Business Analytics & Enterprise Software Publishing in the US - Market Research Report (2013-2028)
New York, United States
Last Updated: November 2023
NAICS 51121cRevenue
$174.2bn
Past 5-Year Growth
Profit
$XX.Xbn
Employees
316k
Businesses
14,894
Wages
$XX.Xbn
Business Analytics & Enterprise Software Publishing in the US industry analysis
The business software industry has firmly established itself as the linchpin of the modern enterprise ecosystem, reacting agilely to the ever-evolving demands of digital economic transformation. Propelled by advancements in automation and analytics and marked by a significant CAGR of 9.8% from 2018 to 2023, the bevy of enterprise software solutions has enhanced operational efficiency and fueled strategic growth across internal and external domains. Heavy investment in technologies like SaaS and no-code customization, made possible by 2023's $174.2 billion in revenue, have streamlined software deployment and update procedures - factors that notably benefit providers and end-users within a competitive landscape.
Trends and Insights
- Enterprise software is reaching saturation in major clients. Instead, developers are switching to focus on mid-size and small business clients, as they experience far higher churn.
- Business software products permeate the entire business lifecycle. Clients implement software for client management, shipping, analytics and almost everything else.
- Business software development companies locate near business centers. However, the rise of remote work is enabling developers to move anywhere and lower their work costs.
- Large software companies benefit from transforming global business. Colleges and education systems will focus on the most established software, encouraging companies to leverage this talent and buy more subscriptions.
Industry Overview
Market size and recent performance (2013-2028)
Industry revenue has grown at a CAGR of 9.8 % over the past five years, to reach an estimated $174.2bn in 2023.
Trends and Insights
Business software use upholds the modern digital economy
- Positive trends toward automation, large capital investments and greater acceptance of technology in the workplace have stimulated high private investment in computers and software, and easy-to-implement software in particular.
- Additional trends and insights available with purchase
Source: IBISWorld
Industry outlook (2024-2029)
Market size is projected to grow over the next five years.
Trends and Insights
Exhaustion of massive software clients will contribute to diminished growth
- Small- and mid-sized businesses across various industries are expected to adopt enterprise and analytics software across all sectors.
Biggest companies in the Business Analytics & Enterprise Software Publishing in the US
| Company | Market Share (%)
2023 | Revenue ($m)
2023 | Profit ($m)
2023 | Profit Margin (%)
2023 |
|---|---|---|---|---|
Sap Se | 19,327.1 | 3,429.8 | 17.7 | |
Salesforce.Com, Inc. | 16,502.7 | 238.3 | 1.4 | |
International Business Machines Corporation | 9,015.8 | 1,140.9 | 12.7 |
To view the market share and analysis for all 6 top companies in this industry, view purchase options.
Products & Services Segmentation
Source: IBISWorld
Industry revenue is measured across several distinct product and services lines, including Enterprise resource planning software, Business intelligence software and Customer relationship management software. Enterprise resource planning software is the largest segment of the Business Analytics & Enterprise Software Publishing in the US.
Trends and Insights
Enterprise resource planning software is the framework for modern businesses
- Enterprise resource planning (ERP) software is designed to automate back-office functions that do not directly interact with customers, including payroll, quality control, accounts receivable, order processing and work flow management.
- More insights available in the full report
Widen you competitive advantage with related industries
Competitors
- Operating Systems & Productivity Software Publishing in the US
Complementors
- Computer Manufacturing in the US
- Data Processing & Hosting Services in the US
- Database, Storage & Backup Software Publishing in the US
International industries
- Software Publishing in Canada
- Software Publishing in Australia
- Software Publishing in the UK
- Software Publishing in Ireland
- Software Development in Ireland
Table of Contents
About this industry
Industry definition
Companies in this industry develop and distribute business analytics, customer relationship management, business intelligence and other enterprise-oriented software. Operators may also provide consulting and technical support related to this software. This industry does not include publishers of productivity or database software or manufacturers of computer hardware.
What's included in this industry?
Business intelligence software publishingBusiness analytics software publishingEnterprise resource planning software publishingCustomer relationship management software publishingCompanies
Sap SeSalesforce.Com, Inc.International Business Machines CorporationPurchase this report to view all 6 major companies in this industry.
Related Terms
ENTERPRISE RESOURCE PLANNING (ERP)CUSTOMER RELATIONSHIP MANAGEMENT (CRM)DATA MININGSOFTWARE AS A SERVICE (SAAS)BUSINESS INTELLIGENCE (BI)SUPPLY CHAIN MANAGEMENT (SCM)OPEN ARCHITECTUREIndustry Code
NAICS 511210 - Business Analytics & Enterprise Software Publishing in the US
Performance
Get an indication of the industry's health through historical, current and forward-looking trends in the performance indicators that make or break businesses.
Analyst insights
Enterprise software is reaching saturation in major clients. Instead, developers are switching to focus on mid-size and small business clients, as they experience far higher ...
In this chapter (4)
- Current Performance
- Outlook
- Volatility
- Life Cycle
Key metrics
- Annual Revenue, Recent Growth, Forecast, Revenue Volatility
- Number of Employees, Recent Growth, Forecast, Employees per Business, Revenue per Employee
- Number of Businesses, Recent Growth, Forecast, Employees per Business, Revenue per Business
- Total Profit, Profit Margin, Profit per Business
Charts
- Revenue, including historical (2013-2022) and forecast (2023-2028)
- Employees, including historical (2013-2022) and forecast (2023-2028)
- Businesses, including historical (2013-2022) and forecast (2023-2028)
- Profit, including historical (2013-2023)
- Industry Volatility vs. Revenue Growth
- Industry Life Cycle
Detailed analysis
- Trends in supply, demand and current events that are driving current industry performance
- Expected trends, economic factors and ongoing events that drive the industry's outlook
- Key success factors for businesses to overcome volatility
- How contribution to GDP, industry saturation, innovation, consolidation, and technology and systems influence the industry's life cycle phase.
Products and Markets
Learn about an industry's products and services, markets and trends in international trade.
Analyst insight
Business software products permeate the entire business lifecycle. Clients implement software for client management, shipping, analytics and almost everything else.
In this chapter
- Products & Services
- Major Markets
Key metrics
- Largest market segment and value in 2023
- Product innovation level
Charts
- Products & services segmentation in 2023
- Major market segmentation in 2023
Detailed analysis
- Trends impacting the recent performance of the industry's various segments
- Innovations in the industry's product or service offering, specialization or delivery method
- Key factors that successful businesses consider in their offerings
- Buying segments and key trends influencing demand for industry products and services
Geographic Breakdown
Discover where business activity is most concentrated in an industry and the factors driving these trends to find opportunities and conduct regional benchmarking.
Analyst insights
Business software development companies locate near business centers. However, the rise of remote work is enabling developers to move anywhere and lower their work costs.
In this chapter (1)
- Business Locations
Charts
- Share of revenue, establishment, wages and employment in each state
- Share of population compared to establishments in each region in 2023
Tables
- Number and share of establishments in each state in 2023
- Number and share of revenue each state accounts for in 2023
- Number and share of wages each state accounts for in 2023
- Number and share of employees in each state in 2023
Detailed analysis
- Geographic spread of the industry across North America, and trends associated with changes in the business landscape
- Key success factors for businesses to use location to their advantage
Competitive Forces
Get data and insights on what's driving competition in an industry and the challenges industry operators and new entrants may face, with analysis built around Porter's Five Forces framework.
Analyst insights
Large software companies benefit from transforming global business. Colleges and education systems will focus on the most established software, encouraging companies to lever...
In this chapter (4)
- Concentration
- Barriers to Entry
- Substitutes
- Buyer & Supplier Analysis
Key metrics
- Industry concentration level
- Industry competition level and trend
- Barriers to entry level and trend
- Substitutes level and trend
- Buyer power level and trend
- Supplier power level and trend
Charts
- Market share concentration among the top 4 suppliers from 2018-2023
- Supply chain including upstream supplying industries and downstream buying industries, flow chart
Detailed analysis
- Factors impacting the industry’s level of concentration, such as business distribution, new entrants, or merger and acquisition activity.
- Key success factors for businesses to manage the competitive environment of the industry.
- Challenges that potential industry entrants face such as legal, start-up costs, differentiation, labor/capital intensity and capital expenses.
- Key success factors for potential entrants to overcome barriers to entry.
- Competitive threats from potential substitutes for the industry’s own products and services.
- Key success factors for how successful businesses can compete with substitutes.
- Advantages that buyers have to keep favorable purchasing conditions.
- Advantages that suppliers have to maintain favorable selling conditions.
- Key success factors for how businesses can navigate buyer and supplier power.
Companies
Learn about the performance of the top companies in the industry.
Analyst insights
The largest enterprise software developers are leaning into small and moderate-size business markets. Exploding business size and digitization have given software suppliers s...
In this chapter
- Market Share Concentration
- Companies
- Company Spotlights
Charts
- Industry market share by company in 2019 through 2023
- Major companies in the industry, including market share, revenue, profit and profit margin in 2023
- Overview of Sap Se's performance by revenue, market share and profit margin from 2017 through 2023
- Overview of Salesforce.Com, Inc.'s performance by revenue, market share and profit margin from 2017 through 2023
- Overview of International Business Machines Corporation's performance by revenue, market share and profit margin from 2017 through 2023
- Overview of revenue, market share and profit margin trend for 3 additional companies
Detailed analysis
- Description and key data for Sap Se, and factors influencing its performance in the industry
- Description and key data for Salesforce.Com, Inc., and factors influencing its performance in the industry
- Description and key data for International Business Machines Corporation, and factors influencing its performance in the industry
- Description, key data and performance trends for 3 additional companies
External Environment
Understand the demographic, economic and regulatory factors that shape how businesses in an industry perform.
Analyst insights
As a business-to-business industry, enterprise software development experiences little regulation outside of antitrust. Even COVID-19 failed to hit the industry hard, as many...
In this chapter
- External Drivers
- Regulation & Policy
- Assistance
Key metrics
- Regulation & policy level and trend
- Assistance level and trend
Charts
- Regulation & Policy historical data and forecast (2013-2028)
- Assistance historical data and forecast (2013-2028)
Detailed analysis
- Demographic and macroeconomic factors influencing the industry, including Regulation & Policy and Assistance
- Major types of regulations, regulatory bodies, industry standards or specific regulations impacting requirements for industry operators
- Key governmental and non-governmental groups or policies that may provide some relief for industry operators.
Financial Benchmarks
View average costs for industry operators and compare financial data against an industry's financial benchmarks over time.
Analyst insights
Software's replicability reduces purchase and depreciation costs for producers. Business software producers have become some of the most profitable companies in the economy.
In this chapter
- Cost Structure
- Financial Ratios
- Key Ratios
Key metrics
- Profit margin, and how it compares to the sector-wide margin
- Average wages, and how it compares to the sector-wide average wage
- Largest cost component as a percentage of revenue
- Industry average ratios for days' receivables, industry coverage and debt-to-net-worth ratio
Charts
- Average industry operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2023
- Average sector operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2023
- Investment vs. share of economy
Data tables
- Industry Multiples (2016-2021)
- Industry Tax Structure (2016-2021)
- Income Statement (2016-2021)
- Balance Sheet (2016-2021)
- Liquidity Ratios (2016-2021)
- Coverage Ratios (2016-2021)
- Leverage Ratios (2016-2021)
- Operating Ratios (2016-2021)
- Cash Flow & Debt Service Ratios (2013-2028)
- Revenue per Employee (2013-2028)
- Revenue per Enterprise (2013-2028)
- Employees per Establishment (2013-2028)
- Employees per Enterprise (2013-2028)
- Average Wage (2013-2028)
- Wages/Revenue (2013-2028)
- Establishments per Enterprise (2013-2028)
- IVA/Revenue (2013-2028)
- Imports/Demand (2013-2028)
- Exports/Revenue (2013-2028)
Detailed analysis
- Trends in the cost component for industry operators and their impact on industry costs and profitability
Key Statistics
Industry Data
Data Tables
Including values and annual change:
- Revenue (2013-2028)
- IVA (2013-2028)
- Establishments (2013-2028)
- Enterprises (2013-2028)
- Employment (2013-2028)
- Exports (2013-2028)
- Imports (2013-2028)
- Wages (2013-2028)
Methodology
How are IBISWorld reports created?
IBISWorld has been a leading provider of trusted industry research for over 50 years to the most successful companies worldwide. With offices in Australia, the United States, the United Kingdom, Germany and China, we are proud to have local teams of analysts that conduct research, data analysis and forecasting to produce data-driven industry reports.
Our analysts start with official, verified and publicly available sources of data to build the most accurate picture of each industry. Analysts then leverage their expertise and knowledge of the local markets to synthesize trends into digestible content for IBISWorld readers. Finally, each report is reviewed by one of IBISWorld’s editors, who provide quality assurance to ensure accuracy and readability.
IBISWorld relies on human-verified data and human-written analysis to compile each standard industry report. We do not use generative AI tools to write insights, although members can choose to leverage AI-based tools within the platform to generate additional analysis formats.
What data sources do IBISWorld analysts use?
Each industry report incorporates data and research from government databases, industry-specific sources, industry contacts, and our own proprietary database of statistics and analysis to provide balanced, independent and accurate insights.
Key data sources in the US include:
- US Census Bureau
- US Bureau of Labor Statistics
- US International Trade Commission
Analysts also use industry specific sources to complement catch-all sources, although their perspective may focus on a particular organization or representative body, rather than a clear overview of all industry operations. However, when balanced against other perspectives, industry-specific sources provide insights into industry trends.
These sources include:
- Industry and trade associations
- Industry federations or regulators
- Major industry players annual or quarterly filings
Finally, IBISWorld’s global data scientists maintain a proprietary database of macroeconomic and demand drivers, which our analysts use to help inform industry data and trends. They also maintain a database of statistics and analysis on thousands of industries, which has been built over our more than 50-year history and offers comprehensive insights into long-term trends.
How does IBISWorld forecast its data?
IBISWorld’s analysts and data scientists use the sources above to create forecasts for our proprietary datasets and industry statistics. Depending on the dataset, they may use regression analysis, multivariate analysis, time-series analysis or exponential smoothing techniques to project future data for the industry or driver. Additionally, analysts will leverage their local knowledge of industry operating and regulatory conditions to impart their best judgment on the forecast model.
IBISWorld prides itself on being a trusted, independent source of data, with over 50 years of experience building and maintaining rich datasets and forecasting tools. We are proud to be the keystone source of industry information for thousands of companies across the world.
Learn more about our methodology and data sourcing on the Help Center.
Frequently Asked Questions
Unlock comprehensive answers and precise data upon purchase. View purchase options.
What is the market size of the Business Analytics & Enterprise Software Publishing in the US industry in United States in 2024?
The market size of the Business Analytics & Enterprise Software Publishing in the US industry in United States is $174.2bn in 2024.
How many businesses are there in the Business Analytics & Enterprise Software Publishing in the US industry in 2023?
There are 14,894 businesses in the Business Analytics & Enterprise Software Publishing in the US industry in United States, which has grown at a CAGR of 4.1 % between 2018 and 2023.
Has the Business Analytics & Enterprise Software Publishing in the US industry in United States grown or declined over the past 5 years?
The market size of the Business Analytics & Enterprise Software Publishing in the US industry in United States has been growing at a CAGR of 9.8 % between 2018 and 2023.
What is the forecast growth of the Business Analytics & Enterprise Software Publishing in the US industry in United States over the next 5 years?
Over the next five years, the Business Analytics & Enterprise Software Publishing in the US industry in United States is expected to grow.
What are the biggest companies in the Business Analytics & Enterprise Software Publishing in the US market in United States?
The biggest companies operating in the Business Analytics & Enterprise Software Publishing market in United States are Sap Se, Salesforce.Com, Inc. and International Business Machines Corporation
What does the Business Analytics & Enterprise Software Publishing in the US in United States include?
Business intelligence software publishing and Business analytics software publishing are part of the Business Analytics & Enterprise Software Publishing in the US industry.
Which companies have the highest market share in the Business Analytics & Enterprise Software Publishing in the US in United States?
The company holding the most market share in United States is Sap Se.
How competitive is the Business Analytics & Enterprise Software Publishing in the US industry in United States?
The level of competition is high and increasing in the Business Analytics & Enterprise Software Publishing in the US industry in United States.
