Global Customer Relationship Management (CRM) Market – Industry Trends and Forecast to 2031

Customer Relationship Management (CRM) Market Analysis and Size

Sales Customer Relationship Management (CRM) market involves leveraging CRM tools and techniques to streamline and enhance the sales process. This includes managing leads, tracking customer interactions, forecasting sales, and analyzing performance metrics. CRM enables sales teams to improve customer engagement, prioritize leads, and effectively collaborate across departments to drive revenue growth. Centralizing customer data and providing insights, CRM empowers sales managers to make data-driven decisions and optimize their strategies for greater success.

Global customer relationship management (CRM) market size was valued at USD 217.35 million in 2023 and is projected to reach USD 286.2 million by 2031, with a CAGR of 3.5% during the forecast period of 2024 to 2031. In addition to the market insights such as market value, growth rate, market segments, geographical coverage, market players, and market scenario, the market report curated by the Data Bridge Market Research team includes in-depth expert analysis, import/export analysis, pricing analysis, production consumption analysis, and pestle analysis.

Report Scope and Market Segmentation       

Market Definition

Customer relationship management (CRM) is a strategy that businesses use to manage interactions and relationships with current and potential customers. It involves leveraging technology to organize, automate, and synchronize sales, marketing, customer service, and technical support processes.

Customer Relationship Management (CRM) Market Dynamics

Drivers

• Growing Customer-Centric Strategies through CRM Solutions

As customers demand personalized and seamless experiences across various touchpoints, organizations turn to CRM systems to efficiently manage interactions, gather valuable insights, and tailor offerings to meet evolving needs. CRM enables businesses to anticipate and respond to customer preferences more effectively, fostering stronger relationships and driving competitive advantage in today's dynamic market landscape.

• Growing Adoption of Customer Relationship Management due to Increased Digital transformation

As businesses undergo digital transformation, there is a growing need to adopt CRM solutions to streamline customer interactions, leverage data analytics for personalized marketing, and provide seamless omnichannel experiences. CRM systems play a pivotal role in enabling organizations to digitize their customer engagement processes, improve operational efficiency, and stay competitive in today's digital economy. Thus, the demand for CRM solutions is propelled by the overarching trend of digital transformation, as businesses prioritize enhancing customer relationships in the digital age.

For instance, The IBM survey underscores the pivotal role of digital transformation in propelling CRM adoption, emphasizing the blending of existing solutions with cloud technologies. This approach enables businesses to modernize their CRM processes, maximizing the value of their investments and staying agile in an ever-evolving marketplace.

Opportunities

• Rise in Shift towards Omnichannel Engagement Promotes Consistent Customer Interactions

Businesses are investing in CRM solutions to unify customer data from various touchpoints such as social media, email, mobile apps, and in-person interactions. Adopting omnichannel CRM strategies, organizations can deliver personalized experiences, anticipate customer needs, and foster stronger relationships. This approach enhances customer satisfaction and improves operational efficiency and drives revenue growth, driving the demand for advanced CRM solutions tailored for omnichannel engagement.

• Introduction of New Tools Increasing Demands Customer Service Delivery

New tools such as Genesys' AI-driven customer experience solutions launched in 2021, fuels growth opportunities in the global CRM market. Genesys' offerings, including open messaging API, bot development, orchestration, and employee development features, demonstrate the evolving capabilities of CRM applications to meet the increasing demands of businesses for enhanced customer engagement and service delivery. These advancements enable organizations to leverage AI-driven insights, streamline communication channels, and empower employees, driving adoption and investment in CRM solutions. Consequently, the continuous innovation in CRM technology acts as a significant driver propelling market expansion and evolution.

Restraints/Challenges

• High Cost of Implementation hampers the Adoption of CRM Systems for Small and Medium-Sized Enterprises (SMEs)

Expenses associated with software licensing, customization, integration with existing systems, and employee training can quickly escalate. This financial barrier often prevents organizations from adopting or upgrading CRM solutions, limiting their ability to improve customer relationships and streamline operations. Moreover, ongoing maintenance costs add to the total cost of ownership, making it challenging for businesses to justify the investment in CRM technology. As a result, cost considerations remain a significant restraint for companies looking to leverage CRM solutions effectively.

• Growing Privacy Concerns Limits the Adoption of CRM Technology

Growing concerns about privacy and data security, as well as increasing regulations such as GDPR and CCPA, are posing challenges to the expansion of the customer relationship management (CRM) market. Organizations are facing pressure to ensure compliance with these regulations while managing vast amounts of customer data. The rising complexity of customer data management and integration across various systems is a barrier to CRM adoption for some businesses. These concerns collectively limit the scope of growth in the long run by hindering the willingness of businesses to invest in CRM solutions and by heightening the need for robust data protection measures.

This market report provides details of new recent developments, trade regulations, import-export analysis, production analysis, value chain optimization, market share, impact of domestic and localized market players, analyses opportunities in terms of emerging revenue pockets, changes in market regulations, strategic market growth analysis, market size, category market growths, application niches and dominance, product approvals, product launches, geographic expansions, technological innovations in the market. To gain more info on the market contact Data Bridge Market Research for an Analyst Brief, our team will help you take an informed market decision to achieve market growth.

Recent Developments

• In 2023, Salesforce announced its 'Sales Planning' solution, aimed at streamlining the creation of comprehensive plans using CRM data. This Sales Cloud offering facilitates efficient distribution of territories, compensation, and quotas, empowering organizations to enhance their growth strategies
• In 2023, Genesys and Salesforce, Inc. forged a strategic collaboration to amalgamate bots, communication channels, and data, enhancing both employee and customer experiences. This collaboration will introduce AI-powered CRM solutions, named CX Cloud and Genesys Cloud CX, integrating Salesforce Service Cloud and Genesys technologies
• In 2023, Creatio and zolution, a CRM consultancy firm in Singapore, joined forces to deploy Creatio's no-code platform for automating workflows. This collaboration aims to optimize CRM strategies for zolution's clients, ultimately enhancing customer engagement and operational efficiency
• In 2022, SAP SE announced a collaboration with Sri Lankan conglomerate Lanka Walltiles to revolutionize its business processes using S/4 HANA cloud. Leveraging SAP's S/4 HANA, Lanka Walltiles aims to automate operations and streamline data-driven decision-making across customer-centric, partner, and employee experiences

Customer Relationship Management (CRM) Market Scope

The market is segmented on the basis of component, deployment model, organization size, application and industry vertical. The growth amongst these segments will help you analyze meagre growth segments in the industries and provide the users with a valuable market overview and market insights to help them make strategic decisions for identifying core market applications.

Component  

• Solution
• Services

Deployment Mode

• On-Premise
• Cloud
• Hybrid

Organizational size 

• Large scale 
• Small and medium scale  

Application

• Customer Service
• Customer Experience Management
• CRM Analytics
• Marketing Automation
• Salesforce Automation
• Others

Industry Vertical

• BFSI
• Healthcare
• Energy and Utility
• IT and Telecommunication
• Retail and E-commerce
• Manufacturing
• Government and Defense 
• Media and Entertainment
• Others

Customer Relationship Management (CRM) Market Region Analysis/Insights

The market is analyzed and market size insights and trends are provided by country, component, deployment model, organization size, application and industry vertical as referenced above.

The countries covered in the market report are U.S., Canada and Mexico in North America, Germany, France, U.K., Netherlands, Switzerland, Belgium, Russia, Italy, Spain, Turkey, Rest of Europe in Europe, China, Japan, India, South Korea, Singapore, Malaysia, Australia, Thailand, Indonesia, Philippines, Rest of Asia-Pacific (APAC) in the Asia-Pacific (APAC), Saudi Arabia, U.A.E, Israel, Egypt, South Africa, Rest of Middle East and Africa (MEA) as a part of Middle East and Africa (MEA), Brazil, Argentina and Rest of South America as part of South America.

North America dominates the market both in revenue and market share, primarily owing to the rapid uptake of modern technologies and the widespread presence of sophisticated IT infrastructure across developed nations in the region. The advanced infrastructure facilitates seamless integration and implementation of CRM solutions, enabling businesses to efficiently manage customer relationships and drive growth. This dominance underscores North America's competitive advantage in leveraging CRM technologies to enhance customer engagement, streamline processes, and gain valuable insights, thus maintaining its leadership position in the global CRM landscape.

Asia-Pacific is expected to maintain the highest compound annual growth rate, driven primarily by the rapid digitization of economies across the region. The BFSI (Banking, Financial Services, and Insurance) sector, in particular, is increasingly adopting digital solutions, further fueling growth. This trend is propelled by factors such as rising internet penetration, expanding smartphone usage, and the emergence of fintech innovations. As businesses in the BFSI industry embrace digital transformation to enhance efficiency and customer experience, the Asia-Pacific region is expected to sustain its robust growth trajectory.

The country section of the global sales force automation software market report also provides individual market impacting factors and changes in regulation in the market domestically that impacts the current and future trends of the market. Data points such as consumption volumes, production sites and volumes, import export analysis, price trend analysis, cost of raw materials, down-stream and upstream value chain analysis are some of the major pointers used to forecast the market scenario for individual countries. Also, presence and availability of global brands and their challenges faced due to large or scarce competition from local and domestic brands, impact of domestic tariffs and trade routes are considered while providing forecast analysis of the country data.

Competitive Landscape and Customer Relationship Management (CRM) Market Share Analysis

The market competitive landscape provides details by competitor. Details included are company overview, company financials, revenue generated, market potential, investment in research and development, new market initiatives, Global presence, production sites and facilities, production capacities, company strengths and weaknesses, product launch, product width and breadth, application dominance. The above data points provided are only related to the companies' focus related to market.

Some of the major players operating in the market are:

• Acquia, Inc (U.S.)
• Amdocs (U.S.)
• IBM (U.S.)
• Jive Software, LLC (U.S.)
• Microsoft (U.S.)
• Oracle (U.S.)
• Hewlett Packard Enterprise Development LP (U.S.)
• Pegasystems Inc. (U.S.)
• Ramco Systems. (India)
• SAGE Publications (U.S.)
• Salesforce, Inc. (U.S.)
• Aurea, Inc. (U.S.)
• Insightly, Inc. (U.S.)
• SAP SE (Germany)
• SugarCRM Inc. (U.S.)

SKU-68521