Procurement as a Service Market Research Report - Global Forecast till 2027

Global Procurement as a Service Market Research Report: By Component (Strategic Sourcing, Spend Management, Category Management, Process Management, Transaction Management), By Organization Size (Large Enterprises, SMEs) and By Vertical (BFSI, Government & Defense, IT & Telecom, Healthcare, Retail, Manufacturing, Others) – Forecast to 2027

ID: MRFR/ICT/6821-HCR | February 2021 | Region: Global | 111 pages

Please note that the assessment period of report has been updated from 2019-2024 to 2020-2027. Cordially fill the sample form for updated data.

Market Forecast


Global Procurement as a Service Market is expected to reach USD 9 Billion by 2025 at a CAGR of 8.9%.


Currently, most of the global industries rely on procurement models which bundles various services such as supply chain management, budget development, distributive management, quality control, and others into one stream. Most of today’s procurement models are implemented with fixed-cost engagements based on long-term procurement processes. This results in reduced efficiency and a concurrent loss in profitability of the enterprise, especially for large businesses as this static model is outdated in today’s dynamic economic landscape.


An increasing reliance on the e-procurement industry as well as a very dynamic economic landscape has necessitated a complete overhaul of the global procurement market. This overhaul can be applied across industry verticals and components. Now, businesses will pay for what they need and use, with unnecessary bundling of activities being eliminated.


Wal-Mart and Amazon consistently outperform SMEs and local retail outlets due to their cutting-edge global procurement services. The same methodology is being applied to all companies to enhance profits and productivity while simultaneously reducing redundancy.


Market USP


Pan-industry applicability with unique solutions for all business verticals and components.


Segmentation


By Component



  • Strategic Sourcing: The largest market in this segment, efficient strategic sourcing benefits all industries, particularly SMEs.

  • Spend Management: The fastest-growing segment. Mid-sized and large-scale enterprises can enhance profitably by doing away with redundant and inefficient spending. This is driving this segment.

  • Category Management: Extremely beneficial to the retailing industry, category management is crucial for the efficient development of retailers, especially e-based retailers.

  • Process Management: Process management becomes critical in direct proportion to the size of the enterprise. Realigning core products and services offered by a business is essential in the dynamic market of today.

  • Transaction Management: A very important segment considering that virtually the entire business community places huge reliance on IT and this segment organizes the IT from a business perspective.


By Organization Size



  • Large Enterprises: The largest segment due to the sheer size of large-scale businesses and the amount of overhaul that procurement services can provide for them.

  • SMEs: the fastest-growing segment, SMEs stand to benefit due to the procurement service’s unique solutions offered for each individual enterprise.


By Vertical



  • BFSI: This segment benefits hugely from the implementation of transactions management and strategic sourcing.

  • Government & Defense: Government and defense can be considered as huge enterprises, and consequently, they will benefit hugely from optimal process and spending management. Budget development is another key area.

  • IT & Telecom: dynamic industry, IT & telecom stand to benefit from the flexibility that efficient procurement services can afford them. A very large market segment.

  • Healthcare: Healthcare and pharmaceuticals enhance their profitability with efficient category and spend management.

  • Retail: The second-largest market share in this segment, the retail sector benefits from category and spend management.

  • Manufacturing: The largest segment due to the intrinsic industry requirement to have a very dynamic spend and category management system. Manufacturers of multiple products also benefit from updated strategic sourcing.

  • Energy & Utilities: Strategic sourcing and budgeting are areas where procurement services can aid this sector.

  • Travel & Hospitality: This segment relies on excellent competitive analysis.

  • Others: Virtually all enterprises can benefit from an efficient and unique procurement service.


By Region



  • North America: The largest regional market due to a very well-developed IT sector.

  • Europe: The second-largest market due to the percolation of procurement services through all industry verticals and enterprises of all sizes.

  • Asia-Pacific: The fastest emerging market due to rapid economic development.

  • Rest of the World: A small market segment, replete with islands of aggressive growth, especially in Latin America and the Middle East.


Key Players



  • Accenture Plc

  • Infosys Ltd

  • GEP

  • Genpact LLC

  • Proxima Procurement Ltd

  • RFCODE

  • WNS Global

  • Capgemini SE

  • IBM Corporation

  • WIPRO Limited

  • HCL Technologies Ltd

  • Tata Consultancy Services Limited

  • Xchanging Solutions Ltd

  • CA Technologies



Frequently Asked Questions (FAQ) :


The global market for Procurement as a Service is slated to expand at a substantial CAGR of 8.9% over the review period (2019 to 2025).

The global market for Procurement as a Service is slated to generate revenue of up to USD 9 billion by 2025.

Infosys Ltd, Accenture Plc, GEP, Genpact LLC, WNS Global, Proxima Procurement Ltd, RFCODE, Capgemini SE, IBM Corporation, HCL Technologies Ltd, WIPRO Limited, Xchanging Solutions Ltd, Tata Consultancy Services Limited, and CA Technologies.

The regional analysis of the global Procurement as a Service market has been conducted in five major regions, namely, the Asia Pacific, North America, Europe, Latin America, and the Middle East and Africa.

The segmentation of the global Procurement as a Service market is done on the basis of component, organization size, and vertical.