Cloud Contact Center Market to Be Worth $86.4 Billion by 2029

Research firm MarketsandMarkets projected the worldwide cloud contact center market to grow from $26.2 billion today to $86.4 billion by 2029, seeing a compound annual growth rate of 26.9 percent.

The cloud contact center market growth is due to various business drivers, like a rising need for customized and streamlined engagements, increasing significance of social media in contact center operations, sustained adoption of cloud technology in contact center infrastructure, and rapid rise in the implementation of next-gen contact center technologies, the firm said in its report.

Some of the trends the firm is watching in the market include seamless omnichannel communication, support for remote workforce enablement, faster adoption of AI and automation, a focus on customer-centric innovation, worldwide expansion, sustainability initiatives, integration with the CX ecosystem, sophisticated analytics, and security and compliance concerns.

MarketsandMarkets expects omnichannel routing software to hold the largest market share in the cloud contact center market. The self-service options, such as artificial intelligence-powered chatbots, interactive voice response (IVR) systems, and knowledge bases, are also poised for tremendous growth, offering customers round-the-clock assistance without the need for agent intervention. This not only reduces operational costs for businesses but also provides customers with immediate access to information and support, driving satisfaction and loyalty, MarketsandMarkets said in the report, which also notes that the scalability and flexibility of cloud-based contact center solutions further enhance the appeal of self-service channels, making them a key driver of growth in the coming years.

Beyond this, cloud contact centers offer businesses the following advantages, according to MarketsandMarkets:

  • Scalability in response to varying call volume, seasonal needs, or corporate expansion without having to make large infrastructure investments.
  • Distributed teams, remote work, and company continuity in the event of disruptions or emergencies.
  • A pay-as-you-go pricing model where businesses only pay for the products and resources they use, lowering upfront capital expenses and total cost of ownership.
  • Less setup and configuration, allowing businesses to react more swiftly to changes in the market or in customer expectations.
  • The ability to provide individualized customer experiences, streamline workflows, and consolidate customer data by offering seamless integration with other company systems, including CRM, helpdesk, and marketing automation platforms.
  • Disaster recovery and redundancy features, including data backup, failover, and redundancy techniques.
  • The ability to serve clients worldwide with virtual contact centers in several locations, customize customer experiences, and adhere to local laws and data protection standards.

Some of the major players in the cloud-based contact center market include NICE, Amazon Web Services, Genesys, Vonage, Five9, Talkdesk, Cisco, Avaya, Zoho, 8x8, Verizon, Alvaria, Amelia, Twilio, CloudWave, Content Guru, RingCentral, 3CLogic, Enghouse, Vocalcom, Evolve IP, Sprinklr, Mitel, BT Group, JustCall, Dialer360, Servetel, NeoDove, Rulai, Pypestream, TechSee, Aircall, Sentient Machines, and Nubitel, according to the report.