Customer Experience Management Market to Be Worth $16.9 Billion by 2026
Research firm MarketsandMarkets has predicted that the global customer experience management market will grow from $9.5 billion in 2021 to $16.9 billion by 2026, at a compound annual growth rate (CAGR) of 12.3 percent.
The firm observed in a recent report that CEM has changed the way organizations interact with their employees and customers, noting that it provides insights for day-to-day decision-making, resulting in enhanced operational efficiency, optimized business outcomes, and increased customer satisfaction.
The transformation enables innovation and creativity in a particular domain rather than simply improving and supporting traditional methods, it concluded.
CEM is rapidly gaining traction as companies seek solutions, technologies, and platforms to transform operating processes and business models, it said further.
The research found that large enterprises hold the largest market share, which isn't expected to change in the next five years. Large enterprises maintain distributed data related to customers scattered across many departments and are, hence, opting for cloud-based solutions to gain valuable insights from this data.
Large enterprises are also keen on investing in new technologies, such as artificial intelligence (AI), big data, and machine learning, to automate customer engagement processes, it found.
Cloud deployments, though, are not limited to larger companies. Across the board, the cloud is expected to have a higher growth rate in 2021 comapared to on-premises deployments. Cloud-based solutions, MarketsandMarkets found, are preferred over traditional systems as they are effective and compatible in addressing the rising level of customer expectations, reduce costs, and help organizations integrate technologies to provide a better experience to their customers.
By vertical, MarketsandMarkets expects the healthcare sector to have a higher growth rate through 2026.
In the healthcare vertical, consumer expectations and demographics evolve and influence the desire to seek more detailed information. A great difficulty comes when there is a mismatch between the communication channels consumers use and the limited ways with which healthcare organizations can interact with customers, it said.
Many consumers expect a different experience and set of interactions with their healthcare providers than they have in the past, and this is a fact across age groups and customer segments. If health care providers do not completely use the customer-driven encounters, they can be at a high risk of losing their market share, the firm warned.
The report identified Adobe, IBM, Oracle, Avaya, NICE, and SAP as prominent players in the market.
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