Despite the current economic slump, the total CRM market is projected to grow from $13.5 billion this year to $27.8 billion in 2005, according to Aberdeen Group.
This means that customer relationship management revenue will grow 19.9 percent each year over the next five years, the Boston consultancy said in its “Worldwide CRM Spending Forecast and Analysis 2001-2005” report.
“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,” co-author Hugh Bishop said in a statement. “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 are projected as a leading cause of CRM growth. Markets beyond North America account for more than 38 percent of global CRM expenditures in 2001.
The report covers projected spending for critical CRM market segments like partner relationship management, help desk, customer service automation, sales force automation and field service management. It is being offered via Aberdeen's new Market Analysis Service.