The ERP market continues to benefit from a widespread acceptance of the idea that businesses must have integrated information systems to be competitive. Management and IT organizations are realizing that the most effective way to satisfy this need is to purchase an ERP package that features broad functionality and pre-built integration.
"The integrated vs. best-of-breed debate still goes on in some organizations, but the suite advocates are clearly winning," said Jim Shepherd, senior vice president of research at AMR Research. "In addition, we now see many of the remaining ERP vendors compete effectively with companies of all sizes."
Continuing the trend of fewer vendors owning a larger share of the market, SAP and Oracle now represent 65 percent of new license sales.
Enterprise Resource Planning Applications Revenue Share
Growth
Revenue Growth Rate
2005 Revenue Revenue Share Rate, Forecast,
Revenue Share, Share, Forecast, 2004- 2005-
Rank Company Name 2004 2005 2006 2005 2006
1 SAP 40% 42% 43% 12% 17%
2 Oracle 10% 20% 23% 110% 29%
3 Sage Group 5% 6% 5% 16% 10%
4 Microsoft 3% 4% 4% 15% 18%
5 SSA Global 3% 3% 3% 7% 3%
AMR Research's depth and breadth of quantitative research is augmented with industry expertise by the firm's research analysts. The Market Analytix Report Series provides technology vendors with targeted marketing and competitive information on key application markets of ERP, SCM, CRM, procurement, PLM and HCM. For more information or a copy of the formal ERP report, contact AMR Research at 617-542-6600.
