In 2021, the top 10 Construction software vendors accounted for nearly 43.4% of the global Construction applications market which grew 21.8% to approach nearly $10.3 billion in license, maintenance and subscription revenues.
Oracle is the market leader with a 7.5% market share in license, maintenance and subscription revenue, followed by Bentley Systems, Procore, and Microsoft.
We ask the simple question: Who’s buying Construction applications from whom and why? And we provide the answers – supported by decades of research – to our clients around the world. (Sample from our Apps Database)
Through our forecast period, the Construction applications market size is expected to reach $12.4 billion by 2026, compared with $10.3 billion in 2021 at a compound annual growth rate of 7.9%.
| Exhibit 2: Worldwide Construction Software Market 2021-2026 Forecast, $M | |||
|---|---|---|---|
| Year | 2021 | 2026 | 2021-2026 CAGR, % |
| Total | 10344 | 12414 | 7.9% |
Source: Apps Run The World, September 2022
Top 10 Construction Software vendors
Construction (Contracting and building of commercial, public, and residential structures, real estate management) – Bidding, cost estimates, Time Tracking, Homebuilder Software, Quantity Takeoff Software, Property Management, Financials, HR, Procurement
The consolidation wave among ISVs that specialize in construction will limit options for buyers. The latest is Oracle buying Textura for building information management. A robust rental market will help drive apps that better manage properties for landlords and REITs.
Here are the rankings of the top 10 Construction software vendors in 2021 and their market shares.
| Rank | Vendor | 2020 Construction Apps Revenues, $M | 2021 Construction Apps Revenues, $M | YoY Growth | 2021 Construction Market Share, % | Recent Developments |
|---|---|---|---|---|---|---|
| 1 | Oracle | Subscribe | Subscribe | 4.9% | Subscribe | In July 2022, Oracle released Oracle Construction Intelligence Cloud Analytics. This data analytics application analyzes construction projects from scheduling to accounting to material availability using information from its Smart Construction Platform, which includes Oracle applications such as Aconex and Oracle Primavera Cloud. |
| 2 | Bentley Systems Inc. | Subscribe | Subscribe | 15.6% | Subscribe | In February 2022, Bentley Systems acquired Power Line Systems, a leader in software for the design of overhead electric power transmission lines and their structures. The firm’s acquisition was completed from private equity firm TA Associates for approximately $700mn in cash. Currently, Bentley Systems has more than 4,500 employees and generates annual revenues of more than $800mn across 172 countries. |
| 3 | Procore | Subscribe | Subscribe | 33.7% | Subscribe | In November 2021, Procore acquired Levelset. This acquisition will add lien rights management to the Procore platform, enabling Procore to manage complex compliance workflows and improve the payment process in construction. Over 2 Million registered Procore users across the globe manage all types of construction projects. |
| 4 | Microsoft | Subscribe | Subscribe | 2.9% | Subscribe | Microsoft Dynamics 365 for Construction is a single intelligent cloud solution that gives a comprehensive view of the construction company. Contractors can monitor construction while also managing all of the resources required to accomplish the job. All of the construction-specific capabilities, such as critical project accounting, job quoting, project management, labour and equipment resource management, subcontract management, job material planning, and customer relationships, are all integrated into one database in Dynamics 365, allowing users to easily manage their business roles and responsibilities. |
| 5 | Trimble | Subscribe | Subscribe | 16.3% | Subscribe | In September 2022, Trimble acquired privately-held B2W Software, a provider of estimating and operations solutions for the heavy civil construction industry, to expand its civil construction portfolio and Trimble Construction One, a purpose-built connected construction management platform. |
| 6 | Autodesk | Subscribe | Subscribe | 15.9% | Subscribe | In March 2022, Autodesk launched Bridge, a new collaboration capability that empowers construction teams to share only relevant data with project stakeholders, regardless of whether they are on the same team or building project within Autodesk Construction Cloud. The new collaboration capabilities lessen the need for manual data transfer and management and provide confidence that everyone is working from the same information, minimizing rework and saving teams time and money that directly impacts their bottom lines. |
| 7 | Constellation Software Inc. | Subscribe | Subscribe | 27.3% | Subscribe | In August 2022, Constellation HomeBuilder Systems introduced BuildTopia Marketing, an email marketing tool for residential home builders enabling them to create marketing campaigns and send emails with just a few clicks. This module is available exclusively as part of the company’s BuildTopia Enterprise offering. |
| 8 | Intuit Inc. | Subscribe | Subscribe | 24.6% | Subscribe | QuickBooks accounting software is used by over 56,000 construction businesses globally. Among them 30,000 construction small businesses use QuickBooks Online Payroll. |
| 9 | Nemetschek Group | Subscribe | Subscribe | 14.5% | Subscribe | Nemetschek Group continues its strong double-digit growth in revenue and profitability in Q2 2022 and confirms its outlook for 2022. The company has +22.9% revenue growth in Q2 to EUR 203.8m. The financial targets for the year 2022 continues to expect a revenue growth at constant exchange rates in the range of 12% to 14% for the Group. |
| 10 | Roper Technologies, Inc. | Subscribe | Subscribe | 4.6% | Subscribe | In August 2022, Roper Technologies acquire Frontline Education in an all-cash transaction valued at approximately $3.725 billion. More than 10,000 educational organizations, representing millions of educators, administrators, and support personnel, utilize Frontline’s tools to automate their operations and gain insights that enable improved efficiency and productivity. |
| Subtotal | Subscribe | Subscribe | 14.6% | Subscribe | ||
| Other | Subscribe | Subscribe | 28.0% | Subscribe | ||
| Total | 8494 | 10344 | 21.8% | 100% |
Source: Apps Run The World, September 2022
Other Constructions oftware providers included in the report are: Adobe, ADP, Ansys Inc., AppFolio, ARCHIBUS, Arcoro, Atlassian, Autodesk, AVEVA Group, Bluebeam, Brokermint, Buildertrend, Cisco Systems, Citrix, CoConstruct, Cadence Design Systems, Computer Methods International Corp., Construction Industry Solutions Corp., CoStar Group, Dassault Systemes, Dropbox, DocuSign, Inc., ECi Software Solutions, Entrata, Eque2, eSUB Construction Software, FieldAware, FINALCAD, Foundation Software, Google, HCSS, Hemlane, Hexagon, IBM, iLease Management LLC, Infor, InEight, iOFFICE, Inc., JDM Technology Group, Lease Harbor, LeaseCalcs, Inc., LogMeIn, Inc., MRI Software LLC, Nemetschek Spacewell (ex MCS Solutions, ex Axxerion), Newforma, Nice Systems, Open Text Corporation, Paycom, PayLease, PayProp, Pegasystems, Penta Technologies, Inc., PTC, PlanData Systems Corp, Procore, Property Matrix, Propertybase, Raken, RedTeam Software, LLC, Re-Leased Software Company Ltd, RemoteLandlord, Rent Manager by London Computer Systems, RIB Software SE, Rockwell Automation, Roper Technologies, Inc., Salesforce, SAP, Sage, ServiceNow, Siemens Digital Industries Software, SolarWinds, Sopra Steria Group SA, TenantCloud, Teradata Corporation, The Innovation Group, Twilio, Verint Systems Inc., Visma, Vonage, VTS (ex Hightower), Workday, Yonyou, Zoom Video Communications, and others.
Custom data cuts related to the Construction Applications market are available:
- Top 940+ Construction Applications Vendors and Market Forecast 2021-2026
- 2021 Construction Applications Market By Functional Market (16 Markets)
- 2021 Construction Applications Market By Country (USA + 45 countries)
- 2021 Construction Applications Market By Region (Americas, EMEA, APAC)
- 2021 Construction Applications Market By Revenue Type (License, Services, Hardware, Support and Maintenance, Cloud)
- 2021 Construction Applications Market By Customer Size (revenue, employee count, asset)
- 2021 Construction Applications Market By Channel (Direct vs Direct)
- 2021 Construction Applications Market By Product
Exhibit 4 shows our projections for the enterprise applications market by vertical segment, based on the buying preferences and the customer propensity to invest in new software within those industries as they continue to upgrade and replace many legacy industry-specific applications that have been identified and tracked in our Buyer Insight Database.
Construction Software Purchases Win/Loss Analysis As Part Of Enterprise Applications Buyer Insight Customer Database
On the buyer side, customers are investing in Construction systems based on new features and capabilities that are expected to replace their existing legacy systems. In many cases, competitive upgrades and replacements that could have a profound impact on future market-share changes will become more widespread.
Since 2010, our global team of researchers have been studying the patterns of the latest Construction software purchases by customers around the world, aggregating massive amounts of data points that form the basis of our forecast assumptions and perhaps the rise and fall of certain vendors and their products on a quarterly basis.
Updated continuously, our database features extensive win/loss analysis. Each year our research team identifies tens of thousands of these Construction customer wins and losses from public and proprietary sources.
The research results are being incorporated into regular updates in our Enterprise Applications Buyer Insight Customer Database. You can access the Quarterly Win/Loss Analysis Scoreboard and our Enterprise Applications Buyer Insight Customer Database by becoming a subscriber.
Source: Apps Run The World, September 2022
Further Readings
An expanded version of this report covers the top 940+ Construction Software Vendors, offering in-depth analysis of the market dynamics, vendors’ Strengths, Customers, Opportunities, Risks and Ecosystems as well as their ability to gain Shares (SCORES) within their respective space. We also offer win-loss analysis of the quarterly wins of these top vendors and whether incumbents and upstarts pose any real threat to their standing amid shifting market requirements and user preferences.
More Enterprise Applications Research Findings
Based on the latest annual survey of 3,000+ enterprise software vendors, Apps Run The World is releasing a number of dedicated reports, which profile the world’s 500 largest Enterprise Applications Vendors (Apps Top 500) and the world’s 500 largest Cloud Applications Vendors (Cloud Top 500) ranked by their 2015-2021 product revenues.
Their 2021 results are being broken down, sorted and ranked across 16 functional areas (from Analytics to Treasury and Risk Management) and by 21 vertical industries(from Aerospace to Utility), as shown in our Taxonomy. Further breakdowns by subvertical, country, company size, etc. are available as custom data cuts per special request.
Research Methodology
Each year our global team of researchers conduct an annual survey of thousands of enterprise software vendors by contacting them directly on their latest quarterly and annual revenues by country, functional area, and vertical market. We supplement their written responses with our own primary research to determine quarterly and yearly growth rates, In addition to customer wins to ascertain whether these are net new purchases or expansions of existing implementations.
Another dimension of our proactive research process is through continuous improvement of our customer database, which stores more than one million records on the enterprise software landscape of over 100,000 organizations around the world.
The database provides customer insight and contextual information on what types of enterprise software systems and other relevant technologies are they running and their propensity to invest further with their current or new suppliers as part of their overall IT transformation projects to stay competitive, fend off threats from disruptive forces, or comply with internal mandates to improve overall enterprise efficiency.
The result is a combination of supply-side data and demand-generation customer insight that allows our clients to better position themselves in anticipation of the next wave that will reshape the enterprise software marketplace for years to come.
