In the era of sustainability, IT companies are uniquely positioned to capitalise on the growing importance of Environmental, Social, and Governance (ESG) principles. This evolution presents a myriad of opportunities, particularly for sales and marketing teams.
IT ESG Market Growth and Trends
The ESG software market, encompassing both investor ESG software and sustainability and energy management software, is experiencing rapid growth. The investor ESG software market is expected to reach $2.34 billion by 2030 [1], while the sustainability and energy management software market is projected to grow to $2.52 billion by 2027 [2]. The ESG reporting software market is also set to expand significantly, with an anticipated growth from $0.7 billion in 2022 to $1.5 billion by 2027 [3].
Leveraging Consumer and Corporate Behaviour
Over 70% of businesses view ESG as a revenue enabler, and consumer behaviour strongly supports this trend, with a significant emphasis on sustainability and social responsibility influencing purchasing decisions [4] This shift in consumer and corporate behaviour creates an opportunity for sales and marketing professionals in IT to align their strategies with ESG values.
The ESG & Sustainability Advisory Market
With the ESG & sustainability advisory market expected to grow to $72.4 billion by 2033 [5], IT companies can position themselves as vital enablers for businesses seeking to achieve their sustainability goals. This presents an opportunity for sales and marketing teams to offer tailored solutions that align with their clients’ ESG objectives.
Challenges and Opportunities in ESG Reporting
While the ESG software market is growing, challenges such as the high initial capital expenditure and the complexity of software integration remain [3]. However, there are opportunities in areas like climate stress testing among financial organisations and the increasing role of SMEs in the ESG landscape [3].
A Strategic Imperative for IT Companies
For IT companies, particularly in sales and marketing, understanding these market trends and leveraging them is not just an option but a strategic imperative. By developing IT solutions and services that align with their customer’s and prospect’s ESG goals, vendors can not only enter a rapidly expanding market, but also elevate customer involvement and foster sustainable business progress for their clients.
[1] https://www.globenewswire.com/en/news-release/2023/08/23/2730389/28124/en/Investor-ESG-Software-Industry-Assessment-2023-2030-Sustainable-Investments-Drive-Global-Market-Surge-of-18-3-CAGR.html
[2] https://www.globenewswire.com/news-release/2023/04/27/2656373/0/en/Sustainability-And-Energy-Management-Software-Global-Market-Report-2023.html
[3] https://www.marketsandmarkets.com/Market-Reports/esg-reporting-software-market-173110129.html
[4] https://www.esgtoday.com/over-70-of-businesses-view-esg-as-a-revenue-enabler-ibm-study/
[5] https://www.factmr.com/report/esg-and-sustainability-advisory-market
Discover how Cambium can help Marketing and Sales Teams in IT suppliers to engage with these ESG growth opportunities
