Customer Relationship Management Market - Growth, Trends, Covid-19 Impact, and Forecasts (2023 - 2028)

Customer Relationship Management Market - Growth, Trends, Covid-19 Impact, and Forecasts (2023 - 2028)

The customer relationship management market is expected to register a CAGR of 14.9% during the forecast period 2021-2026. This is primarily due to number of businesses adopting CRM to boost their customer retention and drive sales is seeing a continuous surge. CRM connects multiple support channels, to resolve issue ASAP. With its multiple deployment modes, easy mobile access, and scalability as top features the CRM tools see increasing applications worldwide.

• Most CRM software automate a number of processes that are otherwise difficult to keep tabs on. For example, automating repetitive tasks such as emails, lead generation, and social media helps marketing departments with efficiency, while sales force automation aims to streamline and automate back-end tasks such as order processing and tracking, inventory management, and sales forecasts.
• Companies are becoming more dependent on CRM systems, which now play a vital role ensuring a business runs smoothly and efficiently. In a 2015 survey, software comparison website Capterra found that out of 500 CRM users, more than half adopted the software into their companies within the first five years of business, and two thirds of them had at least 100 customers when they first began using a CRM system. Respondents also said that CRM software have the biggest impact on customer retention and satisfaction rates.
• The potential of AI in CRM is huge and most of the providers are investing in the same ie; to have predictions and recommendations based on unique business processes. With benefits ranging from Predictive lead scoring to anticipating customer needs across major functions like sales, marketing and customer service, the adoption of A.I. in CRM is leading towards growth in the forecasted period.

• CRM applications in Retail are expected to rise due to the region specific increasing retail footprint. Retail ecosystems are highly emerging in China, India and South Korea. Currently, China is dominating the e-commerce market in Asia with big players such as JD.com and Alibaba. Also, India’s retail market stands at estimated USD 672 billion in 2017 to USD 1,200 billion in 2021, as per IBEF.
• A retail CRM provides value for sellers by providing them with single window to manage their entire customer support cycle, personalized marketing opportunities and speedy customer service.
• The retail ecosystem has been centered on the ways in which small and mid-sized businesses can utilize these tools to compete with larger corporations. Since, there's been a push toward customization and adaptability, particularly in the Small and Mid-sized business space, the CRM to fit to such needs have led providers to offer all-in-one CRMs.
• Retail business over past few years have witnessed a major shift with established players in the online marketplace disrupting the traditional brick-and-mortar stores. This has generated a significant number of offline stores needing CRMs to compete with online retailers.

• The concept of CRM has evolved to a large extent in the region, especially in Indian context. A couple of decades before it was predominantly used by the large enterprises and was also limited to the basic functionality, generally customer database only. the digital transformation initiatives undertaken by the government has led to generation of increased amount of data available across all industry sectors.
• In BFSI sector, the field is vast and diverse from private weather bureaus to food app payment gateways, telecom bill payments and even social media records. The region witnesses a growth in this sector mainly from China and India.
• Currently, China’s banking institutions held about USD 39.6 trillion in onshore assets at the end of February, recording 7.1% growth year on year, according to the China Banking and Insurance Regulatory Commission.
• With the India’s GDP at 6.9% the country is expanding its economy multifold and with increased participation among startups venturing into SaaS, the country is expected to be a hub for software products. For instance, in CRM field, Freshworks, and Zoho are emerging start-ups in the country.

The players in the market are in a collaboration spree with adjacent markets to offer a unified solution. Also, companies have been investing to incorporate AI in the CRM Software.

• July 2019 - Nimble, a launch partner in the Microsoft Commercial Marketplace has launched a Smart CRM for Office 365 as a team relationship manager at Microsoft’s Commercial Marketplace.
• April 2019 - Microsoft is collaborating with Adobe for all in one lead generation software. Adobe's marketing software will be used to find potential customers for business goods on LinkedIn and Microsoft's sales software would be used to close the deal.
• April 2019 - Infor, industry-specific cloud applications provider, introduced Infor CloudSuite CRM, a cloud-based application as a part of its Infor Customer Experience suite of solutions.

• The market estimate (ME) sheet in Excel format
• 3 months of analyst support