MarketingPilot Acquisition to Enhance Microsoft Dynamics CRM
MarketingPilot, which produces integrated marketing applications, has been purchased by Microsoft. MarketingPilot software, according to Microsoft, will now be adapted into the Microsoft Dynamics CRM platform which develops programs focused on customer relationship management.
The corporate vice president for Microsoft Dynamics CRM, Bob Stutz, stated in his blog last week that MarketingPilot solutions “allow organizations to better understand their customers, manage and streamline marketing operations, and create automated and measurable multi-channel marketing campaigns.”
In addition to this, Stutz reflected on IDC predictions stating that in the next four years, marketing automation will display the most rapid segment growth of the CRM space, and that by 2017, chief marketing officers (CMOs) will have IT budgets larger than those presently given to chief information officers (CIOs).
Stutz wrote, “More and more, marketers are being asked to drive the overall strategy and execution of customer interactions across multiple channels and touch points, and to measure ROI on those interactions.”
However, the cost of Microsoft acquiring MarketPilot was not mentioned.
The broader industry trend between companies specializing in enterprise software is also a reason for the MarketingPilot acquisition. Through the purchasing of such cloud-based marketing companies, particularly in this year, enterprise software companies are developing their CRM application portfolios; It is also notable that companies are focused on consolidating social media features into their provisions.
Collective Intellect, Involver and Virtue were all purchased earlier this year by Oracle, and these acquisitions allowed it to position itself as a footing for a Social Relationship Management platform revealed at Oracle OpenWorld earlier this year. In the meantime, Buddy Media was purchased by Salesforce.com for around $700 million, and this follows last year's acquisition of Radian6 for a price exceeding $300 million.
Similarly, marketers will be able to plan, execute and regulate interactions between customers by using MarketingPilot, and can monitor such interactions over digital, social and traditional channels. Stutz explained that MarketingPilot will also allow marketers to see how increased revenue will result from these new efforts. CRM customers of Microsoft Dynamics already include Volvo Construction Equipment and the Portland Trailblazers basketball team.
In June of this year, a report on the CRM market conducted by the IDC illustrated that there was a 11.2 percent growth in revenue for 190 vendors in 2011 over 2010 to $19.1 billion. Based on market share, the four major vendors were Oracle (11 percent), SAP (9.9 percent), Salesforce (9.5 percent) and Avaya (3.6 percent).
Microsoft did make the top 10 list according to the IDC, but failed to share particularities. As a whole, the top 10 CRM vendors constitute 49 percent of the market and IDC suggested that the market is becoming more constrictive for vendors as products are being developed and enhanced, more purchases are being made, and features of social media are being incorporated into new products.
The program vice president for CRM applications research at IDC, Mary Wardley, stated, “The CRM applications market is poised on the threshold of a transformation with legacy installations being transformed into socially-aware application environments. The activity is expected to continue through 2012 and is bringing net-new revenue to the space.” (CY) Link