Asia Pacific ERP Software Market Overview
Asia Pacific ERP Software Market Size was valued at USD 12.2 Billion in 2022. The ERP software market industry is projected to grow from USD 14.1 Billion in 2023 to USD 43.6 Billion by 2032, exhibiting a compound annual growth rate (CAGR) of 15.20% during the forecast period (2023 - 2032). The desire for data-driven choices, operational efficiency, and transparency in business operations, along with the increased adoption of mobile and cloud applications, are the main market drivers driving the growth of the Asia Pacific ERP software market.
Figure 1: Asia Pacific ERP Software Market Size, 2024-2032 (USD Billion)
Source: Secondary Research, Primary Research, MRFR Database and Analyst Review
ERP Software Market Trends
Rapidly expanding information technology services to accelerate market growth
Rapidly expanding information technology services to accelerate market growth Infrastructure for information technology (I.T.) has been expanding quickly in wealthy nations since the middle of the 1980s, and during the last 20 years, adoption of I.T. has accelerated in developing nations. China and India, two developing nations with a combined population of over 1.6 billion internet users, account for the greatest user bases. China declared in 2021 that over USD 1.2 trillion would be invested in IT infrastructure in the ensuing years. More than USD 9 billion will be spent by India in FY23.
The Digital Europe Programme, according to the European Commission, intends to boost its digital infrastructure by investing Euro 1.38 billion over the next few years. Furthermore, the demand for product data management, ERP systems for data mining, and product life cycle management would rise significantly as a result of nearly every region's heavy investment in developing its I.T. and related businesses. This would further solidify the expansion of ERP software market CAGR.
Moreover, even though the pandemic caused a large number of business closures, the number of new firms that opened after the initial COVID wave almost exactly balanced each other out. About 4.4 million company applications were received in 2020, and that number increased to 5.4 million in 2021, according to the U.S. Census Bureau. In Europe, more than 100,000 new businesses were registered in 2020 and 2021.
In 2020, China had approximately 1.2 million new business registrations. In FY21, more than 350,000 business submissions came from Australia. In India, in Q1 2021, close to 36,000 new companies were incorporated. Therefore, the need for ERP software, including supplier relationship management and customer relationship management, will increase in tandem with the startling increase in the number of newly registered enterprises. Thus, driving the ERP software market revenue.
ERP Software Market Segment Insights
ERP Software Component Insights
The Asia Pacific ERP Software market segmentation, based on component includes software and service. The service category led the market in 2022. ERP software is mostly used in the services industry for resource management, project planning, and client relationship management. One of the main developments is the emergence of cloud-based ERP systems designed specifically for service-oriented companies, which improve scalability and facilitate remote work.
ERP Software Deployment Model Insights
The Asia Pacific ERP Software market segmentation, based on deployment model, includes on-premise, cloud and hybrid. The on-premise category generated the most income. Over the course of the forecast period, the on-premise deployment strategy is anticipated to drive the market due to its advantages, which include continuous control and high data security within an enterprise. In addition, a number of developing nations find it easier to embrace on-premise solutions due to a lack of knowledge for advantages of cloud-based business solutions.
Figure 1: Asia Pacific ERP Software Market, by Deployment Model, 2022 & 2032 (USD Billion)
Source: Secondary Research, Primary Research, MRFR Database and Analyst Review
ERP Software Business Function Insights
The Asia Pacific ERP Software market segmentation, based on business function, includes finance, human resource (HR), supply chain, customer management, inventory management, manufacturing module and others. The finance category generated the most income. Managing a variety of financial tasks, such as accounting, investments, asset management, and cash flow management, is made easier with the help of ERP software. Therefore, it is anticipated that demand would increase during the forecast period due to the increased adoption of ERP in the financial function.
ERP Software End User Insights
The Asia Pacific ERP Software market segmentation, based on end user, includes large enterprises, medium enterprises and small enterprises. The large enterprises category generated the most income. One of the main reasons fueling the segment's growth is the growing requirement of large organizations to maintain and align complex operations like order fulfillment, production planning, inventory management, procurement, and shipping, among others.
ERP Software Industry Vertical Insights
The Asia Pacific ERP Software market segmentation, based on industry vertical, includes manufacturing, BFSI, healthcare, retail & distribution, government & utilities, IT & telecom, construction, aerospace & defense and others. The manufacturing category generated the most income. ERP software controls operations, including keeping an eye on daily activities, keeping tabs on daily results, and providing client services that are anticipated to increase demand in the coming years. Real-time data tracking, production scheduling, and inventory management simplicity are further factors that are anticipated to boost expansion.
ERP Software Regional Insights
The expanding small and medium-sized businesses and the burgeoning industrial sector are projected to fuel growth in the Asia-Pacific market. To increase efficiency and performance, numerous businesses in the area have already put in place on-premise ERP systems. Furthermore, it is projected that the growing number of start-ups and their escalating need for cloud-based solutions will fuel market expansion. Moreover, demand is anticipated to increase during the projection period due to government support for the implementation of IT infrastructure. However, due to its robust economic growth and the continuous advancements in inventory management and enterprise resource planning,
China is anticipated to grow at the fastest rate during the forecast period. This encourages businesses to make significant investments in the Asia-Pacific ERP market in order to maintain growth and boost productivity. In addition, the market growth is significantly influenced by factors like the significant trend toward digital transformation, the use of cloud computing and other technical advancements by small and medium-sized organizations, and the ongoing modernization of work force management strategies in emerging economies. In order to maintain their competitiveness in the market, major players in China are also concentrating on improving their operations and overall efficiency, which is anticipated to present profitable prospects for the market's growth over the forecast period.
Figure 2: ASIA PACIFIC ERP SOFTWARE MARKET SHARE BY REGION 2022 (USD Billion)
Source: Secondary Research, Primary Research, MRFR Database and Analyst Review
ERP Software Key Market Players & Competitive Insights
Leading market players are investing heavily in research and development in order to expand their product lines, which will help the ERP software market, grow even more. Market participants are also undertaking a variety of strategic activities to expand their footprint, with important market developments including new product launches, contractual agreements, mergers and acquisitions, higher investments, and collaboration with other organizations. To expand and survive in a more competitive and rising market climate, ERP software industry must offer cost-effective items.
Key Companies in the ERP software market include
Recent Development
In July 2024, SAP and Indigi Consulting & Solutions Pvt Ltd introduced 'GROW with SAP,' a leading Cloud-based enterprise resource planning (ERP) solution specifically tailored for small and mid-sized businesses.Grow with SAP provides companies with a user-friendly, customized, smart, and cooperative interface that simplifies daily tasks. Additionally, with a 99.7% guaranteed uptime, businesses can depend on a strong and durable digital foundation while maintaining their focus on revenue and profitability.
Cloud ERP is an ERP system that operates on a vendor's cloud platform rather than a local network, enabling enterprises to access it via the internet. ERP software streamlines and automates crucial financial and operational business processes, consolidating data from many sources such as inventories, orders, and supply chain management. It facilitates tasks related to procurement, production, distribution, and fulfillment. The Innovation Day event featured business leaders from the top 50 firms in several industries. The event highlighted how numerous mid-sized organizations are utilizing cloud technology to reshape their business processes, enhance their flexibility, and stimulate growth.
In May 2024, GoodDay Software introduced GoodDayOSTM, the inaugural retail operating system integrated directly into Shopify. This launch aligns with the company's objective to revolutionize ERP by providing developing brands with user-friendly and accessible enterprise-grade operating capabilities. GoodDayOSTM stands apart from standard ERP systems because to its simplicity, affordability, and seamless integration capabilities. It has modern and user-friendly interfaces, making it easy to set up and navigate.
Moreover, it has been specifically built to assist expanding brands in effectively managing their inventory. The technology empowers operators to establish additional avenues for sales and distribute inventory among virtual inventory sites and wholesale customers with certainty, while prioritizing profit margins and cash flow. GoodDayOSTM enhances operational efficiency by eliminating the need for manual spreadsheets and disconnected point solutions. It provides brands with precise operating data, enabling them to grow more effectively. The GoodDay team consists of skilled brand operators who have a natural inclination to enhance the well-being of its users.
ERP Software Market Segmentation
ERP Software Component Outlook
ERP Software Deployment Model Outlook
ERP Software Business Function Outlook
ERP Software End User Outlook
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Large Enterprises
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Medium Enterprises
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Small Enterprises
ERP Software Industry Vertical Outlook
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Manufacturing
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BFSI
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Healthcare
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Retail & Distribution
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Government & Utilities
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IT & Telecom
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Construction
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Aerospace & Defense
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Others
ERP Software Regional Outlook
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Asia-Pacific
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China
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Japan
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India
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Australia
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South Korea
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Indonesia
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Thailand
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Vietnam
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Malaysia
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Singapore
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Rest of Asia-Pacific
| Report Attribute/Metric |
Details |
| Market Size 2022 |
USD 12.2 Billion |
| Market Size 2023 |
USD 14.1 Billion |
| Market Size 2032 |
USD 43.6 Billion |
| Compound Annual Growth Rate (CAGR) |
15.20% (2023-2032) |
| Base Year |
2022 |
| Market Forecast Period |
2023-2032 |
| Historical Data |
2018- 2022 |
| Market Forecast Units |
Value (USD Billion) |
| Report Coverage |
Revenue Forecast, Market Competitive Landscape, Growth Factors, and Trends |
| Segments Covered |
Component, Deployment Model, Business Function, End User, Industry Vertical, and Region |
| Region Covered |
Asia Pacific |
| Countries Covered |
China, Japan, India, Australia, South Korea, Indonesia, Thailand, Vietnam, Malaysia, Singapore, and Rest of Asia-Pacific |
| Key Companies Profiled |
Digiwinx Infotech PVT. LTD., Synergix Technologies, Focus Softnet PTE LTD, IFS AB., Deskera, HashMicro Pte. Ltd, 3i Infotech LTD., Rorko Technologies, Tigernix Pte. Ltd., Accentuate Pte. Ltd |
| Key Market Opportunities |
Integration of AI, cloud-based technologies, and advanced analytics Demand for real-time cross-border data sharing due to globalization is driving businesses to engage in enterprise resource planning (ERP) for smooth international operations |
| Key Market Dynamics |
Increasing IT sector supported by digitization Significant rise in manufacturing industry |
Frequently Asked Questions (FAQ) :
The Asia Pacific ERP Software market size was valued at USD 12.2 Billion in 2022.
The market is projected to grow at a CAGR of 15.20% during the forecast period, 2023-2032.
The key players in the market are Digiwinx Infotech PVT. LTD., Synergix Technologies, Focus Softnet PTE LTD, IFS AB., Deskera, HashMicro Pte. Ltd, 3i Infotech LTD., Rorko Technologies, Tigernix Pte. Ltd., Accentuate Pte. Ltd.
The service category dominated the market in 2022.
The manufacturing category had the largest share in the market.
