Factors such as the rising adoption of cloud SCM among small and medium enterprises and growing e-commerce market provide opportunities to the players looking to invest in the cloud SCM market. The use for e-commerce is increasing around the globe, which is leading to the rising requirement for cloud SCM for demand forecasting, and supply chain, product, and logistics management. E-commerce enterprises are also trying to provide effective product delivery to enhance their consumer base; this further leads to the adoption of various cloud SCM solutions to manage the intricacies of the supply chain.

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When service is taken into consideration, the cloud SCM market is categorized into managed services, support & maintenance, and training & consulting. Among these, the training & consulting category occupied the largest share of the market during the historical period (2013–2016) and is expected to retain its position during the forecast period. This is due to the increasing adoption of cloud SCM by various companies. The lack of trained employees to deal with company data on the cloud is also predicted to increase the demand for training & consulting services during the forecast period.

On the basis of deployment type, the cloud SCM market is divided into public, hybrid, and private cloud. Out of these, hybrid cloud held over 50.0% share of the market in 2016, and it is predicted to still be the largest division throughout the forecast period. However, all three categories are expected to grow significantly during the forecast period as these provide demand management, lower infrastructure cost, improved scalability, and order and transportation management benefits to organizations across various industries.

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Hence, the growing e-commerce market, rising need for demand management solutions, and cost advantages of cloud SCM solutions are furthering the growth of the market.

CLOUD SCM MARKET SEGMENTATION

Market Segmentation by Solution

• Demand Planning & Forecasting
• Inventory & Warehouse Management
• Product Life-Cycle Management
• Logistics Management
• Sales & Operations Planning
• Order Management
• Transportation Management
• Procurement & Sourcing
• Product Master Data Management

Market Segmentation by Service

• Training & Consulting
• Managed Services
• Support & Maintenance

Market Segmentation by Deployment Type

• Hybrid Cloud
• Public Cloud
• Private Cloud

Market Segmentation by User Type

• Large Enterprises
• Small & Medium Enterprises

Market Segmentation by Industry

• Energy & Power
• Retail & Wholesale
• Food & Beverage
• Transportation & Logistics
• Manufacturing
• Healthcare & Lifesciences
• Hospitality
• Government
• Others