Customer Relationship Management Market Expected to Reach $96.39 Billion by 2027

According to a recent report published by Allied Market Research, titled, “Customer Relationship Management Market by Component, Deployment Mode, Organization Size, Application, and Industry Vertical: Global Opportunity Analysis and Industry Forecast, 2020-2027,” the customer relationship management market size was valued at $41.93 billion in 2019, and is projected to reach $96.39 billion by 2027, growing at a CAGR of 11.1% from 2020 to 2027. 

The customer relationship management market growth is driven by surge in adoption of new cutting edge technologies in various organizations and rise in need to create new mile stone in customer engagement, sustainability and product marketing sector. In addition, increase in demand for customer satisfaction and simplification of customer order generation and delivery system to increase satisfaction of customer and its sustainability increases the use of customer relationship management software among the organization. Using a CRM system can give a clear overview of customer behavior to the companies. Project manager can see everything in one place. It provides customizable dashboard that can specify a customer's previous history with organization, the status of their orders, any outstanding customer service issues, and more.

On the basis of component, the software segment dominated the overall customer relationship management market share in 2019, and is expected to continue this trend during the forecast period. This is attributed to increase in adoption of CRM software among enterprises to gain strategic as well as competitive advantage and strong customer retention over their competitors. In addition, it helps industry vertical to engage new customer easily and sustain them for long time, which drives the growth of the market. However, the service segment is expected to witness highest growth, as service segment of customer relationship management market ensures effective coordination between software provider companies and users of CRM software by providing services such as implementation, training, consulting services, and managed services. The adoption of these software speeds up the customer satisfaction of various industrial verticals such as BFSI, IT & telecommunication, and healthcare, which maximizes the value of existing customer by optimizing their needs and minimizes the cost of operation. This further fuel the adoption of services that are needed to handle the software properly. 

Depending on deployment mode, the cloud segment garnered the largest share in 2019, and is expected to continue this trend during the forecast period. The segment is expected to witness highest growth in the upcoming years as cloud deployment does not need any investment in IT infrastructure as all data is stored on cloud server, which increases the demand for customer relationship management software in small and medium scale organizations. 

Post COVID-19, the global CRM software market is estimated to grow from $46.03 billion in 2020, and reach $96.39 billion by 2027, at a CAGR of 11.1%. The COVID-19 pandemic has been a defining moment, which has transformed sales and marketing perspective. The Covid-19 pandemic has affected global economy and has changed many things. Customer relationship management software is witnessing a boom in the corona pandemic. CRM software is assisting many businesses to enhance their operation and boost up their functionality. In this pandemic condition work force all industrial verticals is working remotely. In this case, loss and theft of customer data is the most important problem. CRM tools are also providing security of customer data and capable of managing and storing complex amount of data, which can be lost in data transfer. CRM tools also have features that can gather information for an external source and effortlessly redirect it to the system. Due to this, no data will be missed and opportunities will not be lost. This feature increase the use of CRM software in enterprises. However, customer relationship management software is delivering fast-tracking of customer requirement to organizations and users for accelerating customer satisfaction.  However, owing to the lockdown implemented across various countries, national and international transport have been hampered, which has significantly impacted the supply chain of numerous industries across the globe, thereby increasing the supply–demand gap that can affect  customer relationship. To handle this situation, lots of organizations inclined to adopt customer relationship management software, which is expected to boost the CRM software market globally.

Key Findings of The Study

• By component, the software segment dominated the customer relationship management market in 2019. However, the service segment is expected to exhibit significant growth during the forecast period.
• On the basis of deployment mode, the cloud segment accounted for the highest revenue of CRM market in 2019; and is expected to witness the highest growth rate over the forecast period.
• Depending on organizational size, the large scale enterprise segment generated the highest revenue in 2019. However, the small and medium scale segment is expected to witness the highest growth rate in the near future.
• Depending on industry vertical, the BFSI industry generated the highest revenue in 2019. However, the retail & e-commerce industry is expected to witness the highest growth rate in the near future.
• Region wise, the CRM market was dominated by North America. However, Asia-Pacific is expected to witness significant growth in the coming years. 

This report gives an in-depth profile of some key customer relationship management industry players in the CRM market, which include Insightly, Inc., Microsoft Corporation, Netsuite Inc., Oracle Corporation, Pegasystems, Sage Group plc, Salesforce.com, Inc., SAP SE, SugarCRM, and Zoho Corporation Pvt. Ltd. This study includes market trends, customer relationship management market analysis, and future estimations to determine the imminent investment pockets.