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Software Suites, AI Reshaping Customer Experience, ISG Says

1. Enterprises are centralizing customer experience management (CXM) for better data insights. 2. By 2027, most CXM suites will integrate analytics, AI, and customer data. 3. ISG evaluates 29 software providers on customer experience management effectiveness. 4. Salesforce, Verint, and NICE rank highest in the 2025 CXM Buyers Guides. 5. CXM software integration improves enterprise-wide visibility and relationship management.

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FAQ

Why Bullish?

The trend towards CXM integration enhances ISG's role in the market, possibly increasing demand for its services.

How important is it?

The research emphasizes the growing necessity for robust CX strategies, aligning with ISG’s consulting services.

Why Long Term?

As CXM technology evolves, ISG's sustained relevance in guiding enterprises may strengthen its market position over time.

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Providers are integrating once-siloed software for contact center, CRM, marketing and service functions, new research says STAMFORD, Conn.--(BUSINESS WIRE)--The increasing integration of applications for managing customer experience (CX) is changing how enterprises monitor, understand and improve interactions and relationships with their customers, according to new research from global AI-centered technology research and advisory firm Information Services Group (ISG) (Nasdaq: III).New ISG research says most companies view CX as essential, but use a wide range of strategies and tools to operate, analyze and improve it. By 2027, most CXM suites will include components that combine analytics, AI and customer data integration.Share The ISG Buyers Guides™ for Customer Experience Management, produced by ISG Software Research, provide rankings and ratings of 29 software providers and their products for governing and optimizing customer experience across all channels. The research finds that most companies view CX as essential, but they use a wide range of different strategies and tools to operate, analyze and improve it. Traditionally, customer relationship management (CRM) and contact center processes have been dispersed across organizations. In recent years, enterprises are starting to take a more centralized approach to CX using customer experience management (CXM) software, which combines applications on a common platform so organizations can view and control customer activity across departments, the reports say. Software providers are making this possible by synthesizing functions, packaging together previously separate systems for managing interactions and influencing customer behavior. A key benefit of combining CX software into a single platform is consistency and continuity around data collection and metrics, ISG says. This allows enterprises to transcend the separate metrics used by each department, achieving a more holistic view. “By 2027, we expect most CXM suites, by default, will include components that combine analytics, AI and customer data integration,“ said Keith Dawson, director of research, customer experience, ISG Software Research. “This will make them increasingly essential to providing great customer experience.” CXM software is evolving rapidly, so each suite has different strengths depending on its components and on the traditional expertise of the provider, the reports say. Providers of contact center, CRM and marketing software have been assembling CXM suites. The platforms include tools for functions that may include customer data, contact center interaction handling, knowledge management and customer journey management (CJM). ISG expects providers to fill out their suites over time, converging on five core functional areas that every CXM suite should include: interaction handling, resource management, workflow automation, insights and analysis and CJM. Interaction handling includes both traditional call-center voice interactions and digital customer contact channels. CJM turns the passive act of responding to service calls into a deliberate effort to optimize customer experiences and relationships, the reports say. By mapping the customer journey or lifecycle, enterprises may identify moments of influence when they can generate more business or turn customers into advocates. CJM includes software for personalizing interactions and managing proactive sales and marketing efforts. Enterprises should evaluate CXM suites based on how they manage and measure customer behavior, whether they can give senior management a useful overview of the customer base and how easily they can be expanded into software segments related to other departments and processes, ISG says. For its 2025 Buyers Guides for Customer Experience Management, ISG evaluated software providers across three platform categories — Customer Experience Management, Customer Journey Management and Knowledge Management — and produced a separate Buyers Guide for each. A total of 29 providers were assessed: Adobe, Braze, CSG, CallMiner, eGain, Emplifi, Exotel, Freshworks, Gainsight, Genesys, HubSpot, Insider, Medallia, Microsoft, MoEngage, Netcore, Nextiva, NICE, Oracle, Qualtrics, Salesforce, SAP, SAS, ServiceNow, Sprinklr, SugarCRM, Verint, Zendesk and Zoho. ISG Software Research ranks software providers on seven performance categories. Five are product-related: usability, manageability, reliability, capability and adaptability. Two are customer assurance-related: validation and total cost of ownership and return on investment (TCO/ROI). Providers ranked in the top three for each performance category are named Leaders. Within each platform category, those with the most Leader rankings are named Overall Leaders. The Overall Leaders of the 2025 Buyers Guides for Customer Experience Management were the following: Customer Experience Management: Salesforce earned the highest overall rating, followed by Verint and NICE. Salesforce was designated a Leader in four categories, NICE in six categories and Verint in two categories. Adobe, Emplifi, Freshworks, Gainsight, Genesys, HubSpot, Microsoft, SAP, ServiceNow, Sprinklr, Zendesk and Zoho were also rated Exemplary. Netcore, SAS and SugarCRM were rated Innovative. Customer Journey Management: Salesforce was rated highest overall, followed by Oracle and Verint. Salesforce was named a Leader in four categories and Verint in one category. Adobe, Emplifi, Freshworks, Gainsight, Genesys, HubSpot, Microsoft, NICE, SAP, ServiceNow, Sprinklr, Zendesk and Zoho were also rated Exemplary. Netcore, SAS and SugarCRM were rated Innovative. Knowledge Management: Verint earned the highest overall rating. Salesforce was second highest, followed closely by ServiceNow. Of the top three providers, Verint was designated a Leader in two categories, Salesforce in four and ServiceNow in six. Adobe, Emplifi, Genesys, NICE, Oracle, Sprinklr, Zendesk and Zoho were also rated Exemplary. No providers were rated Innovative. “CXM suites are evolving into platforms of great utility and variety,” said Mark Smith, partner and chief software analyst, ISG Software Research. “The integration they provide will be increasingly important to enterprises navigating rapidly changing needs to engage and satisfy customers. This research guides enterprises to more accurately assess and select the software that meets their specific needs with the subject matter experts that can advise with experience and best practices.” The ISG Buyers Guides™ for Customer Experience Management are the distillation of a year of market and product research efforts. The research is not sponsored nor influenced by software providers and is conducted solely to help enterprises optimize their business and IT software investments. Visit this webpage to learn more about the ISG Buyers Guides™ for Customer Experience Management and read executive summaries of each of the three reports. The complete reports, including provider rankings across seven product and customer experience dimensions and detailed research findings on each provider, are available by contacting ISG Software Research. About ISG Software Research ISG Software Research provides authoritative coverage and analysis of the business and IT software industry. It distributes research and insights daily through its user community, and provides a portfolio of consulting, advisory, research and education services for enterprises, software and service providers, and investment firms. Its ISG Buyers Guides™ help enterprises evaluate and select software providers through tailored assessments powered by ISG’s proprietary methodology. Visit www.isg-research.net for more information and to sign up for free community membership. About ISG ISG (Nasdaq: III) is a global AI-centered technology research and advisory firm. A trusted partner to more than 900 clients, including 75 of the world’s top 100 enterprises, ISG is a long-time leader in technology and business services that is now at the forefront of leveraging AI to help organizations achieve operational excellence and faster growth. The firm, founded in 2006, is known for its proprietary market data, in-depth knowledge of provider ecosystems, and the expertise of its 1,600 professionals worldwide working together to help clients maximize the value of their technology investments. More News From Information Services Group, Inc.

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