Paycom Strengths, Domain Expertise, and Key Differentiators
Paycom's solution is based on a core system of record that contains payroll and HR information in one convenient database, thereby reducing costs and eliminating the need for multiple software products and vendors and the 2 maintenance of employee data in numerous databases. This core system of record enables clients to input employee data one time and enjoy seamless functionality across applications. When a revision is made to the file of an employee, all appropriate personnel have access to the change in real-time. In addition, the core system of record helps clients minimize the risk of compliance errors due to inaccurate or missing information that results from maintaining multiple databases. Through accurate tracking and management of employee payroll and other HR data, such information can be compiled for comprehensive and consistent reporting for our clients.
Paycom Recent Developments
In August 2023 Paycom Software, Inc. unveiled its latest offering, Everyday™, allowing users to access daily pay without incurring costly fees*. This product, used alongside Paycom’s Vault Visa® Payroll Card and Beti®, offers employees the ability to manage their payroll seamlessly.
In June 2023 Paycom Software Inc. introduced the Client Action Center, a new feature in its mobile app, designed to streamline client actions and provide real-time updates on banking and tax matters. The dashboard offers instant visibility into wire transfers and comprehensive tax monitoring, enhancing client convenience.
In July 2021, Paycom Software launched the industry’s first self-service payroll technology allowing employees to do their own payroll, improving data accuracy, oversight and the user experience for businesses and their employees on each payroll cycle. Paycom’s BetiTM (Better Employee Transaction Interface), an enhancement to the company’s existing payroll offering, further automates and streamlines the payroll process by empowering employees to do their own payroll, increasing efficiencies and reducing errors. Employees already manage all other components of their paychecks, including timecards, expenses, PTO requests and benefits; now they have the convenience within Paycom to process their own payroll, too.
Paycom Customers in ARTW Customer Database
Leveraging a rigorous data-centric research methodology, APPS RUN THE WORLD asks the simple question: Who’s buying Paycom applications and why? And we provide the answers – supported by decades of research – to our clients around the world. Our Customer database has over 100 data fields that detail company usage of Paycom and other enterprise apps by function, customer size, industry, location, implementation status, partner involvement, Line of Business Key Stakeholders and IT decision makers contact details. List of Verified Paycom Payroll customers.
Paycom Overview
Ownership: - NYSE:PAYC
Number of Employees: 6349
Functional Market: Absence and Leave Management, Workforce Analytics, Scheduling, Task Management, Time and Attendance, Core HR, Payroll, Benefits Administration, Pension Administration, Compliance, Onboarding, Recruiting, Applicant Tracking Systems, Performance Management, Learning and Development, Succession Planning, Compensation,
Key Verticals: Automotive, Banking and Financial Services, Communications, Construction, Real Estate, Consumer Packaged Goods, Distribution, K12, Higher Education, Federal Government, State and Local Government, Public Safety, Healthcare, Life Insurance, P&C Insurance, Specialty Insurance, Leisure and Recreation, Hospitality, Life Sciences, Manufacturing, Media, Faith-Based Nonprofit, Youth and Elderly Care, Special Cause Nonprofit, Oil and Gas, Chemicals, Professional Services, Retail, Transportation, Utilities,
Paycom Key Cloud and HCM Applications
Paycom Payroll
Paycom HCM and Cloud HCM Applications Revenues, $M:
| Type/Year | 2022 | 2023 | YoY Growth, % |
|---|---|---|---|
| Total Revenues, $M | Subscribe | Subscribe | Subscribe |
| HCM Applications Revenues, $M | Subscribe | Subscribe | Subscribe |
* HCM Applications Revenues = License + Support & Maintenance + SaaS ( Hardware and Prof. Services are Excluded )
** All revenue figures are estimates based on public records, Cloud and Non-Cloud business models in Apps Run The World's vendor database, and annual survey results including vendor feedback.
Paycom Revenue Breakdown by Type:
Paycom HCM Applications Revenues By Sub-Functional Markets, $M:
Split by Sub-Functional Markets | % of HCM Revenue in the HR Segment | 2023 HCM Revenues, By HR Segment, $M | |
Paycom HCM Applications Revenues By Verticals, $M:
Paycom Total and HCM Applications Revenues by Region:
| Region | % of Total Revenues | 2023 Total Revenues, $M | 2023 HCM Applications Revenues, $M |
|---|---|---|---|
| Americas | Subscribe | Subscribe | Subscribe |
| EMEA | Subscribe | Subscribe | Subscribe |
| APAC | Subscribe | Subscribe | Subscribe |
| Total | Subscribe | Subscribe | Subscribe |
Paycom Direct vs Indirect sales
| Region | Direct Sales | Indirect Sales | Total |
|---|---|---|---|
| Type % | Subscribe | Subscribe | Subscribe |
| Revenues, $M | Subscribe | Subscribe | Subscribe |
Paycom Customers - Breakdown by Geo, Size, Vertical and Product
List of Verified Paycom Customers
No. of Paycom Customers: 36651
No. of Paycom HCM Applications Customers: 36651
No. of Paycom Cloud HCM Customers: 36651
No. of Paycom Cloud HCM Subscribers: 6.5 milion
Paycom serves a diverse client base in terms of size and industry. They have approximately 36,561 clients or approximately 19,081 clients based on parent company grouping, none of which constituted more than one-half of one percent of their revenues for the year ended December 31, 2022. Paycom stored data for over 6.5 million persons employed by their clients during the year ended December 31, 2020. As a result of the nature and size of Paycom's clientele, they maintain a diversified client base and very low revenue concentration among their clients. Paycom believes, however, that larger employers represent a substantial opportunity to increase the number of clients we serve and to increase their revenues per client with limited incremental cost. As Paycom attracts clients at the higher end of our target client size range, they may face longer sales cycles and less predictability in completing some of their sales.
Paycom Market Opportunities, M&A and Geo Expansions
Paycom Software, Inc. a provider of cloud-based human capital management (HCM) software, has launched Global HCM™, a comprehensive solution that enables businesses and their domestic and international employees to manage HR needs within a single system. Available in 15 languages and dialects, Global HCM™ streamlines processes and enhances workforce engagement across organizations spanning over 180 countries. With features like Employee Self-Service® and Manager on-the-Go®, this solution eliminates the need for multiple systems and logins, offering a seamless user experience.
Paycom Risks and Challenges
The market for HCM solutions is rapidly evolving, highly competitive, and subject to changing technology, shifting client needs, and frequent introduction of new products and services. Paycom's competitors range from small, regional firms to large, well-established international firms with multiple product offerings. Paycom competes with firms that provide HCM solutions by various means. Many providers continue to deliver legacy enterprise software, but as demand for greater flexibility and access to information grows, Paycom believes there will be increased competition in the delivery of HCM cloud-based solutions by other SaaS providers. Their competitors offer HCM solutions that may overlap with one, several or all categories of applications and include companies such as Automatic Data Processing, Inc., Ceridian HCM, Inc., Cornerstone OnDemand, Inc., Intuit, Inc., Insperity, Inc., Oracle Corporation, Paychex, Inc., Paylocity Holding Corporation, Paycor Inc., SAP SE, ServiceNow, Inc., Ultimate Kronos Group, Workday, Inc. and other local and regional providers. Competition in the HCM solutions market is primarily based on service responsiveness, product quality, and reputation, breadth of service, application offering, and price. The importance of these factors depends on the size of the business. Price tends to be the most important factor of competition for smaller businesses with fewer employees, while the scope of features and customization is more important to larger businesses. Regardless of a company’s size, another important factor is the implementation experience, as all organizations are seeking a streamlined and simplified process.
In the first quartal of this year, Paycom has promoted Chris Thomas, former COO, to co-CEO alongside founder Chad Richison. Thomas, who joined in 2018, brings extensive leadership experience, having overseen various departments. Richison will focus on product innovation and strategy, while Thomas will manage other aspects of the business. The move reflects Paycom's commitment to continued growth and excellence in the HR and payroll software industry.
Paycom's transition from a payroll-centric service provider to a full-blown HCM applications vendor with extensive offerings from Core HR to talent management will test its ability to sustain its innovation quotient.
Paycom Ecosystem, Partners, Resellers and SI
Paycom expands its reach into Canada and Mexico offering its innovative payroll solution, Beti®, to North American businesses. This move follows the recent launch of Global HCM™, extending Paycom's software availability to users in over 180 countries. With Beti®, Paycom aims to streamline payroll processing and enhance HR capabilities for organizations with Canadian employees.
Paycom Cloud Platform (PaaS) and Infrastructure (IaaS) Details
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- Paycom Public Cloud and Infrastructure (IaaS)
- Paycom Platform (PaaS)
- Paycom Application Delivery
- Paycom Private Cloud and Data Centers
Research Methodology
Data used in research reports are derived from publicly available documents, continuous surveys of applications vendors, customers, resellers, Independent Software Vendors, systems integrators and other verifiable sources.
Vendor shares and market forecast results are based on a combination of existing databases as well as demand side and supply side research conducted throughout the year with validation from vendors, customers, channel partners and documentations such as earnings releases and 10Q and 10K filings, vertical industry studies, regional and country-level statistics from public and private institutions(i.e. colleges, universities, government agencies and trade associations).
For additional information on our methodologies, here's the link:
https://www.appsruntheworld.com/taxonomy
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