The emergence of automation and AI in the procurement process is expected to provide opportunities for the procurement as a service market growth
The global procurement as a service market size is projected to reach nearly USD 12 billion by 2028. Besides, it is projected to gather a CAGR of approximately 8% over the forecast years 2018-2028. Procurement as a service allows organizations to develop business relationships and service levels, concentrate on crucial competencies and categories and provides greater spending control. Besides, it helps in maintaining support staff, tools, and processes for non-core functions. Moreover, integrated with business process delivery infrastructure and supply chain processes, procurement services provide a competitive catalog, category proficiency, and management skills.
The future and existing procurement as a service market progress are outlined to know the market attractiveness. Key influencing factors focus on the procurement as a service of market opportunities over the forecast years. Factors such as the growing need to bring transparency in the procurement process are driving the market growth. Besides, the increasing need to reduce operational costs is also boosting global procurement as a service market growth. However, increasing data security concerns among organizations are likely to hamper the market growth. Furthermore, the emergence of automation and AI in the procurement process is anticipated to be opportunistic for the procurement as a service market.
The report also outlines the various characteristics of global procurement as a service industry by assessing the market from value chain analysis. Moreover, the procurement as a service market report comprises various qualitative parts of the procurement as a service industry in market restraints, essential industry drivers, and opportunities. Furthermore, the report provides a complete assessment of the market through company profiling and the competitiveness of the local as well as global vendors.
The procurement as a service market has solid competition amongst the already well-known and new market players. Also, the procurement as a service industry players are pursuing potential markets to seize a competitive lead among the other industry players by forming mergers & acquisitions, agreements, acquiring other companies & new startups, establishing collaboration & partnerships, and growing their business existence.
Based on the enterprise size, the market is segmented into small & medium enterprises and large enterprises. the small & medium enterprise segment is projected to accumulate major growth in forthcoming years. The increasing need to save costs on technology deployment and increasing awareness about procurement services is boosting the market growth in this segment. On the contrary, the large enterprise segment leads the market growth in 2019 and it is anticipated to hold its position during the forecast years. The market growth in this segment is mainly attributed to the growing need to reduce operational complexities.
The North American region dominated the overall market in 2019 and it is projected to keep its position during the forecast years 2018-2028. The market growth in this region is mainly ascribed to the growing focus of enterprises on enhancing their procurement operations to increase their competitiveness in the market. Also, the early adoption of advanced technologies is boosting the market growth in this region.
The major players of the global procurement as a service market are Accenture, HCL Technologies, IBM, Capgemini, Corbus, Genpact, GEP, Aegis, CA Technologies, and Infosys. Moreover, the market comprises several other prominent players in the procurement as a service market that are, Wipro, WNS, Proxima, TCS, and Xchanging. The procurement as a service market consists of well-established global as well as local players. In addition, the previously recognized market players are coming up with new and advanced strategic solutions and services to stay competitive in the global market. For instance, in January 2020 Accenture announced the launch of a blockchain procurement solution to avoid duplicate data entry and enhance the business operations.
Segment Overview of Global Procurement as a Service Market
Type Overview, 2018-2028 (USD Million)
- Strategic Sourcing
- Contract Management
- Spend Management
- Process Management
- Category Management
- Transactions Management
Enterprise Size Overview, 2018-2028 (USD Million)
- Large Enterprises
- Small & Medium Enterprises
End Users Overview, 2018-2028 (USD Million)
- Energy and Utilities
- IT and Telecom
Regional Overview, 2018-2028 (USD Million)
- North America
- Rest of Europe
- Asia Pacific
- Rest of Asia-Pacific
- Middle East and Africa
- South Africa
- Rest of Middle East and Africa
- South America
- Rest of South Americ