Warranty management systems help manufacturers and retailers to streamline warranty registration, claims processing, contract management and cost analysis. These systems provide customer support teams real-time access to warranty records which helps resolve issues quickly. Additionally, warranty management solutions offervisibility into warranty trends through comprehensive reporting features. This helps companies identify repeated failures and proactively address quality issues.
Warranty management being a complex process involving various internal and external stakeholders, a centralized digital platform is crucial to effectively manage warranty programs. It ensures consistency, accountability and adherence to service level agreements. This boosts customer satisfaction by delivering transparent, faster claims handling.
The global Warranty Management System Market is estimated to be valued at US$ 540 million in 2023 and is expected to exhibit a CAGR of 5.4% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market key trends:
Cloud-based warranty management is gaining traction as these software-as-a-service models eliminate upfront infrastructure costs and provide access from any device with an internet connection. Cloud solutions are highly scalable and require minimal IT oversight. They automatically update to the latest version ensuring consistent features. More manufacturers are adopting cloud-based warranty management systems to simplify operations and support digital transformation initiatives. The flexibility and affordability of cloud models is boosting their popularity compared to on-premise versions. This has emerged as a major trend shaping the warranty management system market.
Threat of new entrants: Low. Existing players have strong brand presence and economies of scale. High initial investment and compliance costs pose barriers.
Bargaining power of buyers: High. Buyers can select from various vendors providing warranty management solutions. Switching costs are low.
Bargaining power of suppliers: Low. Market has several software and service providers. Suppliers face minimal threat since integration is not difficult.
Threat of new substitutes: Low. No direct substitutes currently exist for warranty management systems. Emerging technologies may offer alternatives over time.
Competitive rivalry: High. Intense competition among key vendors to enhance capabilities and gain market share. Players compete on functionality, pricing and customer support.
The Global Warranty Management System Market Size is expected to witness high growth. The global Warranty Management System Market is estimated to be valued at US$ 540 million in 2023 and is expected to exhibit a CAGR of 5.4% over the forecast period 2023 to 2030.
The North America warranty management system market is expected to hold the largest market share during the forecast period. Key factors such as presence of major players and growing adoption of warranty management solutions among organizations will drive the market. The APAC warranty management system market is projected to grow at the fastest pace during the forecast period. Growing manufacturing sector and need for effective after-sales services are fueling market growth in emerging nations.
Key players Key players operating in the Warranty Management System market are International Business Machines (IBM) Corporation, Oracle Corporation, Pegasystems Inc., PTC Incorporation, SAP SE, Astea International, Industrial and Financial Systems (IFS) AB, Infosys Limited, Tavant Technologies, Tech Mahindra Limited. Warranty management solutions help enterprises gain customer loyalty by delivering high-quality after-sales support. Vendors are focusing on the development of advanced technologies like AI and cloud to enhance capabilities.
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it