Master Data Management - Important in a Tough Economy, Crucial in a Growth Economy

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Egham, UK — December 23, 2010 — Gartner


  • From 2009 through 2014, MDM software markets will grow at a compound annual growth rate (CAGR) of 18 percent, from $1.3 billion to $2.9 billion.
  • MDM is a fast-growing software market that is attracting a lot of attention, and it continued to exhibit double-digit growth, even through the worst of the global recession.
  • The emerging master data domains (such as supplier, human resource, asset and location) continue to exhibit even more rapid growth from a smaller base.
  • MDM growth is being driven by niche providers, as well as established players.
  • Gartner foresees a larger, more unified MDM software market, reaching nearly $3 billion by 2014.
  • The continued growth in the established and emerging segments of the MDM market provides a major business opportunity for software and service providers that specialize in these areas, and it will continue to attract new entrants, Gartner believes.
  • In addition, the rapid growth of the MDM market means that skilled MDM resources are in great demand among software and service providers. As a result, end-user organizations will struggle to adequately resource their MDM programs.
  • Gartner advises end-user organizations to weigh the advantages of best-of-breed MDM software vendors (in terms of functionality, data domain and vertical-industry expertise) versus the greater long-term viability risk. "Organizations should invest in MDM technologies at a time that is consistent with their technology adoption profile," the analyst firm said.
  • By 2015, 10 percent of packaged MDM implementations will be delivered as software-as-a-service (SaaS) in the public cloud.

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On-premises versus Cloud

Demonstrating the Value