July 24, 2024
CUSTOMER SUCCESS MANAGEMENT MARKET

Accelerated Customer Adoption To Fuel The Growth Of Customer Success Management Market

The global Customer Success Management Market is estimated to be valued at Us$ 1891.81 Mn in 2023 and is expected to exhibit a CAGR Of 26.% over the forecast period from 2023 To 2030, as highlighted in a new report published by Coherent Market Insights.

Market Overview:

Customer Success Management (CSM) helps organizations improve customer retention and maximize lifetime value through proactive support and guidance. CSM platforms provide tools to track product usage, understand customer churn risks, automate onboarding and training experiences, and enable 1-to-1 customer engagement. With CSM, organizations can develop long-term customer relationships, boost renewals and cross-sell/upsell rates. CSM has become vital for SaaS companies to optimize customer journeys and maximize recurring revenue streams.

Market key trends:

One of the key trends in the customer success management market is the accelerated adoption of CSM solutions by companies across industries to drive customer retention and advocacy in the post-pandemic world. With growing competition, companies are focusing on personalized customer experiences and proactive support to gain a competitive edge. Another major trend is the integration of artificial intelligence and machine learning capabilities in CSM platforms. Advanced analytics help identify at-risk customers, automate interventions and predict future needs. This is helping CSM platforms scale support operations. Integration of CSM with other digital tools like CRM and marketing automation is also gaining traction to improve interdepartmental collaboration and deliver seamless customer journeys.

Porter’s Analysis

Threat of new entrants: The customer success management market poses moderate threat from new entrants given its high industry growth rate. New companies will need significant capital investments to develop relevant technologies and gain customer base.

Bargaining power of buyers: Buyers have moderate bargaining power in this market owing to availability of various customer success management solutions from different vendors. However, switching costs for buyers are low.

Bargaining power of suppliers: The market comprises large technology providers as suppliers who have moderate-to-high bargaining power due to their technological expertise and market reach.

Threat of new substitutes: Threat of substitution is low as there are limited substitutes for customer success management solutions.

Competitive rivalry: The market experiences high competition among existing major players.

Key Takeaways

The Global Customer Success Management Market Size is expected to witness high growth, exhibiting CAGR of 26.% over the forecast period, due to increasing need to enhance customer retention and maximize customer lifetime value.

North America accounted for the largest share of the customer success management market in 2023 owing to presence of major technology companies in countries like US and Canada. Asia-Pacific is expected to grow at the fastest pace during the forecast period, driven by rapid digitalization and technology adoption in developing countries like China and India.

Key players operating in the customer success management market are Gainsight Inc., Open Text Corporation, Salesforce.com Inc., SAP SE, Verint Systems Inc., Medallia Inc., IBM Corporation, Oracle Corporation, Avaya Inc., Tech Mahindra, Totango, UserIQ Inc., ClientSuccess Inc., Natero Inc. (Freshworks), Planhat, CustomerSuccessBox, Armatic Technologies Inc. (BlueSnap)and Sitecore. These players are focusing on developing advanced solutions and improving their features to gain competitive advantage.

*Note:

  1. Source: Coherent Market Insights, Public sources, Desk research
  2. We have leveraged AI tools to mine information and compile it