Published on the 08/05/2014 | Written by Newsdesk
Cloud-based customer relationship management specialist Salesforce has grown its share of the global CRM market – even though almost 60 percent of new CRM deployments are still on premise…
New research from Gartner has revealed that Salesforce has for the second year in a row staked out the biggest share of the global CRM market with 16 percent of sales in 2013. The company also enjoyed the fastest growth rate – above 30 percent – of the five companies (Salesforce, SAP, Oracle, Microsoft and IBM) which between them own half the CRM market.
SAP is again in second position with almost 13 percent share, but it only managed a 12.7 percent growth in CRM sales last year.
Internationally demand for CRM grew 13.7 percent making it a $US20.4 billion market in 2013.
Demand in Australia was somewhat slower. Gartner said that CRM software revenue reached $A740.2 million in Australia in 2013, up 12 percent from $615.8 million in 2012.
However in New Zealand CRM growth was a very sluggish 1.5 percent with the local CRM market worth $NZ79 million in 2013.
There is something of a symbiotic relationship between CRM and Business Intelligence, with each informing the other, so it might be expected that New Zealand users are similarly reticent about BI investment.
Not so – instead New Zealand users are matching almost dollar for dollar the amount they are spending on CRM and the amount they are investing in BI.
In a separate report issued in late April Gartner said that New Zealand demand for BI systems rose 7.5 percent last year to $NZ75.3 million which is only a fraction lower than the Australian growth rate of 9.5 percent (making the Australian BI market worth $A526 million).
While SAP may have lost its CRM crown to Salesforce it remains the number one vendor of business intelligence solutions globally. Cloud BI however is slower to take off, representing just four percent of new deployments.
According to Gartner the communications, media and IT services vertical industries remain the largest spenders on CRM because they focus on large groups using call center technologies. They also invest more to improve analytics-related areas and lift consistent customer experiences. Manufacturing is in second place, while banking and securities combined are the third biggest users of CRM technology.
