CRM set for boom-time

Revenues from customer relationship management software are expected to leap from $7.8bn last year to $13.3bn in 2012

Sales of customer relationship management (CRM) software are booming, according to analyst Gartner.

Worldwide CRM software revenue is projected to surpass $8.9bn (£4.45bn) in 2008, a 14.2 per cent increase from preliminary 2007 revenue estimates of $7.8bn, according to Gartner.

"The market is poised for healthy growth through 2012 when revenue is forecast
to reach $13.3bn, predicted Gartner research director Sharon Mertz.

“The composition of the worldwide CRM market is evolving as vendors continue to
extend regionally, increase penetration within existing accounts and gain new
clients, offer flexible deployment models, and continue to develop the channel,”
said Mertz.

However, not everyone rejoiced in this news. CRM systems have been dubbed
customer stalking systems by channelweb's sister site, TheInquirer.net, as
they are used by big corporations to co-ordinate aggressive telemarketing
campaigns.

Mertz said: “Initial 2007 market share estimates backed by strong fourth quarter and year-end earnings reports, indicate solid market performance and record growth for the worldwide CRM market in 2007, and vendor confidence and
buyer intent to purchase going forward indicate an overall positive outlook for
the market in the mid- to long-term, despite softening economic conditions.”

The final 2007 statistics will be published in June.