According to SNS Insider Research, the partner relationship management (PRM) software market size was valued at $3.09 billion in 2023, and is predicted to reach $4.87 billion by 2032, as companies are increasingly relying on complex partner networks, such as resellers, distributors or technology alliances, to expand product offerings and reach new markets.
SNS said the market would grow at a CAGR (compound annual growth rate) of 5.2% over the forecast period of 2024-2032.
In order to facilitate the onboarding process, monitor performance indicators and promote seamless cooperation, there should be effective partner relationship management systems in place, the analyst said. Adoption is being driven through increasing demand for data-driven decision making, it added.
Businesses can use such systems to identify top performers, improve marketing campaigns, and allocate resources better. DocuSign revamped its Partner Network Program in June 2024, for instance, to include more advanced partner relationship management capabilities, that would help support its channel partners and strengthen relationships.
Also, demand is increasing in this sector as cloud-based PRM solutions become popular. Moreover, cloud-based systems are highly flexible compared to on-premise products, with much greater scalability and cost effectiveness.
Similarly, they enable consolidation of customer experience through cooperation with extant marketing automation and CRM platforms. Salesforce and Oracle, among others, continue enhancing their cloud-based PRM offers to meet this demand, said SNS.
Data security and privacy concerns remain a potential hurdle for adoption, however.
Sensitive partner information can’t just be given out haphazardly to third-party platforms by companies. Leading PRM vendors are addressing this problem by putting strong security measures in place and assuring conformity to industry standards.
A study conducted by analyst house IDC revealed that 40% of businesses face issues related to disconnected data across different partner programmes, thereby affecting communication as well as measurement efforts. And according to a recent survey by Salesforce, 63% of respondents stated they were “unhappy” and “isolated” due to “inappropriate communication” by their partner vendors.
SNS cites Salesforce, Oracle, SAP, IBM, Microsoft, Infor, Cvent, Channeltivity, PartnerPath, Incentive Solutions, and others in its report.
