Reports 2016 – 2021 CTRM Market Outlook | Page 7

2016 - 2021 CTRM Market Outlook
global CTRM market will grow by 4-6%, with our estimates re-
flecting a 5-year CAGR of 5%.
Based upon these assumptions, we project full year 2017
CTRM market revenues at $1.55B, 2018 at $1.65B, 2019 at
$1.72B, 2020 at $1.8B and 2021 at $1.89B.
DISCUSSION OF REPORT METHODOLOGY
To arrive at this market sizing estimate, ComTech utilized “a bottom-up” review of all known vendors of pro-
duction solutions and tools that meet the previously discussed criteria of CTRM technologies. While there are
numerous vendors around the globe that do provide qualified (as it relates to this analysis) CTRM solutions, many
of those companies also provide products and associated services that fall outside the established criteria, and
those revenues have be excluded from this analysis.
In developing the bottom up estimate related to CTRM
vendor revenues, more than 90 companies were reviewed
and most had some or all of their revenues included in the final
CTRM Vendor Market Size Estimate. For each known vendor
of CTRM systems, research was conducted (including direct
contact with many of the vendors) to obtain:
/ A
 n estimate of vendor revenues and license revenues for
2016. Very few E / CTRM vendors are public companies
and disclose some information as part of their regulatory
reporting requirements. Additionally, several large and a
fewer number of small E / CTRM vendors, though private,
have provided this information to our company under
terms of confidentially. Others, more rarely, do occasion-
ally disclose the information publically via press release
or other announcements. In some instances, national
rules force even private companies to disclose certain
information and that too has been utilized. Utilizing these
actual and estimated revenues, along with known and
estimated headcount numbers, ComTech generated a
number of reliable reference points and ratios for analyz-
ing other vendors for which we had less visibility.
/ O
 ne of the primary ratios utilized in estimating any par-
ticular vendor’s revenues was the “revenue per head-
count” estimate. In our analysis of metrics provided by
vendors or garnered through other sources, the actual
revenue per headcount figure ranged from $50,000 to
$295,000 per employee. The large variances in this
metric were correlated to a number of factors, though
the primary influences were geographic location of the
employees and level of specialization of the vendor (i.e.
specialized risk management resources would command
a higher annual salary).
Based on an analysis of the entirety of this data, revenue
estimates can be accurately established for all vendors known
to provide qualified solutions in the market.
Assumptions were then made for each vendor regarding
the allocations of those revenues amongst 4 categories: 1) tra-
ditional license revenues, 2) SaaS / Hosted license revenues,
2) services revenues, and 4) revenues associated with support
and maintenance agreements.
In addition to the identified and known vendors of CTRM
products, we have made the assumption that there exists some
number of vendors that are unknown to us. While ComTech Ad-
visory analysts are highly experienced in this market, we cannot
assume that every vendor, particularly those that operate in very
localized markets (particularly in the Asia Pacific, South Amer-
ica and Eastern European / Russian markets), will be known
outside their local areas. Therefore, as with past years, we have
included a relatively small amount of revenue (less than 5% of
the global total) to account for these entities.
In order to determine a total market spend for CTRM tech-
© Commodity Technology Advisory LLC, 2016, All Rights Reserved.
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