The Global Customer Relationship Management Market size is expected to reach $94.4 billion by 2027, rising at a market growth of 11.3% CAGR during the forecast period. Customer Relationship Management refers to a technique employed by the companies to improve their current customer relationships along with gaining new customers quickly. With the help of customer relationship management, organizations can streamline the communication process with their customer and meet their satisfaction regarding their product or service.
CRM includes direction and guidelines regarding how to carry out the interactions between customer and enterprise along with that it also helps in managing and monitoring all the crucial information. Moreover, this vital information is used to generate leads, boost sales, close deals & maintain customers, develop more tailored customer service, develop more strong relationships, and making processes efficient and simple. In addition, customer relationship management is highly used by sales managers to automate their sales process and monitor the performance of their team.
The increasing demand for implementing Customer Relationship Management (CRM) offerings and solutions through the Software as a Service (SaaS) model is one of the major trends of the market. The demand for CRM solution will witness a spike worldwide due to the aspects like enhancing the scope of digital operations, growing demand for automated engagement with customers, and rising focus on delivering better customer experience & services. In addition, factors like the advent of serverless computing & hybrid cloud computing, advancements in cloud computing technology, and the accessibility of different service models like Infrastructure as a Service (IaaS), SaaS, and Platform as a Service (PaaS) are estimated to bolster the growth of the market during the forecast period.
The outbreak of the global COVID-19 pandemic has changed the ways through which companies operate. The lockdown restrictions and work from home culture due to the pandemic have increased the focus of the companies on effective methods of engaging with their customers in the remote working atmosphere. This is estimated to increase the adoption and usage of CRM solutions by the companies to better serve their customers, boost sales engagement, and improve employee productivity.
Several companies are implementing customer relationship management solution across their customer engagement departments for improving their daily activities, meet customer satisfaction and engage more customers in the competitive market. In addition, CRM vendors are helping organizations in various sectors to accelerate their digital transformation and enhance their customer relationship management capabilities that would further propel the growth of the CRM market.
Based on Component, the market is segmented into Software and Services. The service segment is projected to record the highest growth rate since it establishes an effective connection among the software vendors and customers of CRM software by delivering services like training, implementation, consulting services, and managed services. There is growing adoption of the software that improve the customer satisfaction of several industrial sectors like IT & telecommunication, BFSI, and healthcare, which optimize the value of current customer by fulfilling their requirements and reduce the operational cost. It further propels the adoption of services that helps in handling the software properly.
Based on Enterprise Size, the market is segmented into Large Enterprises and Small & Medium Enterprises. The large enterprises segment acquired the largest share in the market in 2020. It is owing to the presence of various operational departments in large enterprises, where CRM solutions are used to assist in integrating customer data with business process management capabilities and also help companies to manage their marketing, sales, and customer support processes seamlessly.
Based on Deployment Type, the market is segmented into Cloud and On-premise. The cloud segment procured the highest revenues share in the market in 2020. Cloud-based solutions are widely adopted & popular due to the various benefits like scalability, high flexibility, cost-efficiency, and low hardware maintenance cost, provided by the SaaS deployment model.
Based on Application, the market is segmented into Customer Service, Customer Experience Management, CRM Analytics, Marketing Automation, Salesforce Automation and Others. By Application, the customer service segment acquired the highest market share in 2020. Factors such as the increasing importance among companies about their customers’ behaviour & preference and growing adoption of the customer service strategies by the companies to offer best service performance in real-time are responsible for this massive growth. In addition, the rising usage of digital channels by the customers to engage with brands & companies is projected to open new growth avenues for the market during the forecast period.
Based on End User, the market is segmented into BFSI, IT & Telecom, Healthcare, Retail & eCommerce, Government & Defense, Energy & Utility, Manufacturing and Others. The rising competition across the retail sector is surging the demand for improved CRM software & online systems to help the companies to offer their customers more efficient & effective customer-centric services. Additionally, there is an increasing demand for advanced CRM solutions, which assist various channels for sale processes, provide analyses and comprehensive data-based oversight of customers and their purchasing patterns & preferences. These developments are estimated to bolster the demand for CRM solutions in the retail industry during the forecast period.
| Report Attribute | Details |
|---|---|
| Market size value in 2020 | USD 42.1 Billion |
| Market size forecast in 2027 | USD 94.4 Billion |
| Base Year | 2020 |
| Historical Period | 2017 to 2019 |
| Forecast Period | 2021 to 2027 |
| Revenue Growth Rate | CAGR of 11.3% from 2021 to 2027 |
| Number of Pages | 368 |
| Number of Tables | 583 |
| Report coverage | Market Trends, Revenue Estimation and Forecast, Segmentation Analysis, Regional and Country Breakdown, Companies Strategic Developments, Company Profiling, Competitive Landscape |
| Segments covered | Component, Enterprise Size, Deployment Type, Application, End User, Region |
| Country scope | US, Canada, Mexico, Germany, UK, France, Russia, Spain, Italy, China, Japan, India, South Korea, Singapore, Malaysia, Brazil, Argentina, UAE, Saudi Arabia, South Africa, Nigeria |
| Growth Drivers |
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| Restraints |
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Based on Regions, the market is segmented into North America, Europe, Asia Pacific, and Latin America, Middle East & Africa. Asia Pacific region would exhibit the highest growth rate during the forecast period. The rising demand for advanced and innovative CRM solutions in developing nations like India and China is projected to act as a catalyst for the growth of the regional market. In addition, the significant expansion of the e-commerce sector in Asian countries would also contribute to the booming regional market.
Free Valuable Insights: Global Customer Relationship Management Market size to reach USD 94.4 Billion by 2027
The major strategies followed by the market participants are Product Launches. Based on the Analysis presented in the Cardinal matrix; Microsoft Corporation is the major forerunner in the Customer Relationship Management Market. Companies such as SugarCRM, Inc., Salesforce.com, Inc., and Adobe, Inc., and SAP SE are some of the key innovators in the market.
The market research report covers the analysis of key stake holders of the market. Key companies profiled in the report include Salesforce.com, Inc., Microsoft Corporation, SAP SE, Oracle Corporation, Adobe, Inc., Zoho Corporation Pvt. Ltd., Creatio, SugarCRM, Inc., Copper CRM, Inc., and Insightly, Inc.
By Component
By Enterprise Size
By Deployment Type
By Application
By End User
By Geography
The customer relationship market size is projected to reach USD 94.4 billion by 2027.
The CRM solutions help in maintaining customer engagement through omnichannel are driving the market in coming years, The high cost attached to the implementation of CRM solutions have limited the growth of the market.
Salesforce.com, Inc., Microsoft Corporation, SAP SE, Oracle Corporation, Adobe, Inc., Zoho Corporation Pvt. Ltd., Creatio, SugarCRM, Inc., Copper CRM, Inc., and Insightly, Inc.
Based on component, the software segment obtained the largest market share in 2020 and is estimated to continue this growth over the forecast period.
The telecom & IT segment would be the fastest-growing segment during the forecast period.
North America emerged as a leading region with the highest market share in 2020. It is due to the presence of key market vendors of CRM in the US and the increasing dependency of the companies across this region on the usage of advanced technologies.
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