CRM Software Spending to Show Largest Increase
Updated · Feb 28, 2011
A recent Gartner survey Shows that customer relationship management (CRM) software is expected to see the largest increase of all the application software markets worldwide in 2011.As noted in this Gartner news release, 42 percent of survey respondents indicated that they expect to increase spending on CRM in 2011, compared to 39 percent on office suites and 36 percent on enterprise resource planning (ERP), which ranked second and third, respectively.
“Gartner conducted an expansive primary research survey of more than 1,500 IT leaders of organizations in 40 countries, which concluded in July 2010. The goal was to determine software spending allocations for IT budgets in 2010 and predictions for 2011.
“‘We’re expecting the CRM market to recover gradually as buyer confidence returns and as businesses begin refocusing on growing revenue as opposed to just reducing costs,” said Hai Hong Swinehart, research analyst at Gartner. “Areas of investment are expected to include the online channel; software as a service (SaaS) -based deployments; and technologies enabling customer loyalty management, cross-sell/upsell opportunities, and more-targeted levels of customer service. Along the way we can expect market shifts as acquisition activity escalates, adoption of SaaS grows, and service providers become a more visible force in the market.'”