CRM Software Market Size, Share, Opportunities, COVID 19 Impact, And Trends By Function (Marketing Automation, Sales Force Automation, Customer Service Automation, Others), By Enterprise Size (Small And Medium, Large), By Deployment (Cloud, On-premise), By Industry Verticals (BFSI, Healthcare, Retail, IT And Telecom, Manufacturing, Others), And By Geography - Forecasts From 2022 To 2027

The CRM software market is estimated to grow at a CAGR of 14.86% to reach a market size of US$148.600 billion in 2027 from US$56.358 billion in 2020.

Customer Relationship Management (CRM) refers to an approach by which the organizations maintain and manage the interactions with present and potential customers, with the aim of building and keeping up the loyalty of the organization towards its customers.  CRM solutions, also known as CRM software, are data-driven software solutions that enable businesses to improve their interactions with customers.

These solutions assist organizations in maintaining customer relationships as well as performing other functions such as pipeline management, tracking sales leads, and delivering actionable data. These solutions can streamline the growing complexities of the administrative processes of the business across the marketing, services, and sales divisions of the companies, and further enable the organization to shift the focus toward maintaining its relationships with the customers.

The major factor that is driving the customer relationship management (CRM) software market growth is the rising competition across the businesses falling under the numerous verticals, which is leading to various approaches by these organizations to increase their business. This software increases the operational efficiency of the companies as it helps to manage the optimum level of interaction with the customers and helps to handle vast amounts of information regarding the clients, which is also considered to be a key factor positively impacting the CRM software market growth in the next five years.

The CRM software market has been segmented based on function, enterprise size, deployment, industry vertical, and geography. Based on this, the CRM software market has been segmented into marketing automation, salesforce automation, customer service automation, and others. Based on enterprise size, the market has been divided into small & medium, and large enterprises. Based on deployment, the market has been segmented based on on-premise and cloud. Geographically, the ERP software market has been segmented into North America, South America, Europe, the Middle East and Africa, and the Asia Pacific.

Cloud-based deployments will see significant growth.

Based on the deployment model, the cloud-based deployment segment is anticipated to show decent growth throughout the forecast period. The major factors that bolster the growth of this segment include the rapid growth of cloud computing across numerous industry verticals. Furthermore, the burgeoning adoption of SaaS (Software as Service) across organizations with low budgets is due to the high mobility, low infrastructural investments, and also flexibility in costs.

The on-premise segment is anticipated to hold a considerable share during the next five years owing to various benefits such as full organization control over the activities coupled with the security and safety of the company’s crucial data, which are also bolstering the growth of this segment during the next five years.

Large enterprises hold a considerable share

Based on enterprise size, large enterprises are projected to hold a considerable share throughout the forecast period on account of higher budget capabilities coupled with the growing focus of the organizations falling under this category to achieve a better return on investment and maintain operational efficiency, by focusing more on customer interaction rather than operational tasks.

The small & medium enterprises segment is projected to show rapid growth on account of the high adoption of these solutions by the organizations falling under this category to attain a competitive edge in the business segment they are operating in, as these tools automate business processes so that firms can focus more on important tasks and increase their business, thus positively driving the CRM software demand for this segment.

Recent Developments and expansions

Freshworks Inc. presented the Freshdesk Contact Center to 7-Eleven, a large global chain of convenience stores in December 2021.

The SAP Sales Cloud Solution and Microsoft Teams interface were revealed by SAP SE in October 2021. Users were able to access customer and sales information from Microsoft Teams owing to the integration of SAP Sales Cloud Solution and change the track of customer conferences in real-time without leaving Microsoft Teams.

In April 2020, SugarCRM Inc., announced the launch of its cloud-based platform, Sugar Integrate, as an enhancement for its time-aware CX platform, marketing automation, CRM, and customer service. The company aimed to Eliminate Data Silos and further help organizations for achieving a seamless view of the customer’s journey.

In September 2019, Insightly announced the launch of the first-ever CRM Platform that unified sales, marketing, and project management.

COVID-19 Impact on the CRM Software Market

The COVID-19 pandemic throughout the world is anticipated to drive the CRM software market during the forecast period. However, the social distancing and quarantine measures, as well as the mandatory work-from-home policies that have been implemented worldwide have led the organizations to tap the market potential and deal with their customers by closing their sales, resolving issues, and so on. Additionally, the crisis has created an environment where companies are expected to remotely collaborate with their clients, thus providing an impetus for the market to grow.

Segmentation

• By Function
  • Marketing Automation
  • Sales Force Automation
  • Customer Service Automation
  • Others
• By Enterprise Size
  • Small and Medium
  • Large
• By Deployment
  • Cloud
  • On-premise
• By Industry Verticals
  • BFSI
  • Healthcare
  • Retail
  • IT and Telecom
  • Manufacturing
  • Others
•  By Geography
  • North America
    • USA
    • Canada
    • Mexico
  • South America
    • Brazil
    • Argentina
    • Others
  • Europe
    • Germany
    • France
    • United Kingdom
    • Spain
    • Others
  • Middle East and Africa
    • Saudi Arabia
    • Israel
    • Others
  • Asia Pacific
    • China
    • Japan
    • South Korea
    • India
    • Indonesia
    • Thailand
    • Taiwan
    • Others