IT Service Management Market Size, Share & Trends Analysis Report, By Type (Configuration Management, DBMS Management, IT Asset Management), By Region, And Segment Forecasts, 2023 To 2030

IT Service Management (ITSM) is a process-based approach to managing IT services that help organizations deliver value to their customers and improve the efficiency and effectiveness of their IT operations. The ITSM market has been growing rapidly in recent years due to the increasing demand for IT services and the need for organizations to manage and optimize their IT operations. ITSM systems include incident management, service desk, change management, problem management, and asset management. These modules work together to ensure that IT services are delivered efficiently and effectively and that any issues are resolved quickly.

Organizations worldwide are undergoing digital transformation initiatives, driving the demand for ITSM solutions that support their evolving needs. According to the European Commission, 75% of European Union companies use the cloud, artificial intelligence, and big data for the digital transformation of business. ITSM enables companies to align IT services with business objectives, optimize processes, and enhance customer experience, facilitating successful digital transformations. The adoption of cloud-based ITSM solutions and software-as-a-service (SaaS) models is rising. Cloud-based ITSM offers scalability, flexibility, and cost-efficiency, allowing businesses to leverage advanced capabilities without heavy infrastructure investments. SaaS-based delivery models simplify deployment and maintenance, driving the ITSM market growth.

Automation and AI technologies are revolutionizing ITSM. Intelligent automation, chatbots, and virtual assistants streamline service delivery, improve response times, and reduce manual efforts. AI-powered analytics enable predictive maintenance, proactive problem-solving, and data-driven decision-making, enhancing overall ITSM efficiency. Enterprise Service Management (ESM) extends the principles of ITSM beyond IT departments to other business functions such as HR, finance, and customer service. ESM provides a holistic approach to service management, standardization, fostering collaboration, and operational efficiency across the organization. This is one of the trends that is gaining traction and driving ITSM market growth.

The COVID-19 pandemic had a positive impact on the IT service management market. With the sudden shift to remote work, businesses had to adopt new technologies and processes to support their employees and customers. IT teams had to find new ways to support and troubleshoot issues for many remote employees. This increased demand for ITSM solutions to help organizations manage their IT infrastructure and support their employees' remote work needs.

North America is one of the prominent regions in the ITSM market, primarily driven by the presence of advanced IT infrastructure and the early adoption of ITSM solutions. Factors such as a high concentration of large enterprises, emphasis on IT governance, and a focus on regulatory compliance contribute to the region’s market growth. Europe is another significant ITSM market driven by a strong focus on digital transformation and compliance with data protection regulations such as General Data Protection Regulation (GDPR). The European market is characterized by the adoption of IT Infrastructure Library (ITIL) best practices and a growing emphasis on ITSM as an enabler of business agility and efficiency.

Major players in the IT service management market are investing heavily in research and development to introduce new and innovative services which are more efficient and reliable. For instance, in August 2021, Serviceaide, Inc., a global service provider of solutions for IT, enterprise, and intelligent service management, acquired SunView Software, Inc. intending to expand and offer robust new offerings and capabilities for both SunView Software, Inc., and Serviceaide, Inc. clients.

IT Service Management (ITSM)Market Segmentation

• By Type

  • Configuration Management

  • DBMS Management

  • IT Asset Management

• By Deployment Type

  • On-Premises

  • Cloud

• By End-Use

  • IT & Telecom

  • Healthcare

  • Media & Entertainment

  • BFSI sector

  • Others

• By Region

  • North America

    • U.S.

    • Canada

  • Europe

    • UK

    • Germany

    • France

    • Italy

  • Asia Pacific

    • Japan

    • China

    • India

  • Latin America

    • Brazil

    • Mexico

    • Argentina

  • Middle East & Africa

    • South Africa

    • Saudi Arabia

    • UAE

Key players

• Merck & Co. Inc.

• Serviceaide, Inc.

• IBM

• Microsoft

• Cherwell Software, LLC

• Freshworks Inc.

• SysAid

• SolarWinds Worldwide, LLC.

• TATA Consultancy Services Limited

• Infosys Limited