U.S. Salesforce Growth Boosts Demand for Provider Services

U.S. enterprises are seeking more Salesforce-related services as use of the cloud-based customer relationship management (CRM) platform soars, according to a new research report published by Information Services Group (ISG), a leading global technology research and advisory firm.

“To deliver it, providers are making big investments in training and employee development.”

The 2023 ISG Provider Lens™ Salesforce Ecosystem Partners report for the U.S. finds that many enterprises here, in Salesforce’s home country and the most mature market for the platform, are turning to service providers for both process optimization and guidance.

“Post-pandemic business challenges have created a fertile ground for digital transformation, including SaaS adoption,” said Bill Huber, ISG partner, Digital Platforms and Solutions. “Many U.S. companies have already deployed Salesforce and are exploring how to move forward.”

Salesforce’s revenue has risen 24 percent or more in each of the past five years and is likely to continue growing at a rapid pace in the coming years, ISG says. Rising demand for the platform and for related services and solutions has created a tight market for Salesforce skills. The boom has also shaken up the competitive landscape, with Salesforce itself entering the market for implementations tailored to specific industries.

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In addition to introducing vertical offerings such as Financial Services Cloud, the company has made inroads into the vertical solutions business by acquiring U.S.-based service provider Vlocity in 2020. Some customers weighing the option of buying an industry-specific product from Salesforce are seeking an outside partner to help them assemble an appropriate mix of products, the report says. Software vendors selling products through the Salesforce AppExchange Store also provide critical enhancements to many enterprises.

Enterprises with mature Salesforce environments, especially in the U.S., are now working with Salesforce managed services providers to optimize their business processes and use of data, ISG says. Providers are analyzing data on clients’ Salesforce usage to determine how effective and efficient their operations are.

Midsize enterprises using Salesforce in the U.S. are focused on agile implementations and in many cases turn to service providers for assistance with marketing functions such as revenue generation and customer acquisition and retention, the report says. Marketing automation is in high demand.

“Across the board, enterprises are looking for quality and consistency from Salesforce service providers,” said Jan Erik Aase, partner and global leader, ISG Provider Lens Research. “To deliver it, providers are making big investments in training and employee development.”

The report also examines other trends affecting the Salesforce ecosystem in the U.S., including the effects of growing pressure for consolidation among providers.

For more insights into Salesforce-related enterprise challenges and advice on how to make the most of the platform, see the ISG Provider Lens™ Focal Points briefing here.

The 2023 ISG Provider Lens™ Salesforce Ecosystem Partners report for the U.S. evaluates the capabilities of 44 providers across six quadrants: Multicloud Implementation and Integration Services for Large Enterprises, Implementation Services for Core Clouds Midmarket, Implementation Services for Marketing Automation Midmarket, Managed Application Services for Large Enterprises, Managed Application Services for Midmarket and Implementation Services for Industry Clouds.

The report names Perficient and Persistent Systems as Leaders in four quadrants each. It names Accenture, Coastal Cloud, Cognizant, HCLTech, Infosys, Silverline, TCS and Wipro as Leaders in three quadrants each. Birlasoft, Capgemini, Deloitte Digital, Hexaware and IBM are named as Leaders in two quadrants each. Brillio, Customertimes, Dentsu, LTIMindtree, Slalom and Tech Mahindra are named as Leaders in one quadrant each.

SOURCE: Businesswire

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