Catalog Management System Market Size, Share & Trends Analysis Report By Type (Product Catalog, Service Catalog), Component (Solution, Service), By Deployment Type, By Organization Size, By Vertical, By Region, And Segment Forecasts, 2021 - 2028

Report Overview

The global catalog management system market size was valued at USD 3.7 billion in 2020 and is expected to grow at a compound annual growth rate (CAGR) of 12.5% from 2021 to 2028. A substantial increase in consumer demand for services and products such as fashion and apparel and electronic devices, increasing internet penetration, and growing adoption of smartphones are some of the factors anticipated to drive the market growth over the forecast period. The demand for catalog management systems is projected to increase post the COVID-19 pandemic since large enterprises and small and medium enterprises are expected to progressively migrate their IT structure to cloud networks to boost and improve business operations.

The spread of COVID-19 has led to digital transformation across various industries, including media and entertainment, telecom, retail, and e-commerce. The outbreak of the COVID-19 pandemic has been particularly driving the adoption of catalog management systems. These systems offer a quick snapshot of services and products in a channel, uploading and capturing data and mapping it to meet customer demands. They also help augment, enrich, and validate the data in real-time and automate the formation of catalogs using data from various sources such as e-commerce websites to expand product assortment and attain faster syndication of product data through channels.

Catalog management includes data gathering and transmission from one network to another. The synchronization and distribution of data across several channels are also included under catalog management systems. Anxieties about data security are the primary concerns hampering the adoption of catalog management solutions. Due to the lack of appropriate knowledge about security frameworks and their implementation, various companies opine that catalog management solutions may lead to data breaches in abstracted data sets. Operators concisely refrain from adopting catalog management system solutions due to the fear of losing their critical master data owing to data errors that occur during upgrading or compilation.

Industries such as BFSI, retail, and healthcare have been investing and adopting new technologies such as Artificial Intelligence (AI) and Machine Learning (ML) to grow and enhance their business operations. AI-enabled catalog management provides enrichment processes, anomaly detection, and automatic classification of products by selecting data from trusted sources, contextual recommendations, and product scores. AI-powered catalog management system solutions can produce automated perceptions about data issues and assist in creating an integrated view of the data.

Type Insights

Based on type, the catalog management system market has been segmented into product catalog and services catalogs. The product catalog segment dominated the market in 2020 and accounted for a market share of more than 65%. The segment growth can be attributed to the increasing penetration of e-commerce websites and online retail stores wherein users can shop for their desired products under one application.

The service catalog segment is anticipated to expand at the highest CAGR of 13.4% over the forecast period. The segment growth can be attributed to the increasing demand for post-purchase services of tangible products. The use of a service catalog significantly reduces management costs, improves user self-service capabilities, and enhances the user experience by offering detailed information about service catalog’s applications (price, description, approvals, and delivery) and their application statuses.

Component Insights

Based on component, the market has been further segmented into solution and service. The solution segment dominated the market in 2020 and accounted for a revenue share of more than 65%. The increasing demand for catalog management systems can be attributed to the growing demand for these systems among organizations, including SMEs and large enterprises. Catalog management assists in reducing the overall cost of service delivery and helps in improving customer experience, boosting employee efficiency, and increasing the overall business functioning.

The service segment is anticipated to expand at the highest CAGR of 13.4% over the forecast period. The segment will witness significant growth owing to the managed and professional services offered by various catalog management systems providers. The increasing need for cloud-based managed services and the growing dependence of organizations on IT assets to improve their business productivity are the major factors contributing to the growth of the managed services segment.

Deployment Type Insights

Based on deployment type, the market has been further segmented into cloud and on-premise. The cloud segment dominated the market in 2020 and accounted for a revenue share of more than 58.0%. Cloud deployment of catalog management systems helps increase flexibility and further allows businesses to customize services and products on a large scale. Cloud deployment assists businesses in improving cost structures and setting up a control center to arrange, monitor, and coordinate various components of their digital marketing campaigns.

The on-premise segment is anticipated to expand at a CAGR of 9.6% from 2021 to 2028. The segment is expected to witness significant growth over the forecast period due to the security assistance offered by this deployment type, including data security and transparency.

Organization Size Insights

The large enterprise segment accounted for a market share of 56.1% in 2020. Large enterprises have an extensive business network and diverse revenue streams. Hence, large enterprises opt for innovative and new technologies and solutions to expand their business operations. Furthermore, the increasing role of government authorities in the provision of capital to large enterprises for adopting digitization is anticipated to propel the growth of this segment.

The small and medium enterprise segment is anticipated to register a CAGR of 16.0% over the forecast period. The segment growth can be attributed to the growing number of small and medium enterprises in several countries across the globe, including India, the U.S., and China. SMEs mainly adopt cloud-based catalog management system solutions owing to benefits such as lower deployment costs. SMEs are also opting for cloud-based catalog management systems to opt for the digitization of their products.

Application Insights

Based on application, the market has been further segmented into BFSI, retail & e-commerce, IT and telecom, media and entertainment, and others. The BFSI segment accounted for a revenue share of more than 34.0% in 2020. BFSI companies are updating their data platforms and related toolsets to cater to the changing demands of various data practitioners, including data analysts, reporting analysts, data scientists, business intelligence, and businesses and personnel embracing self-service technology. With the increasing data, products, and services offered by BFSI companies, the demand for catalog management systems is expected to increase over the forecast period.

The retail and e-commerce segment is anticipated to expand at a CAGR of 13.4% from 2021 to 2028. The increasing adoption of advanced services and technologies owing to the vast volume of product data is anticipated to propel the segment growth. Digital transformation initiatives opted in the retail and e-commerce application to meet customer requirements are expected to further support the segment growth.

Regional Insights

North America dominated the market in 2020 with a market share of over 45.0%. The growing footprint of industry players such as Oracle Corporation, Salsify, SAP SE, and Amdocs and the growing number of SMEs are expected to drive the market growth in the region.

The Asia Pacific market for catalog management systems is anticipated to expand at a CAGR of 15.4% from 2021 to 2028. The regional market growth can be attributed to the growing preference for technologically advanced solutions among various enterprises in Asia Pacific countries such as India and China. Furthermore, the increasing IT spending in the region is expected to contribute to the rising adoption of catalog management systems, thereby supporting the regional market growth.

Key Companies & Market Share Insights

The prominent market players operating in the market in 2020 include SAP SE; Oracle Corporation; Fujitsu Limited; Coupa Software; Salsify; Broadcom Inc.; and International Business Machines Corporation. These market players emphasize adopting strategic initiatives such as partnerships and collaborations and mergers and acquisitions to enhance their position in the market and attain a competitive edge. For instance, in November 2020, Salsify and e-Comas, an Amazon consulting, account management, and content optimization firm, entered into a strategic partnership to offer Amazon digital shelf excellence to product manufacturers in Europe, the Middle East and Africa, region via Salsify’s solutions.

These industry players also focus on new product launches, joint ventures, and agreements and contracts to strengthen their position in the market. For instance, in April 2021, Broadcom Inc. collaborated with Google Cloud to speed up innovation and improve the integration of cloud services across its primary businesses. The company planned to distribute its security and enterprise operations software on Google Cloud as part of this collaboration, allowing businesses to implement Broadcom security, DevOps, and other solutions on Google Cloud's trusted worldwide infrastructure. In December 2020, International Business Machines Corporation collaborated with Amazon Web Services (AWS) to help its customers simplify and expand their security visibility across AWS and the hybrid cloud environments. Some of the prominent players operating in the global catalog management system market are:

• Oracle Corporation

• Fujitsu Limited

• Salsify

• SAP SE

• International Business Machines Corporation

Recent Development

• In February 2023, International Business Machines Corporation (IBM) acquired StepZen for getting better data and API Solutions.

Catalog Management System Market Report Scope

Segments Covered in the Report

This report forecasts revenue growth at global, regional, and country levels and provides an analysis of the latest industry trends in each of the sub-segments from 2018 to 2028. For this study, Grand View Research has segmented the global catalog management system market report based on type, component, deployment type, organization size, application, and region:

• Type Outlook (Revenue, USD Million, 2018 - 2028)

  • Product Catalog

  • Service Catalog

• Component Outlook (Revenue, USD Million, 2018 - 2028)

  • Solution

  • Service

    • Professional Service

    • Managed Service

• Deployment Type Outlook (Revenue, USD Million, 2018 - 2028)

  • On-premise

  • Cloud

• Organization Size Outlook (Revenue, USD Million, 2018 - 2028)

  • Small & Medium Enterprise

  • Large Enterprise

• Application Outlook (Revenue, USD Million, 2018 - 2028)

  • BFSI

  • Retail & E-commerce

  • IT & Telecom

  • Media & Entertainment

  • Others

• Regional Outlook (Revenue, USD Million, 2018 - 2028)

  • North America

    • U.S.

    • Canada

  • Europe

    • Germany

    • U.K.

    • France

  • Asia Pacific

    • China

    • India

    • Japan

  • Latin America

    • Brazil

    • Mexico

  • Middle East & Africa