The Correspondence Management System Market is expected to register a CAGR of 14% over the forecast period 2021 to 2026. Owing to the growth in the adoption of digital working culture in companies worldwide coupled with the content explosion in businesses, the correspondence management system market is gaining high momentum across the globe. Furthermore, the automation of internal and external communication has been increasing with the growth of big data and analytics solutions. Besides, to efficiently execute real-time communication, companies are quickly adopting correspondence management solutions to manage all the correspondences.
Automation stimulates the selection of a correspondence management system, especially for the businesses that follow rule-based processes, diminishing inconsistencies, and terminations of correspondences in the business environment, thereby allowing efficient internal and external communication systems. For instance, according to Morgan Stanley, it is projected that in 2018, the market size of 35 billion U.S. dollars of the overall IT services market is going to be automated.
Many businesses are increasingly transitioning to a paper-free environment due to the increasing volume of waste paper generated worldwide. For instance, in 2019, according to AF&PA (Paper Recycles), the amount of paper and paperboard going to landfills stood at 21.5 million metric tons in the United States. It can be efficiently accomplished with the use of correspondence management systems, as they reduce paper wastage, which in turn reduces the cost of printing.
With the advent of cloud-based technologies and growing digitalization, companies are frequently adopting mailroom automation to automate their internal and external business communication processes, assisting businesses to classify their incoming correspondences as per their content and appearance, category, and send them to the corresponding department or the person.
Siloed data & disparate systems concerning data integration and the absence of technical expertise are some of the factors restraining and challenging the growth of the market. Apart from that, a decrease in paper wastage, and compliance adherence to improve customer trust are the determinants providing opportunities for the market.
Key Market Trends
Government and Public Sector to Account for the Dominant Market Share
The government and public sector industry vertical covering all the government institutions and agencies. These organizations' responsibilities are to interact with tax collection, public, safety, education, interest, and others. These communications are conducted through several correspondences, such as letters, emails, bills, invoices, fax, agreements, and contracts.
For instance, organizations like Harvest Technology Group Inc. provides document management solutions for public sector clients in local governments, Health and Human Service, Public Safety, Court Systems, Community Development, and Geographic Information Systems.
Also, iCasework's highly configurable Correspondence Management solution allows for secure and scalable management of Parliamentary Questions, Subject Access, Complaints, FOI, Treat Official, Ministerial, and Inter-Departmental correspondence. Now one can manage all correspondence types through a single solution.
According to Microsoft Corporation, in cases with stringent timelines, such as Freedom of Information Act (FOIA) requests, robust and easy-to-use dashboards to Government and Public Sector, provide users real-time visibility and direct insight into what actions are being taken, when and by whom hence, improving accountability and reducing missed deadlines by up to 30% within a year of deployment.
Most of the organizations pertaining to government and public sector lose hundreds of daily interactions. Moreover, they fail to follow up on critical communications. Hence, government and public organizations are moving toward an efficient correspondence management system to streamline the complete lifecycle of correspondences.
North America to Drive the Correspondence Management System Market
North America constitutes the largest market share, owing to the growing adoption of automation as well as the increasing need for the efficient customer and internal communication for better retention in multiple industry verticals, such as retail and eCommerce, BFSI, and government. The US and Canada are 2 two prominent markets in North America that are witnessing healthy adoption of advanced technologies, such as correspondence management system solutions.
For instance, according to Microsoft Corporation, in the region, automation, and simplified collaboration makes time and resource management more effective and more productive. For example, the United States Air Force singly saved nearly USD 1.4 million yearly by streamlining task management and communication among teams departments and teams.
To avoid manual processes in business that might bring down operations in significant industry verticals such as IT & telecom, they would require adopting the correspondence management system. The correspondence management system efficiently organizes, manage, search, track, and report on correspondence and action plans. Prominent global vendors of Correspondence Management System Market in the region are IBM, Microsoft, Adobe, OpenText, Pitney Bowes, MicroPact, Xerox, and Top Down Systems song others.
Competitive Landscape
The Correspondence Management System Market is moderately competitive and consists of several major players. Some of the key providers across the globe include Xerox Corporation, OpenText Corporation, Adobe, Inc., Hyland Software, Inc., and Gulf Business Machines, among others. The Service Providers are trying to go to the market through a solution approach by tying up with software houses and providing it as an end to end solution and behaving like a one-stop-shop for the correspondence management solution. The players operating in the correspondence management system market are now offering various cloud-based solutions at affordable prices which are expected to provide huge opportunities to the companies providing these systems.
March 2020 - OpenText announced that it acquired XMedius, a provider of secure information exchange and unified communication solutions. XMedius brings decades of experience and patented technologies to transform secure and collaborative communication, enabling organizations to move more workloads to the cloud and unlock the information advantage.
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Key Topics Covered:
1 INTRODUCTION
2 RESEARCH METHODOLOGY
3 EXECUTIVE SUMMARY
4 MARKET DYNAMICS 4.1 Market Overview 4.2 Market Drivers 4.2.1 Rising Need for Automating and Personalizing Communication Systems 4.2.2 Convenient and Secured Internal and External Communications 4.3 Market Restraints 4.3.1 Cellar Data and Disparate Data Systems Impacting Data Integration augmented by Lack of Technical Expertise 4.4 Industry Attractiveness - Porter's Five Forces Analysis 4.5 Industry Value Chain Analysis
5 MARKET SEGMENTATION 5.1 By Component 5.1.1 Software 5.1.2 Services 5.2 By Delivery Channel 5.2.1 Web-based 5.2.2 Email-based 5.2.3 Other Delivery Channel (SMS/MMS-based) 5.3 By Industry Vertical 5.3.1 BFSI 5.3.2 Government & Public Sector 5.3.3 Telecom & IT 5.3.4 Healthcare 5.3.5 Retail & E-commerce 5.3.6 Other Industry Verticals 5.4 Geography 5.4.1 North America 5.4.2 Europe 5.4.3 Asia Pacific 5.4.4 Latin America 5.4.5 Middle East & Africa
6 COMPETITIVE LANDSCAPE 6.1 Company Profiles 6.1.1 IBM Corporation 6.1.2 Adobe Inc. 6.1.3 Microsoft Corporation 6.1.4 OpenText Corporation 6.1.5 Rosslyn Data Technologies Inc. 6.1.6 Pitney Bowes Inc. 6.1.7 Newgen Software Technologies Limited 6.1.8 Fabasoft AG 6.1.9 MicroPact Inc. 6.1.10 Everteam SAS 6.1.11 Ademero, Inc. 6.1.12 Blue Project Software Inc. 6.1.13 Xerox Holdings Corporation 6.1.14 Palaxo International Ltd. 6.1.15 Top Down Systems Corporation 6.1.16 Harvest Technology Group
