Customer Information System Market Size, Share & Trends Analysis Report By Component (Solution, Services) By Services, By Application, By Region, And Segment Forecasts, 2024 - 2030

Customer Information System Market Trends

The global customer information system market size was estimated at USD 1.42 billion in 2023 and is expected to grow at a CAGR of 12.2% from 2024 to 2030. The customer information system (CIS) market is experiencing several trends, some of which include the following; Cloud solutions are becoming popular in the CIS market. Due to the desire of organizations to minimize the costs of IT infrastructure and improve the availability of data, cloud-based CIS platforms are widely used. In addition, the combination of CIS with the help of such tools as analytics and artificial intelligence is gradually becoming a trend. This integration helps companies to get a better understanding of customers’ behavior, needs, and wants, which in turn will help them to deliver better services.

The other emerging trend is the increasing concern of organizations towards the protection of data and information. The adoption of the GDPR in Europe and the CCPA in the U.S. means that organizations are under pressure to make sure that their customer information system platforms meet the highest standards of data protection. This has made organizations adopt CIS solutions that have better encryption, data security, and strict access controls to prevent customer data from being hacked or accessed by unauthorized persons.

Businesses in different sectors are integrating digital technologies into their operations to optimize processes, interact with customers, and operate more effectively. The change in the market has led to the need to adopt complex CIS solutions that can manage a vast amount of customer data, offer real-time analytics, and facilitate multi-channel interaction. Also, the growing usage of smart meters and IoT devices in the utility industry is driving the CIS market. These technologies produce a lot of data that need efficient systems to manage and analyze them in order to be useful.

Technology is, therefore, a major determinant of the customer information system market as it continues to evolve. Another important trend in the field of technology is the application of artificial intelligence and machine learning in customer information system platforms. AI and ML can analyze large volumes of customer data in real-time to provide insights into the business. For instance, through the use of predictive analytics that has been enhanced by artificial intelligence, organizations can be in a position to predict the needs and preferences of customers so that they can deliver services before they are requested.

Another important technology trend is the use of blockchain for the secure storage and sharing of data. Blockchain technology can provide a decentralized and secure environment for storing customer data and avoid data breaches and non-compliance with data protection laws. Also, the usage of Robotic Process Automation (RPA) in customer information systems is gradually increasing. RPA can help in automating processes like data entry, and this can help minimize errors that are likely to occur when the work is being done manually and, at the same time, create time for other important tasks.

Component Insights

The solution segment dominated the market in 2023 and accounted for a 66% share of the global revenue due to the shift towards integrated platforms that offer end-to-end functionalities. Contemporary CIS solutions are intended to handle various customer contacts, billing procedures, and data analysis functions. The major factors that are driving this segment are the need to better manage the relationship with the customers and the need to enhance the efficiency of the operations. Due to the constant attempts of businesses to individualize their services and optimize their processes, there is a growing need for advanced CIS solutions that offer real-time analytics and automated processes. The demand for digital transformation in every industry is also driving the increased use of sophisticated CIS solutions.

The services segment is projected to witness significant growth from 2024 to 2030 due to the focus on specialized offerings that cater to the unique needs of different sectors. The services segment includes a range of specific activities aimed at the implementation, maintenance, and enhancement of CIS solutions for customers. This segment is very important in the sense that it enables organizations to be in a position to harness CIS technologies for their operations and strategies. Services in this domain include consulting on legacy extensions, customer information systems, and the provision of support for the same.

Services Insights

The customer information system implementation service segment dominated the market in 2023 and accounted for a 45% share of the global revenue. The application of agile methodologies in CIS implementation projects is becoming more and more popular. The use of agile approaches means that there is more flexibility and multiple cycles of development, which can help organizations respond to changes and solve problems during the implementation phase. Also, the emphasis on end-user training and change management has been raised to enhance the usage of the system. Businesses that want to improve their customer information systems are in search of full-service implementation to guarantee that the new system will meet the organizational requirements and fit in the current framework.

The support segment is projected to witness significant growth from 2024 to 2030, as this is crucial for addressing any issues that arise post-implementation and for keeping the system up-to-date with evolving technology and regulatory requirements. The requirement for effective and efficient support services is due to the complexity of the current CIS solutions and their importance for customer data management. Businesses need to receive constant assistance in solving technical problems, applying changes, and meeting the requirements of the legislation. This is especially the case given that CIS is increasingly being relied on to support important business processes.

Application Insights

The electricity and power management segment dominated the market in 2023 and accounted for a 55% share of the global revenue. The electricity and power management industry is experiencing the transition to smart grids and digitalization. Sophisticated CIS solutions are being applied to control electricity distribution, analyze the grid condition, and incorporate renewable power. The use of RTM and data analytics is enabling utilities to manage energy consumption, improve the stability of the grid, and satisfy consumers. Other drivers include increased regulatory requirements and the development of new technologies that are also pushing the adoption of smart grid technologies and advanced CIS solutions.

The utility gas management segment is projected to witness significant growth from 2024 to 2030 as there is an increasing focus on enhancing safety and efficiency through advanced CIS solutions. Technologies such as remote monitoring and predictive maintenance are being used to deal with gas distribution networks and possible problems that may arise. Smart meters and real-time data analysis have enhanced the efficiency of billing and the reduction of operational costs.

Regional Insights

The North Americaregiondominated the customer information system market in 2023 and accounted for a 40% share of the global market. In North America, the CIS market is driven by advanced infrastructure and high technology adoption rates. The region is characterized by a strong presence of leading CIS vendors and a focus on integrating innovative technologies such as AI and cloud computing. The U.S., in particular, is a major contributor to this growth due to its large number of enterprises investing in digital transformation and customer data management solutions.

U.S. Customer Information System Market Trends

The customer information system market in the U.S.is expected to grow at a significant CAGR from 2024 to 2030. The U.S. leads the CIS market with significant investments in modernizing infrastructure and adopting new technologies. The country’s focus on regulatory compliance and customer-centric services drives demand for advanced CIS solutions. According to the U.S. Census Bureau, the market for customer data management technologies, including CIS, is expected to grow by 7.5% annually through 2028 as businesses across various sectors increasingly prioritize data-driven strategies.

Asia Pacific Customer Information System Market Trends

The Asia Pacific region is expected to grow at the highest CAGR of 14% from 2024 to 2030, driven by rapid digital transformation and a surge in smart utility projects. There is a growing popularity of cloud-based CIS solutions in the region, as such solutions are more scalable and more flexible in terms of the amount of data they can handle. This change is driven by the increasing emphasis on the development of smart cities and the implementation of IoT solutions that improve real-time data processing and customer engagement. Also, utility companies are upgrading their infrastructure to incorporate renewable energy and efficient resource management, which is a trend toward efficiency and sustainability.

Europe Customer Information System Market Trends

The customer information system market in Europe is expected to witness notable growth from 2024 to 2030 owing to stringent data privacy regulations, particularly the General Data Protection Regulation (GDPR). These regulations have made organizations consider CIS solutions that have enhanced data protection solutions such as encryption and secure storage. Another trend is the use of the latest technologies such as artificial intelligence (AI) and machine learning (ML) to provide further insights into the customers and serve them better. The European market is more concerned with innovation and compliance with regulations, which has led to increased demand for advanced CIS platforms that improve data management and operational flexibility.

Key Customer Information System Company Insights

Key players operating in the customer information system market include Oracle, SAP SE, Itineris, Hansen Technologies, Fluentgrid Limited, Advanced Utility Systems, Gentrack, Cayenta, IBM, and Milestone Utility Services. The companies are focusing on various strategic initiatives, including new product development, partnerships & collaborations, and agreements to gain a competitive advantage over their rivals. The following are some instances of such initiatives.

• In April 2024, Hansen Technologies announced a strategic collaboration with AWS to integrate its customer management solutions with AWS’s cloud infrastructure. This partnership aims to enhance scalability and performance, enabling utilities to benefit from advanced cloud technologies and services.

• In August 2023, IBM acquired Apptio, a leader in technology business management software. This acquisition aims to strengthen IBM’s capabilities in providing comprehensive IT financial management solutions, which include advanced analytics and financial planning tools for enterprise clients, enhancing its offerings in the CIS market.

Customer Information System Market Report Scope

Global Customer Information System Market Report Segmentation

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 2030. For this study, Grand View Research has segmented the customer information system market report based on component, services, application, and region.

• Component Outlook (Revenue, USD Billion, 2018 - 2030)

  • Solution

  • Services

• Services Outlook (Revenue, USD Billion, 2018 - 2030)

  • Legacy Extension Consulting Service

  • Customer Information System Implementation Service

  • Support Service

• Application Outlook (Revenue, USD Billion, 2018 - 2030)

  • Water and Wastewater Management

  • Electricity and Power Management

  • Utility Gas Management

• Regional Outlook (Revenue, USD Billion, 2018 - 2030)

  • North America

    • U.S.

    • Canada

    • Mexico

  • Europe

    • Germany

    • UK

    • France

  • Asia Pacific

    • China

    • India

    • Japan

    • South Korea

    • Australia

  • Latin America

    • Brazil

  • Middle East & Africa

    • U.A.E

    • Saudi Arabia

    • South Africa