Skip to main content

Digital Commerce Applications will Reach $4.1B by 2017

The ongoing convergence of digital and physical commerce has become a driving force in the success of today's leading B2B and B2C companies. Savvy senior executives are utilizing channel agnostic business technologies that enable them to give customers what they want -- an exceptional, integrated buying experience.

The digital commerce applications market will grow at an 18.8 percent compound annual growth rate (CAGR) to $4.1 billion through 2017, according to the latest global market study by International Data Corporation (IDC).

Although there are multiple scenarios that could unfold, IDC believes the market will exhibit strong growth over the next five years -- as digital commerce apps are one of the fastest growing segments in the overall enterprise applications software market.

"New commerce offerings and vendors are launched continually, with retail being only one part of the story as organizations across every industry look to add commerce solutions to their products, services, and offerings and tap into new revenue opportunities," said Christine Dover, research director at IDC.


Enterprises are looking to replace aging, custom-developed software with more modern and nimble applications that allow them to move quickly into new markets with pop-up stores and omni-channel solutions.

IDC says that these digital commerce offerings provide consumers and business buyers with a consistent experience regardless of where they research, shop, buy, and return goods -- while online, mobile, in the store, or through the call center.

"The digital commerce applications market is strong and growing rapidly. While much of the current market is focused on North America and Western Europe -- where strong growth is expected to continue -- Asia-Pacific, Latin America, and Central and Eastern Europe, and Africa are also expected to be fast growing throughout the forecast period," added Dover.

Additional findings from the market study include:
  • Market sizing, derived from detailed company-level analysis and top-down IDC analysis, places worldwide digital commerce applications revenue at $1.7 billion in 2012, representing an increase of 18 percent over the $1.5 billion in 2011.
  • The top five vendors in 2012, based on worldwide revenue, were IBM, Oracle, Digital River, hybris, and Demandware, accounting for 45.6 percent of the market total.
  • Cloud solutions are increasingly popular as they provide enterprises with the ability to pop-up a new store, quickly enter a new market, create a new revenue stream, and more.

Popular posts from this blog

The Human Factor in AI Transformation

As artificial intelligence (AI) reshapes the business technology arena at breakneck speed, a fascinating paradox emerges: the more sophisticated our AI tools become, the more crucial human skills become in determining organizational success. The latest Fortune AIQ Advisory Board survey reveals that forward-thinking companies are investing in AI tools and fundamentally reimagining their approach to talent acquisition, employee development, and organizational culture around AI capabilities. This shift represents more than a technological upgrade; it's a fundamental transformation in how businesses conceptualize competitive advantage. The companies that will thrive in the AI-driven economy are those that recognize AI proficiency as a core competency, not merely a nice-to-have technical skill. The New Enterprise Hiring Paradigm The survey data paints a compelling picture of this transformation. An overwhelming 69 percent of respondents consider AI skills either "very important...