The increasing adoption of mobile applications and internet usage among regions and connecting with customers through virtual touchpoints acts as an opportunity for the growth of the CEM market. The customer experience management solutions are being used in many industry verticals such as IT communication service providers, telecommunication service providers, banking, financial services and insurance, consumer goods & retail, healthcare, automotive & transportation, travel & hospitality, public sector, energy & utilities, media & entertainment, manufacturing, and others.
The overall customer experience management market is expected to grow from USD 5.98 billion in 2017 to USD 16.91 billion by 2022 at a CAGR of 23.1%.
The CEM solution collects the unstructured feedback in the form of comments and with the help of customer analytics, obtains structured insights which are valuable in understanding and connecting with the customers. CEM is a solution through which organizations interact with customers to understand their experiences related to specific products and services. The CEM process makes use of different tools and techniques, such as Enterprise Feedback Management (EFM), web analytics, text analysis, and speech analytics.
Customer Experience Management Market Dynamics
Drivers
- Need of effective customer accessibility throughout the customer journey
- Increasing adoption of customer experience management solutions to reduce customer churn rate
- Rising need for competitive differentiation
- Incraesing use of e-commerce and m-commerce platforms
Restraints
- Security concerns Data synchronization between customer experience management solutions and other technologies
- Personalized expectation of customers
Opportunities
- Major focus on virtual touchpoints
- Integral part of the digital market
- Rise in demand for employee engagement solutions
Challenges
- Choosing the proper mix of technology and personnel
The customer experience management market in the Asia Pacific is projected to grow at the highest CAGR during the forecast period. The growth of this segment can be attributed to the increasing use of mobile devices in this region. The rise in digitalization and smartphone users is expected to enable industries deploy customer experience management solutions in this region. Countries such as India, China, Russia, Australia, and Japan in the Asia Pacific are expected to witness high growth rates in the customer experience management market.
Major players in the customer experience management market are Adobe Systems (US), Oracle (US), IBM (US), Nokia (Finland), Tech Mahindra (India), Avaya (US), OpenText (Canada), Nice Systems (Israel), Verint (US), MartizCX (US), Medallia (US), Qualtrics (US), and InMoment (US), among others.
