Customer Experience Management Software Market

Customer Experience Management Software Market Size and Share:

The global customer experience management software market size was valued at USD 14,635.79 Million in 2024. Looking forward, IMARC Group estimates the market to reach USD 39,704.7 Million by 2033, exhibiting a CAGR of 11.73% from 2025-2033. North America currently dominates the market, holding a market share of over 43.0% in 2024. The customer experience management software market share is expanding, driven by the growing need for customized customer interactions, extensive implementation of omnichannel engagement approaches, progress in artificial intelligence (AI) and machine learning (ML), strict data privacy laws, and the heightened dependence on cloud-based services and mobile technologies.

This one of the latest trends in customer experience management, which includes incorporating AI and machine learning into such software. Using AI-based technologies is revolutionizing how companies will engage with the customers. Its application is creating predictive analytics tools, NLP, and enabling the provision of automated customer support services, all of which might include chatbots. These capabilities enable organizations to understand customer behavior, predict needs, and provide proactive solutions that ultimately lead to better customer satisfaction. For instance, predictive analytics can enable companies detect churn risks, and hence take pre-emptive measures to retain customers. The growing use of AI and ML in CEM software is likely to drive market growth as organizations increasingly look for data-driven decision-making.

There are many reasons why the United States has emerged as a major region in the CEM market. The demand for hyper-personalized customer experiences is the major trend in the market. Today's customers expect businesses to personalize interactions according to their individual preferences, behaviors, and needs, and this expectation has intensified as digital transformation reshapes the customer journey. Personalization has become critical in retail, e-commerce, financial services, and healthcare sectors where customer loyalty becomes a significant factor for long-term success. CEM software enables companies to aggregate, analyze, and act on customer data flowing through multiple touchpoints in ways that can yield personalized recommendations, offers, and experiences. This has been further augmented by the acceptance of advanced analytics and AI capabilities that can let organizations scale up personalization campaigns in a pretty efficient manner. The US AI market is also predicted to touch USD 53.4 billion by 2032, the IMARC Group said.

Customer Experience Management Software Market Trends:

Growth in Omnichannel Engagement

The movement towards omnichannel engagement is a major factor propelling the market growth. Customers now engages with the business at different touchpoints, which include physical stores, websites, mobile apps, email, social media, and chat platforms. The integration of all channels to provide a seamless and uniform experience is key to customer satisfaction and retention. CEM software plays a pivotal role in integrating these touchpoints, giving the business a single view of the customer journey. With communication silos eliminated and consistency ensured, companies can deliver services at optimal levels and become more operationally efficient. The CEM software solutions allow tracking of customer interactions across channels, management of preferences, and delivery of contextual support. Because customers are becoming increasingly demanding with regard to flexibility and convenience, the emphasis on omnichannel experiences is going to drive further investment in CEM tools. Maxim TXM launched in 2024, Maximus Total Experience Management (TXM), an integrated service designed to help federal agencies provide trustworthy information and government services.

Demand for Personalized Customer Experiences

Tailored, highly personalized, and highly experiential expectations in terms of customer interaction drives the market to increase expectations and meet this particular requirement. Consumers now want their brands to have a feel and an understanding about their preference and behavior. Furthermore, as there are massive data inflow sources like the websites, mobile applications, E-commerce portals, and social networking sites, demands for it increase further. CEM software employs data analytics, AI, and ML to create customizable recommendations, offers, and communications. Retail, banking, and healthcare are some of the industries that are investing heavily in personalization as a strategy to foster loyalty and boost revenue. As customer expectations continue to change, corporations are focussing on CEM solutions to figure stronger relationships with their audience. Personalization is not only a competitive differentiator but also a necessity in today's market, driving significant demand for advanced CEM tools that support customized customer journeys. Additionally, 2024 Forbes State of Customer Service and CX Survey stated that 81% of customers prefer companies that provide them with personalized experience. This further increased the customer experience management market demand.

Advancements in AI and Automation

Integration of AI and automation technologies revolutionizes the CEM software market as it streamlines customer interaction for businesses, hence enhancing service quality. Chatbots, virtual assistants, and predictive analytics allow organizations to automate mundane tasks, solve customer inquiries in real-time, and foresee future needs. This enables them to analyze big data from their customers, extract patterns, and deliver proactive support and personalization. For example, predictive analytics will help companies identify customers who are likely to churn or whose products could be upsold, enabling them to take proactive action. Automation also minimizes the cost of operations and increases efficiency because it handles the most mundane chores like scheduling appointments, ticket routing, and response to FAQs. AI-based CEM solutions in industries like retail, telecommunications, and healthcare are becoming an integral part of providing quick and effective service, thereby offering a favorable customer experience management software market outlook. With organizations increasingly turning to data-driven strategies, the adoption of AI and automation in CEM software is anticipated to skyrocket. According to the IMARC Group, the AI market size will be at USD 854.51 billion by 2033.

Customer Experience Management Software Industry Segmentation:

IMARC Group provides an analysis of the key trends in each segment of the global customer experience management software market, along with forecast at the global, regional, and country levels from 2025-2033. The market has been categorized based on component, touchpoint, deployment mode, organization size, and industries.

Analysis by Component:

• Solutions
• Services

The solutions segment in the market includes various software platforms and tools designed to optimize customer interactions and improve overall experiences. These solutions typically encompass customer journey mapping, customer feedback management, analytics, and omnichannel engagement platforms. They enable organizations to gather and analyze data from multiple customer touchpoints, providing actionable insights to improve satisfaction and loyalty. Advanced solutions also integrate emerging technologies like artificial intelligence (AI) and machine learning (ML), facilitating predictive analytics, sentiment analysis, and real-time decision-making. These tools are widely adopted by organizations looking to personalize customer interactions, enhance retention rates, and gain a competitive edge. The rising emphasis on digital transformation, along with the escalating need for tailored experiences, has led to ample investment in CEM solutions.

Analysis by Touchpoint:

• Stores/Branches
• Call Centers
• Social Media Platform
• Email
• Mobile
• Web Services
• Others

Call centers hold 32.0% of the market share. The call centers segment represents a vital customer touchpoint for resolving queries, offering support, and managing service issues through voice or digital communication channels. CEM software tailored for call centers focuses on streamlining operations, improving agent efficiency, and enhancing overall customer satisfaction. These solutions often integrate features like interactive voice response (IVR), customer relationship management (CRM) tools, and AI-powered analytics to optimize call handling and reduce wait times. Real-time sentiment analysis, predictive routing, and automated assistance further enable call centers to personalize interactions and resolve issues proactively. In industries such as telecommunications, healthcare, and financial services, call centers remain a cornerstone of customer engagement, making investments in CEEM software essential to maintain high service standards.

Analysis by Deployment Mode:

• On-premises
• Cloud-based

On-premises hold 48.8% of the market share. The on-premises segment in the market refers to solutions deployed directly on a company’s internal servers and infrastructure. This deployment mode is often preferred by organizations with strict data security requirements, such as those in the banking, government, and healthcare sectors. On-premises CEM software provides businesses with complete control over their data, enabling them to customize the platform to meet specific operational and compliance needs. It is particularly appealing to large enterprises that possess the IT resources and expertise needed to manage and maintain the system internally. However, on-premises solutions typically require higher upfront costs for hardware, installation, and IT staff, making them less suitable for smaller organizations. Despite the growing popularity of cloud-based solutions, the on-premises segment remains relevant for businesses prioritizing data privacy, regulatory compliance, and control over their CEM operations.

Analysis by Organization Size:

• Large Enterprises
• Small and Medium-sized Enterprises

Large enterprises hold 62.2% of the market share. The large enterprises segment dominates the market due to the significant resources and complex requirements of these organizations. Large enterprises often have diverse customer bases and operate across multiple regions, requiring robust CEM solutions to manage customer interactions at scale. These organizations invest heavily in advanced CEXM platforms that integrate AI, ML, and predictive analytics to deliver personalized experiences and drive customer loyalty. Moreover, large enterprises require comprehensive tools for omnichannel engagement, real-time data analytics, and customer journey mapping to manage complex customer touchpoints effectively. Sectors like retail, telecommunications, financial services, and healthcare, where customer satisfaction is a crucial differentiator, heavily depend on enterprise-level CEM solutions.

Analysis by Industries:

• Retail
• BFSI
• IT and Telecommunication
• Healthcare
• Media and Entertainment
• Government Sector
• Others

Retail accounts for 24.0% of the market share. The retail segment is one of the largest adopters of CEM software, as customer satisfaction and loyalty are crucial drivers of success in this highly competitive industry. Retailers leverage CEM tools to provide personalized shopping experiences, track customer behavior, and optimize interactions across both digital and physical touchpoints. Features such as real-time analytics, customer journey mapping, and loyalty program integration help retailers understand preferences and anticipate needs, creating a seamless and engaging experience for customers. The rise of e-commerce and omnichannel retailing has further fueled demand for CEM solutions that can unify data from websites, mobile apps, in-store visits, and social media platforms. Advanced CEM software also enables retailers to implement targeted marketing campaigns and promotions based on customer insights. As consumer expectations for personalization and convenience continue to rise, the retail industry remains a key driver of growth in the CEM software market.

Regional Analysis:

• North America
  • United States
  • Canada
• Asia-Pacific
  • China
  • Japan
  • India
  • South Korea
  • Australia
  • Indonesia
  • Others
• Europe
  • Germany
  • France
  • United Kingdom
  • Italy
  • Spain
  • Russia
  • Others
• Latin America
  • Brazil
  • Mexico
  • Others
• Middle East and Africa

In 2024, North America holds 43.0% of the market share. One of the most prominent trends in the North American market is the widespread adoption of AI and ML technologies. Businesses are leveraging AI-powered tools to automate customer service processes, analyze vast amounts of customer data, and provide predictive insights. For example, AI-driven chatbots and virtual assistants are becoming standard features in CXM solutions, enabling businesses to provide 24/7 customer support while reducing operational costs. The increasing demand for omnichannel engagement is another critical factor fueling the customer experience management software market growth in North America. People now interact with brands across multiple touchpoints, such as physical stores, websites, mobile apps, social media platforms, email, and call centers. Businesses in the region now focus on how to ensure that the experience of the customer across these channels is seamless and consistent. CXM software enables organizations to unify customer interactions across all touchpoints, providing a comprehensive view of the customer journey. In 2024, the report published by the Information Services Group (ISG) stated that a major number of businesses in the US transitioned from in-house to outsourced contact centers over the past few years to enhance customer experience.

Key Regional Takeaways:

United States Customer Experience Management Software Market Analysis

The United States hold 82.80% share in North America. The expanding adoption of customer experience management software is propelled by the integration of advanced digital tools into social media platforms and the e-commerce sector. According to reports, in 2025, the US has 288.45 Million online buyers. Businesses are leveraging the software to analyze customer interactions across digital touchpoints, providing personalized recommendations and seamless shopping experiences. The integration of feedback systems and chatbots enhances real-time communication, ensuring customer retention and loyalty. With the increasing sophistication of online marketplaces, businesses are employing these tools to optimize user engagement, track behavioral patterns, and enhance overall satisfaction. Data analytics features embedded within these platforms enable companies to predict purchasing trends and respond proactively to customer demands, ensuring a competitive edge in dynamic digital environments.

Europe Customer Experience Management Software Market Analysis

Customer experience management software adoption is accelerating within financial institutions as they strive to enhance service quality and customer engagement. According to reports, there were 784 foreign bank branches in the EU in 2021, of which 619 were from other EU Member States and 165 from third countries. These tools enable streamlined communication, efficient handling of customer inquiries, and personalized service offerings. Advanced analytics assist in tracking customer preferences, allowing financial institutions to design products and services that align with individual needs. Additionally, feedback mechanisms facilitate continuous service improvement, helping companies address customer concerns promptly. By integrating digital solutions into their operations, organizations are creating a seamless experience for clients while ensuring regulatory compliance. The ability to predict customer behaviors and provide targeted solutions further enhances the value of these platforms in achieving customer-centric goals.

Asia Pacific Customer Experience Management Software Market Analysis

The growth of customer experience management software is fuelled by its rising adoption among small and medium-sized enterprises. According to India Brand Equity Foundation, the number of MSMEs in the country is projected to grow from 6.3 crore to around 7.5 crore at a CAGR of 2.5%. These organizations are utilizing such platforms to streamline operations, manage customer feedback, and create personalized communication strategies. The scalable nature of these tools makes them accessible to businesses with limited resources, enabling them to improve operational efficiency and compete with larger entities. Automated workflows and customer data integration allow for a cohesive approach to managing customer journeys, addressing pain points, and enhancing satisfaction levels. By fostering engagement and loyalty, these solutions empower smaller businesses to expand their market presence and cultivate meaningful customer relationships, ensuring sustained growth in competitive markets.

Latin America Customer Experience Management Software Market Analysis

The increasing adoption of customer experience management software is evident in private healthcare organizations seeking to improve patient engagement. According to the Brazilian Federation of Hospitals (FBH) and the National Confederation of Health (CNSaúde), of Brazil’s 7,191 hospitals, 62% are private. These platforms enable healthcare providers to streamline communication, gather feedback, and personalize patient care. Advanced tools for managing appointments, reminders, and post-treatment follow-ups ensure a seamless experience for patients. By integrating digital solutions, healthcare providers enhance their ability to cater to patient needs effectively while fostering long-term relationships. The platforms’ capability to handle multiple touchpoints enables a comprehensive approach to improving patient satisfaction.

Middle East and Africa Customer Experience Management Software Market Analysis

Investments in IT and telecommunication are driving the adoption of customer experience management software, allowing businesses to strengthen their communication infrastructure. For instance, overall spending on information and communications technology (ICT) across the Middle East, Türkiye, and Africa (META) will top USD 238 Billion this year, an increase of 4.5% over 2023. These tools provide advanced capabilities for monitoring and optimizing customer interactions across various channels. Organizations can leverage real-time data analysis to address issues promptly and create tailored communication strategies. By adopting these solutions, businesses improve operational efficiency while enhancing customer satisfaction through personalized engagement. This integration supports long-term customer loyalty, ensuring a strong market presence in increasingly competitive sectors.

Competitive Landscape:

The leading players in the market are implementing a range of strategic initiatives to strengthen their market position and address the growing demand for customer-centric solutions. These efforts include leveraging advanced technologies such as artificial intelligence (AI) and machine learning (ML), expanding their product portfolios, focusing on industry-specific customization, pursuing strategic partnerships and acquisitions, enhancing data security and compliance features, and prioritizing customer success programs. To cater to diverse business needs, many CEM software providers are expanding their product portfolios with specialized features and tools. This strategy is particularly evident in the growing number of industry-specific solutions. Strategic partnerships and acquisitions have also become a hallmark of leading CEM software providers, enabling them to enhance their capabilities and expand their market reach. For instance, in 2024, ECI Software Solutions acquired Avid Ratings, which is a major provider of CEM tools and AI-powered platforms.

The report provides a comprehensive analysis of the competitive landscape in the customer experience management software market with detailed profiles of all major companies, including:

• Adobe Inc.
• Avaya Inc.
• Clarabridge (Qualtrics International)
• International Business Machines Corporation
• Medallia Inc.
• NICE Ltd.
• Oracle Corporation
• Salesforce.com Inc.
• SAP SE
• SAS Institute Inc.
• Tech Mahindra Limited
• Verint Systems Inc.
• Zendesk

Latest News and Developments:

• November 2024: Mitel has launched Mitel CX, a hybrid contact center platform combining CCaaS capabilities with on-premise systems for a "best of both worlds" solution. The platform builds on Mitel's 2023 acquisition of Atos’s cloud contact center foundation and incorporates AI through a partnership with Talkative. This marks a strategic shift as Mitel moves from partnering with CCaaS providers to offering its own solution, enabling gradual or full cloud transformations. The hybrid approach aims to enhance flexibility and control for enterprise customers.
• November 2024: The National Archives and Records Administration (NARA) is set to launch an AI tool aimed at enhancing customer experiences across its diverse user base. By employing journey mapping and categorizing users like researchers, students, and novices, NARA seeks to tailor interactions and streamline document searches. This initiative aligns with broader efforts to modernize technology and improve processes for more accessible and efficient service delivery. The program reflects NARA’s commitment to ensuring meaningful and successful engagements for all users.
• June 2024: Creatio, a low-code CRM software platform, announced securing USD 200 Million in new funding. The investment elevates Creatio to "unicorn" status, valuing the company at USD 1.2 Billion. This milestone reflects growing demand for low-code solutions. The funding is expected to drive further innovation and expansion.
• May 2024: Startek® has unveiled its Generative AI platform to boost agent efficiency and improve customer experiences. The platform leverages advanced AI to streamline operations, personalize interactions, and optimize processes across touchpoints. It enhances agent training, automates tasks, and uses sentiment analysis for tailored responses. This strategic tool aims to elevate business efficiency while fostering empathetic customer engagement.
• March 2024: Cisco has announced new advancements in its Webex cloud customer experience solutions at Enterprise Connect. These include the Webex Customer Experience Essentials for non-traditional contact center employees and innovations in the Cisco AI Assistant, quality management, and CRM integrations. The updates aim to modernize customer support efficiently without disrupting business operations. Cisco's offerings address the growing demand for cost-effective tools to enhance customer interactions across all channels.

Customer Experience Management Software Market Report Scope:

Key Benefits for Stakeholders:

• IMARC’s report offers a comprehensive quantitative analysis of various market segments, historical and current market trends, market forecasts, and dynamics of the customer experience management software market from 2019-2033.
• The research study provides the latest information on the market drivers, challenges, and opportunities in the global customer experience management software market.
• The study maps the leading, as well as the fastest-growing, regional markets. It further enables stakeholders to identify the key country-level markets within each region.
• Porter's Five Forces analysis assists stakeholders in assessing the impact of new entrants, competitive rivalry, supplier power, buyer power, and the threat of substitution. It helps stakeholders to analyze the level of competition within the customer experience management software industry and its attractiveness.
• Competitive landscape allows stakeholders to understand their competitive environment and provides an insight into the current positions of key players in the market.