- By Keith Kirkpatrick
Principal Analyst - July 7, 2022
Customer experience (CX) is typically defined as the sum of a customer’s experience with a product, brand, or service, encompassing all interactions before, during, and after a transaction. Providing a positive and pleasant CX is important to every business and organization, as few customers will continue a business relationship if they are treated poorly or with indifference. Moreover, according to a new report from Dash Research, CX has become the key differentiator between competitors, particularly as price and product selection have become somewhat irrelevant, due to the expansion and ubiquity of e-commerce.
“Although improvements to the overall customer experience are largely driven by organizational change management, software is increasingly being used to support these initiatives by managing and making available the plethora of customer data that is captured or aggregated from a variety of sources,” says principal analyst Keith Kirkpatrick.
Dash Research forecasts that the global market for CX and customer engagement (CE) software and services will expand to $119.7 billion by 2026, up from $78.3 billion in 2019, reflecting a 2019-2026 compound annual growth rate (CAGR) of 6.3%. This forecast represents an upgrade to Dash Research’s previous CX/CE forecast, published in 3Q 2021, due to increased estimates for market participants’ revenue, in addition to greater growth in Latin America and the Middle East & Africa.
The CX market intelligence firm projects that five industry sectors will constitute approximately 55% of total revenue during the forecast period:
- Telecommunications
- Healthcare
- Financial Services & Insurance
- Retail/eTail
- Government/Public Sector
Other industries with high growth rates between 2019 and 2026 include Media & Entertainment, Food & Beverage, and Consumer Products.
Key drivers for market growth, according to the report, are as follows:
- The reopening and refocusing of businesses in the post-COVID era
- Demand for true omnichannel communications
- Data privacy and security issues
- The increasing focus on employees
- Predictions and next-best-actions become CX drivers
- An ongoing demand to create deeper and longer-lasting customer relationships
Dash Research’s report, “CX Market Forecasts”, has been updated for 2022, and discusses the drivers and barriers of spending on CX software and services, as well as illustrating which segments and industries are likely to see the most investment over the next several years. It also includes insights into four industries that are driving the market spending (telecommunications, healthcare, financial services, and retail). A segmented list of notable software vendors is included in the report, as well as best-practice recommendations for market participants. An Executive Summary of the report is available for free download on the firm’s website.
About Dash Research
Dash Research, the market intelligence arm of Dash Network, provides in-depth research and insights on the worldwide CX market including a comprehensive assessment of technology solutions, business issues, market drivers, and end-user dynamics across industry sectors. Dash Research’s global market coverage combines qualitative and quantitative research methodologies to provide a complete view of emerging business opportunities surrounding contact center technologies, customer data & analytics, customer data platforms, customer insights & feedback, customer relationship management, personalization & optimization, and employee experience. For more information, visit www.dashresearch.com or call +1.720.603.1700.
Latest Research
CX Market Forecasts
Customer Data & Analytics, Customer Relationship Management, Contact Center, Personalization & Optimization, Customer Data Platforms, Customer Insights & Feedback, and Employee Experience
Customer Insights & Feedback
Market Drivers and Barriers, Key Industry Players, Market Sizing and Forecasts, and Case Studies
Omnichannel Customer Engagement
Case Studies, Market Drivers, Market Barriers, and Best Practices for the Adoption of Omnichannel Engagement Strategies and Software
Upcoming Events
Customer Contact Week Executive Exchange
August 15-17, 2022 – Denver, COCX Network Live: CX Financial Services
August 16-18, 2022 – VirtualFeatured Articles
New M&A Involves Forsta, Rio SEO, CommerceIQ, e.fundamentals, Alvaria, and Cicero Inc.
By Alex Gaw August 2, 2022
Forsta and Rio SEO Combine to Provide Solutions Spanning the Customer Journey Forsta, the New York City-based provider of insight analytics to enterprise customers and market research professionals, is combining capabilities with Rio SEO,…
Read MoreNew Harvard Publications Report: Effective Customer Engagement is Critical
By Alex Gaw August 1, 2022
Effective customer engagement is especially critical to businesses today as the world braces for an economic downturn, according to new research from the publishing group at Harvard University. And yet, various obstacles prevent businesses from…
Read MoreKhoros, EveryoneSocial Combine Digital Customer Engagement, Employee Advocacy
By Sherril Hanson July 29, 2022
In early July, Khoros and EveryoneSocial announced a partnership that will leverage Khoros’ social media management solution with EveryoneSocial’s employee advocacy technology. The combination will be a boon to digital marketers as they attempt…
Read MoreCustomer Wins for SugarCRM, MoEngage, AskNicely, Talkdesk, and Redpoint Global
By Alex Gaw July 29, 2022
SugarCRM Partners with Funds2Orgs in Shoe Drive and Entrepreneurship Mission SugarCRM, the Silicon Valley-based provider of a customer relationship management (CRM) system, is teaming up with Funds2Orgs in its mission of putting shoes on the…
Read MoreEducational Resources
Welcome To Dash Network
An animated video showcasing Dash Network’s vision and mission, as an integrated B2B research, events, and digital news media platform focused on the best business practices and technology solutions for the global Customer Experience market.
Read MoreFeedback Needs to Create Action
This case study showcases how Amdocs leverages Alchemer for its global Voice of the Customer program. Benefits include increased response rate and engagement, and savings on Total Cost of Ownership. Download the case study below to learn more….
Read MoreElevating Engagement in Healthcare During a Pandemic
This case study showcases how healthcare providers can increase communication and understanding between leaders and employees, and improve overall employee engagement with the DaysToHappy platform. Download the case study below to learn more….
Read MoreBuilding a ‘Personal Bank in a Digital Age’ With a 360-degree Customer View
This case study showcases how one of the Netherlands’ largest banks, ABN AMRO, utilized Tealium’s Customer Data Platform to bring its first-party customer data together so it could offer real-time, relevant engagement to clients . Download the case…
Read More