Multichannel Order Management Market Size & Growth Report to 2030

The global multichannel order management market size was valued at around USD 3 billion in 2022 and estimated to grow at a significant CAGR of around 9% during the forecast period from 2023 to 2030. The surge in e-commerce has compelled businesses to efficiently handle orders across multiple sales channels, such as online marketplaces, websites, and social media platforms. Meeting customer expectations for seamless shopping experiences across these channels is another driving force. Effective inventory management, offered by MOM systems, is vital to prevent overstocking and understocking. These systems enhance the overall customer experience by ensuring accurate and timely order fulfillment. Moreover, the integration of data from different sources, the need to expand globally, and the drive for operational efficiency and cost reduction have all contributed to the MOM market’s growth. Omnichannel strategies, regulatory compliance, and the competitive edge offered by MOM solutions have also fueled adoption. Cloud-based solutions have democratized access, and analytics tools provide valuable insights. Ultimately, businesses embracing MOM solutions can better navigate the challenges and opportunities of the modern marketplace.

Market Snapshot:

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Market Drivers:

E-commerce Growth: The exponential rise of e-commerce, especially in recent years, has fundamentally changed the way businesses operate. With the proliferation of online marketplaces, web stores, and mobile shopping apps, companies must handle orders originating from various platforms. This complexity drives the demand for MOM solutions, which can seamlessly integrate and manage orders from multiple sales channels.

Customer Expectations: In today’s competitive marketplace, customers demand a seamless shopping experience. They expect to purchase products through their preferred channels and receive consistent service. MOM systems enable businesses to meet these expectations by ensuring that orders are efficiently processed, regardless of the channel through which they were placed.

Inventory Management: Effective inventory management is crucial for businesses with multiple sales channels. MOM solutions allow companies to maintain real-time visibility and control over their stock levels across different channels. This helps in avoiding overstocking, understocking, or inventory discrepancies, all of which can lead to lost sales or excessive costs.

Improved Customer Experience: A key focus for businesses is to enhance the overall customer experience. Efficient order management plays a pivotal role in achieving this goal. With MOM solutions, businesses can streamline order processing, reduce errors, and ensure that orders are fulfilled accurately and on time. This, in turn, leads to higher customer satisfaction and loyalty.

Data Integration: Businesses today rely on data-driven decision-making. They need to consolidate data from various sources, including sales channels, inventory systems, and customer databases. MOM systems facilitate the integration of data from these disparate sources, providing a comprehensive view of operations and enabling businesses to make informed decisions.

Global Expansion: Many companies are expanding their horizons by selling their products in international markets. Multichannel order management solutions are vital for managing orders, payments, and shipping processes across borders. They help businesses navigate the complexities of international trade and ensure a smooth customer experience, regardless of the customer’s location.

Efficiency and Cost Reduction: Businesses seek operational efficiency and cost reduction. MOM systems automate order processing, reducing manual labor and the risk of errors. This not only makes operations more efficient but also helps in cost savings by minimizing labor and operational costs.

Omnichannel Strategy: Companies are increasingly adopting an omnichannel approach to marketing and sales. They aim to provide a consistent and unified experience for customers across all channels. MOM systems are instrumental in achieving this objective by synchronizing data and processes across channels, ensuring that customers receive a seamless experience whether they shop in-store, online, or via mobile apps.

Market Insights:

The global multichannel order management market is bifurcated into component, organization size, deployment mode, end-use industry, and geography. On the basis of end-use industry, the retail, e-commerce, and wholesale segment is expected to grow at a higher CAGR over the forecast period by 2030. The remarkable growth of segment, driven by the increasing trend of online shopping, had accelerated the demand for robust MOM solutions. E-commerce’s dominance could be attributed to several key factors: its continuous and rapid expansion, complexity due to multiple sales channels, global reach requiring international order management, the high consumer expectations for a seamless shopping experience, the competitive nature of the industry, and a propensity for technological innovation, including the adoption of advanced MOM systems.

Manufacturing: Manufacturers utilize MOM solutions to efficiently manage the processing of orders, monitor inventory levels, and ensure the timely delivery of products to customers and distribution channels. These solutions are crucial for adapting to changing demand patterns and providing real-time visibility into supply chain operations.

Healthcare & Life Sciences: The healthcare and life sciences industry relies on MOM systems to manage the orders of medical devices, pharmaceuticals, and healthcare supplies. These solutions ensure precise and prompt distribution to healthcare facilities, pharmacies, and patients. They also assist in maintaining compliance with strict regulatory standards and patient safety requirements.

Retail (including e-commerce and wholesale): The retail sector, encompassing traditional brick-and-mortar stores, e-commerce, and wholesale operations, significantly benefits from MOM solutions. These systems facilitate the smooth management of in-store and online orders for traditional retailers. In the case of e-commerce and wholesale, MOM solutions are pivotal for processing orders from various online sales channels, optimizing inventory control, and enhancing the overall customer experience.

Food & Beverages: Food and beverage companies rely on MOM solutions to manage orders efficiently, especially given the perishable nature of their products. These systems help in coordinating orders from various distribution channels, ensuring food safety compliance, and maintaining traceability as per industry regulations.

Other: The “Other” category can encompass a wide array of industries, such as automotive, electronics, and consumer goods. In these sectors, MOM solutions aid in optimizing supply chains, reducing order processing times, and ensuring that products are delivered accurately and on schedule to customers, retailers, and distributors.

The multichannel order management market research report presents the analysis of each segment from 2020 to 2030 considering 2022 as the base year for the research. The compounded annual growth rate (CAGR) for each respective segment is calculated for the forecast period from 2023 to 2030.

Historical & Forecast Period

• 2020-21 – Historical Year
• 2022 – Base Year
• 2023-2030 – Forecast Period

Market Segmentation:

By Component:

• Software
• Solution
• Services
  • Integration & Deployment Services
  • Training & Support Services
  • Professional Services
  • Consulting Services
  • Managed Services

By Deployment Mode:

• On-Premises
• Cloud

By Organization Size:

• Large Enterprises
• Small and Medium-Sized Enterprises (SMEs)

By End-Use Industry:

• Manufacturing
• Healthcare & Life Sciences
• Retail, e-commerce, and Wholesale
• Food & Beverages
• Others

By Region:

• North America
• Europe
• Asia Pacific
• Latin America
• Middle East & Africa

Regional Analysis:

Geographically, North America dominated the global multichannel order management market in the benchmark year 2022 and expected to grow at the same trend over the forecast period. The United States, in particular, had a strong presence in the MOM market due to several factors. First, the U.S. has a well-established e-commerce ecosystem, with numerous retail giants and a high level of online shopping adoption. This spurred the demand for MOM solutions to streamline order processing and inventory management across various sales channels. Additionally, North America was a hub for technological innovation, and many MOM solution providers were headquartered in the region. The U.S. also had a robust logistics and supply chain infrastructure, which is essential for efficient order fulfillment, making it an attractive market for MOM solutions. Furthermore, the regulatory environment and compliance standards in the U.S. influenced the adoption of MOM systems to ensure adherence to legal requirements.

On the other hand, the Asia-Pacific region is poised to register the fastest Compound Annual Growth Rate (CAGR) in the Multichannel Order Management (MOM) market by 2030 is in line with the region’s dynamic economic landscape. Asia-Pacific’s exceptional growth is underpinned by factors such as the widespread adoption of e-commerce and mobile commerce, driven by a burgeoning middle class, increasing internet access, and the prevalence of smartphones. Emerging markets within the region, including India, Southeast Asia, and China, present substantial growth opportunities for MOM solutions as businesses adapt to the demands of a rapidly evolving consumer base. Asia-Pacific’s prominence as a global manufacturing hub and its embrace of advanced technologies, including cloud-based MOM systems, further contribute to the robust CAGR projection. The region’s urbanization, changing lifestyles, and government support for digital transformation all coalesce to create a fertile ground for MOM market expansion in the Asia-Pacific, positioning it as one of the fastest-growing regions in this sector.

Competitive Assessment:

Some of the prominent market players operating in the global multichannel order management market are IBM Corporation, Oracle Corporation, SAP SE, Microsoft Corporation, and Salesforce.com, Inc. Companies are exploring markets by expansion, new investment, the introduction of new services, and collaboration as their preferred strategies. Players are exploring new geography through expansion and acquisition to gain a competitive advantage through joint synergy.

Recent Developments:

• In 2023, Oracle released updates to Oracle Fusion Applications that include new planning, usage-based pricing, Oracle Fusion Cloud Supply Chain & Manufacturing (SCM) rebate management capabilities, and enhanced quote-to-cash processes.
• In 2023, Freestyle Software announced the availability of version 12 of Multichannel Order Manager (M.O.M.), which includes significant improvements to security and is one of the first applications to be certified under the new, more stringent PCI–S3 requirements.
• In 2023, Cymbio announced the release of a multichannel commerce support platform, a cloud-based ecommerce support platform designed to enable companies and retailers to automate the sales process.
• In 2023, Magento announced the release of Magento Commerce 2.4.4, which includes new features and enhancements to the Magento Order Management System (OMS), such as support for multiple fulfillment centers and improved inventory management.
• In 2022, SAP announced the release of SAP Cloud for Customer (C4C) 1911, which includes new features and enhancements to the SAP C4C OMS, such as support for omnichannel fulfillment and improved order orchestration.

Key Companies:

• IBM Corporation
• Oracle Corporation
• SAP SE
• Microsoft Corporation
• com, Inc.
• Brightpearl
• ChannelAdvisor Corporation
• Epicor Software Corporation
• Shopify Inc.
• Magento (Adobe Commerce)

Key Questions Answered by Multichannel Order Management Market Report

• Global multichannel order management market forecasts from 2023-2030
• Regional market forecasts from 2023-2030 covering Asia-Pacific, North America, Europe, Middle East & Africa, and Latin America
• Country-level forecasts from 2023-2030 covering 15 major countries from the regions as mentioned above
• Multichannel order management submarket forecasts from 2023-2030 covering the market by component, deployment mode, organization size, end-use industry, and geography
• Various industry models such as SWOT analysis, Value Chain Analysis about the market
• Analysis of the key factors driving and restraining the growth of the global, regional, and country-level multichannel order management markets from 2023-2030
• Competitive Landscape and market positioning of top 10 players operating in the market