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CRM boom sparked by digital marketing, customer experience projects

7/05/2014 by


Customer Relationship Management (CRM) software is going through something of a boom and, if the analysts at Gartner are right, it is a boom that shows no sign of ending anytime soon.

The analyst firm said that investment in digital marketing and customer experience initiatives were the primary growth drivers last year.

From a technical point of view, growth is being fuelled by the increasing demand for software-as-a-service (SaaS) applications which represented “more than 41 per cent of CRM total software revenue in 2013″, according to Gartner.

This was driven by “organisations of all sizes seeking easier-to-deploy alternatives to replace [their] legacy systems, implement net-new applications or provide alternative complementary functionality”.

The market for CRM software continues to be dominated by the larger players, with the top five CRM vendors accounted for 50 per cent of CRM software revenue last year. continued to be the largest vendor overall in the CRM market, with 16.1 per cent of the market.

SAP remained in the number two position for overall CRM space, but is still the leader in terms of revenue and market share for what Gartner calls the” subsegments” of customer service and e-commerce.

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