The growth of ATS market in the coming years attributed to an increased requirement for recruiters and digitization of data.
Applicant Tracking Systems (ATS) is a software application that enables electronic processing of hiring and hiring needs by collecting and storing resumes in a database accessible to hiring professionals. Resumes can also be kept long after the original job you applied for has been filled. Corporate recruiters or hiring managers can then search and sort resumes in a number of ways, depending on the system they use. The market size for Application Tracking Systems was estimated at USD 1,412.97 million in 2020 and is expected to reach USD 2,289.79 million by 2027, growing at a CAGR of 8.38% from 2021 to 2027.
The market is segmented by type, application and region. By type, the market is segmented into Cloud and Web. Application in large companies and small and medium enterprises. And by region in North America, Europe, Asia-Pacific, Middle East and Africa. ATS is increasingly being adopted by governments and businesses, due to the need to automate recruitment activities. Since ATS automates the selection of candidates and the posting of applications to multiple recruitment boards, it eliminates manual bias and errors. Cloud-based ATS is slowly seeing increased adoption, due to the reduced latency and lower cost of ATS. Several verticals are also rapidly adopting ATS due to an increasing focus on increasing candidate satisfaction by improving communication and reducing manpower and recruitment costs. Manual analysis of candidate applications is becoming obsolete, due to the time, cost, and bias issues associated with human analysis.
ATS not only provides useful insights, but also reduces the time and costs associated with recruiting and hiring. The Saudi regions will see tremendous market growth as smaller producers are trying to gain a significant share of the demand. In addition, the information technology and telecommunications industry employ a large number of people, especially in the North American and APAC regions. The job market in the field of information technology and telecommunications is very dynamic with the rapidly changing landscape of technologies and the constant need to hire competent and skilled personnel.
North America is estimated to be the largest market for the global ATS market in 2018 and Asia Pacific is expected to be the fastest growing region during the forecast period. North America is a mature market in terms of technology adoption. North America is expected to be the largest revenue stream for the ATS market compared to other regions. Companies in the United States and Canada continue to invest in research and development to introduce new and advanced technologies. Moreover, these countries have strong economies and are rapidly adopting ATS solutions to meet regulatory requirements and survive in a highly competitive recruitment market.
During the COVID-19 pandemic, remote recruitment of recruiters and managers has become very useful. Businesses are witnessing a major shift towards virtual interviewing with tools like Microsoft Teams, Skype, Zoom, and candidates increasingly familiar with these new technologies. The remote recruitment process requires new skills and fairly sophisticated candidate tracking skills. Employee onboarding is also becoming remote. For example, at Accenture Plc, a new employee may not come to the office for several months. Learning modules are also available remotely. The COVID-19 pandemic has changed the attitudes of job seekers to work. According to the comparative data in the report, it is not surprising that the level of stress at work has increased significantly and perceptions of the labour market have changed significantly. Data shows that 47% of workers are afraid of losing their jobs in mid-2020, up from 28% in February 2020. Moreover, nearly 46% of workers surveyed plan to have a second source of income in addition to their current full-time employment. The growing number of active job seekers worldwide creates more opportunities for job seeker tracking systems market.
Social media is the ecosystem of online communication channels through which communities or networks share information. Nowadays, many people interact through social media, therefore, it is emerging as a potentially relevant source of information in the recruitment arena. The growth in social networking is fuelled by the increased penetration of smartphones worldwide, as smartphone apps and mobile internet access have facilitated the proliferation of MobileFirst or mobile only social networking apps. Moreover, the social media explosion is creating opportunities in the field of hiring and recruitment. It has witnessed an increased acceptance across organizations, wherein the organizations communicate with their candidates through social media networks. Social media helps hiring managers interact with talented people. ATS is integrated with social media creating a powerful recruiting tool. Therefore, the rise of social networking is an opportunity for ATS software and solution providers. In addition, ATS software integration becomes difficult without performing a compatibility check before selecting the ATS software. Check to see if the ATS software is compatible with existing systems used by the company. Integrating ATS with various systems, such as payroll systems, employee databases and document management systems, is necessary to maintain coherence. In addition, the old recruitment processes need to be changed and recruiters should adopt the new ATS software, to make the hiring process successful.
Key Segments of the Global Applicants Tracking System Market
By Organization Size
• Large Enterprises
• IT And Telecommunications
• Government and Public Sector
• Retail and Consumer Goods
• Healthcare and Life Sciences
• Others (Media and Entertainment, and Travel and Hospitality)
• North America
o United States
o United Kingdom (UK)
o Rest of Europe
• Asia Pacific (APAC)
o Australia and New Zealand (ANZ)
o Rest of APAC
• Latin America
o Rest of Latin America
• Middle East and Africa (MEA)
o Kingdom of Saudi Arabia (KSA)
o United Arab Emirates (UAE)
o South Africa
o Rest of MEA