The digital commerce applications market is projected to grow at 18.8% compound annual growth rate (CAGR) and reach $4.1bn by the end of 2017, a new IDC report revealed.
The research firm also anticipates that the market for digital commerce applications would show signs of strong growth over the following five years as they have turned out to be one of the top growing segments in the overall enterprise applications software market.
IDC Enterprise Applications and Digital Commerce research director Christine Dover said that the new commerce offerings and vendors are launched continually, with retail being only one part of the story as organisations across every industry look to add commerce solutions to their products, services, and offerings and tap into new revenue opportunities.
"Enterprises are looking to replace aging, custom-developed applications with more modern and nimble applications that allow them to move quickly into new markets with pop-up stores and omni-channel solutions that provide consumers and business buyers with a consistent experience regardless of where they research, shop, buy, and return goods and services - online, mobile, in the store, through the call centre and more," Dover said.
During 2012, the global digital commerce applications revenue reached $1.7bn, which was dominated by IBM, Oracle, Digital River, hybris, and Demandware, collectively accounting for 45.6% of the overall market.
"The digital commerce applications market is strong and growing rapidly," Dover added.
"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."