Globally, it is a booming business touching Rs 739,200 crore ($121 billion) in 2019, according to a report by advisory and research firm BDO and WARC in conjunction with the University of Bristol. In India, it is coming out of its infancy with marketers just about waking up to its utility, though the software development sector has bitten a sizable piece of the global pie.
Earlier this year, WPP group company Mirum India released its Martech Survey 2020 report, which did not give any indications of the sector’s size and scale, but it revealed that marketers across India are bullish, with as many as 80 per cent of those surveyed expecting their organisation’s spends on these technologies to increase over the next five years.
Xaxis India country lead Bharat Khatri told Indiantelevision.com that there has been a significant rise in the investments that Indian brands and marketers are making in the martech space. “Around one-fourth of the overall marketing pie is being directed towards martech right now and this shift has occurred within the past few years only. Earlier, we were getting a minuscule share in the marketing pie, and it is definitely bound to grow further.”
However, according to him, despite growth in adoption, the core challenge for the industry remains that most of the people who are investing in the technologies are not aware of how it is benefiting them. “Around 50 per cent of the marketers today don’t know the exact functions of martech. There is a great need to educate the industry.”
Reliance General Insurance head business intelligence & visualisation & data warehouse Vivek Zakarde acknowledges in the Mirum India report that the biggest challenge is that there are too many hands involved in the martech implementation broth, thus leading to delays. “Adding to this is the pressure caused by marketers evaluating solutions only after they identify a specific business need, which leaves them with little time to plan before arriving at a decision,” he adds. He also points out to problems of integrating the martech tools with existing technologies in an organization and the pushback from internal stakeholders towards adopting change.
