Growth Opportunities in the North American UCaaS Market

Growth Opportunities in the North American UCaaS Market

COVID-19 Accelerates Growth, but Success Varies Widely by Provider

RELEASE DATE
21-Jan-2021
REGION
North America
Research Code: K3F5-01-00-00-00
SKU: TE03991-NA-MT_25161
AvailableYesPDF Download

$4,950.00

Special Price $3,712.50 save 25 %

In stock
SKU
TE03991-NA-MT_25161

$4,950.00

$3,712.50save 25 %

DownloadLink
ENQUIRE NOW

Description

COVID-19 has wreaked havoc across the globe. If the epidemic continues to spread unabated, it is likely to continue to considerably impact trade and commerce patterns, GDP growth rates, employment and technology investments.

Drastically-reduced travel and a massive shift to work-from-home models to avoid contagion have accelerated adoption of cloud services to remain connected. Cloud services can benefit remote workers and help set up temporary teams and offices. While this trend has more tangibly impacted demand for meeting and messaging services, cloud calling services have also received a boost either as temporary or long-term solutions to ensure fast decision making and effective project completion despite the decline of in-person meetings. Many UCaaS providers saw expansion of existing accounts to support work from home, as well as an increase in activation and use of apps/services that customers already had but were under-utilized (e.g., telework apps, mobility, soft clients, conferencing). These advanced features enable providers to expand their footprint/increase penetration of installed accounts and prove value of broader application suites to increase ARPU.

Truly economical and agile UCaaS solutions—from packaging and pricing to provisioning and management—experienced greater acceleration during the pandemic and among the growing work-at-home customer base. Plug-and-play solutions available for purchase and provisioning via digital channels provided a lifeline for many SMBs and small/temporary remote teams. UCaaS bundled with mobile services, such as Verizon One Talk, or included as part of broader productivity and collaboration suites, such as Cisco Webex, Microsoft 365 and Google Workspace, or enabled as a convenient add-on to popular meeting solutions, such as Zoom Phone, experienced more rapid adoption during the first wave of the pandemic.

As various trends set in motion by the pandemic offset each other, UCaaS user growth in 2020 will be slightly higher than our earlier projections, which took into account adjusted 2018 and 2019 data. Previously-reported historical user and revenue numbers were adjusted to exclude certain hybrid UC deployment scenarios, as a result of which our updated market forecast follows a new trajectory. In 2021, accelerated cloud migration due to the permanent shift to more pervasive remote work will be dampened by the lagging impact of the recession on the telecom sector. Assuming no events with a drastic short-term impact similar to that of the massive move to work from home in 2020, growth rates beyond 2022 will continue to decline due to increasing market maturity.

This study provides a thorough analysis of the North American UCaaS market, including technology and market trends, growth projections, market share assessment and growth opportunity identification. Industry participants can use this research study to benchmark their visions and strategies against important market trends and competitor best practices.

Author: Elka Popova

RESEARCH: INFOGRAPHIC

This infographic presents a brief overview of the research, and highlights the key topics discussed in it.
Click image to view it in full size

Table of Contents

Why Is It Increasingly Difficult to Grow?

The Strategic Imperative 8™

Strategic Imperatives for UCaaS Providers

Growth Opportunities Fuel the Growth Pipeline Engine™

Executive Dashboard

Key Questions this Study will Answer

Market Definitions

Scope and Market Definitions

Scope and Market Definitions (continued)

Scope and Market Definitions (continued)

Scope and Market Definitions (continued)

Scope and Market Definitions (continued)

Scope and Market Definitions (continued)

Scope and Market Definitions (continued)

Key Growth Metrics

Growth Environment and Market Trends

Growth Environment and Market Trends (continued)

Growth Environment and Market Trends (continued)

Key Business Trends Emerging as a Result of COVID-19

Remote Work to Remain a Key Market Driver for Cloud Services Adoption

COVID-19 Impact on Rise in Remote Work

Current Percent of Employees Working Remotely

Future Workplace Vision

COVID-19 Impact on Digital Strategy and Investment

What the Future Workspace will Look Like

Post-COVID-19 Physical Space and Real Estate Plans

Digital Business Models on the Rise

Post-Pandemic Technology Prioritization Plans

A Collaborative Workplace Enables an Excellent Customer Journey

Growth Drivers for the Total UCaaS Market

Growth Restraints for the Total UCaaS Market

Forecast Assumptions, Total UCaaS Market

Forecast Assumptions, Total UCaaS Market (continued)

Cloud Migration is Well Underway

Installed Users and Revenue Forecast, Total UCaaS Market

Net New User Forecast, Total UCaaS Market

Installed Users and Revenue Forecast Analysis, Total UCaaS Market

Installed Users and Revenue Forecast Analysis, Total UCaaS Market (continued)

Installed Users Forecast by Region, Total UCaaS Market

Installed Users Analysis—US versus Canada

Pricing Trends and Forecast, Total UCaaS Market

Pricing Trends and Forecast Analysis, Total UCaaS Market

Pricing Trends and Forecast Analysis, Total UCaaS Market (continued)

Demand Analysis

Demand Analysis Discussion

Percent Installed Users by Customer Size, 2019

Percent Installed Users by Customer Size, 2020

Demand Analysis—Penetration by Customer Size

Desktop and Mobile Access to UCaaS Functionality, 2019

Desktop and Mobile Access to UCaaS Functionality, 2020

Demand Analysis—Soft Clients, Meetings and Chat

Percent Installed Users by Type of Access, 2019

Percent Installed Users by Type of Access, 2020

Demand Analysis—Type of Access

Demand Analysis—Type of Access (continued)

Installed User Market Share by Service Provider Brand, Total UCaaS Market, 2019

Installed User Market Share by Service Provider Brand, Total UCaaS Market, 2020

UCaaS Revenue Market Share by Service Provider Brand, Total UCaaS Market, 2019

UCaaS Revenue Market Share by Service Provider Brand, Total UCaaS Market, 2020

Top Service Provider Analysis, Total UCaaS Market

Top Service Provider Analysis, Total UCaaS Market (continued)

Competitive Dynamics

Competitive Dynamics (continued)

Cloud Provider Selection Criteria

UCaaS Platform Vendor Market Share by Installed Users, 2019

UCaaS Platform Vendor Market Share by Installed Users, 2020

Growth Opportunities

Growth Opportunity 1—Contact Center

Growth Opportunity 1—Contact Center (continued)

Growth Opportunity 2—Mobile-First UCaaS

Growth Opportunity 2—Mobile-First UCaaS (continued)

Growth Opportunity 3—Collaboration-Centric User Experience

Growth Opportunity 3—Collaboration-Centric User Experience (continued)

Growth Opportunity 4—International Expansion

Growth Opportunity 4—International Expansion (continued)

Growth Opportunity 5—Flexible Packaging and Pricing

Growth Opportunity 5—Flexible Packaging and Pricing (continued)

Growth Opportunity 6—Channel Strategies

Growth Opportunity 6—Channel Strategies (continued)

Growth Opportunity 7—Outsourced Capabilities

Growth Opportunity 7—Outsourced Capabilities (continued)

Growth Opportunity 8—The ‘New’ UC: Addressing Frontliner and Vertical Needs

Growth Opportunity 8—The ‘New’ UC: Addressing Frontliner and Vertical Needs (continued)

The Last Word

Providers Included in “Other”

Platforms Included in “Other”

Opportunity Universe Process

Identifying Your Company’s Growth Zone

Your Next Steps

Why Frost, Why Now?

Legal Disclaimer

List of Exhibits

List of Exhibits (continued)

List of Exhibits (continued)

COVID-19 has wreaked havoc across the globe. If the epidemic continues to spread unabated, it is likely to continue to considerably impact trade and commerce patterns, GDP growth rates, employment and technology investments. Drastically-reduced travel and a massive shift to work-from-home models to avoid contagion have accelerated adoption of cloud services to remain connected. Cloud services can benefit remote workers and help set up temporary teams and offices. While this trend has more tangibly impacted demand for meeting and messaging services, cloud calling services have also received a boost either as temporary or long-term solutions to ensure fast decision making and effective project completion despite the decline of in-person meetings. Many UCaaS providers saw expansion of existing accounts to support work from home, as well as an increase in activation and use of apps/services that customers already had but were under-utilized (e.g., telework apps, mobility, soft clients, conferencing). These advanced features enable providers to expand their footprint/increase penetration of installed accounts and prove value of broader application suites to increase ARPU. Truly economical and agile UCaaS solutions—from packaging and pricing to provisioning and management—experienced greater acceleration during the pandemic and among the growing work-at-home customer base. Plug-and-play solutions available for purchase and provisioning via digital channels provided a lifeline for many SMBs and small/temporary remote teams. UCaaS bundled with mobile services, such as Verizon One Talk, or included as part of broader productivity and collaboration suites, such as Cisco Webex, Microsoft 365 and Google Workspace, or enabled as a convenient add-on to popular meeting solutions, such as Zoom Phone, experienced more rapid adoption during the first wave of the pandemic. As various trends set in motion by the pandemic offset each other, UCaaS user growth in 2020 will be slightly higher than our earlier projections, which took into account adjusted 2018 and 2019 data. Previously-reported historical user and revenue numbers were adjusted to exclude certain hybrid UC deployment scenarios, as a result of which our updated market forecast follows a new trajectory. In 2021, accelerated cloud migration due to the permanent shift to more pervasive remote work will be dampened by the lagging impact of the recession on the telecom sector. Assuming no events with a drastic short-term impact similar to that of the massive move to work from home in 2020, growth rates beyond 2022 will continue to decline due to increasing market maturity. This study provides a thorough analysis of the North American UCaaS market, including technology and market trends, growth projections, market share assessment and growth opportunity identification. Industry participants can use this research study to benchmark their visions and strategies against important market trends and competitor best practices. Author: Elka Popova
More Information
No Index No
Podcast No
Predecessor K417-01-00-00-00
Author Elka Popova
Industries Telecom
WIP Number K3F5-01-00-00-00
Keyword 1 ucaas market trends
Keyword 2 Unified Communication As A Service
Keyword 3 ucaas market growth
Is Prebook No
GPS Codes 9717-C3,9705-C1,9610,9656,9724