Why the market of CRM grows?

According to results of a research of Gartner analytical company [1] (file), growth of the market is caused by investments of the enterprises into the technologies focused on customer retention, analytics and also on solutions "on demand". By words Sharon Mertz, directors of research of Gartner, despite instability of financial markets, the world market of CRM systems grows the fifth year in a row. The actual growth is caused by strengthening of dollar and reflects increase in deposits of emerging markets.

According to a research, the share of the CRM systems provided according to the SaaS model in 2008 reached 20% of the total amount of the market. For comparison, in 2007 this indicator was 15%. Interest in social networks also increased in 2008, the enterprises faced increase in influence of consumers at sales, marketing and service through participation of clients in Internet forums.      

The main players of the CRM market in 2008

 

Gartner, July, 2009

The SAP company [2] (file) continues to remain the leader in the market of CRM systems, 22.5% of receipts of the world CRM market fall to its share in 2008 (25.5% in 2007).

Market shares of CRM vendors in 2007-2008

 

Gartner, July, 2009

Record levels on gaining the CRM market were shown by Microsoft company [3] (file),  its income in 2008 increased by 75%.

The income of the main players of the market of CRM in 2007-2008

($ million)

Gartner, July, 2009

While the CRM market remains concentrated in the western countries, emerging markets also quickly grow and now make nearly 16% of the world market, in comparison with 13.8% in 2006. Though growth of the market of CRM systems in 2008 in North America and Europe is lower in comparison with previous year,  the share of these regions in the market remains high (52.5% and 31.6% respectively).

In general sales management (42.8%) remains the largest segment of the CRM market, growth indicator in this segment was 14.7%. The Segment of automation of marketing grew by 10.4%  and made 20.6% of the CRM market.  Automation of service and a customer support in 2008  provided 36.6% of the market, having shown growth by 11.2%.

According to analysts of Gartner, most of developers with muted optimism estimate further growth of the world CRM market. According to Mrs. Mertz, investments into CRM technologies will grow till 2010. However in connection with economic uncertainty though CRM market perspectives also remain positive,  decrease in growth rates is expected.    

Analysts from AMR Research give more detailed and long-term forecasts concerning CRM market growth.  According to them, in the next five years the market will grow with the average annual speed of 4%. By 2013 market size will be about 18.9 billion dollars.

forecasts for the size of the market of CRM for 2008-2013

(one billion dollars)

File:2009-07-16 d1.jpg

AMR Research, 2009

Pacing factors of growth of analytics from AMR Research consider use of web technologies and tools dyal the business analysis.  At the same time the companies of a segment of B2C (business-to-consumer) pay bigger attention to  tools for  sales increase and cross-sellings through online stores  and also to opportunities for pre-sale informing potential clients and aftersales service. The companies of a segment of B2B (business-to-business) are more anxious with a research of the market and deeper requirement analysis and preferences of the clients.