£2.7bn
£XX.Xm
2,036
124
£XXX.Xm
Other than implementing strategies for managing a company's interactions with customers, clients and sales prospects, CRM System Providers' services have expanded to include the automation of many back-office roles, sales procedures and marketing personalisation. Growing technology adoption and the desire by businesses to make operations more efficient and productive have boosted demand for CRM systems. Revenue is expected to rally at a compound annual rate of 19.6% to £2.7 billion over the five years through 2023-24, including a 12.8% hike in 2023-24.Strong revenue growth has been supported by the significant rise of Salesforce, which has grown to dominate the industry due to its usability and ability to integrate other functions, increasing its appeal to smaller companies. Furthermore, CRM system products have shifted towards a subscription-style model, changing from Software as a Product to Software as a Service. Business spending on software has boomed amid the ongoing digitalisation trend. The shift to a hybrid working model by many companies since the COVID-19 outbreak has supported demand. Since 2022-23, soaring inflation and heightened uncertainty amid geopolitical tensions have subdued business confidence and investment, weakening revenue growth.Revenue is forecast to climb at a compound annual rate of 11.7% to reach £4.7 billion over the five years through 2028-29. CRM system providers will benefit from improving economic conditions encouraging businesses to spend more on technology. Demand will also be boosted by technological advancements in software, with CRM systems increasingly incorporating artificial intelligence, machine learning and improvements in cloud computing. Growing competition as more companies enter the industry and a tighter labour pool could pressure industry profitability.
Industry revenue has grown at a CAGR of 19.6 % over the past five years, to reach an estimated £2.7bn in 2023.
Market size is projected to grow over the next five years.
Company | Market Share (%)
2024 | Revenue (£m)
2024 |
---|---|---|
Salesforce UK Ltd | 1,453.7 | |
SAP (UK) Ltd | 193.5 | |
Microsoft Ltd | 181.3 |
To view the market share and analysis for all 5 top companies in this industry, view purchase options.
CRM System Providers in the UK
Industry revenue is measured across several distinct product and services lines, including Software as a Service, Software as a Product and Other services and fees. Software as a Service is the largest segment of the CRM System Providers in the UK.
Software as a Service dominates the CRM industry
Get with the programme: Revenue climbs as businesses seek to improve their capabilities and make efficiency improvements
Purchase this report to view all 5 major companies in this industry.
SIC 62.01 - CRM System Providers in the UK
Get an indication of the industry's health through historical, current and forward-looking trends in the performance indicators that make or break businesses.
Robust spending on systems drives up revenue. Despite current economic headwinds making companies think twice about spending, they’re still investing in modern CRM systems to...
Learn about an industry's products and services, markets and trends in international trade.
SaaS takes over the market. Software as a Service, spearheaded by Salesforce and Microsoft's cloud-first strategy, draws customers in with its subscription-based model, while...
Discover where business activity is most concentrated in an industry and the factors driving these trends to find opportunities and conduct regional benchmarking.
London's business activity attracts CRM system providers. Proximity to key markets, access to a skilled workforce and the presence of tech and marketing hubs make the capital...
Get data and insights on what's driving competition in an industry and the challenges industry operators and new entrants may face, with analysis built around Porter's Five Forces framework.
Ubiquity and compatibility determine providers’ competitiveness. CRM systems that are easy to use and compatible with other applications save businesses time and increase eff...
Learn about the performance of the top companies in the industry.
Customisation possibilities help Salesforce dominate. The platform's adaptability caters to varying industry needs, attracting larger companies looking for tailored CRM syste...
Understand the demographic, economic and regulatory factors that shape how businesses in an industry perform.
GDPR sets new rules for CRM system providers. They now have to make sure their systems adhere to strict data protection standards, requiring explicit user consent for data pr...
View average costs for industry operators and compare financial data against an industry's financial benchmarks over time.
Salesforce’s dominance cuts the average profit margin. Its focus on mass over profitability, along with challenging economic conditions, constrains profitability despite comp...
Including values and annual change:
IBISWorld has been a leading provider of trusted industry research for over 50 years to the most successful companies worldwide. With offices in Australia, the United States, the United Kingdom, Germany and China, we are proud to have local teams of analysts that conduct research, data analysis and forecasting to produce data-driven industry reports.
Our analysts start with official, verified and publicly available sources of data to build the most accurate picture of each industry. Analysts then leverage their expertise and knowledge of the local markets to synthesize trends into digestible content for IBISWorld readers. Finally, each report is reviewed by one of IBISWorld’s editors, who provide quality assurance to ensure accuracy and readability.
IBISWorld relies on human-verified data and human-written analysis to compile each standard industry report. We do not use generative AI tools to write insights, although members can choose to leverage AI-based tools within the platform to generate additional analysis formats.
Each industry report incorporates data and research from government databases, industry-specific sources, industry contacts, and our own proprietary database of statistics and analysis to provide balanced, independent and accurate insights.
Key data sources in the UK include:
Analysts also use industry specific sources to complement catch-all sources, although their perspective may focus on a particular organization or representative body, rather than a clear overview of all industry operations. However, when balanced against other perspectives, industry-specific sources provide insights into industry trends.
These sources include:
Finally, IBISWorld’s global data scientists maintain a proprietary database of macroeconomic and demand drivers, which our analysts use to help inform industry data and trends. They also maintain a database of statistics and analysis on thousands of industries, which has been built over our more than 50-year history and offers comprehensive insights into long-term trends.
IBISWorld’s analysts and data scientists use the sources above to create forecasts for our proprietary datasets and industry statistics. Depending on the dataset, they may use regression analysis, multivariate analysis, time-series analysis or exponential smoothing techniques to project future data for the industry or driver. Additionally, analysts will leverage their local knowledge of industry operating and regulatory conditions to impart their best judgment on the forecast model.
IBISWorld prides itself on being a trusted, independent source of data, with over 50 years of experience building and maintaining rich datasets and forecasting tools. We are proud to be the keystone source of industry information for thousands of companies across the world.
Learn more about our methodology and data sourcing on the Help Center.
Unlock comprehensive answers and precise data upon purchase. View purchase options.
The market size of the CRM System Providers in the UK industry in United Kingdom is £2.7bn in 2024.
There are 124 businesses in the CRM System Providers in the UK industry in United Kingdom, which has grown at a CAGR of 6.9 % between 2018 and 2023.
The market size of the CRM System Providers in the UK industry in United Kingdom has been growing at a CAGR of 19.6 % between 2018 and 2023.
Over the next five years, the CRM System Providers in the UK industry in United Kingdom is expected to grow.
The biggest companies operating in the CRM System Providers market in United Kingdom are Salesforce UK Ltd, SAP (UK) Ltd and Microsoft Ltd
Software as a Service and Software as a Product are part of the CRM System Providers in the UK industry.
The company holding the most market share in United Kingdom is Salesforce UK Ltd.
The level of competition is high and increasing in the CRM System Providers in the UK industry in United Kingdom.