Global Cloud-based Payroll Software Market 2017-2021
About Cloud-based Payroll Software
Payroll software automates, organizes, and simplifies complex compensation planning and enables managers to improve budget allocations, increase accuracy, and align compensation decisions with organizational guidelines. Enterprises are implementing payroll software to make better compensation decisions while reducing cycle times with up-to-date, accurate, and auditable processes. Cloud-based payroll software is being installed by companies as it is economical and improves the efficiency of the compensation and review processes. The growing acceptance of cloud-based payroll software can be attributed to its advantages over the traditional payroll process. Cloud-based payroll software enables organizations to access data and services remotely through a web-browser without installing and managing application software. Cloud-based payroll software also provides flexibility in the deployment and has a short implementation time. This reduces implementation cost and improves the return on investment. One of the main benefits of cloud-based payroll software is the ability to access it from anywhere.
Technavio’s analysts forecast the global cloud-based payroll software market to grow at a CAGR of 12.09% during the period 2017-2021.
Covered in this report
The report covers the present scenario and the growth prospects of the global cloud-based payroll software market for 2017-2021. To calculate the market size, the report considers the revenue generated from the sales of cloud-based payroll software subscription, maintenance and support, installation, customization, and training.
The market is divided into the following segments based on geography:
Technavio Announces the Publication of its Research Report – Global Cloud-based Payroll Software Market 2017-2021
Technavio recognizes the following companies as the key players in the global cloud-based payroll software market: ADP, CoreHR, Oracle, Paychex, SAP Success Factors, Ultimate Software, and Workday
Other Prominent Vendors in the market are: Aditro, Advanced, Affinity, Ascentis, BenefitMall, beqom, Ceridian HCM, CloudPay, Datacom Group, Execupay, Gusto, iAdmin, IRIS Software Group, Paycom, Payroo, Sage (UK), and SmartPayroll Australia Pty.
Commenting on the report, an analyst from Technavio’s team said: “The latest trend gaining momentum in the market is Rising demand for integrated HCM solutions. End-users prefer vendors that provide integrated and converged software suites as opting for different software may lead to integration issues. Integrated products and software suites from the same vendor have better integration ability and support other functions. As the increased complexity of network infrastructure has made integration an important buying criterion, solutions with better integration are finding higher adoption. Witnessing this demand, all major vendors are providing software suites with features such as talent management, payroll planning, recruitment, performance management and appraisal, and workforce management. Integrated HCM software enables enterprises to manage its workforce in a comprehensive way, which, in turn, enables HR to take a more strategic decision in the company.”
According to the report, one of the major drivers for this market is Reduction in TCO. For traditional on-site security software, TCO includes a high upfront software license cost and software implementation cost coupled with a high maintenance cost. In the case of cloud, cloud vendors are responsible for the implementation, maintenance, updates, and backup of software, thereby reducing the need for internal IT administration. In addition, the pricing model of cloud-based payroll software is based on the pay-per-use model, where customers pay according to their use of the services, as opposed to a traditional on-site model that requires a one-time substantial capital investment and ongoing operational costs.
Further, the report states that one of the major factors hindering the growth of this market is Concerns regarding data security. Vendors in the global cloud-based payroll software market are handling very sensitive information of employees, and enterprises are concerned about their data getting into the wrong hands. Cloud-based payroll software vendors act as third-party vendors and manage enterprise-wide data. This is often a point of concern for managers and decision makers as data security and privacy are the greatest concerns for many organizations. The leakage of sensitive client data by cloud-based payroll software vendors may negatively affect the growth of the market. Data hosted in the cloud is sometimes perceived to be more vulnerable to hacker attacks than data residing behind the firewall. Hence, it is very important for cloud-based payroll software vendors to provide reliable security solutions for storing and managing confidential end-user data.
ADP, CoreHR, Oracle, Paychex, SAP Success Factors, Ultimate Software, Workday, Aditro, Advanced, Affinity, Ascentis, BenefitMall, beqom, Ceridian HCM, CloudPay, Datacom Group, Execupay, Gusto, iAdmin, IRIS Software Group, Paycom, Payroo, Sage (UK), and SmartPayroll Australia Pty.