Contact Center Software Market Size
| Study Period | 2019 - 2029 |
| Market Size (2024) | USD 61.07 Billion |
| Market Size (2029) | USD 145.20 Billion |
| CAGR (2024 - 2029) | 18.91 % |
| Fastest Growing Market | Asia Pacific |
| Largest Market | North America |
Major Players
*Disclaimer: Major Players sorted in no particular order |
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Contact Center Software Market Analysis
The Contact Center Software Market size is estimated at USD 61.07 billion in 2024, and is expected to reach USD 145.20 billion by 2029, growing at a CAGR of 18.91% during the forecast period (2024-2029).
The market is primarily driven by the increasing need to enhance customer experience at relatively lower costs. The growth of contact center software has been significant in recent years, driven by the need for businesses to effectively manage customer interactions across multiple channels.
- The increasing demand for omnichannel customer engagement solutions drives the market growth. Customers today expect seamless interactions across multiple channels, including voice, email, chat, social media, and SMS. Contact center software that enables efficient management and integration of these channels is in high demand to deliver consistent and personalized customer experiences.
- Salesforce, a leading customer relationship management (CRM) platform, offers omnichannel contact center solutions through its Service Cloud offering. This enables organizations to engage with customers across multiple channels, ensuring a seamless and unified experience. Organizations like Marriott International have leveraged such solutions to enhance customer service by providing personalized and consistent interactions across various touchpoints.
- The growing emphasis on customer experience and personalization in contact center operations is also drives the market. Organizations recognize that delivering exceptional customer experiences and personalized interactions are crucial for building loyalty, driving customer satisfaction, and gaining a competitive edge. Contact center software with advanced personalization and customer journey management features is in high demand.
- Genesys, a leading customer experience and contact center solution provider, offers a comprehensive suite of software solutions to enable personalized customer interactions. Their contact center software integrates with customer data to give agents a holistic view of each customer, enabling personalized engagement. Companies like Emirates Airlines have leveraged Genesys solutions to provide personalized experiences to their customers, leading to improved satisfaction and loyalty.
- Integrating contact center software with legacy systems, such as CRM platforms, telephony systems, and databases, can be a complex and time-consuming. Legacy systems may have different architectures, data formats, and protocols, making integration a technical challenge. This complexity can lead to increased implementation costs, longer deployment times, and potential disruptions to ongoing operations.
- According to a report by Ovum, legacy system integration is one of the top challenges organizations face when implementing contact center software. The report highlights that 63% of organizations struggle with integrating new contact center technologies with their existing systems and infrastructure.
- The COVID-19 pandemic disrupted traditional contact center operations, necessitating remote work arrangements to ensure business continuity. Organizations had to quickly implement remote contact center solutions to enable agents to work from home or decentralized locations. This shift towards remote and distributed operations impacted the demand for contact center software that facilitates seamless communication, collaboration, and monitoring of remote agents.
- According to a survey by Nemertes, 78.3% of organizations reported that COVID-19 caused them to transition more agents to remote work. This highlights the significant impact of the pandemic on remote work adoption in the contact center industry. There has also been an impact of the Russia-Ukraine war on the overall ecosystem.
Contact Center Software Market Trends
Retail End User Industry is Expected to Hold Significant Market Share
- The retail sector is driving growth in the contact center software industry by providing a high demand for software solutions that can handle a large volume of customer inquiries and support interactions, both through traditional channels like phone and email and, increasingly, through digital channels such as chat, social media, and messaging apps.
- Retail companies use these solutions to improve customer experience, increase operational efficiency, and reduce costs. With the rise in e-commerce, the need for multi-channel support is increasing the demand for contact center software. The increase in e-commerce penetration has redefined the sector in several aspects. The increasing volume of omnichannel sales has made it challenging to manage the post-sales services offered to the clients and presents a broad opportunity for the contact center software market.
- Omnichannel sales have gained wide acceptance among consumers as well. Over 70% of the customers are open to online shopping, and some shop regularly from online channels, whereas a few others are willing to switch if the experience and value for money are enhanced.
- The market in the retail sector has an immense prospect in countries such as the United Kingdom as the Omni-channel sales in the country are expected to witness rapid growth. According to a survey by Manhattan Associates, a single view of consumers and personalized experience were the top aspects prioritized by retailers in the country. Owing to such a scenario, contact centers are expected to benefit omnichannel retailers compared to the traditional call center approach.
- Improved contact center software can contribute to a better customer experience. Retailers may invest in solutions that offer advanced features such as omnichannel support, AI-driven chatbots, and analytics to better understand and serve their customers. According to Flexera Software, In 2023, Retail, eCommerce, and software companies had spent a 10 percent and 19 percent share of their revenue on IT.
North America is Expected to Hold Significant Market Share
- North America has been a leader in the adoption of cloud technology. The growth in the adoption of cloud technology is helping to reduce capital expenditures, IT management complexity and to deploy new applications efficiently, which has encouraged companies to adopt the cloud-based platform in their business processes. Moving to cloud technology has made it easier for businesses to implement contact center software, eliminating the need for on-premises hardware and maintenance.
- The growing omnichannel approach to sales and North America's expanding e-commerce industry are driving demand for contact center software. Companies are attempting to diversify their business portfolios in the region due to the massive potential it offers.
- For instance, in January 2023, Broadvoice, a provider of hosted voice, unified communications (UCaaS), omnichannel contact center (CCaaS), and SIP trunking services for small and midmarket businesses, launched the GoContact omnichannel cloud contact center solution for business customers in North America.
- The shift was primarily to enhance its customer experience. As a result, it is expected to compel other companies to move their software over to the cloud, thus creating ample opportunity for the industry players and positively impacting the region's market growth over the forecast period.
- Moreover, increased integration, innovation, and implementation of technologies such as cloud computing, big data, and Artificial Intelligence in the United States provide real-time analytics capabilities to contact center software which is expected to support market growth in the region.
Contact Center Software Industry Overview
The Contact Center Software market is highly fragmented with the presence of major players like Enghouse Interactive Inc., Cisco Systems Inc., Unify Inc.(Mitel), Five9 Inc., and Genesys Telecommunications Laboratories Inc. Players in the market are adopting strategies such as partnerships and acquisitions to enhance their product offerings and gain sustainable competitive advantage.
- October 2023 - Enghouse Interactive, one of the global leading providers of mission-critical enterprise technologies, announced an expansion of its partnership with Intertec Systems. This collaboration is set to provide a comprehensive suite of video collaboration, enterprise video management contact center, and fleet management transportation solutions to the Middle Eastern market.
- May 2023 - Five9, one of the leading global providers of the Intelligent CX Platform and long-established WTG, a global technology solutions provider, announced collaboration at the CX Summit EMEA in Porto. The partners would enhance their customers' cloud, digitization, and customer experience projects. By combining Five9's cloud-based contact center and AI solutions with WTG's technology expertise and consulting and integration services, consumers would benefit from a broad portfolio of innovative solutions and services. The joint expertise of both partners assists their customers to optimize individual business processes and increase their efficiency.
Contact Center Software Market Leaders
Enghouse Interactive Inc.
Cisco Systems Inc.
Unify Inc.(Mitel)
Five9 Inc.
Genesys Telecommunications Laboratories Inc.
*Disclaimer: Major Players sorted in no particular order
Contact Center Software Market News
- April 2023 - Enghouse Interactive is a renowned global leader in contact center software and video technology solutions, providing its customers and partners the valuable advantage of choice by introducing version 5.3 of the Enghouse Interactive Quality Management Suite(QMS), its monitoring, comprehensive IP call and computer recording, and evaluation software. QMS allows managers to document consumer interactions, identify and address trouble spots, and provide consistent, detailed, and constructive feedback.
- March 2023 - DVSAnalytics announced a partnership with XIMA that would offer contact centers with even more capabilities to enhance consumer service and manage their agent workforce efficiently. DVS's Encore Quality Management, Workforce Management, and Speech Analytics functionality equips XIMA consumers with an expanded toolset, arming them with enhanced ways to manage efficiencies of their contact center while elevating their customers' experience.
Contact Center Software Market Report - Table of Contents
1. INTRODUCTION
1.1 Study Assumptions and Market Definition
1.2 Scope of the Study
2. RESEARCH METHODOLOGY
3. EXECUTIVE SUMMARY
4. MARKET INSIGHTS
4.1 Market Overview
4.2 Industry Attractiveness - Porter's Five Forces Analysis
4.2.1 Bargaining Power of Buyers/Consumers
4.2.2 Bargaining Power of Suppliers
4.2.3 Threat of New Entrants
4.2.4 Threat of Substitute Products
4.2.5 Intensity of Competitive Rivalry
4.3 Assessment of the Impact of COVID-19 on the Market
5. MARKET DYNAMICS
5.1 Market Drivers
5.1.1 Increasing Focus on Delivering Enhanced Customer Experience
5.1.2 Increasing Demand for Automation and Reduction in Overall Cost of Contact Center Management
5.2 Market Restraints
5.2.1 Integration of New Solutions with Legacy Systems
6. MARKET SEGMENTATION
6.1 By Type
6.1.1 Outbound
6.1.2 Inbound
6.1.3 Omni-channel
6.1.4 Workforce Optimization
6.1.5 Reporting and Analytics
6.1.6 Integration
6.1.7 Other Types
6.2 By Deployment
6.2.1 Cloud
6.2.2 On-premise
6.3 By Service
6.3.1 Professional
6.3.2 Managed
6.4 By End-user Industry
6.4.1 IT and Telecommunication
6.4.2 Healthcare
6.4.3 Retail
6.4.4 Government
6.4.5 BFSI
6.4.6 Media and Entertainment
6.4.7 Education
6.4.8 Other End-user Industries
6.5 By Geography
6.5.1 North America
6.5.1.1 United States
6.5.1.2 Canada
6.5.2 Europe
6.5.2.1 United Kingdom
6.5.2.2 Germany
6.5.2.3 France
6.5.2.4 Rest of Europe
6.5.3 Asia Pacific
6.5.3.1 China
6.5.3.2 India
6.5.3.3 Japan
6.5.3.4 Australia
6.5.3.5 Rest of Asia Pacific
6.5.4 Latin America
6.5.5 Middle East and Africa
7. COMPETITIVE LANDSCAPE
7.1 Company Profiles
7.1.1 Enghouse Interactive Inc.
7.1.2 Cisco Systems Inc.
7.1.3 Unify Inc. (Mitel)
7.1.4 Five9 Inc.
7.1.5 Genesys Telecommunications Laboratories Inc.
7.1.6 Oracle Corporation
7.1.7 SAP SE
7.1.8 Mitel Networks Corp
7.1.9 Avaya Inc.
7.1.10 NEC Enterprise Solutions
7.1.11 ZTE Corporation
7.1.12 Vocalcom SA
7.1.13 Aspect Software Inc.
- *List Not Exhaustive
8. INVESTMENT ANALYSIS
9. FUTURE OF THE MARKET
Contact Center Software Industry Segmentation
Contact center software is a collection of applications automating key process processes. Contact center software helps companies and organizations monitor and enhance customer experience, develop agents, control costs, maintain compliance with laws and regulations, etc. Contact centers typically include one or more call centers but may also have other types of customer contact channels, including emails, social media interactions, and webchats.
The Contact Center Software Market is segmented by type (outbound, inbound, omni-channel, workforce optimization, reporting and analytics, and integration), deployment (cloud, on-premise), service (professional, managed), end-user industry (IT and telecommunication, healthcare, retail, government, BFSI, media and entertainment, education), and geography (North America, Europe, Asia Pacific, Latin America, Middle East and Africa). The report offers market forecasts and size in value (USD) for all the above segments.
| By Type | |
| Outbound | |
| Inbound | |
| Omni-channel | |
| Workforce Optimization | |
| Reporting and Analytics | |
| Integration | |
| Other Types |
| By Deployment | |
| Cloud | |
| On-premise |
| By Service | |
| Professional | |
| Managed |
| By End-user Industry | |
| IT and Telecommunication | |
| Healthcare | |
| Retail | |
| Government | |
| BFSI | |
| Media and Entertainment | |
| Education | |
| Other End-user Industries |
| By Geography | |||||||
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| Latin America | |||||||
| Middle East and Africa |
Contact Center Software Market Research FAQs
How big is the Contact Center Software Market?
The Contact Center Software Market size is expected to reach USD 61.07 billion in 2024 and grow at a CAGR of 18.91% to reach USD 145.20 billion by 2029.
What is the current Contact Center Software Market size?
In 2024, the Contact Center Software Market size is expected to reach USD 61.07 billion.
Who are the key players in Contact Center Software Market?
Enghouse Interactive Inc., Cisco Systems Inc., Unify Inc.(Mitel), Five9 Inc. and Genesys Telecommunications Laboratories Inc. are the major companies operating in the Contact Center Software Market.
Which is the fastest growing region in Contact Center Software Market?
Asia Pacific is estimated to grow at the highest CAGR over the forecast period (2024-2029).
Which region has the biggest share in Contact Center Software Market?
In 2024, the North America accounts for the largest market share in Contact Center Software Market.
What years does this Contact Center Software Market cover, and what was the market size in 2023?
In 2023, the Contact Center Software Market size was estimated at USD 49.52 billion. The report covers the Contact Center Software Market historical market size for years: 2019, 2020, 2021, 2022 and 2023. The report also forecasts the Contact Center Software Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
Contact Center Software Industry Report
Statistics for the 2024 Contact Center Software market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. Contact Center Software analysis includes a market forecast outlook to 2029 and historical overview. Get a sample of this industry analysis as a free report PDF download.
