You really can’t be blamed for being bowled over by the huge number of companies that focus on marketing technology. You really can’t. There’s just so many players in this space and we’re not just talking about the big guns like Adobe and Citrix, but we’re also talking about smaller players that are leaner, hungrier, and faster.
Be that as it may, there is over 900 services in the marketing technology space. It’s easy to get blown away by this number but you have to look at it in context. Just like any market will have lots of businesses, if you really slash that market down into smaller verticals or smaller segments, it wouldn’t really be that saturated. As long as there’s enough money in these markets, there should be enough for everybody. Moreover, the huge numbers of players shows that the size of the pie is growing. Instead of feeling that there’s so many players in the total market, it’s not even worth trying. Would-be entrepreneurs looking into getting to marketing technology should look at it the right way. The number of participants validates that there is money to be made. Moreover, the number of participants show that the overall value of the market is expanding so there should be more than enough for everybody, as long as they deliver real value and they distinguish themselves enough from the competition.
900+ companies according to ION interactive’s infographic in one market may seem like mind blowing, it may even seem like a saturated market. It isn’t. The truth is, this market is actually heavily segmented. We’re talking about marketing experiences as a major segment and within this major segment is email, marketing, mobile marketing, search and social ads, diaplay advertising. video ads and marketing, creative and design, software providers, creative and design agencies, community sites, community software, social media marketing, events, so on and so forth. And that’s just one segment. There are other segments in data management, middle ware, infrastructure, backbone platforms. These are just the major subheadings because within these subheadings are actual market segments. For example, in marketing operations, there is marketing data, marketing analytics, channel local marketing, dashboards, marketing resource management, web and mobile analytics, so on and so forth. The good news is that even within these sub-sub-segments, there is a still opportunity to segment even further. You can segment by industry, you segment by company size. The only limit really is your imagination.
Instead of being discouraged by the fact that there are so many players in this market, would-be entrepreneurs should really get quite excited. If anything, the huge numbers validate that there is a lot of money to be made.