Applicant Tracking System Market Forecast (2024-2028): Key Insights and Developments

The global Applicant Tracking System (ATS) market is set to grow significantly, with a projected increase of USD 714.3 million at a CAGR of 5.25% from 2023 to 2028. This growth is driven by the increasing adoption of advanced technologies such as machine learning (ML) and artificial intelligence (AI) in recruitment processes, the rise of mobile-based applications, and the growing demand for efficient, cloud-based recruitment solutions.

For more details about the industry, get the PDF sample report for free

Market Segmentation and End-User Insights

By End-User:

• BFSI
• Government
• Telecom and IT
• Healthcare and life sciences
• Others

By Deployment:

• On-premise
• Cloud-based

Regional Market Trends:

North America

• US and Canada: North America is projected to contribute 33% of the market’s growth during the forecast period, driven by strong demand for efficient recruitment solutions. The adoption of advanced technologies like AI, ML, and predictive analytics is widespread in this region.

Europe

• Germany and UK: Europe is witnessing a strong uptake of ATS solutions, particularly in Germany and the UK, where recruitment automation is becoming integral to HR strategies.

APAC

• China: The APAC region is seeing a rise in ATS adoption, particularly in China, as businesses continue to digitalize their HR processes.

Middle East and Africa

South America

Market Drivers and Trends

• Streamlined Recruitment Processes: ATS provides significant advantages such as faster recruitment cycles, improved candidate experiences, and better efficiency in hiring processes.
• Mobile-Based ATS: Mobile-based recruitment apps are becoming increasingly popular, allowing recruiters to manage recruitment processes on-the-go.
• AI and ML Integration: The integration of machine learning technologies is enhancing recruitment efficiency by automating CV screening, interview scheduling, and more. AI tools help reduce human bias and make the process more data-driven.

Key Challenges

• Bias in Candidate Selection: One challenge facing the ATS market is the potential for bias in candidate selection. ATS systems are improving to tackle this, but human intervention is often required to ensure fairness.
• Continuous Updates Required: ATS needs regular updates to keep up with evolving trends in recruitment.

Get more details by ordering the complete report

Key Players in the ATS Market

• Applied Training Systems Inc.
• Arcoro
• Automatic Data Processing Inc.
• Bamboo HR LLC
• Bullhorn Inc.
• ClearCo. Inc.
• Cornerstone OnDemand Inc.
• iCIMS Inc.
• International Business Machines Corp. (IBM)
• Jobvite Inc.
• Learning Technologies Group Plc
• Oracle Corp.
• Paycor HCM Inc.
• SAP SE
• Self Management Resources Corp.
• Silkroad Technology Inc.
• Skeeled HR S.a.r.l.
• UKG Inc.
• Workday Inc.
• Zoho Corp. Pvt. Ltd.

Recent Developments in ATS Solutions

• January 2025: iCIMS introduced an AI-powered recruitment platform that integrates with its existing ATS, improving candidate screening and streamlining the hiring process.
• December 2024: ADP launched a new ATS module tailored to small and medium-sized businesses (SMBs), featuring simplified candidate tracking and integration with payroll systems.
• November 2024: Workday partnered with an HR analytics company to integrate predictive analytics into its ATS for better hiring decisions and improved employee retention.
• October 2024: Greenhouse Software introduced a diversity and inclusion toolkit for its ATS, enhancing companies’ ability to track and improve diversity hiring efforts.

The ATS market continues to evolve as businesses seek to improve hiring efficiency, enhance candidate experiences, and adopt data-driven recruitment strategies. With the growing reliance on advanced technologies and mobile solutions, the ATS landscape is poised for continued expansion throughout the forecast period.