ERP Software Overview
Global ERP Software Market size
is expected to reach $48.21 billion by 2025, growing at a CAGR of 7.88% during
2020-2025. In 2019, ERP implementation has become the best practices to bring
and automate all business operations into a single and simple solution. By
2018, the worldwide penetration of ERP software in small and medium sized
organization was low due to high cost of deployment. However, with the advent
of cloud based ERP, the cost of ERP deployment have been decreasing continuously.
Hence, the cloud based ERP is experiencing rapid growth among SMEs since 2018
and is expected to capture more than 40% market share by 2025.
Report Coverage
The ERP Software market report: “ERP Software Industry Outlook– Forecast
(2020-2025)”, by IndustryARC, covers an in-depth analysis of the following segments
of the ERP Software Market.
Key Takeaways
- North America dominates the ERP software market owing to rising preferences of companies towards cloud ERP.
- The rising penetration IoT based devices and large volume of data generation in manufacturing sector are creating new opportunity for ERP software market.
- Cloud based ERP is expected to accelerate the ERP software market at a faster pace due to low cost deployment
- The lack of flexibility and the integration issue is likely to inhibit the ERP software industry growth.
- The need for integration of all individual business operation into one single unit is likely to increase the demand for business management software, database management software, and ERP HR module.
End User Type - Segment Analysis
The ERP software for
manufacturing industry is expected to grow at a CAGR of 9.45% during 2020-2025.
The rising data consumption in manufacturing industry have made the ERP system
an essential component to integrate its data from various departments. Most of
the manufacturing industries are now integrating all their business operation
through business management software, database management system, and ERP HR
module. Rising adoption of IoT based equipment in
industrial application are continuously increasing the data consumption in
manufacturing industries. The Industrial IoT market is expected to reach $100
billion by 2025 growing at CAGR of 18.56% during 2020-2025. These new sources
of data from IoT devices need an efficient ERP system to be analyzed. Advanced ERP
systems, such as Microsoft Dynamics 365 can take advantage of its secure and scalable
cloud platforms like Microsoft Azure to analyze these data and achieve various
industrial activities such as remote monitoring, predictive maintenance, and stream
analytics.
Deployment Type - Segment Analysis
The cloud based ERP is gaining
popularity owing to low cost of deployment. Similarly, with the cloud based ERP,
scale up and scale down of businesses can be achieved easily. Thus, cloud based
ERP software is considered to be the most effective deployment platform by many
small and medium sized enterprises in recent time. Cloud based ERP is expected
to grow at a CAGR of 11.56% during 2020-2025. In
2019, approximately 80% of companies worldwide were using some form of cloud
based services, out of which 15%-20% companies are likely to choose 100% cloud
based services in next 5 years. It is also expected that by 2020, 60%
enterprise software will be fully cloud based.
Geography - Segment Analysis
In 2018, North America dominated the ERP software market
with a market share of more than 35.23%, followed by APAC and Europe region. The growing adoption of cloud based ERP
software are driving the ERP software market in this region. North America
accounts for majority of the cloud traffic globally. According to the Cisco
Global Cloud Index, the cloud traffic in the region is poised to grow at a CAGR
of 24% during 2016-2021 and will account for nearly 40% of the global traffic
by 2020. Similarly, the rising adoption of hosted and managed services is accelerating
the demand for cloud based ERP in the region. In 2019, approximately 65%-70% of
businesses are using some form of managed services in North America Region, making
the region highly potential for ERP software market.
Drivers – ERP Software Market
·
Rising
demand for cloud based ERP in SMEs
Since 2016, most of the industries and enterprises are replacing their on premise software with cloud based software. The cloud based ERP provides access to entire enterprise applications at an affordable price without any substantial upfront expenditure in software and hardware. Similarly, the adoption of cloud computing enable enterprises to scale up and scale down their businesses more conveniently. Hence, cloud based ERP is becoming a more useful and cost effective solution for SMEs in recent time. In addition to this, cloud based computing offer new business capabilities and opportunities for the SMEs. As per major ERP solution providers, cloud based ERP solution can reduce the cost of ERP deployment by approximately 40%. Many startups are investing into this technology looking at the future opportunities and hence, end users are now finding a large number of options to choose their vendors. In 2018, Icertis, a Cloud-based enterprise technology startup has raised $50 million in its fourth round of fund raising.
·
Growing
number of data centers
Data Centers are designed to support business activities and applications such as ERP and CRM. In addition to this, The ERP system itself maximizes space, cooling, asset utilization in data centers. With the growing data centers, the ERP applications are finding enormous growth. Since 2017, the volume of data consumption have increased significantly in the wake high speed internet connection, rising industrial automation, and increasing penetration of mobile devices. The rise of the data volume are creating enormous opportunity for both ERP and data centers market. Colocation data center installations are expected to be driven by the industrial sector, which is one of the largest generators of data. The companies in this sector are increasingly digitizing their operations and services, resulting in their increased dependence on ERP systems. Process and manufacturing industries are taking the path of industrial IoT to improve operational efficiencies, which will result in generation of large amount of data and have a positive impact on ERP software market. The Industrial IoT market is expected to reach $100 billion by 2025 growing at CAGR of 18.56% during 2020-2025. Thus, with the evolving big data concept in enterprises and businesses, the ERP software market is likely to find opportunity during the forecast period.
Challenges – ERP Software Market
·
Integration
Issue and lack of flexibility
ERP can provide the best outcome
in businesses, if it is integrated with company’s right division/segment. In most of the cases, it is difficult to identify
the division to be integrated with ERP organization that can help company to
gain a competitive advantage. For instance, large organization where different
business divisions consider themselves as competition find ERP is a risky
solution to integrate their business segments/divisions. Similarly, An ERP
system may not necessarily fully compatible with company’s existing business
process and may require a re-engineering of steps to complete business
assignment. Thus, organizations who have resistance to change don’t prefer ERP system.
Market Landscape
ERP software top 10 companies
include SAP, Oracle, Intuit, FIS Global, Fiserv, Cerner Corporation, Microsoft,
SS&C Technologies, Infor, and Constellation Software. The top 5 players ERP
software market share is estimated to be approximately 31.45% in 2018. Acquisition,
partnership, and service differentiation are the key strategies adopted by most
of the companies in this market.
Acquisitions/Technology Launches
- In 2018, Salesforce bought MuleSoft for $6.5 Billion. It will help the company to integrate all of its cloud-based apps with MuleSoft's Software-as-a-Service (SaaS) integration platform.
- In 2019, SAP completed the acquisition with Qualtrics. This will help SAP to increase its capability in experience management category.
1.1 Definitions and Scope
2. ERP Software Market - Executive summary
2.1 Market Revenue, Market Size and Key Trends by Company
2.2 Key Trends by type of Application
2.3 Key Trends segmented by Geography
3. ERP Software Market
3.1 Comparative analysis
3.1.1 Product Benchmarking - Top 10 companies
3.1.2 Top 5 Financials Analysis
3.1.3 Market Value split by Top 10 companies
3.1.4 Patent Analysis - Top 10 companies
3.1.5 Pricing Analysis
4. ERP Software Market - Startup companies Scenario Premium
4.1 Top 10 startup company Analysis by
4.1.1 Investment
4.1.2 Revenue
4.1.3 Market Shares
4.1.4 Market Size and Application Analysis
4.1.5 Venture Capital and Funding Scenario
5. ERP Software Market - Industry Market Entry Scenario Premium
5.1 Regulatory Framework Overview
5.2 New Business and Ease of Doing business index
5.3 Case studies of successful ventures
5.4 Customer Analysis - Top 10 companies
6. ERP Software Market Forces
6.1 Drivers
6.2 Constraints
6.3 Challenges
6.4 Porters five force model
6.4.1 Bargaining power of suppliers
6.4.2 Bargaining powers of customers
6.4.3 Threat of new entrants
6.4.4 Rivalry among existing players
6.4.5 Threat of substitutes
7. ERP Software Market -Strategic analysis
7.1 Value chain analysis
7.2 Opportunities analysis
7.3 Product life cycle
7.4 Suppliers and distributors Market Share
LIST OF TABLES
1.Global Global Erp Software Market By Deployment Market 2023-2030 ($M)1.1 On-Premise Deployment Market 2023-2030 ($M) - Global Industry Research
1.1.1 Key Market Trend Market 2023-2030 ($M)
1.1.2 Competitive Scenario Market 2023-2030 ($M)
1.1.3 Key Growth Factor And Opportunity Market 2023-2030 ($M)
1.2 Cloud Deployment Market 2023-2030 ($M) - Global Industry Research
2.Global Global Erp Software Market By Function Market 2023-2030 ($M)
2.1 Finance Market 2023-2030 ($M) - Global Industry Research
2.2 Human Resource Market 2023-2030 ($M) - Global Industry Research
2.3 Supply Chain Market 2023-2030 ($M) - Global Industry Research
3.Global Global Erp Software Market By Vertical Market 2023-2030 ($M)
3.1 Manufacturing And Service Market 2023-2030 ($M) - Global Industry Research
3.2 Bfsi Market 2023-2030 ($M) - Global Industry Research
3.3 Healthcare Market 2023-2030 ($M) - Global Industry Research
3.4 Retail Market 2023-2030 ($M) - Global Industry Research
3.5 Government Utility Market 2023-2030 ($M) - Global Industry Research
3.6 Aerospace Defense Market 2023-2030 ($M) - Global Industry Research
3.7 Telecom Market 2023-2030 ($M) - Global Industry Research
4.Global Global Erp Software Market By End User Market 2023-2030 ($M)
4.1 Large Enterprise Market 2023-2030 ($M) - Global Industry Research
4.2 Medium Enterprise Market 2023-2030 ($M) - Global Industry Research
4.3 Small Enterprise Market 2023-2030 ($M) - Global Industry Research
5.Global Global Erp Software Market By Deployment Market 2023-2030 (Volume/Units)
5.1 On-Premise Deployment Market 2023-2030 (Volume/Units) - Global Industry Research
5.1.1 Key Market Trend Market 2023-2030 (Volume/Units)
5.1.2 Competitive Scenario Market 2023-2030 (Volume/Units)
5.1.3 Key Growth Factor And Opportunity Market 2023-2030 (Volume/Units)
5.2 Cloud Deployment Market 2023-2030 (Volume/Units) - Global Industry Research
6.Global Global Erp Software Market By Function Market 2023-2030 (Volume/Units)
6.1 Finance Market 2023-2030 (Volume/Units) - Global Industry Research
6.2 Human Resource Market 2023-2030 (Volume/Units) - Global Industry Research
6.3 Supply Chain Market 2023-2030 (Volume/Units) - Global Industry Research
7.Global Global Erp Software Market By Vertical Market 2023-2030 (Volume/Units)
7.1 Manufacturing And Service Market 2023-2030 (Volume/Units) - Global Industry Research
7.2 Bfsi Market 2023-2030 (Volume/Units) - Global Industry Research
7.3 Healthcare Market 2023-2030 (Volume/Units) - Global Industry Research
7.4 Retail Market 2023-2030 (Volume/Units) - Global Industry Research
7.5 Government Utility Market 2023-2030 (Volume/Units) - Global Industry Research
7.6 Aerospace Defense Market 2023-2030 (Volume/Units) - Global Industry Research
7.7 Telecom Market 2023-2030 (Volume/Units) - Global Industry Research
8.Global Global Erp Software Market By End User Market 2023-2030 (Volume/Units)
8.1 Large Enterprise Market 2023-2030 (Volume/Units) - Global Industry Research
8.2 Medium Enterprise Market 2023-2030 (Volume/Units) - Global Industry Research
8.3 Small Enterprise Market 2023-2030 (Volume/Units) - Global Industry Research
9.North America Global Erp Software Market By Deployment Market 2023-2030 ($M)
9.1 On-Premise Deployment Market 2023-2030 ($M) - Regional Industry Research
9.1.1 Key Market Trend Market 2023-2030 ($M)
9.1.2 Competitive Scenario Market 2023-2030 ($M)
9.1.3 Key Growth Factor And Opportunity Market 2023-2030 ($M)
9.2 Cloud Deployment Market 2023-2030 ($M) - Regional Industry Research
10.North America Global Erp Software Market By Function Market 2023-2030 ($M)
10.1 Finance Market 2023-2030 ($M) - Regional Industry Research
10.2 Human Resource Market 2023-2030 ($M) - Regional Industry Research
10.3 Supply Chain Market 2023-2030 ($M) - Regional Industry Research
11.North America Global Erp Software Market By Vertical Market 2023-2030 ($M)
11.1 Manufacturing And Service Market 2023-2030 ($M) - Regional Industry Research
11.2 Bfsi Market 2023-2030 ($M) - Regional Industry Research
11.3 Healthcare Market 2023-2030 ($M) - Regional Industry Research
11.4 Retail Market 2023-2030 ($M) - Regional Industry Research
11.5 Government Utility Market 2023-2030 ($M) - Regional Industry Research
11.6 Aerospace Defense Market 2023-2030 ($M) - Regional Industry Research
11.7 Telecom Market 2023-2030 ($M) - Regional Industry Research
12.North America Global Erp Software Market By End User Market 2023-2030 ($M)
12.1 Large Enterprise Market 2023-2030 ($M) - Regional Industry Research
12.2 Medium Enterprise Market 2023-2030 ($M) - Regional Industry Research
12.3 Small Enterprise Market 2023-2030 ($M) - Regional Industry Research
13.South America Global Erp Software Market By Deployment Market 2023-2030 ($M)
13.1 On-Premise Deployment Market 2023-2030 ($M) - Regional Industry Research
13.1.1 Key Market Trend Market 2023-2030 ($M)
13.1.2 Competitive Scenario Market 2023-2030 ($M)
13.1.3 Key Growth Factor And Opportunity Market 2023-2030 ($M)
13.2 Cloud Deployment Market 2023-2030 ($M) - Regional Industry Research
14.South America Global Erp Software Market By Function Market 2023-2030 ($M)
14.1 Finance Market 2023-2030 ($M) - Regional Industry Research
14.2 Human Resource Market 2023-2030 ($M) - Regional Industry Research
14.3 Supply Chain Market 2023-2030 ($M) - Regional Industry Research
15.South America Global Erp Software Market By Vertical Market 2023-2030 ($M)
15.1 Manufacturing And Service Market 2023-2030 ($M) - Regional Industry Research
15.2 Bfsi Market 2023-2030 ($M) - Regional Industry Research
15.3 Healthcare Market 2023-2030 ($M) - Regional Industry Research
15.4 Retail Market 2023-2030 ($M) - Regional Industry Research
15.5 Government Utility Market 2023-2030 ($M) - Regional Industry Research
15.6 Aerospace Defense Market 2023-2030 ($M) - Regional Industry Research
15.7 Telecom Market 2023-2030 ($M) - Regional Industry Research
16.South America Global Erp Software Market By End User Market 2023-2030 ($M)
16.1 Large Enterprise Market 2023-2030 ($M) - Regional Industry Research
16.2 Medium Enterprise Market 2023-2030 ($M) - Regional Industry Research
16.3 Small Enterprise Market 2023-2030 ($M) - Regional Industry Research
17.Europe Global Erp Software Market By Deployment Market 2023-2030 ($M)
17.1 On-Premise Deployment Market 2023-2030 ($M) - Regional Industry Research
17.1.1 Key Market Trend Market 2023-2030 ($M)
17.1.2 Competitive Scenario Market 2023-2030 ($M)
17.1.3 Key Growth Factor And Opportunity Market 2023-2030 ($M)
17.2 Cloud Deployment Market 2023-2030 ($M) - Regional Industry Research
18.Europe Global Erp Software Market By Function Market 2023-2030 ($M)
18.1 Finance Market 2023-2030 ($M) - Regional Industry Research
18.2 Human Resource Market 2023-2030 ($M) - Regional Industry Research
18.3 Supply Chain Market 2023-2030 ($M) - Regional Industry Research
19.Europe Global Erp Software Market By Vertical Market 2023-2030 ($M)
19.1 Manufacturing And Service Market 2023-2030 ($M) - Regional Industry Research
19.2 Bfsi Market 2023-2030 ($M) - Regional Industry Research
19.3 Healthcare Market 2023-2030 ($M) - Regional Industry Research
19.4 Retail Market 2023-2030 ($M) - Regional Industry Research
19.5 Government Utility Market 2023-2030 ($M) - Regional Industry Research
19.6 Aerospace Defense Market 2023-2030 ($M) - Regional Industry Research
19.7 Telecom Market 2023-2030 ($M) - Regional Industry Research
20.Europe Global Erp Software Market By End User Market 2023-2030 ($M)
20.1 Large Enterprise Market 2023-2030 ($M) - Regional Industry Research
20.2 Medium Enterprise Market 2023-2030 ($M) - Regional Industry Research
20.3 Small Enterprise Market 2023-2030 ($M) - Regional Industry Research
21.APAC Global Erp Software Market By Deployment Market 2023-2030 ($M)
21.1 On-Premise Deployment Market 2023-2030 ($M) - Regional Industry Research
21.1.1 Key Market Trend Market 2023-2030 ($M)
21.1.2 Competitive Scenario Market 2023-2030 ($M)
21.1.3 Key Growth Factor And Opportunity Market 2023-2030 ($M)
21.2 Cloud Deployment Market 2023-2030 ($M) - Regional Industry Research
22.APAC Global Erp Software Market By Function Market 2023-2030 ($M)
22.1 Finance Market 2023-2030 ($M) - Regional Industry Research
22.2 Human Resource Market 2023-2030 ($M) - Regional Industry Research
22.3 Supply Chain Market 2023-2030 ($M) - Regional Industry Research
23.APAC Global Erp Software Market By Vertical Market 2023-2030 ($M)
23.1 Manufacturing And Service Market 2023-2030 ($M) - Regional Industry Research
23.2 Bfsi Market 2023-2030 ($M) - Regional Industry Research
23.3 Healthcare Market 2023-2030 ($M) - Regional Industry Research
23.4 Retail Market 2023-2030 ($M) - Regional Industry Research
23.5 Government Utility Market 2023-2030 ($M) - Regional Industry Research
23.6 Aerospace Defense Market 2023-2030 ($M) - Regional Industry Research
23.7 Telecom Market 2023-2030 ($M) - Regional Industry Research
24.APAC Global Erp Software Market By End User Market 2023-2030 ($M)
24.1 Large Enterprise Market 2023-2030 ($M) - Regional Industry Research
24.2 Medium Enterprise Market 2023-2030 ($M) - Regional Industry Research
24.3 Small Enterprise Market 2023-2030 ($M) - Regional Industry Research
25.MENA Global Erp Software Market By Deployment Market 2023-2030 ($M)
25.1 On-Premise Deployment Market 2023-2030 ($M) - Regional Industry Research
25.1.1 Key Market Trend Market 2023-2030 ($M)
25.1.2 Competitive Scenario Market 2023-2030 ($M)
25.1.3 Key Growth Factor And Opportunity Market 2023-2030 ($M)
25.2 Cloud Deployment Market 2023-2030 ($M) - Regional Industry Research
26.MENA Global Erp Software Market By Function Market 2023-2030 ($M)
26.1 Finance Market 2023-2030 ($M) - Regional Industry Research
26.2 Human Resource Market 2023-2030 ($M) - Regional Industry Research
26.3 Supply Chain Market 2023-2030 ($M) - Regional Industry Research
27.MENA Global Erp Software Market By Vertical Market 2023-2030 ($M)
27.1 Manufacturing And Service Market 2023-2030 ($M) - Regional Industry Research
27.2 Bfsi Market 2023-2030 ($M) - Regional Industry Research
27.3 Healthcare Market 2023-2030 ($M) - Regional Industry Research
27.4 Retail Market 2023-2030 ($M) - Regional Industry Research
27.5 Government Utility Market 2023-2030 ($M) - Regional Industry Research
27.6 Aerospace Defense Market 2023-2030 ($M) - Regional Industry Research
27.7 Telecom Market 2023-2030 ($M) - Regional Industry Research
28.MENA Global Erp Software Market By End User Market 2023-2030 ($M)
28.1 Large Enterprise Market 2023-2030 ($M) - Regional Industry Research
28.2 Medium Enterprise Market 2023-2030 ($M) - Regional Industry Research
28.3 Small Enterprise Market 2023-2030 ($M) - Regional Industry Research
LIST OF FIGURES
1.US ERP Software Market Revenue, 2023-2030 ($M)2.Canada ERP Software Market Revenue, 2023-2030 ($M)
3.Mexico ERP Software Market Revenue, 2023-2030 ($M)
4.Brazil ERP Software Market Revenue, 2023-2030 ($M)
5.Argentina ERP Software Market Revenue, 2023-2030 ($M)
6.Peru ERP Software Market Revenue, 2023-2030 ($M)
7.Colombia ERP Software Market Revenue, 2023-2030 ($M)
8.Chile ERP Software Market Revenue, 2023-2030 ($M)
9.Rest of South America ERP Software Market Revenue, 2023-2030 ($M)
10.UK ERP Software Market Revenue, 2023-2030 ($M)
11.Germany ERP Software Market Revenue, 2023-2030 ($M)
12.France ERP Software Market Revenue, 2023-2030 ($M)
13.Italy ERP Software Market Revenue, 2023-2030 ($M)
14.Spain ERP Software Market Revenue, 2023-2030 ($M)
15.Rest of Europe ERP Software Market Revenue, 2023-2030 ($M)
16.China ERP Software Market Revenue, 2023-2030 ($M)
17.India ERP Software Market Revenue, 2023-2030 ($M)
18.Japan ERP Software Market Revenue, 2023-2030 ($M)
19.South Korea ERP Software Market Revenue, 2023-2030 ($M)
20.South Africa ERP Software Market Revenue, 2023-2030 ($M)
21.North America ERP Software By Application
22.South America ERP Software By Application
23.Europe ERP Software By Application
24.APAC ERP Software By Application
25.MENA ERP Software By Application
26.Key Strategy And Development, Sales /Revenue, 2015-2018 ($Mn/$Bn)
27.Swot Analysis Of Oracle, Sales /Revenue, 2015-2018 ($Mn/$Bn)
28.International Business Machine Corporationibm Corporation, Sales /Revenue, 2015-2018 ($Mn/$Bn)
29.Microsoft Corporation, Sales /Revenue, 2015-2018 ($Mn/$Bn)
30.Sap, Sales /Revenue, 2015-2018 ($Mn/$Bn)
31.Infor, Sales /Revenue, 2015-2018 ($Mn/$Bn)
32.Sage Group Plc, Sales /Revenue, 2015-2018 ($Mn/$Bn)
33.Netsuite Inc, Sales /Revenue, 2015-2018 ($Mn/$Bn)
34.Totvs, Sales /Revenue, 2015-2018 ($Mn/$Bn)
35.Unit4, Sales /Revenue, 2015-2018 ($Mn/$Bn)
36.Syspro, Sales /Revenue, 2015-2018 ($Mn/$Bn)