Marketing technology (martech) is the engine that powers marketing strategies. It encompasses tools and solutions to execute, automate, and optimize marketing efforts. Investment in martech has become a priority in recent years as companies seek to engage with their customers more effectively and improve marketing performance.

In our first Global Martech Software Forecast, 2023 To 2027, we expect worldwide spending on marketing technology tools to surpass $215 billion by 2027, implying a 13.3% annual growth rate. Our forecast examines six categories of marketing technology software: experience delivery, marketing automation, marketing resource management, marketing performance management, customer analytics, and customer data management software.


GenAI And Data Will Fuel The Next Wave Of Growth

A few key themes have emerged that will drive growth over the next five years:

  • Data is the cornerstone of modern technology stacks. The explosion of digital channels generates more data than ever and necessitates greater investment in customer data management tools such as customer profile solutions, cross-channel identity resolution, and customer data platforms.
  • GenAI provides a new stream of innovation in martech. Martech vendors across all market segments are racing to incorporate generative AI (genAI) into their products. While early use cases for genAI focus on creative development such as writing and testing email copy, genAI’s potential goes far beyond these day-to-day tasks.
  • Spending on marketing technology is increasing. In Forrester’s Marketing Survey, 2023, global B2C marketing decision-makers say that their organization currently spends 18% of their marketing budget on technology, and two-thirds (66%) of global B2C marketing decision-makers plan to increase their tech spend.