CRM Revenues Forecast to Increase Nearly 20 Percent
A new in-depth study on CRM spending by Aberdeen Group chronicles the expected spending for critical market segments, which include sales force automation, marketing automation, customer service automation, field service management, help desk, and partner relationship management.
Despite current economic conditions, the research indicates that the worldwide market for CRM will resume growth by 2002. As a result, revenues are forecasted to increase at 19.9% over the next five years.
According to Aberdeen Group, total CRM market size is expected to increase from $13.5 billion in 2001 to roughly $27.8 billion in 2005.
"At present, the CRM market is being negatively affected by economic conditions and worldwide events, resulting in an overall market contraction for the second half of this year," said report co-author Hugh Bishop. "However, thanks to the clear return on investment and rapidly increasing adoption in overseas markets, the global CRM market will rebound strongly from the worldwide slowdown in IT spending."
Overseas markets will be a primary growth engine for CRM," said Christopher Fletcher, managing director of Aberdeen's CRM practice. "Non-North American markets will contribute more than 38% of total worldwide CRM expenditures in 2001."
Worldwide CRM Spending Forecast and Analysis 2001-2005 is a report offered through Aberdeen's newly launched market analysis service.