Contract Management Market Research Report - Global Forecast till 2027

Contract Management Market Research Report: By Component (Solution, Services), By Deployment (On-Premise, Cloud), By Organization Size (Small & Medium Enterprise, Large Enterprise), By Vertical (Healthcare, Manufacturing, IT & Telecommunication, Consumer Goods, Education, BFSI, Others) By Region (North America, Europe, Asia-Pacific, South America, Middle East & Africa) - Forecast till 2027

ID: MRFR/ICT/7079-HCR | February 2021 | Region: Global | 141 pages

Contract Management Market Overview: 
The Contract Management Market Size will grow by 12.3%. Contract management software is a crucial part of any large scale enterprise. The contract operation is complex. Also, Reviewing, analyzing, validating and authenticating contracts is a time-consuming process. Many organisations are rapidly adopting digital technologies. The efficiency in the organisation is growing due to digital transformation. Contract management software is one such technology that will enhance organizational effectiveness. Even small and medium-size organizations are rapidly adopting I he contracts management.

Dealing with contracts includes risk. However, with contract management, the risks can be eliminated. The business outcomes are favourable with the use of contract management software. Renewing contacts, restructuring and making changes are possible with this software. Cloud-based contact management software is witnessing massive demand in the forecast period. The adoption of cloud technologies is in reusing the adoption of contract management technologies. The legal, sales, procurement segment of the contract management market is facing exceptional demand. Contract Management Market Forecast the value will reach 6.5 billion. 

Contract Management Market Covid Analysis:
The outbreak of covid 19 is causing plenty of disruptions in the contract management Industry. There are few difficulties for the market during this period. The production of the market is declining. Also, the deployment of contract management is slowing down in enterprises. The lockdowns and government restrictions are hampering the deployment rate of the market. Similar to other markets the demand rate is constantly declining.

However, the deployment and adoption rate of the market is increasing this year. The market operations are resuming as the spread of disease is reducing. Large enterprises are deploying the contract management system in central systems. It helps the work from home employees to access the contract management software. Post covid 19 the production rate will surge. Also, the demand for the market will be high during 2025. 

Market Dynamics:
Crucial Market Drivers:
The investment of industries is increasing in new-gen technologies. Advanced enterprise software is raising productivity. Also, the deployment of contract management technology will escalate in upcoming years. The high investments in this technology are the crucial driver for the market. Some of the benefits of these technologies are better sales, revenue and enhanced customer experience. All these benefits are an asset to any enterprise. Due to this wide range of benefits, the investment rate will grow higher. The powerful regions with high spending power such as North America will allocate high investment in the forecast period. It contributes to the top demand rate for the contract management business. The contract management software includes cloud and AI. 

It is advancement for the market. These two factors enhance the overall market scenario. Moreover, the need for verified contracts is high in industries. The contract reviewed by human hands is prone to mistakes and errors. Also, the amount of unauthentic contacts damages the reputation of the market. The revenue losses pose a major challenge to the industries. However, with contract management software there is no room for mistakes. The need to manage varied contracts is another crucial driver. The contract in various industries varies. Contact management is exceptional to handle any contract. 

Market Growth Opportunities:
The AI and machine learning features in contract management software will offer plenty of growth opportunities. Contract management contains a deep learning feature. It helps the software to learn, think, understand and make decisions. The operations of the contract management software are much more efficient than humans. The advancements in the contract management market will create lucrative growth opportunities. As per Contract Management Market Analysis, the technological developments will attract more end-users. Due to technological advancements, the adoption rate of contract management will increase.

Also, it will lead to plenty of expansion possibilities for the market. The demands from the SMEs will Contract Management Market Growth opportunities. Also, the amount of SMEs globally is growing rapidly. The future of the market depends on the demand from SME’s. The small and medium-sized enterprise has plenty of contract management operations. Most of the SME’s are suffering from poor contract management. There is no appropriate resource to handle the contracts. However, with contract management software the tasks in SME can run smoothly. 

The Market Restraints:
The lack of resources is a major restraint of the market. The demand from SEM can provide plenty of scope for market growth. However, there is slow adoption of contract software in the small-medium enterprise. There are fewer resources in these industries to adopt contract management softer.

Most of the SME’s are struck with traditional systems and software. It hinders them to adopt contract management technology. The resistance of SME's to adopt new technologies is the restraining factor. The demand rate can decrease for the contract management market in upcoming years. Also, the market exposure rate is affected due to this. 

The Market Challenges:
The lack of awareness is a significant challenge for the contract management market. Contract management software is becoming a necessity in many regions. Also, it can automate the whole organisation process. It can manage a massive amount of data and produce favourable results.

The benefits and uses of contract management are wide. However, less awareness about the technology makes it insignificant in the global market. Most SME’s are aware of the existence of such technology. It can decline the demand rate in the forecast period. The development of the market can become stagnate due to these factors. 

Cumulative Growth Analysis:
The Contract Management Market Trends remains positive. Few factors constantly grow the market. The high investment rate on the software is a crucial driver for the market. There are plenty of benefits of contract management software for any organization.

The features in the technology such as AI and machine learning are some of the drivers for the market. Further, high demand from SMEs is another demand driving factor for the market. The less adoption of new technologies in SME’s is a restraining factor for the market. Also, a lack of awareness can lead to drawbacks in the market. 

The Value Chain Analysis:
North America will hold the maximum shares in the Contract Management Business. It is a key revenue contributor for the Global Contract Management Market. The presence of key market players will lead to more demand. The players of the market play a major role in developing the overall market.

Also, the investments in this region are high. Even SMEs have a massive demand for contract management software. Most SMEs are equipped with new technologies that lead to easier adoption. The BFSI, healthcare, legal, enterprise and other sectors have much demand for the market. 

Contract Management Market Segment Overview:
By Component:

  • Services 

  • Software 

  • Support and maintenance

  • Consulting 

  • Implementation 

By Deployment Type:

  • On-premise contract management 

  • Cloud contract management 

By Organization Size:

  • Large scale enterprises 

  • Small-medium size enterprises 

By Business Function:

  • Sales 

  • Procurement 

  • Legal 

  • Finance 

  • IT 

  • HR 

By Vertical:

  • Government 

  • Manufacturing 

  • Telecomm and IT 

  • Banking, insurance and financial service 

  • Manufacturing 

  • Healthcare 

By Region:

  • Europe 

  • Asia pacific 

  • North America 

Contract Management Market Competitive Landscape:
The competition in the contract management market is less. However, the entry of key players can increase competition in the forecast period. Technological advancements are a key strategy in the competitive landscape. The acquisition, expansion and part ships in the market are higher. Launch of new contract management solution is possible doing this period. 

Contract Management Market Regional Analysis:
North America will lead the other regions with high contract management market shares. The investments in research and development are higher in this region. It will lead to attractive developments in technology. The adoption rate of contract management software is also higher. The revenue rates of the market will reach the maximum amount in the forecast period.

Most of the enterprises in this region are the aware amount the benefits of the technology. Also, it is a region with high large enterprises dealing with massive contracts. The need and demand for contract management are higher. Asia pacific will experience the fastest growth rate. The adoption of the technology will enhance in the forecast period. The demand for SMEs is the crucial diver for the market. The transformation from traditional systems to advanced technologies is surging market growth. 

The key players of the contract magenta market are 

  • Zycus

  • GAP 

  • Agiloft 

  • SAP Ariba 

  • Apptus 

  • Icertis

  • IBM

  • Concord 

  • Trackado 


  • Concord

  • CLM Matrix

Recent Developments:
The leading players of the contract management market are acquiring Solutions Company. It is a collaboration that will increase contract creation and design capabilities of the market. 

The key players in the US are developing new contract management solutions. Simple and automated technology will help in connection management. 

Microsoft is a partnership with Icertis. I will lead to more development in the market. 

Report Overview:

  • Market overview highlights 

  • Analysis based upon COVID 19

  • Explanation upon the Market Dynamics

  • Value chain analysis

  • Market segmentation overview

  • The regional analysis

  • Competitive landscape analysis

  • Recent Developments

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Frequently Asked Questions (FAQ) :

By 2025, the market is projected to earn revenues worth USD 6.5 Bn, which can be attributed to the accelerating demand for efficient contract lifecycle management.

Among solution and service, the service segment is poised to expand at a faster growth pace.

The healthcare segment is prognosticated to mark a higher CAGR across the review period.

Icertis, SAP, Zycus Inc., IBM, and SecureDocs, Inc. are a few of the key players in the market. These players are poised to resort to product launches and advancing technologies for growth.

The deployment based segments of the market are on-premise and cloud-based.