USD 40.2 Billion
CRM Software Market Size, Share, and Growth Analysis
CRM Software Market By Component(Software, and Services), By Deployment Mode(On-Premise, and Cloud solutions), By Application(Customer Service, Customer Experience Management, CRM Analytics, Marketing Automation), By Vertical(Banking, Financial Services, and Insurance (BFSI), Healthcare), By Region - Industry Forecast 2025-2032
Report ID:
SQMIG45F2135 |
Region:
Global |
Published Date: October, 2024
Pages:
197
|Tables:
96
|Figures:
79
Format -
CRM Software Market Insights
CRM Software Market size was valued at USD 40.2 Billion in 2023 and is poised to grow from USD 44.82 Billion in 2024 to USD 107.07 Billion by 2032, growing at a CAGR of 11.5% during the forecast period (2025-2032).
Organizational departments such as sales & marketing and customer services & support are increasingly integrating customer relationship management systems with AI to improve the customer experience and feedback and develop strong bonds with their customers. For instance, in April 2022, Salesforce, Inc., a cloud-based software company, launched CRM analytics, with new capabilities such as AI-powered insights for sales, marketing, and service teams for every industry, such as BFSI, retail, and IT & telecom, among others.
The potential of AI in CRM is huge, and most providers are investing in the same 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 AI in CRM is leading toward growth in the forecast period.
Ongoing trends such as hyper-personalization of customer service, use of AI and automation, and implementation of robust social media customer service can help reduce costs and increase the adoption of customer relationship management (CRM) platforms across industries.
The search insights within the CRM analytics help Salesforce customers to discover any dataset, dashboard, and next-best groupings related to their search. These developments in CRM solutions and services would likely boost the global CRM software market growth. Customers' increasing use of digital channels to communicate with brands and organizations is anticipated to drive industry growth over the forecast period.
Market snapshot - 2025-2032
Global Market Size
Largest Segment
Cloud
Fastest Growth
On-Premises
Growth Rate
11.5% CAGR
Global CRM Software Market ($ Bn)
Country Share for North America Region (%)
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CRM Software Market Segments Analysis
Global CRM Software Market is segmented on the component, deployment mode, application, vertical, and region. By component, market is segmented into Software and Services. By deployment mode, market is segmented into On-Premise and Cloud solutions. By application, market is segmented into Customer Service, Customer Experience Management, CRM Analytics, Marketing Automation, Salesforce Automation, and Others. By Vertical, market is segmented into Banking, Financial Services, and Insurance (BFSI), Healthcare, IT & Telecommunication, Retail & E-commerce, Manufacturing, Government & Defense, Media & Entertainment, and Others. By region, the market is segmented into North America, Europe, Asia Pacific, Middle East and Africa, and Latin America.
Analysis by Solution
As per the global CRM software market forecast, the customer service segment dominated the market in 2024 and accounted for a revenue share of 23.7%. The key driving factors for the growth of the market include the growing importance of understanding customer behavior and their preferences, rising demand for CRM software and encouraging brands & organizations to continue to adopt CRM 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 growth during the forecast period.
The CRM analytics segment is anticipated to grow at a significant CAGR of 13.7% and is expected to register promising growth over the forecast period. The availability of multiple platforms and increasing adoption for integration of analytics features in CRM solutions benefit companies to derive rich insights from business data is expected to drive the growth of the segment. For instance, in July 2021, Genesys, a CRM company that sells customer experience and call center technology to mid- and large-sized businesses, launched new CRM tools to enable swift innovation for AI-driven customer experiences, which include bot development and orchestration, open messaging and employee development and feedback, deployed across multiple channels. These features offered by CRM applications would further drive the segment during the forecast period.
Analysis by Deployment Mode
As per the global CRM software market analysis, the cloud segment dominated the market in 2024 and accounted for a revenue share of 56.1%. Cloud segment provides several advantages, including real-time access, scalability, high flexibility, cost-effectiveness, and low hardware maintenance costs. In March 2021, Adobe announced a partnership with government agencies in all 50 states (Department of Public Social Services (DPSS) and Center for Disease Control and Prevention (CDC)) to enable digital modernization via Adobe Experience Cloud and Adobe Document Cloud. With this collaboration, governments can improve their online presence by redesigning their websites and apps and ensuring personalized content. These benefits offered by cloud deployment would further drive the segment during the forecast period.
The on-premises segment is anticipated to expand at a significant CAGR of 10.5% during the forecast period. According to a CRM buyer survey conducted by SelectHub, several larger enterprise groups have preferred on-premises as compared to cloud-based deployment. The demand for on-premises customer relationship management solutions has increased due to the increasing demand for data privacy. Furthermore, the on-premises 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. The benefits offered by on-premises deployment would further drive the segment during the forecast period.
Global CRM Software Market By Deployment Mode (%)
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CRM Software Market Regional Insights
As per the CRM software market outlook, the North America region dominated the market in 2024 and accounted for a market share of 43.6%. The key driving factors are the increasing adoption of customer relationship management solutions by several enterprises across the region that rely on the use of advanced technologies and are expected to dominate the market over the forecast period. Furthermore, the continuous adoption of digital transformation across various sectors, including banking, retail, and hospitality, is expected to propel the North America market in the forecast period. The region's corporations place a sizable emphasis on consumer-centric strategies, driving the demand for superior CRM solutions.
Asia-Pacific is anticipated to rise as the fastest-developing regional market at a CAGR of 15.6% during the forecast period. The rising demand for innovative CRM solutions from emerging countries such as China and India to improve customer experience 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 CRM solutions. Moreover, the continuous rise of SMBs in countries like India is placing a strong emphasis on implementing customer relationship management solutions as a part of their efforts to drive their regional and global businesses. Furthermore, CRM is available to almost all in India, owing to the widespread of internet and broadband use throughout the country as well as a reduction in prices.
Global CRM Software Market By Geography
- Largest
- Fastest
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CRM Software Market Dynamics
CRM Software Market Drivers
Implementing Mobile-friendly and Multichannel Capabilities into CRM Solutions
-
The increasing usage of mobile devices and smartphones led to a surge in demand for mobile-friendly customer relationship management (CRM) solutions. Many CRM vendors offer dedicated mobile applications for iOS and Android devices, providing users with native mobile experiences and optimized performance and usability. Moreover, multichannel CRM enables businesses to engage with customers across various communication channels, such as email, SMS, social media, and messaging apps.
Increasing Recognition of the Pivotal Role CRM
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The growing recognition of the critical role customer relationship management plays in business success. Companies, across industries, are prioritizing customer-centric strategies, emphasizing the need for robust CRM solutions. Technological advances, particularly the combination of artificial intelligence and analytics, help advance CRM capabilities, providing actionable insights for the increasing adoption of cloud-based personal customer interaction.
CRM Software Market Restraints
Lack of Customization and Standardization
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Customization, scalability, and standardization are important components of the CRM solutions that enterprises need to manage customer relationships efficiently. CRM systems may not align with the unique needs and processes of different businesses without customization options. This inflexibility can result in inefficient workflows, redundant data entry, and resistance from users who prefer systems tailored to their specific requirements.
High Complexity of CRM Implementation
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One of the key market constraints is the complexity of CRM implementations, often causing challenges in the integration with existing systems in organizations. High upfront and ongoing costs associated with CRM adoption may be a barrier to small businesses with limited financial resources build resistance to change in organizations.
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CRM Software Market Competitive Landscape
The competitive landscape in the CRM software market is characterized by major players such as Salesforce, Microsoft, Oracle, SAP, HubSpot along with a growing number of emerging vendors and niche providers. Salesforce continues to lead the market by providing comprehensive cloud-based solutions. The market is driven by innovation in AI, automation, and data analytics, as companies strive to meet diverse customer needs and differentiate themselves in this dynamic space.
Top Players in CRM Software Market
- Salesforce.com (US)
- SAP AG (Germany)
- Oracle Corporation (US)
- Microsoft Corporation (US)
- Adobe Systems Inc (US)
- Freshworks Inc (US)
- Convergys Corporation (US)
- Huawei Technologies Co. Ltd (China)
- Infor Solutions Inc (US)
- SAS Institute Inc (US)
- IBM Corporation (US)
- The Sage Group Plc (UK)
- SYNNEX Corporation (US)
- Acquia (US)
- Amdocs (US)
- Jive Software (US)
- Lithium (US)
- Nimble (US)
- Pegasystems (US)
- Ramco Systems (India)
- SugarCRM (US)
- Allegiance (US)
- Contactually (US)
- ITC Infotech (India)
- Nearstream (US)
- Nextprinciples (US)
- Tracx (US)
Recent Developments
- In November 2023, Creatio partnered with zolution, a Singapore-based CRM consultant, to provide its no-code platform to automate Zolution's customer workflow. This will help its customers optimize their CRM strategies and increase customer engagement.
- In September 2023, Genesys acquired Salesforce.com, Inc. Companies will introduce AI-driven CRM solutions that integrate with Salesforce Service Cloud, CX Cloud, and Salesforce.com, Inc.’s CRM solutions.
- In July 2023, Salesforce announced a comprehensive 'sales management' solution to facilitate this end-to-end process powered by CRM data. This sales cloud solution will allow organizations to distribute geographies, rewards, powers and quotas well for other parties, thus promoting their growth.
CRM Software Key Market Trends
- Increased Adoption of Customer Relationship Management Among Developing Countries: CRM software has registered strong demand mainly due to its ability to capture exact customer information. The CRM software market is expected to emerge stronger than before in various developing countries. Organizations are using CRM solutions as part of their change to customer-centric services. With rapid digital transformation in developing nations, CRM and other integrated technologies that increase customer satisfaction are crucial.
- Integration of Artificial Intelligence: The integration of artificial intelligence (AI) and machine learning (ML) technologies into customer relationship management systems is accelerating automation across various processes, including customer service, sales, and marketing. AI-driven chatbots, predictive analytics, and personalized recommendations are becoming standard features, enabling businesses to streamline operations and enhance customer experiences. The software based on AI technology, including deep learning, machine learning, and natural language processing, helps organizations understand the psychological state of the customer.
CRM Software Market SkyQuest Analysis
SkyQuest's ABIRAW (Advanced Business Intelligence, Research & Analysis Wing) is our Business Information Services team that Collects, Collates, Correlates, and Analyses the Data collected by means of Primary Exploratory Research backed by robust Secondary Desk research.
According to SkyQuest analysis, the global CRM software industry is highly competitive, with major players such as Salesforce, Microsoft, Oracle, SAP and HubSpot leading the industry. Salesforce dominates with AI-powered features and comprehensive cloud solutions, while Microsoft Dynamics 365 excels through seamless integration with its broader ecosystem. Oracle and SAP focus on enterprise-grade solutions, targeting large organizations, while HubSpot caters to small and medium-sized businesses with cost-effective, user-friendly platforms. Emerging players like Zoho and Freshworks are gaining traction with affordable, scalable offerings. Innovations in AI, automation and data analytics are driving the market, as companies seek to meet the needs of diverse customers and stand out in this dynamic space.
| Report Metric | Details |
|---|---|
| Market size value in 2023 | USD 40.2 Billion |
| Market size value in 2032 | USD 107.07 Billion |
| Growth Rate | 11.5% |
| Base year | 2024 |
| Forecast period | 2025-2032 |
| Forecast Unit (Value) | USD Billion |
| Segments covered |
|
| Regions covered | North America (US, Canada), Europe (Germany, France, United Kingdom, Italy, Spain, Rest of Europe), Asia Pacific (China, India, Japan, Rest of Asia-Pacific), Latin America (Brazil, Rest of Latin America), Middle East & Africa (South Africa, GCC Countries, Rest of MEA) |
| Companies covered |
|
| Customization scope | Free report customization with purchase. Customization includes:-
|
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Table Of Content
Executive Summary
Market overview
- Exhibit: Executive Summary – Chart on Market Overview
- Exhibit: Executive Summary – Data Table on Market Overview
- Exhibit: Executive Summary – Chart on CRM Software Market Characteristics
- Exhibit: Executive Summary – Chart on Market by Geography
- Exhibit: Executive Summary – Chart on Market Segmentation
- Exhibit: Executive Summary – Chart on Incremental Growth
- Exhibit: Executive Summary – Data Table on Incremental Growth
- Exhibit: Executive Summary – Chart on Vendor Market Positioning
Parent Market Analysis
Market overview
Market size
- Market Dynamics
- Exhibit: Impact analysis of DROC, 2021
- Drivers
- Opportunities
- Restraints
- Challenges
- Exhibit: Impact analysis of DROC, 2021
- SWOT Analysis
KEY MARKET INSIGHTS
- Technology Analysis
- (Exhibit: Data Table: Name of technology and details)
- Pricing Analysis
- (Exhibit: Data Table: Name of technology and pricing details)
- Supply Chain Analysis
- (Exhibit: Detailed Supply Chain Presentation)
- Value Chain Analysis
- (Exhibit: Detailed Value Chain Presentation)
- Ecosystem Of the Market
- Exhibit: Parent Market Ecosystem Market Analysis
- Exhibit: Market Characteristics of Parent Market
- IP Analysis
- (Exhibit: Data Table: Name of product/technology, patents filed, inventor/company name, acquiring firm)
- Trade Analysis
- (Exhibit: Data Table: Import and Export data details)
- Startup Analysis
- (Exhibit: Data Table: Emerging startups details)
- Raw Material Analysis
- (Exhibit: Data Table: Mapping of key raw materials)
- Innovation Matrix
- (Exhibit: Positioning Matrix: Mapping of new and existing technologies)
- Pipeline product Analysis
- (Exhibit: Data Table: Name of companies and pipeline products, regional mapping)
- Macroeconomic Indicators
COVID IMPACT
- Introduction
- Impact On Economy—scenario Assessment
- Exhibit: Data on GDP - Year-over-year growth 2016-2022 (%)
- Revised Market Size
- Exhibit: Data Table on CRM Software Market size and forecast 2021-2027 ($ million)
- Impact Of COVID On Key Segments
- Exhibit: Data Table on Segment Market size and forecast 2021-2027 ($ million)
- COVID Strategies By Company
- Exhibit: Analysis on key strategies adopted by companies
MARKET DYNAMICS & OUTLOOK
- Market Dynamics
- Exhibit: Impact analysis of DROC, 2021
- Drivers
- Opportunities
- Restraints
- Challenges
- Exhibit: Impact analysis of DROC, 2021
- Regulatory Landscape
- Exhibit: Data Table on regulation from different region
- SWOT Analysis
- Porters Analysis
- Competitive rivalry
- Exhibit: Competitive rivalry Impact of key factors, 2021
- Threat of substitute products
- Exhibit: Threat of Substitute Products Impact of key factors, 2021
- Bargaining power of buyers
- Exhibit: buyers bargaining power Impact of key factors, 2021
- Threat of new entrants
- Exhibit: Threat of new entrants Impact of key factors, 2021
- Bargaining power of suppliers
- Exhibit: Threat of suppliers bargaining power Impact of key factors, 2021
- Competitive rivalry
- Skyquest special insights on future disruptions
- Political Impact
- Economic impact
- Social Impact
- Technical Impact
- Environmental Impact
- Legal Impact
Market Size by Region
- Chart on Market share by geography 2021-2027 (%)
- Data Table on Market share by geography 2021-2027(%)
- North America
- Chart on Market share by country 2021-2027 (%)
- Data Table on Market share by country 2021-2027(%)
- USA
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Canada
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Europe
- Chart on Market share by country 2021-2027 (%)
- Data Table on Market share by country 2021-2027(%)
- Germany
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Spain
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- France
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- UK
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Rest of Europe
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Asia Pacific
- Chart on Market share by country 2021-2027 (%)
- Data Table on Market share by country 2021-2027(%)
- China
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- India
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Japan
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- South Korea
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Rest of Asia Pacific
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Latin America
- Chart on Market share by country 2021-2027 (%)
- Data Table on Market share by country 2021-2027(%)
- Brazil
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Rest of South America
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Middle East & Africa (MEA)
- Chart on Market share by country 2021-2027 (%)
- Data Table on Market share by country 2021-2027(%)
- GCC Countries
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- South Africa
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Rest of MEA
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
KEY COMPANY PROFILES
- Competitive Landscape
- Total number of companies covered
- Exhibit: companies covered in the report, 2021
- Top companies market positioning
- Exhibit: company positioning matrix, 2021
- Top companies market Share
- Exhibit: Pie chart analysis on company market share, 2021(%)
- Total number of companies covered
Methodology
For the CRM Software Market, our research methodology involved a mixture of primary and secondary data sources. Key steps involved in the research process are listed below:
1. Information Procurement: This stage involved the procurement of Market data or related information via primary and secondary sources. The various secondary sources used included various company websites, annual reports, trade databases, and paid databases such as Hoover's, Bloomberg Business, Factiva, and Avention. Our team did 45 primary interactions Globally which included several stakeholders such as manufacturers, customers, key opinion leaders, etc. Overall, information procurement was one of the most extensive stages in our research process.
2. Information Analysis: This step involved triangulation of data through bottom-up and top-down approaches to estimate and validate the total size and future estimate of the CRM Software Market.
3. Report Formulation: The final step entailed the placement of data points in appropriate Market spaces in an attempt to deduce viable conclusions.
4. Validation & Publishing: Validation is the most important step in the process. Validation & re-validation via an intricately designed process helped us finalize data points to be used for final calculations. The final Market estimates and forecasts were then aligned and sent to our panel of industry experts for validation of data. Once the validation was done the report was sent to our Quality Assurance team to ensure adherence to style guides, consistency & design.
Analyst Support
Customization Options
With the given market data, our dedicated team of analysts can offer you the following customization options are available for the CRM Software Market:
Product Analysis: Product matrix, which offers a detailed comparison of the product portfolio of companies.
Regional Analysis: Further analysis of the CRM Software Market for additional countries.
Competitive Analysis: Detailed analysis and profiling of additional Market players & comparative analysis of competitive products.
Go to Market Strategy: Find the high-growth channels to invest your marketing efforts and increase your customer base.
Innovation Mapping: Identify racial solutions and innovation, connected to deep ecosystems of innovators, start-ups, academics, and strategic partners.
Category Intelligence: Customized intelligence that is relevant to their supply Markets will enable them to make smarter sourcing decisions and improve their category management.
Public Company Transcript Analysis: To improve the investment performance by generating new alpha and making better-informed decisions.
Social Media Listening: To analyze the conversations and trends happening not just around your brand, but around your industry as a whole, and use those insights to make better Marketing decisions.
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