Nov 6, 2024

Fintech News November 6, 2024 With growing needs for scalable, cloud-based enterprise applications for AI proliferation, study reveals top 5 enterprise vendors in 2024 and ranks the most revenue-generating sectors in the economy Per Futurum Intelligence, by 2028 the enterprise software market is expected to generate revenue exceeding $430B, with CRM, ERP and CCaaS/UCaas leading in CAGR rates According to the study, Microsoft leads, projected to generate $58B in revenue from enterprise software, followed by companies like Salesforce, Oracle and SAP AUSTIN, Texas–(BUSINESS WIRE)–Futurum Group’s research arm, Futurum Intelligence, today released its Enterprise Applications State of the Market Study, providing a multi-year market forecast and segment sizing. Built up from a survey of over 150 leading vendors in 12 market segments, the comprehensive study encompasses a wide range of industry segments including BI, Analytics & Visualization, CCaaS/UCaaS, Content Management, CRM, Data Management, Platform, Data and Process Management, ERP, HR and many more. In outlining the state of the current dynamics, Futurum Intelligence concludes that the market for cloud platforms for front-office applications has seen exceptionally rapid growth fueled by the shift towards digital transformation and the need for integrated, customer-centric solutions. Major vendors like Salesforce, Microsoft, Oracle, and SAP dominate this area with comprehensive solutions spanning CRM, sales, marketing, and customer service, reflecting an increasing demand for cloud-based systems. The study analyzes the market’s leaders and identifies the growth drivers and trends that influence the rise of listed vendors specified in the research. To download the full report please visit its designated page here . Here are some of the key highlights from the study: SaaS vs. On-Premises – SaaS-based deployment is expected to experience the highest CAGR, reaching a revenue of $349 billion (8%) by 2028. This growth is driven by trends such as the rise of cloud-based offices, the use of AI and ML for analytics, automation, and predictive insights, and the growing adoption of usage-based pricing models. Customer Management Apps Driving the Market – Among various application products, CRM emerged as the largest segment with a market value of $48B. This growth was driven by the rise of cloud-based solutions, integration with analytics, and innovations for AI-driven customer experiences. High-Revenue Verticals Powering Spending – The Financial Services & Insurance sector had the highest market value among industry verticals, reaching $36B in 2023. This growth was fueled by the rapid adoption of digital banking services, mobile payments, and FinTech solutions, stringent regulatory compliance requirements (such as Basel III, Dodd-Frank, MiFID), and the demand for seamless, multi-channel customer experiences. Industrialized Regions Fueling Growth – North America is expected to achieve the highest compound annual growth rate (CAGR) of 7%% during the forecast period, reaching a value of $251 billion by 2028. This growth will be driven by vendors offering customized solutions, a shift towards cloud-based solutions among SMEs, and increasing adoption of AI and ML technologies. In contrast, Latin America is projected to record the lowest CAGR of 0.1%, primarily due to political and social instability, high inflation rates, and limited spending on new technologies and enterprise applications. “Futurum Intelligence continues to have its finger on the pulse as the tech arena evolves dynamically around us,” said Deepak Surana, Chief Product Officer at Futurum. “Businesses now need to choose platforms based on their specific needs, such as integration, scalability, or industry-specific features. The likes of Salesforce, Microsoft, and Oracle remain strong contenders for large enterprises, while HubSpot and Zoho cater to SMBs,” he added. To download the full survey report, please visit https://info.futurumgroup.com/enterprise-apps . Methodology When developing the base year market size, Futurum only considers the revenue from the direct sale of seat license revenue, perpetual licenses, or revenue derived from a consumption-based pricing plan. It does not account for any partner-generated revenue, professional services revenue, or any other source. Furthermore, many organizations incorporate products that occupy two or more product segments, and do not provide granular segmentation of their revenue figures. Futurum has taken a conservative approach to modeling the base year market revenue to avoid double-counting of actual market spending across the entire segment. The market forecast is based on a combination of assessing individual vendors’ growth forecasts, and harmonizing them with overall industry growth projections, technology adoption forecasts, and overall economic and market growth estimates. Futurum is deliberately cautious in its forecast to account for potential global economic issues, the cyclical nature of software purchasing, and the shifting (and uncertain) pricing models that are being implemented in the market. About Futurum Intelligence Futurum Intelligence’s Enterprise Application IQ service provides actionable insight from analysts, reports, and interactive visualization datasets, helping leaders drive their organizations through transformation and business growth. At Futurum Intelligence, analysts, researchers, and advisors help business leaders worldwide anticipate tectonic shifts in their industries and leverage disruptive innovation. Unlike traditional analysts, The Futurum Group works not only in analysis and research but also takes that insight and knowledge even further, engaging all the way through the go-to-market process. Futurum Research provides in-depth research and insights on global technology markets using advisory services, custom research reports, strategic consulting engagements, digital events, go-to-market planning, and message testing. It also creates, distributes, and amplifies rich media content that all stakeholders read, watch, and listen to. 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