World customer relationship management (CRM) software revenue is forecast to exceed £3.7bn in 2007, up 14% on 2006, said analyst Gartner.
The strong performance of the customer relationship management software market is being fuelled by growth across all sub-segments and the explosive growth of software as a service (SaaS), said the analyst.
In 2006, SaaS represented 12% of total customer relationship management software revenue, and it is on track to reach nearly 14% percent in 2007.
By the year-end, SaaS is forecast to represent more than £500m in customer relationship management software revenue, growing at more than double the rate of the total customer relationship management software market, said Gartner.
Sharon Mertz, an analyst at Gartner, said, "As businesses refresh existing sales force automation systems to align with their renewed drive for business and revenue growth, we expect this to push sales software to become the largest CRM sub-segment by 2011," said Mertz.