GVR Report cover Customer Relationship Management Market Size, Share & Trends Report

Customer Relationship Management Market Size, Share & Trends Analysis Report By Solution, By Deployment (On-premise, Cloud), By Enterprise Size, By End Use, By Region, And Segment Forecasts, 2022 - 2030

  • Report ID: GVR-1-68038-912-8
  • Number of Pages: 150
  • Format: Electronic (PDF)
  • Historical Range: 2017 - 2020
  • Industry: Technology

Report Overview

The global customer relationship management market size was valued at USD 52.4 billion in 2021 and is anticipated to expand at a compound annual growth rate (CAGR) of 13.3% from 2022 to 2030. The COVID-19 pandemic has driven several organizations across the globe to develop a roadmap and to understand together with their consumers how to move ahead in the future. Rising demand for automated engagement with customers, improving the scope of digital operations, and enhancing customer experience and services are driving the demand for Customer Relationship Management (CRM) solutions across various industries globally. Emerging technologies, such as cloud computing technology, Artificial Intelligence (AI), machine learning, and the availability of various service models such as SaaS, Infrastructure as a Service (IaaS), and Platform as a Service (PaaS) are projected to drive the market over the forecast period.

U.S. Customer Relationship Management Market size, by solution, 2020 - 2030 (USD Billion)

According to industry estimates, over 91% of organizations with more than ten employees in their workforce use customer relationship management systems. Organizational departments such as sales and marketing and customer services and support are increasingly integrating CRM systems with artificial intelligence to improve customer experience and feedback and develop strong bonds with their customers. Furthermore, factors such as efforts to accelerate business content, shifting their strategy from push marketing to pull marketing, and providing real-time communication, will empower organizations to adopt customer relationship management solutions over the forecast period.

The growing use of digital channels by customers to communicate with brands and organizations is anticipated to boost the market growth over the forecast period. A recent survey conducted by SoftClouds suggests that approximately 82% of the organizations use customer relationship management systems for sales reporting and process automation. It gives a better understanding of buyer behavior and their preference, which enables brands and organizations to adopt the best customer relationship management strategies and deliver performance in real-time. For instance, in December 2021, Freshworks Inc. offered Freshdesk Contact Center to 7-Eleven store, a global chain of retail stores. The solution will resolve queries quickly and deliver the same-in-store conveniences to their regular customers and online shoppers.

With the growing importance of understanding customer behavior and their preferences, organizations are adopting customer relationship management strategies to deliver the best performance in real-time and stay ahead of their rivals. Rapid shifts in the fields of business intelligence and embedded analytics, Internet of Things (IoT), artificial intelligence, and their implementation in customer relationship management solutions are likely to promote product enhancement and innovation among CRM vendors. For instance, in June 2021, Salesforce.com, Inc. announced new capabilities across digital 360 to help enterprises to boost their digital activities and deliver the next generation of digital experiences, commerce, and marketing.

The CRM market is anticipated to witness the tussle between emerging vendors, large vendors, and new and niche vendors to expand their business reach into new markets and industries. Furthermore, several customer relationship management providers are working with system integrators (SI) and independent software vendors (ISV) to sustain in this competitive market. The growing adoption of customer relationship management applications, ease of deployment, and ongoing price trends are expected to drive the growth of customer relationship management market.

Solution Insights

The customer service segment dominated the market and accounted for a revenue share of over 20% in 2021. The key driving factors for the growth of the market include is the growing importance of understanding customer behavior and their preferences, encouraging brands and organizations continue to adopt customer relationship management strategies to deliver the best service performance in real-time. Additionally, the growing use of digital channels using artificial intelligence and its applications by customers to engage with brands and organizations is expected to boost the grow over the forecast period.

The CRM analytics segment is anticipated to witness a significant CAGR over the forecast period. The availability of multiple platforms and increasing adoption for integration of analytics features in customer relationship management solutions that benefit companies to derive rich insights from business data are the factors expected to drive the growth of the segment. The analytics is based on programming that analyzes data related to customers and helps businesses make better decisions related to their business. Ongoing demand for structured and unstructured data through digital channels is expected to drive the demand for online analytical processing over the forecast period.

Deployment Insights

The cloud segment dominated the market and accounted for a revenue share of over 50.0% in 2021. Deployment of the CRM software on cloud, allows the users to access the same information from any device at any time. The increased product demand drives the market among small and medium enterprises. It offers several benefits, such as high flexibility, real-time access, scalability, cost-effectiveness, and low hardware maintenance cost, offered by the SaaS deployment model. Organizations are preferring cloud-based deployment of various CRM solutions as they are hosted on the vendor’s server and can be remotely accessed from any location.

According to a customer relationship management buyer survey conducted by SelectHub, several larger enterprise groups have preferred on-premise as compared to cloud-based deployment. Due to the increasing demand for data privacy, the demand for on-premise customer relationship management solutions has increased. Furthermore, the on-premise model is still the first choice by the largest organizations in the world, as they have business-critical information to be stored on their servers for enhanced data protection. A rise in investments in customer relationship management systems on the part of these large organizations is likely to drive the segment during the forecast period.

Enterprise Size Insights

The large enterprises segment accounted for the highest revenue share of more than 60.0% in 2021. With the presence of multiple operational departments in large enterprises, CRM solutions are utilized to help integrate customer data with business process management features and enable users to coordinate with their sales, marketing, and customer support processes effortlessly and drive the company’s overall performance. Furthermore, the growing applications of big data, artificial intelligence and its applications in large enterprises are expected to drive the adoption of customer relationship management solutions.

The growing adoption of a number of government initiatives through digital campaigns, such as video marketing, social media, and search engine marketing, across the globe are expected to drive the SME segment at a significant CAGR over the forecast period. The increasing demand for business networking, internal transparency and collaboration, smooth employee transition, funding opportunities from government bodies, and building brand and reputation will enable SMEs to implement customer relationship management solutions across businesses. Moreover, the growing demand for hosted services in small businesses is responsible for fueling the customer relationship management market size over the forecast period.

End-use Insights

The retail segment emerged as the largest shareholder in 2021, accounting for nearly 24.0% of the market, respectively. The growing online shopping platforms and mobile application is offering huge customer data to retail companies. These retail companies are shifting towards customer relationship management software and solutions to understand business growth, market trends, and experience. Furthermore, the increasing focus on digital marketing activities and customized advanced IT solutions drive the segment over the forecast period. The increasing competition in the retail industry is driving the demand for advanced CRM software and is expected to witness a significant CAGR over the forecast period and also online systems enable enterprises to provide their customers with efficient customer-centric services.

Global Customer Relationship Management Market share, by end use, 2021 (%)

Moreover, innovative customer relationship management solutions and digital solutions that support multiple channels for sale processes, offer analyses, and complete data-based oversight of customers and their purchasing habits are also rising. These developments in the retail segment are expected to drive the market’s growth over the forecast period. The IT and telecom segment is anticipated to be the fastest-growing segment over the forecast period. customer relationship management solutions in IT and telecom offer brand equity, distribution channels, post-purchase service, and customer exclusivity and support. These benefits allow organizations to continue their business to sustain in this competitive market. Moreover, the increasing demand for on-time delivery of products is propelling the market’s growth and focus on improving the efficiency of their business processes.

Regional Insights

North America dominated the Customer Relationship Management (CRM) market and accounted for the largest revenue share of44.1% in 2021. In North America, the U.S. held the major revenue share of the market in 2021. The key driving factors are the the increasing adoption of CRM solutions by several enterprises across the region that rely on advanced technologies and are expected to dominate the market over the forecast period. Furthermore, continuous adoption of digital transformation across various sectors, including banking, retail, and hospitality, is expected to propel the North American market over the forecast period.

In Asia Pacific, the market is estimated to register the highest CAGR over the forecast period. The rising demand for innovative customer relationship management solutions from emerging countries such as China and India is acting as a catalyst for the growth of the regional market. The expansion of the e-commerce industry in Asian countries, such as India, is anticipated to drive the demand for customer relationship management solutions. The growing scope of businesses in the region, an optimistic growth prediction across economies, and a large customer base are other key factors expected to drive the growth of the CRM market in the Asia Pacific region over the forecast period.

Key Companies & Market Share Insights

Salesforce.com, Inc. is an enterprise software provider, which offers customer management software suites through the cloud platform. Microsoft Corporation has also exhibited considerable development in the field in the past few years. Leading market participants are investing in research and development activities to drive organic growth and increase their market shares. Additionally, companies are also engaging in new product development to expand and strengthen their existing portfolios and acquire new customers.

Companies are also engaging in mergers and acquisitions and strategic partnerships to develop technologically advanced solutions and gain a competitive edge over their rivals. For instance, in October 2021, SAP SE announced the integration of SAP Sales Cloud Solution with Microsoft Teams. This integration of SAP Sales Cloud Solution with Microsoft Teams enables users to access customer and sales information instantly from Microsoft Teams and also update the records of customer meetings in real-time without leaving the Microsoft Teams. Some of the prominent players in the customer relationship management market include:

  • Salesforce.com, Inc.

  • Microsoft Corporation

  • SAP SE

  • Oracle Corporation

  • ADOBE INC.

  • SugarCRM Inc.

  • Zoho Corporation Pvt. Ltd

  •  Copper CRM, Inc.

  • Insightly Inc.

  • Creatio

Customer Relationship Management Market Report Scope

Report Attribute

Details

Market size value in 2022

USD 57.9 billion

Revenue forecast in 2030

USD 157.6 billion

Growth Rate

CAGR of 13.3% from 2022 to 2030

Base year for estimation

2021

Historical data

2017 - 2020

Forecast period

2022 - 2030

Quantitative units

Revenue in USD million and CAGR from 2022to 2030

Report coverage

Revenue forecast, company market share, competitive landscape, growth factors, and trends

Segments covered

Solution, deployment, enterprise size, end use, region

Regional scope

North America; Europe; Asia Pacific; Latin America; MEA

Country scope

U.S.; Canada; Germany; U.K.; France; Spain; China; India; Japan; Australia; New Zealand; Brazil

Key companies profiled

Salesforce.com, Inc.; Microsoft Corporation; SAP SE; Oracle Corporation; ADOBE INC.; SugarCRM Inc.; Zoho Corporation Pvt. Ltd.; Copper CRM, Inc.; Insightly, Inc.; Creatio

Customization scope

Free report customization (equivalent to up to 8 analyst working days) with purchase. Addition or alteration to country, regional, and segment scope.

Pricing and purchase options

Avail customized purchase options to meet your exact research needs. Explore purchase options


Segments Covered in the Report

This report forecasts revenue growth at global, regional, and country levels and provides an analysis of the latest industry trends in each of the sub-segments from 2017 to 2030. For the purpose of this report, Grand View Research has segmented the global customer relationship management market report based on solution, deployment, enterprise size, end use, and region:

  • Solution Outlook (Revenue, USD Million, 2017 - 2030)

    • Customer Service

    • Customer Experience Management

    • CRM Analytics

    • Marketing Automation

    • Salesforce Automation

    • Social Media Monitoring

    • Others

  • Deployment Outlook (Revenue, USD Million, 2017 - 2030)

    • On-premise

    • Cloud

  • Enterprise Size Outlook (Revenue, USD Million, 2017 - 2030)

    • Large Enterprises

    • Small & Medium Enterprise

  • End-use Outlook (Revenue, USD Million, 2017 - 2030)

    • BFSI

    • Retail

    • Healthcare

    • IT & Telecom

    • Discrete Manufacturing

    • Government & Education

    • Others

  • Regional Outlook (Revenue, USD Million, 2017 - 2030)

    • North America

      • U.S.

      • Canada

    • Europe

      • U.K.

      • Germany

      • France

      • Spain

    • Asia Pacific

      • China

      • Japan

      • India

      • Australia

      • New Zealand

    • Latin America

      • Brazil

    • Middle East & Africa (MEA)

Frequently Asked Questions About This Report

gvr icn

GET A FREE SAMPLE

gvr icn

This FREE sample includes market data points, ranging from trend analyses to market estimates & forecasts. See for yourself.

gvr icn

NEED A CUSTOM REPORT?

We can customize every report - free of charge - including purchasing stand-alone sections or country-level reports, as well as offer affordable discounts for start-ups & universities.

Contact us now to get our best pricing.

esomar icon

ESOMAR certified & member

D&B icon

Leading SME award by D&B

We are GDPR and CCPA compliant! Your transaction & personal information is safe and secure. For more details, please read our privacy policy.

great place to work icon