Acquisitions Like That of Medallia by Thomabravo to Drive the Growth of the Global Customer Experience Management Software Market

The customer experience management (CEM) software is composed of several solutions that help organizations to enhance the company’s engagement with customers throughout their business relationship. This software is basically composed of various solutions that enable companies to collect feedback from customers, correlating these feedbacks with admissible external sources, analyzing them to extract meaningful insights, and improve customer experiences. Altogether, the customer experience management software delivers an exceptional customer experience to drive the business growth of the organizations.

Forecast Analysis of Customer Experience Management Software Market

With the growing importance of customer experience management across organizations to understand customer behavior, their preferences, and to deliver the best service performance and capabilities, the global customer experience management software market is expected to see striking growth over the forecast period. Besides, the increasing access of customers to digital channels to have better communication with organizations or businesses is further predicted to foster the growth of the market during the analysis period. Moreover, the growing technological advancements such as the use of advanced technologies such as artificial intelligence and machine learning across businesses are expected to create major growth opportunities for the market. However, the privacy concerns and security of sensitive data of customers may hamper the growth of the market during the estimated timeframe.

According to the report published by Research Dive, the global customer experience management software market is expected to generate a revenue of $26,466.6 million and grow at a CAGR of 17.7% over the analysis timeframe from 2021-2028. Regionally, the Asia-Pacific region is predicted to hold the largest share of the market owing to the increased usage of IoT-based sensor devices and AI-driven advanced automation and analytical tools in this region.

The major players of the customer experience management software market include Oracle Corporation, IBM Corporation, Verint Systems, Nice Limited, Sap Se, Avaya, Zendesk Inc., Adobe Inc, Salesforce, SAS, and many more. These players are working on the development of new business strategies and tactics to attain leading positions in the global industry.

Key Developments

The key companies operating in the industry are adopting various growth strategies & business tactics such as partnerships, collaborations, mergers & acquisitions, and launches to maintain a robust position in the overall market, which is subsequently helping the customer experience management software market to grow exponentially.

For instance, in November 2020, HPE Pointnext Services, a leading IT service provider with a customer-focused base, has launched all customer-centric support experience analytics tools that will solve the problems faced by customers at a faster pace by accessing and analyzing various customer information. These software tools are incorporated with modern technologies such as artificial intelligence, machine learning to enhance the capability to anticipate customer’s needs and help organizations to move their business forward.  

In July 2021, Thomabravo, a leading American private equity and growth capital firm, has announced to acquire Medallia for 6.4 Billion USD, a well-established American customer, and employee experience management company. With this acquisition, the companies are aiming to use trademarked artificial intelligence and machine learning technology to disclose predictive measures that help in driving business outcomes.

In October 2021, Zendesk, a leading American-based software-as-a-service products related customer support company, has announced to enter into a collaboration with Momentive Inc., a leading American chemical company that delivers products including silicone and quartz. With this collaboration, the companies are aiming to develop platforms to provide opportunities to cross-sell current and future products.

Covid-19 Impact on the Market

With the rise of the Covid-19 pandemic, several industries have had a negative impact on their business growth, however, it has impacted the customer experience management software market quite positively. Due to checking the spontaneous spread of the virus and maintaining social distancing, many companies have switched to embracing online channels to increase their sales and revenues. This led to the increased dependency of people of all age groups to adopt digital media and technologies to fulfill their wants and requirements. All these factors have resulted in driving the growth of the customer experience management software market during the pandemic period.