Despite the current downward trend of the IT market, demand for customer relationship management (CRM) software services rose in 2001 over the previous year and will continue to grow in 2002, according to a study released on Tuesday by Gartner's Dataquest division.
Revenue for the CRM market is forecast to total $US25.3 billion in 2002, growing to reach $US47 billion by 2006, Gartner Dataquest said in a statement promoting its report, CRM Services Market Size and Forecast, 2001-2006.
In 2001, the CRM market totalled $US22 billion, a 10.6 per cent increase from 2000 revenue, Gartner Dataquest said.
Small and medium businesses are the main drivers in the CRM market with development and integration being the most popular aspect of CRM services, Gartner Dataquest said.
Gartner Dataquest warned that the CRM market will become saturated, with fewer companies requiring CRM implementation services, causing the market to become more competitive. CRM vendors should plan future strategies, such as expanding IT management services and business management services for potential CRM customers, said Gartner Dataquest.