CRM software market grew 8% in 2004
According to IDC, the customer relationship management (CRM) applications market returned to positive growth in 2004 due to the resurgence of demand by user organizations. In 2004 the CRM market grew 8%, resulting in total market revenues of $8.8 bln. During the market downturn of the early 2000s, customers sharpened their buying criteria, enabling them to move quickly to invest in CRM projects when IT and Line of Business budgets thawed in 2004. Buyers’ intentions to implement CRM and to focus on CRM initiatives remain high in 2005. Siebel, Oracle, and SAP, all established CRM suppliers, dominate the top three CRM applications market positions. Siebel, the market leader, captured 10.7% market share in 2004, while Oracle, with the supplement from its PeopleSoft acquisition, barely moved ahead of SAP to capture second place. From a regional view, North America is the largest region within the CRM applications market, accounting for 60.3% of worldwide revenue in 2004, with Western Europe representing 28.8% of the market.