Global Procurement as a Service Market – Industry Trends and Forecast to 2029

Global Procurement as a Service Market, By Component (Strategic Sourcing, Spend Management, Category Management, Process Management, Contract Management, Transactions Management), Organisation Size (Large Enterprises, Small and Medium-Sized Enterprises), Vertical (Manufacturing, Retail and Consumer Packaged Goods, Banking, Financial Services, and Insurance (BFSI), IT and Telecom; Energy and Utilities, Travel and Hospitality, Healthcare, Others) – Industry Trends and Forecast to 2029.

Global Procurement as a Service Market Analysis and Size

Procurement as a service deals with the operational activities in a business such as managing and ensuring the supplies. It is a technological system that enhances employee visibility and MSP management to control the expenditure.  Rising number of small and medium scale end users are increasingly understanding the importance of procurement as a service. Hewlett Packard Enterprise Development LP (US), HCL Technologies (India), Tata Consultancy Services Limited (India), Xchanging (UK), Aegis (India), Corbus (India), and CA Technologies (US) are the some major players operating in this market.

• Data Bridge Market Research analyses that the procurement as a service market value, which was USD 6.21 billion in 2021, is expected to reach the value of USD 11.17 billion by 2029, at a CAGR of 7.60% during the forecast period. “Manufacturing" accounts for the largest vertical segment in the procurement as a service market owing to the growing rate of adoption of procurement as a service by small and medium scale enterprises. The procurement as a service market report also covers pricing analysis, patent analysis, and technological advancements in depth.

Global Procurement as a Service Market Definition

From the name itself, it is clear that procurement as a service is a technological system that provides advanced level of procurement services to all sizes of organizations. Procurement as a service is concerned with handling of compliance policies and contracts. Procurement is one of the most important and complex business processes and procurement as a service deals with the same effortlessly.   

Report Scope and Market Segmentation

Global Procurement as a Service Market Dynamics

This section deals with understanding the market drivers, advantages, opportunities, restraints and challenges. All of this is discussed in detail as below:

Drivers:

• Growth in investment for research and development to carve way for innovations

The rising number of strategic market collaborations has led to the rise in funds to be allocated for the growth and development of advanced and automated technology/ machinery against fraudulent activities. Further, growth in the level of investment for research and development proficiencies would carve the way for innovations in information technology. Rising integration of artificial intelligence and machine learning technologies will further prove to be a boon for the market.      

• Increased number of industries globally to induce greater demand and supply in emerging nations  

Growing number of small and medium scale enterprises all around the globe is one of the major factors fostering the growth of the market. In other words, increased number of banking, financial services, and insurance (BFSI), education, energy and utilities, government and public sector, healthcare and life sciences, manufacturing, retail and e-commerce, telecommunication, and IT industries, is directly influencing the growth rate of the market.

• Growing complexities associated with procurement to present numerous opportunities for small scale businesses

Owing to the global economic rise, there is a huge scope of growth for the information and communication technology industry. Increasing demand among the organisations to streamline the procurement process is a positive sign. Also, rising need of the service to handle compliance policies and contracts indicates a good scope of growth.

Opportunities

• Advanced technologies to present many opportunities

Rising urbanization, modernization, and globalization drive market value growth. In other words, introduction of machine learning and artificial intelligence along with adoption of analytical solutions among small and medium size enterprises especially in the developing economies to develop the infrastructure will present very many opportunities for the growth of the market.

Growing industrial infrastructure and increased need to handle compliance contracts and policies are other market growth determinants. Furthermore, rising proliferation of high speed internet in the developing economies will extend profitable opportunities to the market players in the forecast period of 2022 to 2029. Additionally, rising need to fortify the enterprises network against unauthorised and unprecedented strikes and high demand for the transaction management segment will further expand the future growth of the market. 

Restrictions/ challenges Global Procurement as a Service Market

• Growing concerns to limit the scope of growth in the long run

Lack of awareness about procurement software along with limited technical expertise will create hindrances for the growth of the market. Also, existence of the technology is unaware to many industries which will narrow down the scope of growth for the market. Further, suspension of business activity on account of the coronavirus pandemic coupled with rising data security and privacy issues along with integration issues with the legacy system will yet again create hindrances.    

• Complexities will pose a threat to the unprecedentedly growing market demand

Complexities associated with the deployment of cloud based deployment models will challenge the market growth rate. Further, penetration of cloud based deployment model is confined to large enterprises which will further derail the market growth rate.    

Also, dearth of awareness in underdeveloped regions and high costs associated with deployment will act as growth restraints for the market. Lack of strong infrastructural facilities in the backward economies and third party dependence and outages will also challenge the market growth rate.

This procurement as a service market report provides details of new recent developments, trade regulations, import-export analysis, production analysis, value chain optimization, market share, impact of domestic and localized market players, analyses opportunities in terms of emerging revenue pockets, changes in market regulations, strategic market growth analysis, market size, category market growths, application niches and dominance, product approvals, product launches, geographic expansions, technological innovations in the market. To gain more info on the procurement as a service market contact Data Bridge Market Research for an Analyst Brief, our team will help you take an informed market decision to achieve market growth.

COVID-19 Impact on Procurement as a Service Market

The recent outbreak of coronavirus has proven to be a bane for the market. The pandemic has led to the suspension of business activity on account of the coronavirus pandemic and has resulted in disruptions in global supply chains, border restrictions, and travel restrictions by government bodies. Mandatory containment measures and health safety compliances have put huge pressure on remote operations across a wide array of industry vertical which further derailed the market growth rate. However, software companies are currently increasing their focus on in-demand technologies and re-exploring innovative ways to serve their clients.

Recent Developments

• In 2020,Epicor Software Corporation announced the launch of Epicor Commerce Connect Express (ECC Express), a new portal to its existing Epicor Commerce Connect solution. The e-commerce product is designed for businesses that need an immediate way to improve productivity, offer quality online experiences, and stay connected to their valued customers and suppliers.
• In 2020,Proactis announced a new partnership with global change-ready technology and implementation specialist Agilyx Group to provide a range of spend management solutions and services to Agilyx customers. This partnership means that Agilyx can identify where a customer has an unmet need or has decided to make a change, that can be fulfilled by Proactis technology, and enable that customer to leverage additional value from their current ERP solution.

Global Procurement as a Service Market Scope

The procurement as a service market is segmented on the basis of component, organization size and vertical. The growth amongst these segments will help you analyze meagre growth segments in the industries and provide the users with a valuable market overview and market insights to help them make strategic decisions for identifying core market applications.

Component  

• Strategic Sourcing
• Spend Management
• Category Management
• Process Management
• Contract Management
• Transactions Management

Procurement as a service market on the basis of component has been segmented as strategic sourcing, spend management, category management, process management, contract management, and transactions management.

Organization size

• Large Enterprises
• Small and Medium-Sized Enterprises

Based on organization size, procurement as a service market has been segmented into large enterprises, small and medium-sized enterprises.

Vertical

• Manufacturing
• Retail and Consumer Packaged Goods
• Banking, Financial Services, and Insurance (BFSI)
• IT and Telecom
• Energy and Utilities
• Travel and Hospitality
• Healthcare
• Others

Procurement as a service has also been segmented on the basis of vertical into manufacturing; retail and consumer packaged goods; banking, financial services, and insurance (BFSI), IT and telecom, energy and utilities, travel and hospitality, healthcare, and others.  

Procurement as a Service Market Regional Analysis/Insights

The procurement as a service market is analysed and market size insights and trends are provided by country, component, organization size and vertical as referenced above.

The countries covered in the procurement as a service market report are U.S., Canada and Mexico in North America, Germany, France, U.K., Netherlands, Switzerland, Belgium, Russia, Italy, Spain, Turkey, Rest of Europe in Europe, China, Japan, India, South Korea, Singapore, Malaysia, Australia, Thailand, Indonesia, Philippines, Rest of Asia-Pacific (APAC) in the Asia-Pacific (APAC), Saudi Arabia, U.A.E, South Africa, Egypt, Israel, Rest of Middle East and Africa (MEA) as a part of Middle East and Africa (MEA), Brazil, Argentina and Rest of South America as part of South America.

North America dominates the market due to the rising number of initiatives by government as well as private organizations for digital transformation along with adoption of cloud services while Asia-Pacific region will expect to grow in the forecast period of 2022-2029 due to the increasing advancement in technology along with rising need to prevent cybercrimes.    

The country section of the report also provides individual market impacting factors and changes in market regulation that impact the current and future trends of the market. Data points like down-stream and upstream value chain analysis, technical trends and porter's five forces analysis, case studies are some of the pointers used to forecast the market scenario for individual countries. Also, the presence and availability of global brands and their challenges faced due to large or scarce competition from local and domestic brands, impact of domestic tariffs and trade routes are considered while providing forecast analysis of the country data.   

Competitive Landscape and Procurement as a Service Market Share Analysis

The procurement as a service market competitive landscape provides details by competitor. Details included are company overview, company financials, revenue generated, market potential, investment in research and development, new market initiatives, global presence, production sites and facilities, production capacities, company strengths and weaknesses, product launch, product width and breadth, application dominance. The above data points provided are only related to the companies' focus related to procurement as a service market.

Some of the major players operating in the procurement as a service market are:

• Cisco Systems, Inc. (US)
• Juniper Networks (US)
• Palo Alto Networks (US)
• Hewlett Packard Enterprise Development LP (US)
• Skybox Security, Inc. (US)
• Accenture (Ireland)
• Infosys (India)
• GEP (US)
• Genpact (US)
• Proxima (UK)
• WNS (Holdings) Ltd. (India)
• Capgemini (France)
• IBM (US)
• Wipro (India)
• HCL Technologies (India)
• Tata Consultancy Services Limited (India)
• Xchanging (UK)
• Aegis (India)
• Corbus (India)
• CA Technologies (US)  

Research Methodology : Global Procurement as a Service Market

Data collection and base year analysis is done using data collection modules with large sample sizes. The stage includes the obtainment of market information or related data through various sources and strategies. It includes examining and planning all the data acquired from the past advance. It likewise envelops the examination of information inconsistencies seen across different information sources. The market data is analyzed and estimated using market statistical and coherent models. Also market share analysis and key trend analysis are the major success factors in the market report. To know more, please request an analyst call or drop down your inquiry.

The key research methodology used by DBMR research team is data triangulation which involves data mining, analysis of the impact of data variables on the market, and primary (industry expert) validation. Apart from this, data models include Vendor Positioning Grid, Market Time Line Analysis, Market Overview and Guide, Company Positioning Grid, Patent Analysis, Pricing Analysis, Company Market Share Analysis, Standards of Measurement, Global versus Regional and Vendor Share Analysis.

To know more about the research methodology, drop in an inquiry to speak to our industry experts

https://www.databridgemarketresearch.com/speak-to-analyst/?dbmr=global-procurement-as-a-service-market