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Web content management market to reach $10b by 2004, says META Group

Long-term vendor viability is key factor as users seek strategic, long-term solutions, according to new METAspectrum

META Group has announced the availability of its newest METAspectrum market evaluation for the Web content management (WCM) market. According to META Group, the Web content management market will evolve to reach $10 billion by 2004.

"We expect many vendors to embrace the overarching `enterprise content management` theme during the next 12 months, leaving a small group of pure-play WCM providers and a significantly larger enterprise content management-oriented segment," says Andrew Warzecha, senior vice president with META Group`s Electronic Business Strategies service. "Given the accelerating consolidation in the WCM market through 2003, users should aggressively evaluate a vendor`s long-term viability and strategy."

METAspectrum, a new methodology designed to help IT executives navigate the changing IT vendor landscape, has been hailed in user demonstrations as the industry`s most rigorous approach for assessing IT software, hardware, and services vendors. The WCM METAspectrum evaluates 23 vendors that supply software to drive Web sites, with a core focus on empowering business users to create Web site content, approve it, and manage its lifecycle. WCM systems are considered a discretionary investment for B2E and B2B use, and non-discretionary for B2C e-commerce sites.

Key findings:

* At the end of 1Q02, approximately 60% of Global 2000 organisations had purchased a WCM package, with less than 5% of those being used for more than one Web site or considered strategic. We expect more than 95% of G2000 organisations to purchase a package by 2004, with a trend toward strategic deployments.

* More than 60% of G2000 WCM deals are being influenced by partners.

* Gaps among vendor products have closed significantly.

* Ease of business-user content creation via native authoring tools, robust administration tools, and product architecture has become as important as pricing and vendor viability.

* Organisational assets, strategy, differentiation, and customer base are important criteria in assessing vendors` long-term viability.

* For B2C e-commerce sites, pre-built integration with personalisation and commerce engines is key.

* As a key indicator of an organisation`s long-term viability, execution is second only to financials, but a vendor`s velocity and client renewal rates are even more telling.

* Portal integration is growing in importance as organisations recognise the need for a robust content infrastructure to support portal initiatives.

* Although this is a growing market, vendors will continue to consolidate through 2003.

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METAspectrum

METAspectrum evaluations from META Group provide IT professionals with a view into critical market success factors and vendor positioning. METAspectrum, in combination with META Group`s SPEX modules - which provide detailed technical analysis of product features and capabilities - delivers comprehensive evaluations of both technology markets and vendor product offerings. There are multiple market evaluations planned for release in 2002. METAspectrum evaluations are a standard component of a META Group retainer service subscription and are updated quarterly, biannually, or annually, depending on the characteristics of individual markets. To learn more about the METAspectrum methodology, visit www.metagroup.com/metaspectrum or call (800) 945-META. For more information on META Group`s SPEX offerings, visit www.checkspex.com.

META Group

META Group is a leading research and consulting firm, focusing on information technology and business transformation strategies. Delivering objective, consistent, and actionable guidance, META Group enables organisations to innovate more rapidly and effectively. Our unique collaborative models help clients succeed by building speed, agility, and value into their IT and business systems and processes. Connect with www.metagroup.com for more details.

Editorial contacts

Lara Nel
Livewired Communications
(011) 789 5125
lara@livewired.co.za