Digital Commerce Platforms - market overview and IT-services offerings
The market for digital commerce platforms is highly dynamic, with increasing complexity due to constant changes and disruptions in the product offerings and pricing models and the ongoing incorporation of new technologies. According to teknowlogy estimates, the total digital customer experience market for software products worldwide will record 15.3% CAGR from 2018 through 2022. Forecast growth for the subsegment of sales and commerce is 14% for the same period.
Digital commerce platforms comprise software technology to manage the processes and data associated with the selling of products (both physical and virtual) or services (subscriptions, usage-based billing) via digital channels such as mobile phones, websites, and social media networks. The respective solutions provide a set of functions that include virtual shopping carts, online order management, inventory management, billing and payment management, as well as content and product information management.
E-commerce is by no means a new topic. However, in recent years, many companies have started to transform their customer experience strategies, which includes the sale via digital channels in addition to traditional channels. As witnessed in the past, many legacy manufacturers and CPG companies have reinvented themselves by bypassing retail partners and selling directly to consumers (DTC) to accelerate growth. This has been pushing the demand for digital commerce platforms and related services.
Overall, the provider landscape is large and varied. There are commerce solutions that specifically address SMBs, while others have functionalities tailored to the needs of larger enterprises. In addition to niche providers, which solely focus on particular commerce models, e.g. B2B, B2C and/or B2B2C platform providers, there are also larger generalists with extensive commerce modules. Strong contenders in the customer experience management space are companies such as Salesforce, Oracle, SAP, and Adobe. These companies offer a broad set of solutions for sales, service, marketing, and digital commerce management. Moreover, many of these providers offer solutions that cater to the needs of both B2B and B2C companies, and to companies that address multiple industries and business models.
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