Market Description
Customer relationship management (CRM) is a set of applications and platforms that enables organizations to manage relationships by optimizing key customer experience (CX) business processes such as campaign to lead, lead to order, incident to resolution, and purchase to referral.
Midmarket organizations typically range from 250 to 1,000 employees and generate between $250 million and $1 billion in annual revenues. In the midmarket CRM space, buyers typically seek one or more products in a suite to support sales force automation, service and support, marketing solutions, and commerce capabilities. Buyers expect analytics to be pervasive, integrated, and easy to use.
Midmarket firms have the same requirements as enterprises when it comes to CRM, but with limited resources and IT expertise. That is why leading midmarket CRM providers have embraced concepts such as composable applications; no-code/low-code platforms; and, of course, generative and now agentic artificial intelligence (AI). These new technologies allow for faster configuration and deployment of the system as well as lower maintenance costs and less IT overhead. In addition, the ability to better personalize and customize the user experience, as well as provide more useful insights via AI inside the user interface (UI), drives faster and deeper adoption.
Constellation predicts that the overall CRM market will reach $163.2 billion by 2030, at a compound annual growth rate (CAGR) of 12.1%. Midmarket CRM represents 22.2% of the overall market, and Constellation believes that this market will reach $36.18 billion by 2030.
