Authored By: Sarah
11 Jul 2024

 Procurement Software Market Size to grow by USD 5728.3 million between 2024-2028

According to a research report “ Procurement Software Market” by Deployment (Cloud, On-premises) End-user (Retail and e-commerce, Healthcare and pharmaceuticals, Manufacturing and automotive, IT and telecom, BSFI and others) Geography (North America, Europe, APAC, South America, Middle East and Africa)- Global Forecast to 2028 published by Technavio, the market size is estimated to grow by USD 5728.3 million, at a CAGR of  10.77% during the forecast period. In the retail industry, organized retail refers to a business model where a corporation manages a chain of retail stores, either through ownership, franchising, or management. This sector holds a significant market share in countries like the US and Canada, with packaged goods, particularly in the fast-moving consumer goods (FMCG) segment, contributing substantially to sales. Notable players in this segment include Walmart Inc, Costco Wholesale Corp, The Kroger Co, and Target Brands Inc, based in the US, which have diversified retail offerings.

Browse market data tables, figures, and in-depth TOC on “Procurement Software Market” by Deployment (Cloud, On-premises) End-user (Retail and e-commerce, Healthcare and pharmaceuticals, Manufacturing and automotive, IT and telecom, BSFI and others) Geography (North America, Europe, APAC, South America, Middle East and Africa) Global Forecast to 2028. Download Free Sample

 

By Deployment, the Cloud segment is projected to dominate the market size in 2024

The global procurement software market is witnessing robust growth, primarily driven by the expanding retail and e-commerce sectors. This technology has become indispensable for businesses of all sizes due to its ability to streamline and automate purchasing processes, inventory management, and vendor relations. Retail businesses, in particular, are leveraging procurement software to optimize their supply chain operations, minimize errors, and reduce costs. By automating these functions, retailers can enhance their overall efficiency and competitiveness in the market.

By End-user, Retail and e-commerce  segment is expected to hold the largest market size for the year 2024

In today's business landscape, numerous vendors, including BirchStreet Systems and Coupa Software, provide procurement software via the software-as-a-service (SaaS) model to cater to the escalating preference for cloud-based procurement solutions. The cloud-based alternative offers several advantages over traditional on-premises systems. Firstly, it eliminates the need for enterprises to install hardware and software on their premises, as the software is maintained at the vendor's data center. Secondly, enterprises can access the software on a subscription basis, which includes maintenance and system upgrades, resulting in lower upfront costs. This model is particularly beneficial for small and mid-sized enterprises, enabling them to automate and streamline daily operations, minimize errors, and reduce overall expenses.

North America is forecasted to hold the largest market size by region in 2024

The procurement software market witnesses significant growth due to the increasing demand for automating and streamlining business processes. Companies seek to enhance operational efficiency and reduce costs through the implementation of advanced procurement solutions. Key features, such as real-time data analytics, automated workflows, and supplier management, are driving market expansion. Additionally, the integration of artificial intelligence and machine learning technologies is revolutionizing procurement processes, providing valuable insights and improving decision-making capabilities. Overall, the procurement software market is poised for continued growth, offering substantial benefits to businesses of all sizes.

The Procurement Software Market growth and forecasting report also includes detailed analyses of the competitive landscape of the market growth and forecasting and information about 20 market companies, including:

  • Basware Corp.
  • BirchStreet Systems Inc.
  • Coupa Software Inc.
  • Elcom System Ltd.
  • Enaviya Information Technology Pvt. Ltd.
  • Epicor Software Corp.
  • Ginni Systems Ltd.
  • Infor Inc.
  • International Business Machines Corp.
  • Ivalua Inc.
  • JAGGAER LLC
  • Microsoft Corp.
  • NB Ventures Inc.
  • Oracle Corp.
  • ORO Labs Inc.
  • SAP SE
  • ScienceSoft USA Corp.
  • SunSmart Technologies Pvt. Ltd.
  • SutiSoft Inc.
  • Tata Consultancy Services Ltd.
  • Tropic Technologies Inc.
  • Workday Inc.
  • Zycus Inc.
.

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Research Analysis Overview

The procurement software market presents a significant opportunity for businesses seeking to streamline their procurement process and gain transparent information throughout their supply chain. The complexity of managing company-wise production capacity and supply chain requirements has led major factors, such as procurement process automation, digitization, and funding, to drive the adoption of procurement software solutions. Emerging technologies, including Artificial Intelligence (AI) and cloud-based solutions, are revolutionizing the procurement software market. AI-powered eProcurement Software, Procure-to-Pay Suites, Cloud Procurement Contracts, and AP Automation are becoming increasingly popular. These solutions offer advanced capabilities, such as predictive analytics, real-time data access, and automated workflows, enabling companies to make informed decisions and optimize their procurement processes. Cloud sourcing and on-cloud solutions are also gaining traction due to their flexibility, cost-effectiveness, and ease of implementation. As the procurement software market continues to evolve, it is essential for businesses to stay informed and adapt to the latest trends and technologies to remain competitive.

Market Research Overview

The procurement software market is witnessing significant growth due to the increasing adoption of automation in the procurement process by major industries such as energy & utilities, oil & gas, IT & telecom, manufacturing & automotive, healthcare and pharmaceutical, retail & e-commerce, and SMEs and large enterprises. Companies like Cheniere Energy Inc and GEP are leading the market with their innovative platforms that offer transparent information, quality solutions, and capacity to handle complex procurement processes. The market is driven by major factors such as digitization, funding, and spending on cloud-based solutions, AI, ML, and blockchain technology. The opportunity for procurement software lies in the automation of the procurement process, eliminating duplication of records, and providing transparent information to customers. Emerging technologies like AI and ML are revolutionizing the procurement software market by providing advanced forecasting capabilities, eProcurement Software, Procure-to-Pay Suite, Cloud Procurement Contracts, and AP Automation. The market is expected to grow at a robust rate during the forecast period, with on-cloud solutions being the preferred choice for companies due to their ease of use and cost-effectiveness. However, the complexity of procurement processes and the need for customized solutions pose a challenge to market players. The market is highly competitive, with major brands like SAP Ariba, Oracle, and IFS offering comprehensive procurement software solutions to meet the diverse needs of various industries.

Contacts

Technavio Research
Jesse Maida
Media & Marketing Executive
US: +1 844 364 1100
UK: +44 203 893 3200
Email: media@technavio.com
Website: www.technavio.com/

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