Global Contract Lifecycle Management Market Growth and Outlook:
Adoption of cloud-based solutions around the world are increasing, especially in small and medium enterprises, eventually supporting the sales of contract level management software at a global level. Economic growth within developing countries such as China and India is complemented by the declining prices of enterprise applications and contract lifecycle management solutions. Mounting digitalization and advancement in telecommunication has facilitated numerous growth opportunities for the CLM market. Thus the market is slated to grow at an impressive growth rate of over 13% during the forecast period.
Integration of technologies such as IoT, machine learning, artificial intelligence, and others are expected to steer development of the contract lifecycle management software market with greater capabilities and improved performance. Market players providing software integration with these technologies have reported enhanced customer satisfaction. Thus, it is expected that, the integration of advanced technologies will create new opportunities for regional vendors during the forecast period.
Global Contract Lifecycle Management Market Analysis by Solution:
The Contract Lifecycle Management (CLM) Software segment is dominating the market and is expected to strengthen its dominance across the forecast period. In terms of value, the CLM software segment is expected to expand at a CAGR of 12.5% during the forecast period. Increasing penetration of cloud based solutions in various developed and developing economies around the globe is driving growth for CLM software segment. The services segment is also expected to register high Y-o-Y growth rates throughout the forecast period.
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Global Contract Lifecycle Management Market Analysis by Business Function:
Adoption of contract lifecycle management software for various business applications is growing with an impressive growth rate of 13% over the forecast period. Contract lifecycle management software for legal and finance business segments shall gain popularity over the forecast period. In terms of revenue, the procurement segment is projected to be the most attractive in the global contract lifecycle management market expanding at a CAGR of 13.2% during the forecast period. The segment is expected to register high Y-o-Y growth rates throughout the forecast period.
Global Contract Lifecycle Management Market Share Analysis by Industry
Government and private sector institutions are anticipated to account for the maximum market share, owing to increasing demand of contract management solutions. Furthermore, the move towards digitalization has also resulted in mounting demand for contract management solutions over the forecast period.
Healthcare & pharmaceutical and IT & Telecom industries collectively accounted for a quarter of the market share. This is on the back of increasing demand for cloud computing services, backed by high concerns over data security. However, BFSI segment is expected to register stellar high Y-o-Y growth rates throughout the forecast period. In terms of value, this segment is expected to expand at a CAGR of 13.5%.
Global Contract Lifecycle Management Market Analysis by Region
North America and Europe were the dominant markets in the contract lifecycle management market in 2019 in terms of sales revenue, backed by increasing number of IT and telecom industry to facilitate development for NGN. In the coming years, countries in North America, such as the U.S. and Canada, are expected to be key markets for sustainable revenue generation from the Contract Lifecycle Management market. The East Asia region is expected to remain a key market in the global Contract Lifecycle Management market due to high adoption of the latest technologies by key industries. Significant market potential exists in countries such as Germany, U.K., China, Japan and France.