ESG Reporting Software Market is predicted to reach USD 4.87 billion at a CAGR of 18.00% during the forecast period 2023-2032

Market Research Future (MRFR) has published on the “Global ESG Reporting Software Market”.

The ESG Reporting Software Market is estimated to register a CAGR of 18.00% during the forecast period of 2024 to 2032.

MRFR recognizes the following companies as the key players in the global ESG Reporting Software Market— Wolters Kluwer (Netherlands), Nasdaq (US), PWC (UK), Workiva (US), LSEG(UK), Greenstone (UK), Diligent (US), Sphera (US), Cority (Canada), and Intelex (Canada)

Market Highlights

The global ESG Reporting Software Market is accounted to register a CAGR of 18.00% during the forecast period and is estimated to reach USD 4.87 billion by 2032.

The ESG reporting software market is projected to grow significantly, driven by the anticipated increase in the adoption and implementation of ESG investment solutions.

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Segment Analysis

The global ESG Reporting Software Market has been segmented based on the Offering, Deployment Mode, Organization Size, and Vertical.

Based on the Offering, the market is segmented into Software (Environmental ESG Reporting Software, Social ESG Reporting Software, Governance ESG Reporting Software) and Services (Consulting, Integration & Deployment, Support & Maintenance). The Software segment was attributed to holding the largest market share in 2023. ESG reporting software can seamlessly integrate with enterprise systems like ERP (Enterprise Resource Planning), CRM (Customer Relationship Management), and financial reporting systems. This integration ensures consistent and accurate capture of ESG data throughout the organization. Moreover, these software solutions can scale to meet the growing data requirements of expanding companies, ensuring ongoing compliance with ESG reporting standards.

Based on the Deployment Mode, the ESG Reporting Software Market has been segmented into On-premises and Cloud. The Cloud segment was expected to hold the largest market share in 2023. Cloud-based ESG reporting software can scale effortlessly to meet the growing data and reporting demands of expanding companies. This scalability ensures that as a company’s ESG data volume increases, the software can manage the additional load without compromising performance. Additionally, cloud solutions offer deployment and customization flexibility, allowing organizations to tailor the software to their specific reporting needs and regulatory requirements. This adaptability enables companies to respond quickly to evolving ESG standards and stakeholder expectations.

Based on the Organization Size, the ESG Reporting Software Market has been segmented into Large Enterprises and SMEs. The Large Enterprises segment was expected to hold the largest market share in 2023. Large enterprises are subject to more stringent regulatory requirements and scrutiny than smaller organizations. They must adhere to numerous national and international ESG reporting regulations, necessitating comprehensive and accurate ESG reporting. This drives the adoption of sophisticated software solutions to ensure compliance.

Based on the Vertical, the ESG Reporting Software Market has been segmented as BFSI, Government, Public Sector & Non-Profit, Manufacturing, Food & Beverages, Retail & Consumer Goods, Energy & Utilities, and Other Verticals. The Government, Public Sector & Non-Profit segment was expected to hold the largest market share in 2023. Given the emphasis on global emissions reporting, a popular approach has been to treat a government's ESG exposures similarly to a country's national aggregate emissions. Governments can manage and offset the costs of ESG risks and significantly influence outcomes through their policy and regulatory roles. However, the initial measurement and attribution of ESG risks are best captured by assigning them to each sector. Public bodies have strong incentives to be transparent about their impact due to their objectives being linked to the public interest and benefit.

Regional Analysis

The global ESG Reporting Software Market, based on region, has been divided into North America, Europe, Asia-Pacific, and Rest of the World. North America consists of the US and Canada. The Europe ESG Reporting Software Market comprises of Germany, France, the UK, Italy, Spain, and the rest of Europe. The ESG Reporting Software Market in Asia-Pacific has been segmented into China, India, Japan, Australia, South Korea, and the rest of Asia-Pacific. The Rest of the World ESG Reporting Software Market comprises the Middle East, Africa, and Latin America.

The largest market share for the ESG Reporting Software Market was maintained by the North American regional sector. In North America, ESG reporting software is essential for companies to track, manage, and report their sustainability initiatives and performance. In 2020, Canadian businesses sold $19.5 billion worth of environmental and clean technology goods, while related services generated $11.1 billion. The environmental and clean technology products sector in Canada was valued at $67.5 billion, contributing 3.3% to the country’s gross domestic product. Additionally, 322,972 jobs were attributed to this sector. With the increasing emphasis on corporate social responsibility and sustainable business practices, there is a growing demand for ESG reporting software in the region. These solutions equip companies with the tools to collect, analyze, and report data on their environmental impact, social initiatives, and corporate governance practices.

Moreover, the Europe market has been persistently growing over the forecast period. Europe has taken a leading role in implementing rigorous regulatory frameworks and standards for ESG reporting. According to the 'ESG KPI Report,' 78% of firms had processes for ESG investment and portfolio management in 2022, with buyout firms showing even higher adoption at 90%. Additionally, 12% of portfolio companies had committed to Net Zero goals in 2022, increasing to 20% among buyouts. Key initiatives like the European Green Deal, Sustainable Finance Disclosure Regulation (SFDR), and EU Taxonomy Regulation have driven companies across the region to improve their ESG disclosures significantly. Consequently, there is a robust demand for ESG reporting software that enables businesses to meet these regulatory requirements efficiently.

Countries across the Asia-Pacific (APAC) region, including China, Japan, India, and Southeast Asian nations, are witnessing robust economic growth and industrial development. This growth has attracted substantial domestic and foreign investments into sectors increasingly focusing on sustainability and ESG factors. According to SynTao Green Finance, 31.5% of A-share listed companies issued ESG reports in 2022, marking a 6.2% increase from the previous year, with expectations for continued growth. ICMA Statistics indicate a rising trend in ESG disclosures, with the proportion of companies disclosing increasing from 16% in 2018 to 19% in 2021. Listed companies showed a higher willingness to actively disclose compared to bond issuers, with disclosure rates at 28% and 16%, respectively, in 2021. As companies in APAC expand globally, there is an increasing demand for ESG reporting software to align with international standards and meet investor expectations effectively.

Furthermore, the rest of the world's ESG Reporting Software Market is divided into the Middle East, Africa, and Latin America. Organizations, industry associations, and international bodies are playing a crucial role in promoting ESG reporting and capacity building in the Middle East, Africa, and Latin America. Initiatives aimed at educating companies about the benefits of ESG reporting, providing training on sustainability practices, and offering technical assistance for adopting ESG reporting software are contributing to the market's growth and maturity in these regions.

Key Findings of the Study

• The global ESG Reporting Software Market is expected to reach USD 4.87 billion by 2032, at a CAGR of 18.00% during the forecast period.


• The Asia-Pacific region accounted for the fastest-growing global market owing to the region's rapid economic development and increasing focus on sustainable business practices.


• Based on Organization Size, the Large Enterprises segment was attributed to holding the largest market in 2023, with an approximate market share of 55–60%.


• Wolters Kluwer (Netherlands), Nasdaq (US), PWC (UK), Workiva (US), LSEG(UK), Greenstone (UK), Diligent (US), Sphera (US), Cority (Canada), and Intelex (Canada) are the key market players.