+1-646-491-9876United States
The dealer management system market in North America is expected to grow from US$ 2,678.07 million in 2019 to US$ 3,438.70 million by 2027; it is estimated to grow at a CAGR of 5.3% from 2020 to 2027.
At present, numerous challenges of synchronization among workplaces, individuals, and administrative centers can get devastated to handle multi-facets of business, such as filing reports, fulfilling the requirements of demanding customers, and maintaining an inventory. With focus on improved customer connection and communication, several manufacturers are looking for integrated ways to manage their business. This boosts the need to have systems that streamline enhanced interactions between the customers, dealers, and other original equipment manufacturer. Dealer management systems integrated with various features—such as CRM, service management, spare part management, sales tracking, and inventory management features—meet the growing requirement of the modern manufacturing industry. Dealer management systems capture data about customer, inventory, and product; and make inventory management more efficient. Besides, they facilitate visibility on dealer operations across different countries in North America. Companies are highly integrating various systems with dealer management to offer enhanced customer experience. Thus, dealers can manage operations from inventory management to customers and product sales to services seamlessly with a robust dealer management system integrated with different management solutions. This factor is driving the market in North America. Also, rising development in the automotive industry is among the other factors expected to positively influence the demand for dealer management systems.
In terms of deployment, the cloud segment led the North America dealer management system market in 2019. The use of cloud-based software has increased in the recent times. This is largely attributed to the benefits that cloud technology offers to enterprises. These benefits include easy support and maintenance service, quick set-up and deployment, easy upgrade facility, and wide accessibility. Owing to the rising demand for cloud-based software, the majority of dealer management system vendors are offering cloud-based solutions. Cirrus Solutions, CDK Global, OneDealer, and Focus Softnet FZ LLC are among the key cloud-based dealer management system providers. Developed countries have matured Internet infrastructure, while it is flourishing in several developing countries, which allows end users in both groups of countries to access the cloud-based platform. Moreover, cloud-based servers provide functionality or data on a pay-as-needed basis.
North America is severely affected by the COVID-19 pandemic. North America is one of the most important regions for adopting and developing new technologies due to favorable government policies to boost innovation, the presence of a huge industrial base, and high purchasing power, especially in developed countries, such as the US and Canada. Hence, any impact on the growth of industries is expected to affect the economic growth of the region negatively. The global pandemic resulted in lockdown, which ravaged businesses across the region and forced the auto dealerships to suspend operations. Auto dealers use a dealer management system to get data updated in real-time. Thus, due to the closed business of dealers, the market for dealer management systems slightly affected in 2020. However, amidst the lockdown in the US, dealership services were opened in certain states of the country, as stated by Forbes. The auto dealers took permission from the US government to run the business during the pandemic since it is one of the crucial businesses, especially in the transport industry. As per the National Automobile Dealers Association, the US government allowed the auto dealership business. Since auto dealers were back in business, the demand for the dealership management systems surged in the region. The market players manage to offer their solutions remotely even in the pandemic. The impact of COVID-19 is short-term; it is likely to decrease in the coming months.
The overall North America dealer management system market size has been derived using both primary and secondary sources. To begin the research process, exhaustive secondary research has been conducted using internal and external sources to obtain qualitative and quantitative information related to the market. The process also serves the purpose of obtaining overview and forecast for the North America dealer management system market with respect to all the segments pertaining to the region. Also, multiple primary interviews have been conducted with industry participants and commentators to validate the data, as well as to gain more analytical insights into the topic. The participants who typically take part in such a process include industry experts, such as VPs, business development managers, market intelligence managers, and national sales managers, along with external consultants, such as valuation experts, research analysts, and key opinion leaders specializing in the North America dealer management system market. Adam Systems; Autosoft, Inc.; BiT Dealership Software, Inc.; CDK Global LLC; Cox Automotive; DealerBuilt; Dominion Enterprises; e-Emphasys Technologies Inc.; and Integrated Dealer Systems are among key players operating in the North America dealer management system market.