ID: MRFR/ICT/3496-CR | February 2020 | Region: Global | 86 pages
Marketing Automation Software Market Overview:
The Marketing Automation Software market size is expected to surpass USD USD 12.83 Billion by the year 2030 while railing a CAGR of 13.21% during the review period. The marketing automation software platforms are designed to support the marketers to acquire leads, build and strengthen relationships, and move prospects via sales. Various strategies are deployed to control the customer data that comes from different sources. There are a wide variety of functionalities like email, social media, and multi-channel marketing, and so on. Marketing automation technology eliminates repetitive processes thereby encourages the marketing department to focus on other essential tasks that must be carried out.
The technology helps more for the marketing consultants as the technology facilitates the essential aspects like customer retention, customer lifecycle, and other essential processes. The software integrates with Artificial intelligence and Search Engine optimization which will impose potential opportunities for the customers to check the company/industry. Currently, programmatic marketing which is also known as AI automation is taking the digital marketing to next level. The automation technologies come in various forms, utilizing as many as possible will help the marketers to achieve higher conversions at lower acquisition costs. These attractive features of Marketing Automation Software tend to boost the market value at a faster rate.
COVID 19 Analysis:
The COVID 19 outbreak has created an uncertain environment for the business sectors. Hence several business sectors have opted to reduce their marketing budgets during the pandemic. Several companies have held the marketing plans for a considerable time. They don’t want to spend on marketing during the time of reduced production rate. The report says that 50% of businesses have halted their marketing processes and implemented over 1%-25% reduction in marketing budgets during the pandemic, especially in the year 2020.
The Marketing Automation Software Market has been continuously growing during this pandemic as several companies are focused to utilize digital platforms to retain their customers. The pandemic has changed the customer preferences which are understood with the help of experimental emails and online campaigns. These factors are achieved with the help of Marketing Automation Software solutions. The Marketing officers are restricted to seek customers due to the pandemic. This has increased the necessity of utilizing social listening tools to identify the patterns preferred by the consumers.
The ever-changing customer preferences have been a major challenge for the marketing industry. Hence the commercial enterprises and retail industries are increasingly utilizing the Market Automation Software to track down customer preferences and develop high-end marketing strategies.
Recently the booming of social media like Instagram and Youtube have encouraged small and medium enterprises to startup their company in the E-commerce sector. Such startups are intensively utilizing Marketing Automation Software solutions to enhance their relationship with the customer. The software solutions help the startups to focus on the core and non-core functions efficiently.
Several formats of digital marketing that include Content Marketing, Search Engine Optimization and Search Engine Marketing are promoting the growth of the Marketing Automation Software industry. Additionally the marketing campaigns, email conversations are helping the marketing faculties to understand and target the customer base across the types of marketing segments.
The Marketing Automation Software helps the marketers in carrying out a series of effective marketing campaigns that helps in growing the business revenue. Marketing Automation Software helps to gain the customer insights like understanding the purchase patterns and customer attributes. The SaaS cloud platforms and increasing adaptation of 5G technology are offering a huge opportunity for the Marketing Automation Software to grow beyond expectations in the forecast period.
As the number of market places both virtually and physically are boosting the Marketing Automation Software market value. The number of marketing channels also has severely impacted the growth of the Marketing Automation Software industry as they help the companies to explore new markets to develop their marketing strategies.
The marketing professional must possess the skills required to contemplate and act according to the situation and the purchasing pattern of the customer. The lack of skilled professionals in the market is hampering the Marketing Automation Software market growth in the forecast period.
The companies are looking for flexible solutions that can be optimized according to the company’s requirements. The lack of integration strategy accompanied by interoperability issues imposes serious hindrances to the growth of the Marketing Automation Software industry.
The essential feature and function of the Marketing Automation Software are that it helps the marketers to keep the customers engaged. The tools in the software enable the customer to retain the company and foster brand loyalty. The Software solution that lacks a Proper communication channel and fails in delivering personalized messages to the consumers using SMS, web intelligence, and subscription management could lead to failure of the Marketing strategy. Also, engaging the customer in the conversation could be the major challenge in marketing.
The privacy concerns are the major restraining factor while installing the free Marketing Automation Software tools. Additionally, customers are well-equipped with information, maintaining a conversation channel with such a group of customers is a challenge to the Marketing Automation Software Market.
Cumulative Growth Analysis:
The growing number of enterprises in the virtual and physical retail stores is encouraging the growth of the Marketing Automation Software Market. Several industries are increasingly utilizing email subscription methods which are a highly interactive and cost-effective way of connecting with the customers. The growth in analytics is highly influencing the growth of the Marketing Automation Software Market. Thus the Global Marketing Automation Software market size is expected to surpass USD 10,418.6 million by the year 2025 while railing a CAGR of 12.7% during the review period.
The increased usage of social media and the increased demand for digital marketing has bolstered the growth of the Marketing Automation Software industry. The Marketing Automation Software solutions reduce the workload of the digital marketer by reducing the repetitive tasks like replying to the emails, personalizing the email replies, posting social media posts, analyzing the customer’s preferences, handling mobile marking, and so on.
Value Chain Analysis:
Currently, Virtual reality video and over-the-top video are the major segments that hold higher revenues in the entertainment and media sector. The countries that are yielding higher economical values are dominant in digital marketing which acts as a driving factor of the Marketing Automation Software industry. As the vendors are offering attractive communication channels and interesting strategies, the Marketing Automation Software market value is likely to grow beyond expectations.
Currently, smartphone adoption is reaching over 30% of the market share in the global Marketing Automation Software market outlook. The necessity for smartphone-optimized marketing has increased in recent years. This has increased the Marketing Automation Software market growth. Customer preferences have changed recently and the ways of perceiving information and power of sharing have taken the next step in the field of marketing in recent years. Customers are well-equipped with the essential knowledge and their value for money has increased in the countries with higher economic value.
Based on Deployment:
Frequently Asked Questions (FAQ) :
The market can achieve a growth rate of 13.21% in the coming period.
The market is racing ahead at a fervent pace and is all set to touch a valuation of USD 12.83 Billion by 2030.
The top players in the global market for marketing automation software, as per the report include ActiveCampaign, Marketo, Inc., Sendinblue, Autopilot, SAS Institute Inc., Prospect.io, HubSpot Inc., Adobe Systems Inc., Salesforce.com Inc., Teradata Corporation, Ontraport, Cognizant, SAP SE, Oracle Corporation, IBM Corporation, Act-On Software Inc., and others.
Some of the restraining factors in the market include privacy concerns along with the high availability of open-source as well as free marketing automation software.
Marketing automation software is used extensively by the marketers to come up with extremely efficient solutions to launch well-organized marketing campaigns that can effectively target the ever-changing customer base across every kind of marketing segment.
The significant applications of marketing automation software are Digital Marketing, Campaign Management, Mobile Marketing, Social Media Marketing, Inbound Marketing, E-mail Marketing, and others.
Rising adoption of social media platforms for advertising, increasing use of marketing automation tools among enterprises for marketing campaigns via various digital channels like online advertising, websites as well as web search, combined with the mounting use of e-mail based marketing along with mobile marketing tools are the prominent factors boosting the market growth across the globe.
Many IT giants currently dominate the marketing automation software market. The factors that are influencing the implementation of such software include rapidly changing customer purchasing patterns, intense competition among solution providers, and continuous fluctuations in exchange currency among others. The vendors are developing unique software solutions which are adopted in various commercial aspects that include interaction systems, data and analytics systems, content management and production, and management and administration-oriented applications. With the increasing cloud infrastructure, most of the companies are deploying its products on the cloud which is convenient, affordable and offers greater accessibility across various end-users. Furthermore, the growth of the market vendors is dependent on the market conditions, availability of solutions, and industry development. Companies such as IBM Corporation, Act-On Software, Inc., Adobe systems, HubSpot Inc., Oracle Corporation, SAP SE, and SAS Institute are competing in terms of pricing, geographical presence, and industrial experience. Other companies that are also playing a crucial role in the development of the marketing automation software are salesforce.com, Cognizant, and Act-on-Software among others. These companies, as well as above mentioned companies, are making heavy investment to integrate with disruptive technologies such as artificial intelligence, predictive analytics, and others to provide personalized customer experience. As these solutions offer high-end software solution to provide comprehensive customer insights, enhance customer experience. The company is also likely to adopt inorganic growth approaches through partnerships and collaboration to innovate high-end software solution. Recently Marketo Inc. has been acquired by Adobe Systems, increase its product offering. Considering the developments of these companies, it can be concluded that the marketing automation software market is presumed to be influenced by predictive analytics, artificial intelligence and many other technologies which help the businesses to provide proactive solutions to increase customer base and improve customer experience.
Oracle’s cloud and license segment sell and delivers applications, platform, and infrastructure technologies. The company has a diverse portfolio of cloud-based products with a dedicated focus on innovation to increase its products offering and expand the customer base. Oracle also considers strategic acquisition as one of the important elements of growth strategy to enable the process of innovation, increasing customer base, and deploying products and services.
International Business Machine Corporation (IBM Corporation) is a provider of information technology worldwide. The company has a prominent history of manufacturing computer systems, computer hardware, software, and offering information technology consulting services. IBM Corporation primarily aims to increase its business productivity by building partnerships with tech giants and exploring the untapped market as a part of its inorganic growth strategy. The company primarily focuses on innovation with constant re-invention and transformations.
SAP operates through two reportable segments namely applications, technology & services segment, and SAP business network segment. The company focuses on improvising core competencies through technology that provides a competitive advantage. The company also focuses on strategic acquisitions to foster strength in all its product capabilities. The company also focuses on future investments as a part of its organic growth.
Adobe System, (Adobe) is a globally recognized software company that is engaged in providing a range of products and services used by professionals, online merchants, application developers, and others. The company spends a large amount of investments in research and development to offer a broad portfolio of products, services, and solutions in its reportable segments and maintains its position in the market. The company also focuses on its cloud-based offerings which are licensed on a subscription basis to accelerate its long-term revenue growth.
HubSpot Inc. (HubSpot) is engaged in a cloud-based marketing and sales software platform. The company operates under one operating segment offering subscription-based software associated with professional services and others. The company has been involved in various innovation and R&D to ensure a strong market and global presence and excellent product portfolio.