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Research Outline

Prepared for Shelby H. | Delivered July 2, 2020

Digital Asset Management Market Growth Assessment

Goals

The research aims to assess the business growth opportunities in the digital asset management (DAM) market in the US and globally. Specific goals are future growth outlook, revenue breakdown between greenfield and replacement projects, the number of companies that are the potential adopters of DAM solutions, and the percentage of companies that have already deployed some form of DAM solutions.

Early Findings

  • According to BusinessWire, the global DAM market has generated a revenue of $3.4 billion in 2019, which is expected to reach $8.5 billion in 2025. The CAGR for the forecast period between 2020 and 2025 is expected to be 16.5%.
  • Another research by Mordor Intelligence, which appears to be less optimistic than BusinessWire, estimated that the market size of DAM was $2.54 billion in 2019. The market value is expected to increase to $7.76 billion in 2025, representing a CAGR of 21.2% between 2020 and 2025. Furthermore, research by Market Data Forecast expects the market to grow from $3.64 billion to $6.66 billion, representing a CAGR of 18.3% between 2020 and 2025.
  • Wonder's recent research found that the DAM market value was $3.12 billion, by calculating the average of statistics from five research reports.
  • The primary revenue growth drivers are cloud-based solutions such as SaaS, digital marketing initiatives, and the rising demand for increasing operational transparency and efficiency using workflow automation and collaboration solutions. The greenfield projects concerning cloud-based DAM solutions are expected to be driven by the integration with artificial intelligence and IT research and development.
  • According to the database g2.com, there are approximately 286 software vendors in the DAM market.
  • In 2019, there were 12 key market participants in the DAM market, namely Adam Software, Canto Inc., Celum, Cognizant Technology Solutions, OpenText Corporation, North Plains Systems, Oracle Corporation, QBank, Webdam Inc., Mediabeacon Inc., IBM Corporation, and Widen Enterprises Inc. Another study by Industry Research includes 7 other key players in the space of DAM, namely Adobe Inc., Northplains, Dell Technologies (EMC), HP, Aprimo LLC, Bynder B.V., and Widen Enterprises Inc. Others include companies like Extensis, Nuxeo, and QBNK Company AB.
  • The fragmented DAM market is expected to continue to see consolidation among technology vendors and increasing market competition in the future. To an extent, the increasing competition and consolidation results from the homogeneous features among vendor products. Hence, specialized and yet not completely customized solutions enhance customer experience, which was expected to be the main area for gaining market share.
  • The North American region was expected to continue to hold the largest market share of more than 25% in the global DAM market, which was largely attributed to the high concentration of media and entertainment companies in the region, such as the deployment of digital libraries. In comparison, the Asia Pacific region is expected to see the fastest growth between 2020 and 2025.
  • Research by Global Industry Analysts expects the US market to generate $895.1 million in revenue in 2020 and account for 26.9% of the global DAM market. The US market is expected to grow by 16.3% CAGR between 2020 and 2025. China is expected to reach $2.3 billion in 2027, representing a CAGR of 22% between 2020 and 2027. Other high-growth markets include Japan, Canada and Germany.
  • Driven by the demand from consumers, such as the use of social media, revenue growth is also expected to be from other industry verticals, such as Banking, Financial Services and Insurance (BFSI) , Retail, Manufacturing, Healthcare and Life Sciences, Education , and Travel and Tourism.
  • According to Kable's global research in 2014, 74.2% of large enterprises ($1 billion or more in revenue) have deployed some form of DAM solutions. In comparison, 61.9% of other types of businesses have adopted DAM solutions.
  • According to the research by MarketsandMarkets, the adoption of cloud-based DAM in the media and entertainment industry and by small and mediu businesses has gained traction since 2017. Similarly, large enterprises are expected to have had an increasing deployment of cloud-based DAM solutions due to the increasing need to manage their digital assets remotely. Between 2015 and 2019, companies that have adopted traditional, manual or some early form of cloud DAM solutions are expected to migrate to modern, advanced cloud DAM by 2019. Hence, replacement projects were the primary procurement activities in the past five years, such as SaaS DAM.
  • According to the OECD database, there were a total of 341,912 enterprises in the US, in which 314,175 were with the number of employees less than 50, representing 99.8% of the total enterprise base in the US.