Digital channels, enterprise systems and SaaS have led to growth in CSP spending on customer engagement

Communications service providers (CSPs) are accelerating the digitisation of customer touchpoints due to evolving customer preferences and the need to support new business models and lower the cost of operations. As a result, the customer engagement market increased to USD14.4 billion in 2021; this is equivalent to 1.0% year-on-year growth. However, this growth masks the extent of the transformation of customer engagement systems because expensive call centres and other customer engagement systems are being replaced with cheaper and more-efficient cloud-based systems.