Knowledge Management Market

Knowledge Management Market Outlook (2023-2033)

The global knowledge management market is expected to progress rapidly at a CAGR of 19.9%, increasing from its current value of US$ 650 billion to US$ 4 trillion by the end of 2033.

Knowledge management is the process of defining, retaining, organizing, and disseminating knowledge as well as employee experience within an organization. It refers to a multidisciplinary approach to attaining corporate goals through optimal knowledge utilization. The main goal of knowledge management is to improve organizational proficiency.

Knowledge management is when businesses detect, collect, compile, distribute, and comprehend data. Knowledge management entails not only understanding systems, new technology, or information but also people, processes, and businesses. Furthermore, shared information is intended to promote learning and the development of new ideas.

Firms are examining their infrastructure to determine the best approach to disseminate available information. Companies that promote timely data sharing while also ensuring their employees have the tools for successfully handling information through knowledge management for better decision-making can survive the difficult competition.

The COVID-19 pandemic and the subsequent remote working phenomenon have significantly boosted the sales growth of knowledge management solutions worldwide. With remote working becoming more common, the demand for knowledge management solutions is projected to rise in the coming years. The pandemic also prompted numerous corporations to acquire cloud-based software that provides flexibility to their operations.

The usage of cloud-based knowledge management solutions allows firms to develop and share information with employees in real time for better customer service. Furthermore, enterprises' growing volume of data is projected to fuel the demand for knowledge management solutions.

Demand for AI-powered knowledge management solutions is increasing as firms become more competitive and data-driven. These solutions allow businesses to manage enormous amounts of data more effectively by automating repetitive operations and assisting employees in quickly finding the information they require. Furthermore, these solutions can be utilized to assist firms in improving customer service and lowering customer churn rates.

AI-powered knowledge management tools can identify customer trends and help make smarter marketing decisions. Businesses that want to maintain a competitive advantage can consider investing in AI-powered knowledge management tools. This technology has a lot to offer businesses of all sizes, and it will only grow in popularity in the future.

Report Attributes	Details
Market Size (2023)	US$ 650 Billion
Projected Market Value (2033)	US$ 4 Trillion
Global Market Growth Rate (2023-2033)	19.9% CAGR
United States Market Value (2022)	US$ 165 Billion
Large Enterprises Segment Growth Rate (2023-2033)	16.3% CAGR
Key Companies Profiled	Atlassian Corporation Plc ComAround Inc IBM Bitrix, Inc Bloomfire eXo Platform eGain Corporation Freshworks Inc Ernst & Young Global Limited Igloo Software

Why Do Businesses Require Knowledge Management?

“Increasing Need for Customer Retention & Satisfaction”

Customer-centric business techniques are regarded as one of the most powerful competencies in enterprises, assisting in the transformation of their settings to a customer-centric environment. Companies can use knowledge management to deepen their relationships with key customers, leading to competitive advantage and loyal customers.

Organizations can utilize knowledge management and knowledge obtained from customer relationship management (CRM) to develop new ideas and deliver improved and new services. Customer knowledge, as an essential part of the relationship between knowledge management and customer relationship management (CRM), can help organizations customize their products and services and their entire customer relationship to enhance customer satisfaction and, eventually, economic profitability.

Country-wise Insights

Why Does the United States Hold Dominance in the North American Market?

“Presence of Major Players and Increasing Adoption of Knowledge Management Solutions”

Demand for knowledge management solutions is growing in North America. The United States is dominating the North American market. The United States market was worth US$ 165 billion in 2022.

The massive presence of major players combined with the widespread adoption of knowledge management solutions is boosting market growth in the United States. The potential of knowledge management to provide a single window for content generation, management, and redistribution via search tools, as well as its increasing awareness among the country's tech-savvy people, is propelling the United States market growth. Moreover, the growing need for target-specific information that enables rapid business expansion is fueling market development.

Which Countries are Major Contributors to Asia Pacific Market Growth?

“South Korea & Japan to Contribute Significantly to Regional Market Progress”

The Asia Pacific market is projected to experience considerable growth during the forecast period. Furthermore, the region's IT investment is gradually expanding, which is expected to increase the use of knowledge management.

South Korea and Japan are contributing significantly to the market growth in Asia Pacific due to the increased adoption of knowledge management solutions by several large and small and medium-sized businesses in these countries.

How is Germany Supporting European Market Growth?

“Presence of Numerous Start-ups in Germany”

Demand for knowledge management tools is expanding in Europe. Germany is strongly supporting the European market due to the presence of numerous startups offering advanced solutions in the country.

• For Instance, Alexandrya.ai, a German startup, offers cloud-based and AI-powered knowledge management software. It offers features such as process automation management, data quality management, a centralized knowledge database, natural language processing, auto file tagging, continuous sync, and auto labeling. It provides users with access to a subscription-based pricing module.

Category-wise Insights

Why are Large Enterprises Increasingly Utilizing Knowledge Management Solutions?

“Streamlining Benefits of Knowledge Management to Propel its Demand”

Demand for knowledge management from large enterprises is expected to expand at a CAGR of 16.3% during the forecast period. Knowledge management provides real-time data on corporate strategy and assists in better decision-making.

Large corporations frequently utilize knowledge management because it allows them to make better use of their resources and build a systematic approach to structuring, retrieving, and sharing information among employees. As a result, large enterprises' demand for knowledge management is expanding.

Small businesses often find it difficult to consider making a significant financial investment in a field they do not consider a vital part of their operations. However, they remain optimistic about ICT's future possibilities. Knowledge management is not seen as a necessity or a top business goal in small & medium enterprises.

Small & medium enterprises have difficulty developing their company value since they cannot afford to invest in information technology or knowledge management. As a consequence, knowledge management is expected to witness sluggish demand growth in small & medium enterprises.

What’s Driving the Demand for Knowledge Management Processes?

“Rapidly Growing Usage by Large Enterprises”

Knowledge management processes are methodologies used by an organization to manage knowledge at different stages of the knowledge management lifecycle. Knowledge management processes include applying, capturing, developing, and sharing knowledge. Large enterprises make extensive use of knowledge management processes. As a result, the demand for knowledge management processes is increasing.

Demand for knowledge management systems and knowledge management mechanisms & technologies is also growing. Knowledge management systems are linked with performing various knowledge management functions for an organization, such as knowledge or information collection, dissemination, assessment, and general management. Knowledge management systems are designed to use and implement knowledge management concepts to enable customers and employees to create, find, and save important information quickly.

Knowledge management mechanisms are organizational or structural mechanisms that promote knowledge management. On-the-job training, learning by observation, learning by doing, and face-to-face meetings are all examples of knowledge management mechanisms. Knowledge management technologies are a broad category of information technologies that enable knowledge management.

Competitive Landscape

Key players in the knowledge management market are actively pursuing marketing tactics such as investments, collaborations, technological innovations, and acquisitions to maintain and increase their overseas footprint. Moreover, many startups are seeking investments to bolster their market position.

• Sana Labs, a Swedish start-up that provides an AI-based knowledge management platform to assist people in managing information at work and then utilize that data as a resource for e-learning within the organization, announced in December 2022 that it had closed a US$ 34 million round after witnessing ARR expand seven-fold in the previous year.
• Upland Software, Inc. acquired Panviva Pty Ltd, a cloud-based knowledge management solution, in June 2021. With the acquisition of Panviva, Upland has widened its reach in knowledge management, giving customers a new solution to optimize contact center productivity in regulated industries such as healthcare, utilities, and financial services.
• For 40 years, BMC has been a worldwide leader in delivering IT solutions for the Autonomous Digital Enterprise. In June 2021, BMC acquired ComAround, a worldwide software company that aids in reshaping the customer experience via self-service and NLP and AI-based advanced knowledge management technology. The companies will work together to develop full-context-search knowledge management solutions based on NLP, using their respective market expertise and experience in AI, ITSM, and self-service.
• Unymira, a branch of USU, Europe's biggest IT and knowledge management software provider, launched Knowledge Center Version 7.0 in June 2021.
• MindTouch, a prominent knowledge management solutions provider, announced platform updates in May 2021 to accelerate optimization and knowledge generation. The updates will help support businesses and contact centers to provide improved customer self-service. The platform was created for customer-centric businesses that need an omnichannel experience as an element of their digital transformation efforts. It will help such firms create a seamless, consistent, and meaningful customer experience by making knowledge easier to produce, utilize, and optimize across all channels and touchpoints.

Segments of Knowledge Management Industry Research

• By Type :

  • Knowledge Management Systems
  • Knowledge Management Mechanisms & Technologies
  • Knowledge Management Processes
  • Knowledge Management Infrastructure

• By Organization Size :

  • Small & Medium Enterprises
  • Large Enterprises

• By Region :

  • North America
  • Latin America
  • Europe
  • APAC
  • MEA