Digital Experience Management Software Market

The growing utilization of cloud-based services is driving the market growth

Market CAGR for digital experience management software is driven by the increasing adoption of cloud-based services. Cloud adoption aims to reduce costs and hazards while increasing the scalability of internet-based database capabilities. Organizations employ cloud computing or distant computers connected to the internet to store, manage, and process important data to achieve this. For instance, to meet the demand for a quick change in cloud-based services, public cloud services are forecast to rise by 23.1% to $332.3 billion in 2021 from $270 billion in 2020, according to a poll done by technology research and consulting firm Gartner in April 2021.

Also, the COVID-19 health issue has presented an economic opportunity for the cloud sector, as cloud usage has significantly increased ly across numerous industries. The growth in cloud-based service deployment and investment will drive the digital experience platform.

Another major trend that is becoming increasingly popular in the market for digital experience management software is technological advancement. To improve their market position, major players in the market for digital experience management software are concentrating on offering a platform with cutting-edge technology and related solutions. For instance, in November 2022, the American provider of digital experience platforms (DXP), Optimizely, debuted their advanced DXP on the Microsoft Azure Marketplace, which offers software and services for use with Azure. The artificial intelligence (AI)-driven platform for improved digital experiences provides content management, commerce, and personalization solutions.

The software also offers users tools for customization. Thus, driving the digital experience management software market revenue.

The Global Digital Experience Management Software Market Industry is poised for substantial growth, with projections indicating a market value of 20.8 USD Billion by 2035. This anticipated growth reflects a compound annual growth rate of 10.0% from 2025 to 2035, highlighting the increasing adoption of digital experience management solutions across various sectors. The market's expansion is driven by factors such as the rising demand for personalized customer experiences, the integration of advanced technologies, and the growing focus on omnichannel strategies. As organizations continue to prioritize digital transformation, the Global Digital Experience Management Software Market is likely to evolve, presenting new opportunities for innovation and investment.

The emergence of data privacy regulations is shaping the landscape of the Global Digital Experience Management Software Market Industry. As governments worldwide implement stricter data protection laws, organizations are compelled to adopt software solutions that ensure compliance while delivering personalized experiences. This regulatory environment is driving the demand for digital experience management tools that prioritize data security and privacy. Companies are investing in solutions that not only enhance user engagement but also adhere to legal requirements. This trend indicates a growing awareness of the importance of data privacy in maintaining customer trust, which is likely to influence the growth trajectory of the Global Digital Experience Management Software Market.

The Global Digital Experience Management Software Market Industry is experiencing a shift towards omnichannel strategies, which aim to provide a seamless customer experience across various platforms. As consumers engage with brands through multiple channels, businesses are compelled to adopt integrated solutions that ensure consistency in messaging and service delivery. This trend is likely to contribute to the market's growth, as organizations invest in software that facilitates omnichannel engagement. The anticipated compound annual growth rate of 10.0% from 2025 to 2035 underscores the importance of omnichannel strategies in enhancing customer satisfaction and loyalty within the Global Digital Experience Management Software Market.

The ongoing digital transformation across industries is a significant driver for the Global Digital Experience Management Software Market Industry. Organizations are allocating substantial resources to upgrade their digital capabilities, recognizing the necessity of adapting to changing consumer behaviors. This investment trend is reflected in the projected market growth, with an expected value of 7.3 USD Billion in 2024. Companies are increasingly adopting digital experience management solutions to streamline operations, enhance customer interactions, and improve overall business performance. As digital transformation initiatives continue to gain momentum, the demand for sophisticated software solutions is likely to rise, further fueling the growth of the Global Digital Experience Management Software Market.

The Global Digital Experience Management Software Market Industry is witnessing a notable surge in demand for personalized customer experiences. Organizations are increasingly recognizing the importance of tailoring interactions to meet individual customer preferences. This trend is evidenced by the projected market value of 7.3 USD Billion in 2024, indicating a robust growth trajectory. Companies that leverage digital experience management tools can analyze customer data to create targeted marketing campaigns and enhance user engagement. As a result, businesses are likely to invest in advanced software solutions that facilitate personalized experiences, thereby driving the growth of the Global Digital Experience Management Software Market.

The integration of Artificial Intelligence and Machine Learning technologies into digital experience management is transforming the Global Digital Experience Management Software Market Industry. These technologies enable organizations to automate processes, analyze vast amounts of data, and derive actionable insights. By 2035, the market is expected to reach 20.8 USD Billion, reflecting the increasing reliance on AI-driven solutions. Companies are utilizing AI to enhance customer interactions, predict user behavior, and optimize content delivery. This technological advancement not only improves operational efficiency but also fosters a more engaging user experience, thus propelling the growth of the Global Digital Experience Management Software Market.

By region, the study provides market insights into Asia-Pacific, Europe, North America, and Rest of the World. The North American digital experience management software market area will dominate this market due to the increasing acceptance of customer experience management solutions across numerous geographical industries. Also, the area includes many sellers, which supports the market expansion. To increase client retention, the retail industry is investing in CEM solutions. For instance, Walmart Canada intends to spend USD 3.5 billion over the following five years to streamline in-store and online purchasing.

With this investment, Omni-experience will be improved, and cutting-edge digital tools will be created to help employees provide better customer service.

Further, the major countries studied in the market report are Canada, U.S., German, France, UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil.

Figure 4: DIGITAL EXPERIENCE MANAGEMENT SOFTWARE SHARE BY REGION 2022 (%)

Source: Secondary Research, Primary Research, Market Research Future Database and Analyst Review

Europe's digital experience management software market accounts for the second-largest market share. Digital platform investments will increase as big data, and data analytics become more widely used and digitized in Europe. Increasing government regulations on the privacy of client data have encouraged advertisers and marketers to use digital platforms. Leading players are creating cutting-edge CEM solutions to take advantage of these changes. For instance, Dentsu and Merkle Company established an enhanced platform in North Europe in April 2021.

Further, the German digital experience management software market held the major market share, and the UK digital experience management software market was the fastest-growing market in the European region

The Asia-Pacific Digital Experience Management Software Market is predicted to grow at the fastest CAGR from 2023 to 2030 because of the emergence of AI-based tools and self-service platforms like chatbots, IVR, web self-service, and online communities, businesses are now better equipped to comprehend the shifting customer behavior, offer immediate assistance, and start proactive actionable replies. For instance, to increase user experience by 70%, the Indian Railway Catering and Tourism Corporation and CoRover, a conversational AI platform, released AskDISHA powered by Azure, an AI-powered chatbot, in January 2021.

Moreover, China’s digital experience management software market held the largest market share, and the Indian digital experience management software market was the fastest-growing market in the Asia-Pacific region.

Leading market players are investing largely in research and development to expand their product lines, which will help the digital experience management software market grow even more. Market participants are also undertaking various strategic activities to expand their footprint, with important market developments including new product launches, contractual agreements, mergers and acquisitions, higher investments, and collaboration with other organizations. To expand and survive in a more competitive and rising market climate, the digital experience management software industry must offer cost-effective items.

Manufacturing locally to minimize operational costs is one of the key business tactics manufacturers use in the digital experience management software industry to benefit clients and increase the market sector. In recent years, the digital experience management software industry has offered some of the most significant benefits to medicine. Major players in the digital experience management software market, including Salesforce.Com, Infosys (India), SDL Plc (U.K.), Oracle Corporation (U.S.), and others, are attempting to increase market demand by investing in research and development operations.

EasyVista is a cloud-based service management platform developer aiming to make information technology service management easier (ITSM). Through its software, the company provides features such as EV service manager, self-help solution, service management, remote monitoring, and business intelligence, as well as asset and financial management, chatbots, and virtual agents, allowing businesses to deliver exceptional customer-focused experiences, resulting in increased employee productivity, lower operating costs, and increased customer satisfaction. In June 2022, EasyVista announced the acquisition of Itexis, a user experience monitoring software.

The acquisition establishes EasyVista as a leader in providing its customers with a unique, combined ITSM, ITOM, and Digital Experience Monitoring (DEM) platform, resulting in an integrated IT service experience management platform.

Infosys is a major provider of IT services worldwide, with around 250,000 staff members. The Indian IT services corporation, based in Bangalore, derives 60% of its income from North America through its offshore outsourcing model. Traditional IT service options include consultancy, managed services, cloud infrastructure services, and business process outsourcing as a service (BPaaS). In April 2022, Infosys announced that it had completed the purchase of weird, a digital marketing, experience, and commerce firm based in Germany.

Oddity offers Infosys a comprehensive service portfolio that includes digital-first brand management and communication, in-house production, virtual and augmented reality, experience design, e-commerce services, and a metaverse-ready European presence.