Enterprise marketing automation software provides organizations with tools to automate and measure marketing tasks and workflows. These tools increase operational efficiency and ROI by centralizing customer data, automating marketing tasks, and providing actionable insights.
A 2021 study by Statista estimates that the global marketing automation market size will reach $25.1 billion by 2023, up from 15.6 billion in 2019.
The market is competitive, with global industry leaders and niche providers vying for market share. Among these players, we have Marketo, an Adobe subsidiary that offers a comprehensive marketing automation solution.
It stands out as a market leader, with a 3.06% share of the global marketing automation software market in 2021, as per Statista.
Marketo enjoys the financial scale and resources of its parent company, Adobe. However, it’s not the only organization with such advantages. Others, like Oracle Marketing Cloud, have similar levels of scale and resources.
While Marketo’s market position is strong, the competitive landscape is fluid, and the company must continue to innovate to maintain its lead.
This article will analyze Marketo’s competitors, focusing on those with the most significant market share and those that pose the greatest threat to Marketo’s position. We’ll examine each company’s business strategy, competitive advantages, and weaknesses.
Bottom Line Up Front
Marketo is one of the most popular marketing automation platforms on the market. It competes with both small boutique companies and large enterprise software providers.
The company’s competitive advantages are its comprehensive feature set, robust integrations, and large partner ecosystem. However, the company has some weaknesses, including complicated pricing, a lack of certain features, and weaker customer support.
List of Marketo Competitors
Marketo Overview and Business Strategy
Marketo is a global provider of marketing automation software. Philz Fernandez, David Morandi, and Jon Miller established the company in 2006.
It started as a provider of lead management solutions for small and medium businesses (SMBs) but quickly grew to become a comprehensive marketing automation solution for enterprise organizations.
During its days as an independent company, it made several acquisitions to fuel its growth, including the purchases of Crowd Factory, a social marketing platform, in 2012, and Vessel, a provider of marketing software for mobile app developers, in 2015.
It also acquired Insighterra, a web personalization platform, in 2013. These acquisitions were instrumental in helping Marketo build out its platform.
The company went public in 2013 and was later acquired by Adobe for $4.75 billion in 2018. The acquisition helped Adobe expand its marketing cloud offerings and strengthened its position in the marketing automation space. It currently serves over 50,000 companies worldwide, including many Fortune 500 companies.
As an Adobe subsidiary, Marketo operates under Adobe’s SaaS business model. This model is based on recurring revenue from subscription fees, which are typically charged on a monthly or annual basis.
The company offers four packages with different features and price points to cater to the needs of different customers.
It markets its solutions primarily to marketing professionals in large organizations through a direct sales force and indirect sales channels. The company has a global network of over 1,000 partners, including systems integrators, technology providers, and digital agencies.
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Marketo Competitor Analysis
Marketo competes in a large and growing market with several well-established players. Some, like HubSpot and Oracle marketing cloud, have significant market share, while others, like Salesforce Pardot and Drawbridge, aren’t well known but offer similar functionality.
Below is a detailed analysis of Marketo’s main competitors.
HubSpot Marketing Hub
HubSpot is an inbound marketing and sales software company founded in 2006 by Brian Halligan and Dharmesh Shah. It offers a comprehensive suite of marketing, sales, customer service, and CRM software used by over 143,000 customers in more than 120 countries.
The company filed for an IPO in 2014 and went public in October of that year with an initial public offering (IPO) price of $25 per share. It trades on the New York Stock Exchange under the ticker symbol HUBS and currently has a market capitalization of $14.707 billion.
In 2020, the company had 5,895 employees and over $883,026 million in revenue. As of March 31, 2021, the revenues were $1.301 billion representing a 47.3% YoY growth.
Despite its strong growth, the company has yet to become profitable on a GAAP basis. GAAP net loss for FY22 was $16.4 million, while non-GAAP net income was $ 29.6 million.
However, HubSpot controls 29.3% of the marketing automation software market, making it the biggest shareholder and Marketo’s main competitor.
We could argue that HubSpot’s competitive advantage over Marketo is its comprehensive suite of software products. The company offers a wide range of inbound marketing, sales, customer service, and CRM solutions.
Marketo’s main product is its marketing automation software, which it offers as a stand-alone solution or as part of Adobe Experience Cloud. While Marketo does offer some SEO, sales, and customer service solutions, it doesn’t have a comprehensive suite like HubSpot.
Oracle is a well-established enterprise software company with a comprehensive suite of business solutions, including marketing automation.
Users can create and manage campaigns through the Oracle Marketing application, track leads, and results, and measure ROI. As part of the larger Oracle ecosystem, it integrates with other Oracle products, such as the CRM system.
Founded in 1977, Oracle is a publicly-traded company with a market capitalization of $183.12 billion as of June 2022. It trades on the New York Stock Exchange under the ticker symbol ORCL and had a revenue of $42.4 billion in FY22, up from $40.479 billion in FY21.
While the company doesn’t break out its marketing automation software revenue, Statista estimates that Oracle Marketing Cloud has an 8.55% share of the global marketing automation software market.
The Oracle Marketing application consists of several products such as B2C marketing, B2B marketing, Eloqua marketing automation, Responsys, and BlueKai. These products are part of Oracle’s Customer Experience (CX) portfolio.
Both Oracle Marketing and Marketo offer comprehensive marketing automation solutions. However, Oracle’s competitive advantage is its larger ecosystem of enterprise business solutions that integrate with the marketing application.
Still, Marketo’s main differentiator is its focus on marketing automation, while Oracle offers it as part of a larger suite of enterprise software solutions.
Salesforce Marketing Cloud
Salesforce is a well-known CRM company that offers comprehensive enterprise software solutions. Part of that suite is Salesforce Marketing Cloud, a digital marketing automation application. It enables users to create and manage marketing campaigns, track leads and results, and measure ROI.
Initially, Salesforce Marketing Cloud went by ExactTarget and was founded in 2000. It filed for an IPO in 2007 but later withdrew. While it lasted, the company acquired Pardot, Keymail Marketing, and iGodigital.
In 2012, it raised about $161.5 million in an initial public offering (IPO). In 2013, Salesforce acquired the company for $2.5 billion in cash and stock and changed its name from ExactTarget to Salesforce Marketing Cloud.
As a subsidiary of Salesforce, Salesforce Marketing Cloud doesn’t trade publicly, nor does it disclose its financials. However, we know that Salesforce had revenue of $26.49 billion in FY22, representing a 25% year-over-year growth.
Part of its product suite, Salesforce Pardot, a B2B marketing automation solution, holds about 4.89% of the marketing automation software market share.
While we can’t compare Salesforce Marketing Cloud’s revenue to Marketo’s, we can say that its competitive advantage is its parent company’s brand recognition, sales force, and ecosystem of enterprise software solutions.
Additionally, it’s worth noting that Salesforce bought ExactTarget for $2.5 billion in cash and stock, making it one of the most expensive marketing automation software companies.
Marketo stands out as a solution that offers marketing automation software and allows users to build their brand, drive demand, and generate revenue. Through the Adobe Experience Cloud, we see Marketo’s focus on delivering engaging experiences across the customer journey.
ActiveCampaign is a Chicago-based company founded in 2003. It offers customer experience automation, combining email marketing, marketing automation, sales CRM, and customer data.
The company aims to help small and midsized businesses (SMBs) drive more revenue through personalized and targeted engagement.
It includes all the features and tools businesses need to automate and streamline their marketing efforts. Like Marketo, it offers a comprehensive solution for email marketing, automation, CRM, and customer data. And, like HubSpot, it’s accessible to SMBs that may not have the budget for more enterprise-level solutions.
In 2021, ActiveCampaign raised $240 billion in a round C funding led by Tiger Global Management. The funding increased the company’s valuation to over $3 billion.
Before its $100 million financing in 2020, the company had only raised $20 billion since its inception in 2003. We can attribute this increase in funding to the company’s impressive growth.
According to Statista, ActiveCampaign’s marketing automation software holds about 8.02% of the market share as of 2021. As a private company, it doesn’t publicly disclose its financials.
However, we know that in 2021, it generated $165 million in revenue. It employs about 1,000 people and has over 145,000 customers in 170 countries.
Compared to Marketo, ActiveCampaign has a more diverse customer base. It’s also one of the fastest-growing marketing automation software companies. However, Marketo’s focus on driving demand and generating revenue sets it apart from its competitors.
Zoho CRM is a customer relationship management software (CRM) for sales, marketing, and customer support. It’s part of Zoho Corporation, an Indian-based, multinational software development company. Founded in 1996, Zoho Corporation offers a suite of online business, productivity, and collaboration applications.
Zoho’s CRM software is designed to help businesses streamline their sales, marketing, and customer support processes. Its marketing automation features include email marketing, lead management, and web analytics. Zoho CRM also offers a wide range of sales and customer support features.
Being part of a larger company gives Zoho an advantage over its competitors. Zoho Corporation has over 12,000 employees and serves over 50 million in 180 countries. Additionally, the parent company is profitable, which gives Zoho CRM the financial stability to invest in its product and continue to grow.
In 2021, Zoho had $697 million in revenue, up from $570 million in 2020. While it doesn’t break out its marketing automation software, we know it’s a significant part of the company’s overall business. To effectively compete with the likes of Marketo and HubSpot, Zoho has continued to invest in its product.
From its website, the company doesn’t focus on acquisitions as a growth strategy like HubSpot or Oracle. Instead, it relies on organic growth and product development. In 2021 it launched Zoho Marketing Plus, an all-in-one marketing solution that enables marketing teams to create and execute campaigns faster.
It competes with Marketo by offering a comprehensive solution including sales, marketing, and customer support features. However, its focus on small businesses may limit its ability to attract and retain enterprise-level customers.
Marketo SWOT Analysis
Below is a detailed SWOT analysis of Marketo:
- Marketo’s strong brand recognition gives it a competitive edge in the marketing automation software
- Marketo enjoys the financial backing of a large parent company, Adobe, which gives it the resources to invest in its product and continue to grow.
- Marketo’s focus on driving demand and generating revenue sets it apart from its competitors.
- It has a comprehensive suite of features that enable marketing teams to manage their campaigns effectively
- The company has an extensive partner network, which gives it a global reach
- Marketo’s complicated pricing structure may be a deterrent for some potential customers
- Complains about its poor service and support
- As a subsidiary of Adobe, Marketo isn’t as independent as some of its competitors
- The marketing automation software market is growing rapidly and is expected to continue in the coming years. This growth provides Marketo with an opportunity to increase its market share
- We expect to see consolidation through mergers and acquisitions as the market matures. Through Adobe, Marketo has the resources to make strategic acquisitions and further solidify its position as a market leader
- The marketing automation software market is highly competitive, and Marketo faces stiff competition from well-established companies such as HubSpot, Oracle, and Salesforce
- The economic downturn brought on by the Covid-19 pandemic has resulted in marketers tightening their budgets, which could lead to reduced spending on marketing automation software
Marketo Competitor Analysis (FAQs)
Question: What is the Difference between Marketo and Salesforce?
Answer: The main difference between Marketo and Salesforce is that Marketo is a subsidiary of Adobe, while Salesforce is an independent company.
In terms of features, Marketo offers engagement marketing, lead management, and web analytics. On the other hand, Salesforce provides a comprehensive CRM platform that includes sales, marketing, customer support, and e-commerce features.
Question: Who’s Marketo’s Main Competitor?
Answer: Marketo’s main competitor is HubSpot. However, HubSpot isn’t the only competitor in the marketing automation space.
Other companies that offer similar solutions include Oracle, Salesforce, ActiveCampaign, and Zoho CRM. These companies provide marketing automation, lead management, and web analytics solutions.
Question: Is Marketo Built on Salesforce?
Answer: Marketo isn’t built on Salesforce. However, it integrates with Salesforce to provide a seamless user experience for sales and marketing teams. It operates as a subsidiary of Adobe providing marketing automation software for businesses of all sizes.
The marketing automation software market is highly competitive, and Marketo faces stiff competition from well-established companies such as HubSpot, Oracle, and Salesforce.
However, the company’s strong brand recognition, comprehensive suite of features, and global reach give it a competitive edge in the market.
To sustain its leading position in the market, Marketo needs to continue investing in product development and innovation. The company should also focus on expanding its customer base in emerging markets and improving its customer service.
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