gartner published a new ranking of sales management solutions - Magic Quadrant for Sales Force Automation 2018. SFA (Sales Force Automation System) systems are responsible for automating routine sales operations. In world practice, the SFA is usually supplied as part of CRM.
Gartner experts annually investigate market trends and evaluate the offerings of key IT vendors to help companies with enterprise software choices. Companies' investment in Sales Force Automation (SFA) systems continues to grow, according to Gartner analysts. In 2017, the SFA technology market grew by 15.7%, of which 79% of the offers were Solution SaaS. 70% of the companies surveyed in the study purchased SFA solutions to improve operational efficiency and 67% to improve the effectiveness of business processes. At the same time, predictive analytics technologies become an integral part of sales management systems, which can improve sales efficiency and help managers close more transactions.
Of the hundreds of different sales management solutions, only 15 systems were included in the Gartner 2018 Magic Quadrant. The leaders are solutions from Salesforce.com, Microsoft and Oracle. From domestic systems, the Quadrant included the bpm'online solution of Terrasoft.
According to Gartner experts, when choosing SFA solutions, companies often take into account the possibilities of rapid expansion of functionality and integration with other enterprise applications. At the same time, the most progressive customers see the automation of sales as part of the digital transformation process and as an opportunity to improve the customer experience.
2017
Salesforce leads Oracle, SAP and Microsoft combined
In 2017 Salesforce , it earned more in the customer relationship management market () CRM than the three companies pursuing it (,,) Oracle SAP Microsoft combined. This is stated in a study by analysts at International Data Corporation (). IDC
They estimated that in 2017 Salesforce took about 19.6% of the global CRM market in terms of revenue, against 18.1% a year earlier. Oracle's share was 7.1%, and SAP, which closed the top three, recorded 6.5% of sales in the asset. Microsoft's market presence reached 4%, Adobe's 3.2%.
Judging by the graph above, all the largest CRM solution manufacturers have strengthened their position in the market, except SAP.
The report notes that Salesforce has held the palm's top customer data management software sales championship for five years in a row. In 2017, the company's share grew more than the other 20 CRM vendors. In addition, analysts gave Salesforce the first place in terms of revenue from the sale of applications for organizing sales, marketing and customer service.
As the IDC report shows, companies are increasingly turning to Salesforce to accelerate their digital transformations to provide intelligent networking capabilities to customers at each point of engagement with them, "commented Salesforce President and COO Keith Block on the study. |
Companies of all sizes representing different markets are transforming in line with the digital age, and that transformation is building around customers, he said. In this regard, the business needs CRM solutions.
According to IDC analyst Mary Wardley, organizations are developing strategies to bring products to market with customer experience that does not replace CRM applications, but requires companies to monitor their updates.[10]
CRM - the largest segment of the software market - $39.5 billion
In 2017, customer relationship management (CRM) systems became the largest segment of the global software market, according to data from Gartner analysts .
They estimated that in 2017, global sales of CRM solutions reached $39.5 billion, which was the largest value among all categories. software Previously, they were in the lead database management systems (), DBMS the revenue from the sale of which in 2017 amounted to $36.8 billion.
It is expected that the CRM segment will continue to grow: in 2018, the implementation of such solutions will increase by 16% and will be measured at $45.8 billion. Moreover, this segment will become the fastest growing in the software industry, says Gartner Research Director Julian Poulter.
In his opinion, the high growth dynamics of the CRM sector is due to the strong demand for tools for lead management, a client voice program (collecting feedback from customers through all communication channels and at all points of contact between the client and the company) and local management systems. Each of these categories shows growth of more than 20%.
Gartner's research said the CRM market has seen a surge in interest in marketing solutions, as well as a resurgence in demand for sales technology. Market growth is attracting an increasing number of manufacturers, but large vendors offering comprehensive products covering sales, commerce and service are showing a rise above the market average and are successfully selling additional modules to existing customers.
Organizations strive to avoid disparate information and therefore conduct a complete review of client data. This allows them to better use artificial intelligence to improve the efficiency of CRM systems, "said Julian Pulter.[11] |
2016: Salesforce's superiority over Oracle and SAP
In May 2017, Salesforce published excerpts from a study by IDC Worldwide Semiannual Software Tracker, which reported that the company's CRM business is larger than its closest competitors - Oracle and SAP - combined.
According to experts from International Data Corporation (IDC) for 2016, Salesforce's share in the global customer relationship management (CRM) systems market is 18.1% versus 9.4% for Oracle and 7.2% for SAP. We are talking about shares in revenue.
The study also said Salesforce equaled Oracle in revenue from sales of CRM solutions in 2012. In 2013, Salesforce broke into the lead, after which it only strengthened its first place. 2016 was Salesforce's fourth consecutive year of market dominance.
Analysts say that in 2016, Salesforce's CRM revenue grew faster than any other manufacturer, and the company's market share added more percentage points than other representatives of dozens of leading vendors combined.
In addition, at the end of 2016, IDC named Salesforce the largest manufacturer of software for automation of sales, customer service and (for the first time) marketing.
Our continued leadership in the CRM market confirms Salesforce's unique ability to empower companies with amazing opportunities that change their customer relationships, "says Alex Dayon, President and Chief Product Officer of Salesforce. - CRM has never been as important as it is now, and no other enterprise software manufacturer can match the innovation, breadth and depth of the Salesforce Intelligent Customer Success Platform. |
In 2016, Forbes magazine named Salesforce the most innovative company of the decade. By May 2017, Salesforce has more than 150 thousand customers.[12]
2015: Adobe top five
On May 25, 2016, analysts Gartner published the results of a study of the global market. Customer Relationship Management (CRM) systems There was one Adobe change in the top five: ahead. IBM
In 2015, Adobe's revenue from sales of CRM solutions amounted to $936.8 million against $738.1 million a year earlier. The company's share during this time rose from 3.2% to 3.6%, as a result of which Adobe was in fifth place in the list of leading vendors, ahead of IBM. Experts attribute the growth of Adobe to the continued dominance of the company in the segment of marketing CRM systems, which is one of the fastest growing.
Salesforce remains the leader in the market under consideration, whose CRM revenue in 2015 exceeded $5 billion, and the company's share amounted to almost 20%. Salesforce.com holds the top position in the CSS (Customer Service and Support) segment and ranks third in sales of marketing solutions.
The volume of the entire customer relationship management software market in 2015 grew by 12.3%, reaching $26.3 billion. This rise was largely facilitated by cloud services, namely SaaS (software as a service). Revenue in the SaaS segment rose 27% in 2015, more than double the growth rate of the entire CRM market. Sales of new licenses for local software fell by 1%, said Gartner Research Director Julian Poulter.
Activity in M&A transactions, which began in the market in 2009, continued in 2015, when more than 30 notable acquisitions were made. This led to an aggravation of competition in the upper segment of the CRM market, which is expressed in the continued focus of global vendors on increasing sales in all sub-segments of the global CRM market, but this turns out only in the segment of cloud or SaaS applications, Polter said.[13] |
2014
Vector to social and mobile CRM
In February 2014, Gartner analysts made another forecast regarding the further development of the global market for CRM systems[14]. It says that CRM systems will remain at the center of companies' attempts to transfer customer relationships to the "digital" level. The most "hot" segments of the global customer relationship management market will be: mobile and social CRM, web analytics and e-commerce.
The growth rate of the CRM systems market, however, is believed in Gartner, will be moderate, since most companies have already made significant investments in such solutions. The market volume is likely to be $23.9 billion at the end of 2014, of which 49% will be in cloud CRM. Cloud and SaaS CRM implementations will account for about 40% of all implemented projects, and by 2015 this figure will increase to 50%.
Salesforce strengthens leadership - 18% of the market
On May 19, 2015, the analytical company Gartner summed up the results of the global market for customer relationship management (CRM) systems. Thanks to the popularity of the SaaS model, Salesforce not only remained the largest supplier in the market, but also strengthened its leadership.
According to Gartner's 2014 estimate, global spending on CRM software amounted to $23.2 billion, up 13.3% from a year earlier. Ten leading vendors accounted for sales of $14 billion (about 60%), which grew by 14% on an annualized basis. Compared to 2013, the arrangement of manufacturers has practically not changed.
The first place in terms of revenue from CRM solutions was reserved Salesforce.com. Thanks to the strengthening of the SaaS segment (its share in 2014 accounted for 47% of CRM sales), the American company was able to increase sales in the market from $3.3 billion in 2013 to $4.3 billion a year later. At the same time, the market share of Salesforce.com for the same period grew from 16.3% to 18.4%.
In second place is still SAP with revenues of $2.81 billion (12.1% of the total in the CRM market), recorded in 2014. A year earlier, they were measured at $2.62 billion (12.8%). The closing three leaders Oracle ON have slightly increased sales for customer relationship management - from $2.06 billion in 2013 to $2.12 billion in 2014. However, the share of the American manufacturer in global sales of these products decreased by 1 percentage point to 9.1%.
Unlike SAP and Oracle, Microsoft was able to significantly strengthen its position in the CRM market, earning $1.4 billion in 2014, compared to $1.2 billion in the previous year. Over the year, the presence of the software giant has grown from 5.8% to 6.2%.
In terms of regions, the lion's share of CRM spending - 78.6% - was in North America and Western Europe. There, software sales rose by more than 10% in 2014, but the growth rate was lower than in the Asia-Pacific region, where the total revenue of CRM product manufacturers jumped by 18.7%.
Gartner analysts named the largest consumers of customer relationship management systems in 2014 as companies specializing in IT, communications and media. In addition, high demand for this software was seen from the production and financial sectors.[15]
Forrester Research Data
On March 26, 2015, the international analytical agency Forrester Research published a study of the global CRM market. The Forrester Wave Q1 2015 bpm'online report is among the best CRM systems in the world in terms of total points.
During the study, Forrester experts analyzed 10 global CRM solution suppliers according to 95 criteria, evaluating each vendor in three categories: supply, strategy and market presence.
With broad opportunities for sales automation, marketing and service, including field sales tools, e-commerce and analytics, bpm'online has reached the top of the rankings. Forrester awarded the system the highest overall score in the category of strongest CRM solution developers - Strong Performers.
According to a Forrester Wave™ report, bpm'online capabilities enhance off-the-shelf business processes that step-by-step guide the user through the customer experience-from engagement to service to re-sales.
2013
Forecast of CRM shift towards mobile applications
In April 2013, analysts at Gartner[16] predicted that in the next two years there will be a significant shift in the CRM systems market towards the use of mobile applications. Experts believe that the number of mobile CRM available for download in app stores will grow from 200 in 2012 to 1200 in 2014 - 6 times.
The SaaS CRM segment will also actively develop, which by 2016 will account for 50% of all projects in the global market for customer relationship management systems. For comparison, in 2012, the penetration of the SaaS CRM model in the global market was 39%, by the end of 2013 it will already be 42%. In 2013, the largest in terms of revenue by the vendor in this segment will remain Salesforce.com.
In general, the global CRM systems market, according to Gartner forecasts, will grow by 9.7% in 2013, while the SaaS CRM segment - by 18% in the same period. According to a Gartner study conducted among more than 2,000 Chief information officers in 2013, attracting and retaining new customers are the No. 4 priority for the business, so the demand for CRM systems will remain stable.
World's largest CRM implementers
In the public domain, there is no data on the volume of the global CRM systems market for 2013. However, in September 2013, Gartner released a study naming the world's largest service providers in the CRM Magic[17].
The study was carried out according to the method magic square"." According to him, the leaders in the market for services in the field of introducing CRM systems and other CRM services in 2013 were companies, Deloitte, IBM Accent,,, (Cognizant Capgemini$330 PricewaterhouseCoopers million).
At the same time, the leader, noted in Gartner, including in terms of revenue and volume of personnel involved, is Accenture. CRM accounts for about 7% of the company's revenue, about 18% of the company's revenue from consulting: about $2-2.2 billion. IBM Global Business Services has the same amount. Deloitte revenue - $1.7 billion, NTT Data - $1.1 billion, Capgemini revenue is about $1 billion, Infosys - $570 million, Cognizant - $580 million from CRM consulting and support alone (along with software sales - $675 million).
Among the challengers are Infosys, Tata Consultancy Group ($240 million), NTT Data. Niche players are Wipro ($200 million), Business & Decision ($130 million), HCL Technologies ($130 million), Tech Mahindra ($125 million). The visionaries are Bearing Point (revenue about $175 million) and CSC ($135 million).
According to Gartner estimates, in 2013 the global CRM services market amounted to $34 billion, until 2015 its average annual growth rate will be 7%.
Gartner forecast to 2016
In June 2013, Gartner analysts gave a forecast to the global CRM systems market until 2017[18] as part of a large-scale forecast for the entire corporate software market. This document says that in 2017 the global CRM market may reach $36.5 billion, and its average annual growth rate will be about 15.1%.
2012
Gartner Data
In April 2013, Gartner[19] released another report on the global CRM systems market, according to which Salesforce managed to bypass SAP and become the number 1 vendor. The revenue of the market as a whole in 2012 amounted to $18 billion, which is 12.5% more than in 2011, when the market was equal to $16 billion.
Gartner experts note that the CRM systems market literally "hot" in 2012 and competition between the main players has only intensified, CRM penetration has become even deeper in most regions, especially among medium-sized businesses and large industrial enterprises.
The demand for CRM systems provided by the SaaS model is also still growing: this segment accounted for 40% of the global customer relationship management software market in 2012.
About half of the global CRM systems market in 2012 was occupied by the five strongest vendors, where, as mentioned above, there was a significant castling. Salesforce.com, having earned about $2.5 billion in 2012, bypassed SAP and became the market leader. At the same time, SAP revenue growth in 2012 compared to 2011 in the CRM market amounted to less than 1% in dollar terms. In Western and Eastern Europe, SAP retained its leadership in revenue.
Gartner believes that this is a very important milestone in the development of Salesforce.com, and its achievement is not only of image importance. Now Tier 1 system integrators such as Accenture, IBM, Deloitte and Capgemini will pay more attention to working with this system. Already, among this category of vendors, 16% of CRM projects implemented are solutions Salesforce.com.
The largest players in the global CRM systems market 2011-2012, $ million
Vendor | Revenue 2012 | Market Share 2012 | Revenue 2011 | Growth 2011-2012 | |
1 | 2525,6 | 14% | 2004,6 | 26% | |
2 | 2327,1 | 12,9% | 2325,1 | 0,1% | |
3 | 2015,2 | 11,1% | 1870 | 7,8% | |
4 | 1135,3 | 6,3% | 900,9 | 26% | |
5 | 649,1 | 3,6% | 465,6 | 39,4% | |
Others | 9437,3 | 52,1% | 8513,7 | 10,7% | |
Total | 18090 | 100% | 16079,9 | 12,5% |
Gartner, 2013
The largest regional markets for CRM systems in 2012 remained the markets of North America and Western Europe, they accounted for more than 80% of the total market volume, but all regions are showing growth. In Western Europe, the CRM systems market grew by less than 1%. The key areas of growth remain Eastern Europe, Eurasia, the Middle East and Africa.
Another important trend in the market is the ongoing "wave" of consolidation of vendors, which was launched back in 2009, as a result of which about 50 M&A transactions were carried out on the market, which also led to increased competition between players.
Trefis data
According to Trefis analysts, the rapid growth of the global CRM systems market may allow it to reach $18 billion in 2012 (Trefis estimates less than IDC estimates for 2011). About 8% of this volume will come from social CRM.
Global CRM Vendor Share Growth Forecast
Salesforce will remain the largest player in the SaaS CRM market in 2012, accounting for 14.8% of the market, and by 2018 the company's share may reach 24%. As of February 2012, the company's subscriber base amounted to more than 100 thousand customers.
According to Trefis forecasts, total sales revenue from Microsoft Dynamics CRM and ERP will reach $2.5 billion by 2018. According to 2012 data, 2.25 million people in 33 thousand companies were users of the CRM system from Microsoft, and the average number of users in the project was 68 people.
As of 2012, SAP CRM had about 30 thousand customers and about 2 million users, as well as an ecosystem of 12 thousand partners. SAP's market share in CRM systems is expected to be 20% in 2018. SugarCRM, a leading provider of open-source CRM, has over 7,000 customers and over 500,000 users worldwide.
North America in 2012 will remain the largest regional CRM market, it will account for about $10 billion, followed by Europe and Asia, and in Western Europe the maximum increase in CRM is expected in the UK, and in Asia - in China.
2011
Gartner Data
According to Gartner, the global CRM market in 2011 amounted to $12.6 billion, and analysts separately estimated CRM implementation services at $50 billion, an increase compared to 2010 of 13.5%. As for geographical distribution, about half of the market is in the United States, 40% - in Europe, including Russia, and 10% in Asia.
After the crisis, the economies of countries Asia - China Malaysia - began to develop faster, and India since CRM spending is always correlated with economic development, demand for CRM began to grow in these countries. It is for this reason that Russia the CRM market is also rising, the fastest in Eastern, To Europe Gartner notes.
The global market is still far from consolidation, although almost 60% of it is occupied by leading vendors. SAP has the largest share (18.3%), followed by Salesforce (17%), Oracle/Siebel (15.9%) and Microsoft (7.1%). The rest of the market is shared by 450 vendors.
The main users of CRM remain banks, insurance companies, healthcare institutions, the high-tech industry, retail firms, car dealers. But there are industries that have little use of CRM.
The trend is that as the CRM market develops, the circle of buyers of such systems expands: first they are acquired by large companies, then medium and, finally, small ones. In the world, large customers account for about 70% of the CRM market. In the global market, CRM systems are used by 95% of large corporations with revenues over one billion dollars, that is, almost all. Among medium-sized companies, there are about 60%, and among small ones - no more than 25%.
The main new areas for CRM are business analytics, social and mobile technologies. Cloud computing is also important: in the world, 34% of CRM sales are in the cloud. And although cloud technologies now occupy only about one third of the CRM market, this segment is three times ahead of the traditional systems sector in terms of growth. By 2020, more than half of the CRM market will come from cloud technologies, Gartner predicts.
IDC data
Results of the second half of the year
In the second half of 2011, the growth of the global CRM systems market slowed down slightly compared to the first half of the year, according to IDC[20]. Despite this slight decrease, in annual terms the market reached growth of 11.2% and $19.1 billion in volume. Three of the four sub-market segments, marketing automation, sales automation and customer service automation, showed double-digit revenue growth in 2011.
On the other hand, the growth of the segment of applications for contact centers is expressed only in single digits, and the share of this segment in the total market volume in 2011 decreased by 1.4%. Although the positive dynamics in this segment in 2012-2016 will continue, the trend towards the loss of market share will also take place - in total it will decrease by 3.4% in the next four years.
Among CRM vendors, the following companies led globally in 2011 in descending order of share: Oracle (11%), SAP (9.9%), Salesforce (9.5%), Avaya (3.6%), SEC (3.3%). Other players accounted for more than half of the market - 62.7%. The competitive situation in the market remains very difficult, IDC experts say. Not only is the market quite fragmented, most of these leaders dominate in one geographical segment - this has happened historically.
For example, Oracle has the strongest position in the Asia-Pacific region (excluding Japan), Salesforce.com has gained a foothold in North America and Japan, and SAP mainly in EMEA and Latin America.
The top 10 vendors accounted for 49% of the global CRM systems market, which is 0.8% more than in 2010. For the first time in 2011, IBM hit the top ten in this market, showing double-digit annual revenue growth from this direction. Also in the top 10 are: SAP, Salesforce.com and NICE Systems. SAS, Adobe, Microsoft, Nuance Communications Inc., RightNow Technologies Inc., Interactive Intelligence and LivePerson are among the top 25 global CRM vendors.
In the second half of 2011, America and Japan showed the maximum increase in sales of CRM systems among the regions. However, the regions that are generally considered to be rapidly growing (CEMA, Latin America and Asia-Pacific excluding Japan) combined to grow 0.7% market share compared to 2010. This trend will continue in the coming years, primarily due to the rapid development of CRM markets in countries such as Russia, India, China, as well as most countries in Latin America, the Middle East and Africa.
Results of the first half of the year
On December 22, 2011, the analytical company IDC published the results of the first half of the CRM market in the world - Worldwide Semiannual Customer Relationship Management (CRM) Applications Tracker.
The global CRM application market reached very high levels in the first half of 2011, with revenues totaling close to $9.2 billion, the study said. According to Wilvin Chee, assistant vice president, half-year growth was 13.3% of the annual calculation, which is a third stronger than a year ago.
In 2011, growth will reach double digits in all major four segments, analysts predicted. Although the forecast for the contact center market does not match the growth in other sectors, the market should still recover after a strong decline of 3.6% in 2010. With regard to macroregions, America and Europe, in particular, will record at least two-fold growth compared to 2010.
Mary Wardley, vice president of IDC, is confident that the CRM application market is growing organically in line with improving market conditions. The development of social and mobile networks provides a consumer focus in all aspects of the interaction of end users and companies with which they do business. "As a result, we will see the need to modernize customer processes that will accelerate the growth of investments in favor of CRM," she said.
Twice as many vendors (18) reached revenues of more than $100 million during the first half of 2011 compared to the first half of 2010. Together, they received a market share of 63%, the rest was distributed between 170 suppliers and the rest of the development companies. Two new vendors that exceeded the revenue mark of $100 million: Nuance Communications and. Reynolds & Reynolds
The first in the list of CRM suppliers remains Oracle with growth above the market average, being the only manufacturer whose market share is expressed in double digits (13.2%) during the first half of 2011.
Salesforce continues to impress with the best annual growth (22.6%) among the top 10 vendors during the same period and moving to second place in the world. This happened for the first time since IDC began monitoring the market in 2008.
In the top 10, SAP and NICE Systems showed the strongest growth than in the overall market.
The IDC study reflects data from nearly 190 CRM providers (global and regional) in a total of 49 countries.
Forecast market growth by 7.6% to $18 billion at the end of the year
According to the company's forecast, in 2011 it will grow by more than $1.3 billion to $18 billion (an increase of 7.6% in annual terms).
The customer service application segment and marketing application segment, according to IDC forecasts, will grow by well 8.2% and 8.8%, respectively, while the sales application segment will increase by 8.6% in 2011. The contact center market, which experienced the maximum decline in 2010, will recover only by 5.4% in the current year.
The CRM systems market will show maximum growth in countries such as the USA, Germany and France. At the same time, the marketing application segment will demonstrate high rates in countries such as Australia, Brazil, Canada, China, India and Russia. With the exception of Brazil, all of the listed countries will also go uphill in the segment of applications to ensure sales.
2010: Market Size $16.5 Billion (+ 6.2%), Leader - Oracle
According to IDC, the global CRM systems market was actively recovering in 2010, showing growth of 6.2% to $16.5 billion.
Despite the fact that from a technological point of view, the CRM systems market consists of only four functional subsegments, its landscape remains fragmented. Outside the top three vendors, 19 vendors have revenues exceeding $100 million in CRM in 2010, collectively representing 35% of this market.
Oracle, SAP and Salesforce are the only vendors whose revenue from CRM in 2010 exceeded $1 billion. Oracle heads the list of vendors with a market share of 11.8% in 2010, while Salesforce.com has a maximum growth of 27.4% per year. At the same time, Oracle has the best results in North America and Japan, while the Salesforce.com biz has grown the most in the Asia-Pacific region (excluding Japan), Central and Eastern Europe, the Middle East and Africa.
Forrester Wave: Evaluation of CRM Systems for Large Business
According to Forrester Research, in the CRM segment of solutions for large companies in 2010, the leaders were Oracle Siebel CRM, SAP CRM, Microsoft, Oracle CRM On Demand, CDC Software, RightNow and Salesforce.
2009: New Technologies Expand Service Opportunities
Self-service on the Internet is becoming a key priority for SaaS vendors. RightNow acquired HighLive, a customer communication platform. Oracle announced the integration of InQuira and Oracle CRM OnDemand services. Salesforce.com has added a number of relevant features to Service Cloud.
2008: SAP market leader with 22% share
According to Gartner, the total revenue of the global CRM market in 2008 amounted to 9.15 billion USD, which is 12.5% higher than in 2007 (8.13 billion USD). Analysts point out that this growth was driven by corporate investments in technology aimed at customer retention, analytics and on-demand solutions. SAP remained the market leader and accounted for 22.5% of global CRM revenue in 2008 (see Table 1), but this is lower than in 2007 (25.5%). Microsoft had the strongest growth in the top five vendors, and its revenue grew by 75% in 2008.
The CRM market remains very strong in Western countries, but emerging markets are growing rapidly, which now account for almost 16% of the global market in total, compared to approximately 13.8% in 2006. Although North America and Europe slightly slowed down the growth rate of the CRM market in 2008, their share in the global market remained high: 52.5% and 31.6%, respectively. The share of each sub-segment in the CRM market as a whole shifted slightly in 2008, but sales service remained the largest sub-segment, having 42.8% of the market and the highest growth rate (14.7%). The marketing automation sub-segment also continued to grow in 2008 (by 10.4%) and accounted for 20.6% of the entire CRM market. The customer service and support sub-segment accounted for 36.6% of the CRM market and grew by 11.2%.
Trend of the Year - Shift Focus from Transactions to Interactive
Comcast is launching @ ComcastCares, one of the first examples of the massive use of social tools to engage with customers and customers. The company managed to gather significant feedback on Twitter, as well as attract media to cover the campaign. Other corporations followed suit, so very quickly social CRMs became a trend.
2007: Market volume $8.1 billion, SAP leads with 25% share
According to Gartner, in 2007 the global CRM systems market reached $8.1 billion, which is 23.1% more than in 2006 (then it was $6.6 billion).
Among CRM system vendors, SAP was the leader in 2007, occupying 25.4% of the market, followed by Oracle (16.3%). The largest growth rate in revenue was shown by Salesforce and Microsoft: the turnover of these companies from the sale of CRM solutions increased by 49.8% and 88.6%, respectively. In addition to them, the top five also included Amdocs.
SaaS Systems accounted for 15% of the global CRM market in 2007. With regard to regional characteristics, the CRM market in 2007 was seriously concentrated in the countries of the "Western economy," while emerging markets accounted for only 15% of the total market volume. About 53% of the volume was in North America and 32% in Western Europe.
In 2007, Salesforce.com launched Force.com, a cloud development environment. This platform allowed the company to build an ecosystem of SaaS partners, as well as break the stereotype that cloud solutions are difficult to customize.
2006
In 2006, the global CRM systems market, according to Thought Datamonitor, amounted to about $3.6 billion (only royalties). According to forecasts of this company, the average annual growth rate of the market until 2012 was supposed to be 10.5%, and the market volume in 2012 was $6.6 billion.
The study also says CRM demand is shaping up in new industries such as medicine, for example. According to KensingtonHouse, in 2006, 38% of companies surveyed considered buying CRM or were already implementing it, according to analysts, the reason for this success was the popularity of the SaaS model.
2005
According to the forecast IDC from 2005, the market CRM of systems will grow from $8 billion in 2004 to $10 billion in 2010.
2004
According to AMR Research, the world's largest developer of CRM systems was SAP, which replaced its longtime competitor, Siebel Systems, and increased its market share in 2004 by 30% (in monetary terms).
IDC In the CRM market report for 2004: market growth is estimated at 8%, and the top three are (in descending order), and Siebel. Oracle SAP
In June 2004, SugarCRM was founded as a commercial startup on Sourceforge.org. A cloud version of this product later appeared.
2002: Integration with other systems becomes an important factor
Microsoft is entering the CRM systems market with Dynamics CRM. The functionality of the solution was initially not too wide, but the main advantage of the system was the tightest integration with Microsoft Outlook, so in the end the corporation managed to become a serious player in the CRM systems market.
2001: The Impact of the Dot-com Crash
The legendary "dot-com" crash had a major impact on the CRM systems market. Oracle recorded a 25% decrease in revenue from royalties. Even monsters such as Siebel were affected by the crisis: this company for the first time published a quarterly report with negative revenue dynamics.
In 2001, Sage entered the market, and then seriously strengthened its position by buying SalesLogix, very quickly becoming the leading CRM vendor in the medium and small business segment.
In February 2001, Paul Greenberg released a book entitled "CRM at the Speed of Light." This book, which has now survived four editions, introduced the idea of xRM, expanding the understanding of traditional CRM.
1999: Market Consolidation, Mobile CRM Applications, e-CRM Popularity
The competition is intensifying and the natural process of market consolidation begins: The largest deal is the purchase of PeopleSoft by vendor Vantive.
Siebel releases Siebel Sales Handheld, one of the first mobile CRM applications. subsequent years, Oracle, SAP and PeopleSoft also begin to offer similar functionality.
A wave of popularity of the so-called e-CRM is growing, for example, Broadbase, Kana and Silknet, which will further pave the way for the development of interactive CRM services.
Salesforce.com enters the market as the first Software-as-a-Service (SaaS) CRM vendor. Initially, this decision was perceived by many as a "toy" for small businesses. Nevertheless, the system's capabilities increased and over time it began to seriously compete with industry leaders such as Siebel Systems.
Telecommunications giant Nortel has bought Clarify, a leading provider of call centers solutions. The combination proved to be life-saving for Nortel's struggling network business. Clarify was eventually acquired by Amdocs.
1998: CRMs ramp up functionality
Siebel buys Scopus, adding the strongest call centers solution in the market to the most powerful sales automation platform. It becomes clear that the focus in the market is shifting to comprehensive solutions, which cover not only the sales area, but also the service, as well as marketing activity.
At the same time, an aggressive invasion of the CRM market is carried out by SAP, establishing SAP Labs specifically for research and development in this area. The battle for the CRM market is coming between Siebel and the largest ERP vendors.
1997: ERP vendors attack front office
Oracle enters the CRM market with Oracle Sales and Marketing (OSM). In addition, ERP vendor Baan acquires specialized developer Aurum.
1995: The term "Customer Relationship Management" appears
The term "customer relationship management" (CRM) is becoming one of the most popular terms for front-office applications. Some experts used the abbreviations CIS (customer information system) and CIM (customer information management), but in the end it was the definition of CRM that took root.
1993: Siebel enters the market
Tom Siebel founded Siebel Systems, which in a short time becomes the dominant SFA player. Previously, Saibel headed Oracle's division responsible for marketing and building sales automation programs. He tried to offer his product to the head of Oracle Larry Ellison for purchase, but here he did not see anything interesting in it.
1990s: Sales management + contact management
Contact management becomes part of sales force automation (SFA) processes, innovative solutions such as Saratoga Systems and Brock Systems enter the market. These systems automated the standard sales process, which allowed you to control transactions and monitor their effectiveness.
1986-1987: First contact management software
Pat Sullivan and Mike Muhney founded Conductor Software in 1986. The first product of this company, the ACT! System, was released in 1987 and was positioned as a unique contact management application.
Notes
- ↑ CRM Software Market Research Report
- ↑ Enterprise Customer Communications Management Market Research Report
- ↑ Social CRM Software Market: Salesforce, Oracle, Microsoft and Amdocs Dominate - ResearchAndMarkets.com
- ↑ [1] Market Share: Customer Experience and Relationship Management, Worldwide, 2020 Customer Relationship Management Market Size, Share & Trends Analysis Report By Solution (Customer Service, Customer Experience Management), By Deployment, By Enterprise Size, By End Use, And Segment Forecasts, 2021 - 2028
- ↑ [2]
- ↑ [https://www.gartner.com/en/documents/3984886/market-share-customer-experience-and-relationship-manage Market Share: Customer Experience and Relationship Management, Worldwide, 2019
- ↑ , ]
- ↑ Gartner Says Worldwide Customer Experience and Relationship Management Software Market Grew 15.6% in 2018
- ↑ CRM Vendors Embrace AI, Automation to Break Down Silos, Nucleus Research CRM Value Matrix Finds
- ↑ Salesforce Named #1 CRM Provider for Fifth Consecutive Year
- ↑ Gartner Says CRM Became the Largest Software Market in 2017 and Will Be the Fastest Growing Software Market in 2018
- ↑ Salesforce Named #1 CRM Provider For Fourth Consecutive Year
- ↑ Gartner Says Customer Relationship Management Software Market Grew 12.3 Percent
- ↑ Gartner Says CRM Will Be at the Heart of Digital Initiatives for Years to Come
- ↑ Gartner Says Customer Relationship Management Software Market Grew 13.3 Percent
- ↑ Gartner Says Number of Mobile CRM Apps Downloadable on App Stores to Grow to Over 1,200 by 2014
- ↑ Quadrant for CRM Service Providers, Worldwide market
- ↑ Forecast: Enterprise Software Markets, Worldwide, 2012-2017, 2Q13 Update
- ↑ Gartner Says Worldwide Customer Relationship Management Software Market Greg 12.5 Percent in 2012
- ↑ The Fight for CRM Applications Market Leadership Gets Tighter