Contact Center Software Market To Surpass $102,751.5 Million Value by 2030

The contact center software market is projected to generate $102,751.5 million revenue by 2030, advancing at a CAGR of 18.0% during 2021–2030. This is due to the factors such as advancement and increase in the use of AI applications in the field of business analytics, and government initiatives to support the adoption of cloud technology, mobile applications, and internet connectivity.

The outbreak of the COVID-19 pandemic had a positive impact on the market for contact center software. It prompted organizations to deploy advanced technologies with virtual capabilities, which led to higher levels of collaboration among contact centers and systems. As such, the shift to the virtual workplace eventually opened opportunities for flexible schedules, which are advantageous for both representatives and enterprises.

Consumer Goods and Retail Industry To Witness Fastest Growth in the Market

The consumer goods and retail industry is the fastest-growing category in the market. The surging demand for contact center software and services in the retail industry is driven by the rising need among organizations to ensure customer satisfaction and overcome challenges involved in the customer retention process. As per a report, over 70% of consumers say good experience is the key to improve brand loyalties.

Moreover, focusing on providing a personalized experience to customers has led to the creation of huge databases across the world, requiring agents to clean and sort out the data during ongoing calls. The contact center has streamlined the entire process, offering better flexibility and multi-channel contact mediums to customers.

The travel & hospitality sector is growing significantly in the market, as it involves a customer-centric paradigm, which requires direct communication with customers on a regular basis. Software is a perfect tool to offer quick responses to manage queries regarding reservations, ticket availability, travel bookings, and handle grievances and cancellations. The software also helps businesses generate new leads and retain existing customers.

Demand for Managed Services Is Increasing Rapidly

The managed services category is projected to observe significant growth, progressing at a CAGR of around 20.2%, during 2021–2030, in the contact center software market. Due to a large number of center systems present in the market, the need for consultation services from professionals for the systems and software is increasing. This has resulted in amplified outsourcing of contact center solutions, as companies need not devote their productive hours to these areas. These factors are expected to drive the demand for managed services.

The integration and deployment category held the largest market share in 2021. With companies focusing on automating the entire process of CRM, integration and deployment services help integrate existing systems with new ones, thereby avoiding loss or theft of data. Thus, these factors boost the market growth in this category.

Globally, the APAC market is projected to witness the fastest growth in the coming years, due to the presence of major IT companies in the region. Moreover, governments are at the forefront of promoting digitalization and implementing cloud technology, with the sole purpose of enhancing the productivity and efficiency of organizations. For instance, the Indian government has taken initiatives such as National e-Governance Plan, which aims at bringing all the front-end government services online, and MyGov.in, which is an online platform to share inputs and ideas on matters of policy and governance, and many more. This will help in the proliferation of the regional market growth.

Product Launches and Partnerships Are Most-Effective Strategic Measures

Players in the contact center software industry have been involved in product launches and partnerships to remain competitive in the market. For instance, in December 2020, Five9 Inc. partnered with Conn3ct, a communications solutions provider of session initiation protocol and public switched telephone network services. Through this partnership, communication channels offered by Conn3ct are combined with omnichannel contact centers from Five9 to deliver high-touch customer engagements and a customizable contact center to meet the unique needs of customers in the EMEA market.

Moreover, in 2020, Hemp Inc. introduced real-time interaction guidance, an innovative solution powered by ENLIGHTEN, an AI platform of the company. The solution analyzes customer service conversations to provide real-time guidance for call center agents to better engage with customers. On the basis of predictive behavioral models for real-time interaction guidance, it automatically determines and scores the unique agent behaviors to drive customer satisfaction.

The major players operating in the contact center software market include Alcatel-Lucent Enterprise, Avaya Inc., CISCO SYSTEMS INC., Five9 Inc., Genesys, NEC Corporation, SAP SE, 3CLogic, and 8X8 Inc.