Software As A Service Industry Overview

The global software as a service (SaaS) market size was valued at USD 261.15 billion in 2022 and is expected to grow at a compound annual growth rate (CAGR) of 13.7% from 2023 to 2030.

SaaS is a cloud service that provides software applications virtually through Internet. Rising adoption of public cloud services across enterprises is one of the major factors that propel the market growth. The growing shift of enterprises towards SaaS from an on-premises model owing to high cost of on-premises software deployment is further projected to propel the market growth. However, concerns related to data privacy and security related to public cloud is projected to hinder market growth.

Gather more insights about the market drivers, restrains and growth of the Software As A Service Market

Significant increase in the adoption of emails, instant messaging applications, and video calls encourages demand for smart devices among end-users and is projected to contribute to the growth of SaaS market. Furthermore, adoption of CRM SaaS solutions continues to rise as businesses seek to reduce their IT costs and improve scalability. Customization and configuration of CRM SaaS solutions are becoming easier and more accessible, allowing businesses to tailor their CRM systems to their specific needs, such as security. For instance, in December 2022, AppOmni announced a partnership with Veeva Systems to provide enhanced security for Veeva CRM and Veeva Vault. With this new offering, life sciences customers can access AppOmni's comprehensive threat detection and configuration management capabilities. Joint customers can operationalize best practices to protect sensitive data while ensuring regulatory compliance with AppOmni's Veeva integration.

COVID-19 outbreak further positively impacted SaaS market as many of the enterprises opted for cloud software platforms during lockdown. The lockdown imposed by government worldwide has led to substantial growth in adoption of cloud software platform services such as SaaS across various enterprises. Increased use of public cloud services during work from home has reinforced SaaS adoption for virtual management of work in enterprises. Therefore, significant increase in adoption of third-party software services globally during pandemic further augmented market growth.

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Software As A Service Market Segmentation

Grand View Research has segmented the global software as a service market based on component, deployment, enterprise-size, application, industry, and region:

SaaS Component Outlook (Revenue, USD Billion, 2017 - 2030)

• Software
• Services

SaaS Deployment Outlook (Revenue, USD Billion, 2017 - 2030)

• Public Cloud
• Private Cloud
• Hybrid Cloud

SaaS Enterprise-size Outlook (Revenue, USD Billion, 2017 - 2030)

• Small Medium Enterprises
• Large Enterprises

SaaS Application Outlook (Revenue, USD Billion, 2017 - 2030)

• Customer Relationship Management (CRM)
• Enterprise Resource Planning (ERP)
• Human Capital Management
• Content, Collaboration Communication
• BI Analytics
• Others

SaaS Industry Outlook (Revenue, USD Billion, 2017 - 2030)

• Banking, Financial Services Insurance (BFSI)
• Retail Consumer Goods
• Healthcare
• Education
• Manufacturing
• Travel Hospitality
• Others

SaaS Regional Outlook (Revenue, USD Billion, 2017 - 2030)

• North America
  • U.S.
  • Canada
  • Mexico
• Europe
  • Germany
  • France
  • U.K.
• Asia Pacific
  • China
  • Japan
  • India
  • Singapore
  • South Korea
  • Malaysia
  • Australia
• Central South America
  • Brazil
• Middle East Africa

Key Companies profiled:

• Adobe Inc.
• Microsoft
• Alibaba Cloud
• IBM
• Google LLC
• Salesforce, Inc.
• Oracle
• SAP SE
• Rackspace Technology, Inc.
• VMware Inc.
• IONOS Cloud Inc.
• Cisco Systems, Inc.
• Atlassian
• ServiceNow

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