Top 10 IT Service Management Software Vendors and Market Forecast 2017-2022

Worldwide ITSM Applications Market to reach $2.8 billion by 2022, compared with $2.6 billion in 2017 at a compound annual growth rate of 9.6%.

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In 2017, the top 10 IT Service Management software vendors accounted for nearly 84% of the global IT Service Management applications market which grew 4.8% to approach nearly $1.9 billion in license, maintenance and subscription revenues.

Last year ServiceNow led the pack with a 42.4% market share riding on a 42.4% jump in  ITSM license, maintenance and subscription revenues. Atlassian was #2, followed by BMC Software, LogMeIn and Ivanti.

We ask the simple question: Who’s buying ITSM applications from whom and why? And we provide the answers – supported by decades of research – to our clients around the world. (Sample from our Apps Database)

Exhibit 1 : 2017 IT Service Management Applications Market Shares Split By Top 10 IT Service Management Vendors and Others, %
Exhibit 1 : 2017 IT Service Management Applications Market Shares Split By Top 10 IT Service Management Vendors and Others, %

Through our forecast period, the IT Service Management applications market is expected to reach $2.8 billion by 2022, compared with $2.6 billion in 2017 at a compound annual growth rate of 9.6%.

Exhibit 2: Worldwide IT Service Management Software Market 2017-2022 Forecast, $M
Year 2017 2022 2017-2022 CAGR, %
Total 2850 3350 1.7%

Source: Apps Run The World, December 2018

Top 10 IT Service Management Software Vendors

ITSM applications are being used to make a growing number of employee self-service functions possible through enterprise service management for asset, incident and project management. ITSM applications are considered a derivative market with revenue contribution to functional areas such as Project and Portfolio Management and Enterprise Resource Planning.

Massive software projects to digitize business communities fuel growth of Cloud-based vendors such as Atlassian and ServiceNow as incumbents like BMC and CA race to meet changing IT requirements.

Here are the rankings of the top 10 IT Service Management software vendors in 2017 and their market shares.

Rank Vendor 2016 IT Service Management Apps Revenues, $M 2017 IT Service Management Apps Revenues, $M YoY Growth 2017 IT Service Management Market Share, % Recent Developments
1 ServiceNow Subscribe Subscribe 42.4% Subscribe Acquired VendorHawk for SaaS Subscription Management.
2 Atlassian Subscribe Subscribe 34.5% Subscribe Acquired OpsGenie for planning and responding to IT service disruptions. When outages occur, OpsGenie routes alerts to the appropriate IT teams, speeding diagnosis and resolution, and reducing downtime. Atlassian unloaded Stride and HipChat to Slack.
3 BMC Software, Inc. Subscribe Subscribe -4.5% Subscribe In November 2018, BMC Software added its Helix Cognitive Service Management solution on Microsoft Azure.
4 LogMeIn, Inc. Subscribe Subscribe 186.5% Subscribe In October 2018, LogMeIn introduced intelligent customer engagement by adding proactive AI and language features to the Bold360 platform.
5 Ivanti Subscribe Subscribe 4.2% Subscribe Introduced Ivanti Password Director, which enables IT shops to quickly and easily empower their end users to resolve their own password resets with self-service options.
6 CA Technologies, a Broadcom Company Subscribe Subscribe 14.3% Subscribe Acquired by Broadcom in 2018 as part of the chip company’s efforts to expand into software.
7 IBM Subscribe Subscribe -4.7% Subscribe ITSM remains a key focus for IBM after spinning off units like AppScan, Big Fix, Notes and Domino to HCL. Its Red Hat purchase could be a boon for IT security.
8 ASG Technologies Subscribe Subscribe 6.1% Subscribe Plans to buy Mitek for its identity verification software solutions for financial services vertical.
9 Microsoft Subscribe Subscribe 1.1% Subscribe Shipped ITSMC that provides bi-directional integration between Azure monitoring tools and ITSM tools including ServiceNow, Provance, Cherwell, and System Center Service Manager.
10 Cherwell Software Subscribe Subscribe 7.1% Subscribe Cherwell Software has raised $172 million from existing investor KKR, a global investment firm that invested $50 million in the Colorado Springs company in February 2017.
Subtotal Subscribe Subscribe 28.0% Subscribe
Other Subscribe Subscribe -37.2% Subscribe
Total Subscribe Subscribe 9.6% Subscribe

Source: Apps Run The World, December 2018

Custom data cuts related to the ITSM Applications market are available:

  • Top 35+  ITSM Applications Vendors and Market Forecast 2017-2022
  • 2017 ITSM Applications Market By Industry (21 Verticals)
  • 2017 ITSM Applications Market By Functional Market (16 Markets)
  • 2017 ITSM Applications Market By Country (USA + 45 countries)
  • 2017 ITSM Applications Market By Region (Americas, EMEA, APAC)
  • 2017 ITSM Applications Market By Revenue Type (License, Services, Hardware, Support and Maintenance, Cloud)
  • 2017 ITSM Applications Market By Customer Size (revenue, employee count, asset)
  • 2017 ITSM Applications Market By Channel (Direct vs Direct)
  • 2017 ITSM Applications Market By Product

Exhibit 4 shows the enterprise applications market by functional area. The highest growth functional markets revolve around smaller segments like eCommerce, Enterprise Performance Management, Sales Performance Management and Treasury and Risk, where first movers remain less established than those that for decades have been entrenched in functional areas like ERP, CRM and PLM.

Exhibit 4 - Worldwide Enterprise Applications Market Forecast 2017-2022, By Functional Market, $M
Exhibit 4 – Worldwide Enterprise Applications Market Forecast 2017-2022, By Functional Market, $M

IT Service Management Win/Loss Analysis As Part Of Enterprise Applications Buyer Insight Customer Database

On the buyer side, customers are investing in IT Service Management applications based on new features and capabilities that are expected to replace their existing legacy systems. In many cases, competitive upgrades and replacements that could have a profound impact on future market-share changes will become more widespread.

Since 2010, our global team of researchers have been studying the patterns of the latest ITSM software purchases by customers around the world, aggregating massive amounts of data points that form the basis of our forecast assumptions and perhaps the rise and fall of certain vendors and their products on a quarterly basis.

Updated continuously, our database features win/loss extensive analysis. Each year our research team identifies tens of thousands of these customer wins and losses from public and proprietary sources.

The research results are being incorporated into regular updates in our Enterprise Applications Buyer Insight Customer Database. You can access the Quarterly Win/Loss Analysis Scoreboard and our Enterprise Applications Buyer Insight Customer Database by becoming a subscriber.

Customer Industry Empl. Revenue Country Vendor New Product
Domino\’s Pizza Professional Services 14100 $2.79B United States Atlassian Jira Service Desk
Extenda Banking and Financial Services 200 $27.0M Sweden Atlassian Jira Service Desk
Sobeys Construction and Real Estate 125000 $18.66B Canada Axios Systems Assyst ITSM Solution
Turner Construction Company Insurance 9000 $11.77B United States Axios Systems Assyst ITSM Solution
Helsana Insurance 3214 $6.07B Switzerland BMC Software BMC Remedy ITSM Suite
Ministry of Education (Brazil) Government 100000 $2.60B Brazil BMC Software BMC Remedy ITSM Suite
National Bank of Canada Automotive 23029 $4.86B Canada BMC Software BMC Remedy ITSM Suite
O2 (Telefónica UK) Banking and Financial Services 21580 $8.52B United Kingdom BMC Software BMC Remedy ITSM Suite
InterGrupo Education 1500 $200.0M Columbia CA Technologies CA Service Desk Manager
Oceana Group Professional Services 6053 $420.0M South Africa CA Technologies CA Service Desk Manager
London School of Economics Education 1655 $453.0M United Kingdom Cherwell Software Cherwell ITSM
Denton ISD Consumer Packaged Goods 5000 $263.0M United States Ivanti Ivanti IT Service Manager
The University of North Carolina at Pembroke Life Sciences 500 $120.0M United States Ivanti Ivanti IT Service Manager
Adidas Retail 60000 $19.00B Germany ServiceNow ServiceNow IT Service Management
Affinity Water Banking and Financial Services 1400 $403.0M United Kingdom ServiceNow ServiceNow IT Service Management
Al Jazeera Media Network Media 120000 $10.00B Qatar ServiceNow ServiceNow IT Service Management
Assurance Retail 2200 $200.0M United States ServiceNow ServiceNow IT Service Management
Experian Professional Services 17000 $4.81B United States ServiceNow ServiceNow IT Service Management
Royal Bank of Scotland Professional Services 70000 $12.66B United Kingdom ServiceNow ServiceNow IT Service Management
SAP SuccessFactors Professional Services 3000 $600.0M United States ServiceNow ServiceNow IT Service Management
Tiffany & Co Utility 11900 $4.00B United States ServiceNow ServiceNow IT Service Management

Source: Apps Run The World, January 2019

Further Readings

An expanded version of this report covers the top 35+ IT Service Management Software Vendors, offering in-depth analysis of the market dynamics, vendors’ Strengths, Customers, Opportunities, Risks and Ecosystems as well as their ability to gain Shares (SCORES) within their respective space.

We also offer win-loss analysis of the quarterly wins of these top vendors and whether incumbents and upstarts pose any real threat to their standing amid shifting market requirements and user preferences.

More Enterprise Applications Research Findings

Based on the latest annual survey of 3,000+ enterprise software vendors, Apps Run The World is releasing a number of dedicated reports, which profile the world’s 500 largest Enterprise Applications Vendors (Apps Top 500) and the world’s 500 largest Cloud Applications Vendors (Cloud Top 500) ranked by their 2015-2017 product revenues.

Their 2017 results are being broken down, sorted and ranked across 16 functional areas (from Analytics to Treasury and Risk Management) and by 21 vertical industries (from Aerospace to Utility), as shown in our Taxonomy. Further breakdowns by subvertical, country, company size, etc. are available as custom data cuts per special request.

Research Methodology

Each year our global team of researchers conduct an annual survey of thousands of enterprise software vendors by contacting them directly on their latest quarterly and annual revenues by country, functional area, and vertical market.

We supplement their written responses with our own primary research to determine quarterly and yearly growth rates, In addition to customer wins to ascertain whether these are net new purchases or expansions of existing implementations.

Another dimension of our proactive research process is through continuous improvement of our customer database, which stores more than one million records on the enterprise software landscape of over 100,000 organizations around the world.

The database provides customer insight and contextual information on what types of enterprise software systems and other relevant technologies are they running and their propensity to invest further with their current or new suppliers as part of their overall IT transformation projects to stay competitive, fend off threats from disruptive forces, or comply with internal mandates to improve overall enterprise efficiency.

The result is a combination of supply-side data and demand-generation customer insight that allows our clients to better position themselves in anticipation of the next wave that will reshape the enterprise software marketplace for years to come.

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