CRM Outsourcing Market size is expected to witness appreciable growth over 2021-2027. This is driven by the ability of the service to help sales teams reduce business risks, increase competitive advantage, optimize sales processes, cut operating costs, and allow automatic data entry. Likewise, the rising awareness about the benefits of employing expert representatives to transform customer experience across the retail sector will further boost the demand for CRM outsourcing services. Customer relationship management outsourcing services can help businesses retain customers, as call center outsourcing companies and business process outsourcing partners have high expertise in customer care services. These services use creative programs, highly skilled agents, and avant-garde CRM methodologies to get the most out of customer relationships.
Rise in spending on innovative technologies such as big data and analytics services is a prominent trend proliferating the CRM outsourcing market growth over 2021-2027. Big data-enabled customer relationship management has become a holistic approach, as it can deal with large data sets that are too complex for conventional data-processing application software and offer personalized customer service. However, outsourcing CRM may pose a threat to the privacy of company data. With the escalating cases of cyber breaches, businesses may reduce reliance on third-party service providers and in turn, hinder the overall industry share in the coming years.
Based on end-user, the BFSI segment will account for a commendable share in the CRM outsourcing market by 2027. This is attributable to the adoption of CRM services to assist banks and financial services in effectively managing customers and instantly providing ideal solutions. Outsourcing banking operations has also been gaining momentum, given better access to big data specialists and elimination of costs associated with hiring full-time processors, which will further fuel service demand in the BFSI sector.
Europe will emerge as a lucrative revenue prospect for the CRM outsourcing industry by 2027, given the robust focus on the adoption of digital technology to transform businesses in the region. This is due to the fact that sophisticated digital technologies and analytics can aid CRM platforms in facilitating insight-driven interactions. Furthermore, the growing number of small and medium enterprises is also expected to surge the adoption of outsourced CRM software across the region.
Key players in the global CRM outsourcing market include Xerox Corporation, Convergys Corporation (Concentrix), Wipro Limited., Tata Consultancy Services Ltd., Siemens AG, Mckesson Corporation, Infosys Limited, IBM Corporation, Hewlett-Packard Company, HCL Technologies Ltd., Dell, Inc., AMDOCS, Cognizant Technology Solutions, Anthelio Healthcare Solutions, Allscripts Healthcare Solutions, Inc., Aegis, and Accenture PLC, among others. These firms are focusing on new service launches and business expansions to expand their footprint and gain a competitive edge in the global market.
The novel coronavirus pandemic has resulted in the shutdown of borders and limited travel activities, directly impacting the movement and flow of goods. The overall logistics industry has been hampered in varied ways due to the disruptions across the sea, freight, and air segments. Given the emergence of the transportation and logistics sector as a significant end-user of CRM outsourcing services, the ongoing supply chain disruptions may create a hindrance to the CRM outsourcing industry growth over the foreseeable future.
However, the pandemic has prompted SMEs to focus on the importance of outsourcing to remain competitive in the market. Therefore, they are rapidly making a shift towards outsourcing services, which provide an effective way to perform repetitive tasks that small businesses need to handle on a regular basis. These factors may assert a positive influence on the steady expansion of the CRM outsourcing industry, even during the crisis.