Enterprise Adoption of Employee Experience Management (EXM) Platforms Will Grow 35-40% by 2025—Everest Group – PR Web | Wonder Mind Kids

Everest group

Everest group

Organizations are realizing that EXM is an important element of their overall business growth strategy and not just one of many tasks delegated to the HR team.

Despite global economic headwinds, companies are desperate to retain employees and recruit new talent. With this in mind, according to Everest Group, the market for employee experience management (EXM) platforms is expected to register a compound annual growth rate of 35-50% until 2025. EXM buyers of all sizes cite the rise of new and alternative work models, controlling turnover rates, and understanding real-time employee sentiment as key drivers for EXM platform adoption.

The Great Resignation, the demand for hybrid work environments and the lack of talent have disrupted the traditional way of working and the traditional workplace. For organizations tackling this challenge, the ability to monitor and improve the employee experience at every step of the employee lifecycle has become more important than ever. Adopting Employee Experience Management (EXM) platforms can make this task easier.

According to Everest Group research, buyers of EXM platforms cite the following five advantages of the technology:

1. Better understanding of the workforce, especially the key challenges each employee faces and understanding their feelings

2. Involving employees in formulating the organization’s human resources strategy. Employee feedback, which is collected in impulse surveys on specific topics, is particularly helpful.

3. Improved employee engagement and productivity. The ability to anonymize feedback makes employees feel heard and empowered, resulting in higher productivity and higher future survey participation rates.

4. Reducing turnover, primarily through a role in increasing employee satisfaction, engagement and visibility.

5. Faster decision making. EXM platforms capture and process employee insights in real-time dashboards, giving executives the right information in the right place and at the right time.

These and other findings are detailed in Everest Group’s “Employee Experience Management (EXM) Platforms – State of the Market Report 2023.” The report provides an introduction to EXM platforms and a market overview, including buyer adoption trends, key investment themes, the service provider landscape and the outlook for 2023.

“Companies are realizing that EXM is an important element of their overall business growth strategy and not just one of many tasks delegated to the HR team,” said Lokesh Goyal, practice director at Everest Group. “To win the talent war, companies need to revamp their programs for listening to their employees and be attuned to their employees’ needs such as mental health, well-being, security, flexibility and work-life balance, and this should be more of an ongoing process Annual surveys limited. The EXM platform market is booming because this technology gives employers the ability to empower multiple channels to gather real-time feedback from across their talent pool and make decisions that improve the experience, culture and productivity.”

Other market highlights

  • The banking, financial services and insurance industry (BFSI) has the highest market share (16%), followed by the high-tech industry (15%).
  • EXM platforms are widely adopted by mid-market (45-50%) and large buyers (35-40%) as most of them have already started their workforce transformation and collecting employee feedback is a crucial aspect of it.
  • In 2021, North America accounts for the largest market share (68%) and most of the current supply base is also consolidated in the North American region.
  • Qualtrics and Medallia are considered Everest Group PEAK Matrix® Leaders for 2022.
  • Current market leaders (measured by market share by number of EXM customers in 2021) include Qualtrics, Culture Amp, InMoment, Perceptyx and Workday.
  • The top five reasons buyers cite for choosing a particular provider are: flexibility in pricing; value-added services; Ease of use, implementation and integration; differentiated platform functionalities; and responsiveness and customer care.

***Download a free summary of the report.***

About the Everest Group

Everest Group is a research company focused on strategic IT, business services, engineering services and sourcing. Our research also includes the technologies that drive these processes and functions, and the associated talent trends and strategies. Our customers include leading global companies, service and technology providers and investors. Clients use our services to guide their journey to maximize operational and financial performance, transform experiences, and drive impactful business outcomes. Details and extensive content are available at http://www.everestgrp.com.

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