PUBLISHER: The Business Research Company | PRODUCT CODE: 1425182
PUBLISHER: The Business Research Company | PRODUCT CODE: 1425182
Accounts Receivable Automation Global Market Report 2024 from The Business Research Company provides strategists, marketers and senior management with the critical information they need to assess the market.
This report focuses on accounts receivable automation market which is experiencing strong growth. The report gives a guide to the trends which will be shaping the market over the next ten years and beyond.
Where is the largest and fastest growing market for accounts receivable automation? How does the market relate to the overall economy, demography and other similar markets? What forces will shape the market going forward? The accounts receivable automation market global report from the Business Research Company answers all these questions and many more.
The report covers market characteristics, size and growth, segmentation, regional and country breakdowns, competitive landscape, market shares, trends and strategies for this market. It traces the market's historic and forecast market growth by geography.
The impact of sanctions, supply chain disruptions, and altered demand for goods and services due to the Russian Ukraine war, impacting various macro-economic factors and parameters in the Eastern European region and its subsequent effect on global markets.
The impact of higher inflation in many countries and the resulting spike in interest rates.
The continued but declining impact of covid 19 on supply chains and consumption patterns.
Accounts receivable automation involves the automation of time-consuming and repetitive tasks related to managing accounts receivable, thereby helping businesses streamline client invoicing and payment processes.
The main components of accounts receivable automation include solutions and services. Solutions in accounts receivable automation involve the automation of crucial financial processes. This includes tasks such as account reconciliation, updating financial data, and preparing financial statements without the need for direct human intervention. Solutions typically consist of a set of software modules that collaboratively create a cross-functional system for a company. The deployment modes for accounts receivable automation encompass both cloud-based and on-premises solutions, catering to the needs of both large enterprises and small to medium-sized enterprises (SMEs). The end-users of accounts receivable automation span various industries, including Banking, Financial Services, and Insurance (BFSI), retail and consumer goods, healthcare, information technology and telecommunications, manufacturing, energy and utilities, and other verticals.
The accounts receivable automation market research report is one of a series of new reports from The Business Research Company that provides accounts receivable automation market statistics, including accounts receivable automation industry global market size, regional shares, competitors with a accounts receivable automation market share, detailed accounts receivable automation market segments, market trends and opportunities, and any further data you may need to thrive in the accounts receivable automation industry. This accounts receivable automation market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.
The accounts receivable automation market size has grown rapidly in recent years. It will grow from $3.1 billion in 2023 to $3.54 billion in 2024 at a compound annual growth rate (CAGR) of 14.3%. The growth observed in the historical period in accounts receivable automation can be attributed to several factors, including the inefficiencies of manual processes, an increasing volume of transactions, the need for error reduction and improved accuracy, initiatives aimed at cost reduction, and a heightened demand for faster processing. These factors collectively drove the adoption of accounts receivable automation solutions during the historical period.
The accounts receivable automation market size is expected to see rapid growth in the next few years. It will grow to $6.19 billion in 2028 at a compound annual growth rate (CAGR) of 15.0%. The anticipated growth in the forecast period for accounts receivable automation can be attributed to the ongoing digital transformation, the evolution of remote workforce practices, a growing emphasis on cash flow optimization, increased demand for scalability and flexibility in financial processes, and a customer-centric approach. Major trends expected in the forecast period include intensified market competition and innovation, collaborative efforts with suppliers/vendors, a focus on sustainability and paperless processes, and an increased emphasis on cybersecurity to ensure the security of financial transactions and data.
The surge in the adoption of automation and digitization among Small and Medium-sized Enterprises (SMEs) is poised to drive the expansion of the account receivable automation market. Utilization of digitalization and automation tools assists SMEs in cost reduction, standardization of processes, and decreasing reliance on manual labor. Consequently, this shift towards automation and digitization is anticipated to steer SMEs towards embracing account receivable automation. For instance, a report released by the World Economic Forum in December 2021 on SME digitalization highlighted that 97% of global companies, including over 90% of SMEs worldwide, have expedited technology adoption involving automation and digitalization. Thus, the escalating adoption of automation and digitization by SMEs is set to fuel the growth of the accounts receivable automation market.
The upsurge in internet penetration is forecasted to propel the advancement of the accounts receivable automation market. Internet penetration, a global network connecting the world wide web and billions of computers worldwide, facilitates accounts receivable automation providers to access various facets of the payment processes, such as documentation and invoices, across the globe using any device, eliminating the need for manual intervention. For instance, as of October 2022, DataReportal reported that approximately 5.07 billion individuals, equivalent to 63.5% of the global population, are internet users worldwide. Moreover, according to Livemint in July 2022, India registered a total of 692 million active internet users, with 351 million from rural areas and 341 million from urban areas. Hence, the burgeoning internet penetration is a catalyst driving the growth of the accounts receivable automation market during the projected period.
The adoption of technological advancements emerges as a significant trend gaining traction within the accounts receivable automation market. Key market players are introducing novel technologies to gain a competitive advantage. For example, in February 2022, Quadient, a Europe-based company specializing in business process automation and customer experience management, launched an accounts payable (AP) automation solution. This solution offers a more secure and simplified method to approve invoices and execute vendor payments from any location, highlighting the ongoing commitment of major market entities to leverage innovative technologies to enhance their position in the marketplace.
Major players in the accounts receivable automation market are concentrating on enhancing the capabilities of their services using diverse technologies like Vroozi Intelligence. Vroozi Intelligence stands as an intelligent procure-to-pay platform engineered to assist organizations in sourcing, purchasing, and facilitating payments for necessary goods and services essential for their business operations. For instance, in November 2021, Vroozi, a US-based software company, unveiled Vroozi Intelligence, an accounts payable automation platform. This platform is tailored to automate multiple facets of the accounts payable process, encompassing invoice matching, coding, exception handling, and approval workflows.
In September 2021, Bill.com, a US-based cloud-based financial operation software firm, acquired Invoice2go for an undisclosed sum. This strategic acquisition by Bill.com aims to bolster its accounts receivable solutions, particularly targeting small businesses. Invoice2go, a US-based software technology company, specializes in developing mobile and web applications dedicated to expense management. This acquisition signifies Bill.com's commitment to expanding and fortifying its suite of offerings within the accounts receivable sector, thereby furthering its reach and capabilities in serving small business clientele.
Major companies operating in the accounts receivable automation market report are BlackLine Inc., Bottomline Technologies Inc., Comarch SA, Esker SA, HighRadius Corporation, SAP SE, Oracle Corporation, Kofax Inc., YayPay Inc., SK Global Software LLC, FinancialForce Inc., The Sage Group PLC, VersaPay Corporation, Bill.com Holdings Inc., Corcentric LLC, MHC Software Inc., Qvalia AB, Anytime Collect, Neopost SA, Workday Inc., Coupa Software Inc., Fidelity National Information Services Inc., Zoho Corporation, Fiserv Inc., Invoiced Inc., MineralTree Inc., Nvoicepay Inc., Rimilia Holdings Ltd., Serrala Group, Tesorio Inc., Tradeshift Inc.
North America was the largest region in the accounts receivable automation market in 2023. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the accounts receivable automation market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.
The countries covered in the accounts receivable automation market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.
The accounts receivable automation market consists of revenues earned by entities by providing invoice processing, tracking customer payments, and ensuring the collection of payments. The market value includes the value of related goods sold by the service provider or included within the service offering. The accounts receivable automation market also includes sales of solutions such as cash automation applications and business credit management. Values in this market are 'factory gate' values, that is, the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors, and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.
The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).
The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.