Procurement Software Market

Market Overview:

The global procurement software market size reached US$ 6.86 Billion in 2022. Looking forward, IMARC Group expects the market to reach US$ 12.86 Billion by 2028, exhibiting a growth rate (CAGR) of 9.80% during 2023-2028. The increasing need for cost control and efficiency in procurement processes, the introduction of favorable government policies, and growing purchasing complexities within industries represent some of the key factors driving the market.

Procurement software refers to a digital tool designed to streamline and automate the procurement process within an organization. It comprises supplier management, purchase order creation, invoice processing, contract management, and spend analysis as standard features. Procurement software allows organizations greater control over their purchasing processes, ensuring that procurement policies and procedures are followed consistently, reducing the risk of fraud or misuse of funds. Apart from this, it helps businesses improve their procurement processes, gain better insights into their spending patterns, reduce the chance of errors, and save time and money. As a result, it is extensively employed across various industries.

Procurement Software Market Trends:

The widespread employment of digital and automated procurement processes across various industries to control costs and improve efficiency is the prime factor driving the market growth. In line with this, the expanding product adoption to produce high-quality reports, enhance supply chain transparency, avoid duplication of records, and reduce complexity and errors during purchasing are further impelling the market growth. Moreover, the surge in the flow of international transactions across nations and the implementation of favorable government policies encouraging the deployment of procurement software are influencing the market. Concurrent with this, the increasing complexity in purchasing processes with global sourcing, multiple suppliers, and regulatory requirements is propelling the demand for procurement software to simplify and streamline procedures, which, in turn, is creating a positive outlook for the market. In addition to this, the growing consumer demand for cloud-based procurement software, on account of its numerous advantages, such as cost-effectiveness, scalability, and easy deployment, represents another major growth-inducing factor. Besides this, the integration of emerging technologies with procurement software, such as artificial intelligence (AI) and machine learning (ML), to automate repetitive tasks, improve data analysis, and enhance decision-making capabilities are presenting remunerative growth opportunities for the market. Furthermore, the proliferation of digital logistics and support software, the rising collaboration between supply and demand market players, and the expanding establishment of network infrastructure are contributing to the market growth.

Key Market Segmentation:

IMARC Group provides an analysis of the key trends in each segment of the global procurement software market report, along with forecasts at the global, regional and country levels for 2023-2028. Our report has categorized the market based on software type, deployment, organization size, and vertical.

Software Type Insights:

• Spend Analysis
• E-Sourcing
• E-Procurement
• Contract Management 
• Supplier Management
• Others
   

The report has provided a detailed breakup and analysis of the procurement software market based on the software type. This includes spend analysis, e-sourcing, e-procurement, contract management, supplier management, and others. According to the report, e-procurement represented the largest segment.

Deployment Insights:

• Cloud-based
• On-premises
   

A detailed breakup and analysis of the procurement software market based on the deployment have also been provided in the report. This includes cloud-based and on-premises. According to the report, cloud-based accounted for the largest market share.

Organization Size Insights:

• Small and Medium-sized Enterprises
• Large Enterprise
   

The report has provided a detailed breakup and analysis of the procurement software market based on the organization size. This includes small and medium-sized enterprises and large enterprise. According to the report, large enterprise represented the largest segment.

Vertical Insights:

• Retail
• Automotive
• Travel and Logistics
• Electronics
• IT and Telecommunication
• Others
   

A detailed breakup and analysis of the procurement software market based on the vertical has also been provided in the report. This includes retail, automotive, travel and logistics, electronics, IT and telecommunication, and others.

Regional Insights:

• North America
  • United States
  • Canada
• Europe
  • Germany
  • France
  • United Kingdom
  • Italy
  • Spain
  • Others
• Asia Pacific
  • China
  • Japan
  • India
  • South Korea
  • Australia
  • Indonesia
  • Others
• Latin America
  • Brazil
  • Mexico
  • Others
• Middle East and Africa
   

The report has also provided a comprehensive analysis of all the major regional markets, which include North America (the United States and Canada); Europe (Germany, France, the United Kingdom, Italy, Spain, and others); Asia Pacific (China, Japan, India, South Korea, Australia, Indonesia, and others); Latin America (Brazil, Mexico, and others); and the Middle East and Africa. According to the report, North America was the largest market for procurement software. Some of the factors driving the North America procurement software market included the imperative need to control expenses and improve supply chain transparency, and ongoing product advancements.

Competitive Landscape:

The report has also provided a comprehensive analysis of the competitive landscape in the global procurement software market. Competitive analysis such as market structure, market share by key players, player positioning, top winning strategies, competitive dashboard, and company evaluation quadrant has been covered in the report. Also, detailed profiles of all major companies have been provided. Some of the companies covered include Basware Corporation, Coupa Software Inc., Epicor Software Corporation, GEP Worldwide, Infor (Koch Industries Inc.), Ivalua Inc., Jaggaer, OpusCapita Solutions Oy, Proactis Holdings Limited, SAP SE., Tradeshift Holdings Inc., Workday Inc., Zycus Inc., etc. Kindly note that this only represents a partial list of companies, and the complete list has been provided in the report.

Procurement Software Market Report Scope:

Key Questions Answered in This Report:

• How has the global procurement software market performed so far, and how will it perform in the coming years?
• What are the drivers, restraints, and opportunities in the global procurement software market?
• What is the impact of each driver, restraint, and opportunity on the global procurement software market?
• What are the key regional markets?
• Which countries represent the most attractive procurement software market?
• What is the breakup of the market based on the software type?
• Which is the most attractive software type in the procurement software market?
• What is the breakup of the market based on the deployment?
• Which is the most attractive deployment in the procurement software market?
• What is the breakup of the market based on the organization size?
• Which is the most attractive organization size in the procurement software market?
• What is the breakup of the market based on the vertical?
• Which is the most attractive vertical in the procurement software market?
• What is the competitive structure of the global procurement software market?
• Who are the key players/companies in the global procurement software market?

Key Benefits for Stakeholders:

• IMARC’s report offers a comprehensive quantitative analysis of various market segments, historical and current market trends, market forecasts, and dynamics of the procurement software market from 2017-2028.
• The research study provides the latest information on the market drivers, challenges, and opportunities in the global procurement software market.
• The study maps the leading, as well as the fastest-growing, regional markets. It further enables stakeholders to identify the key country-level markets within each region.
• Porter's five forces analysis assists stakeholders in assessing the impact of new entrants, competitive rivalry, supplier power, buyer power, and the threat of substitution. It helps stakeholders to analyze the level of competition within the procurement software industry and its attractiveness.
• Competitive landscape allows stakeholders to understand their competitive environment and provides an insight into the current positions of key players in the market.