In 2020, the top 10 ERP software vendors accounted for nearly 33% of the global ERP applications market which grew 1.2% to approach nearly $95.2 billion in ERP license, maintenance and subscription revenues. The ERP applications market includes both ERP Financial Management & ERP Services and Operations applications.
Last year SAP led the pack with a nearly 7% market share riding on a 5.2% jump in ERP license, maintenance and subscription revenues. Oracle was #2, followed by Intuit, FIS Global and Microsoft.
Our team has analyzed all Fortune 1000 and Global 2000 companies and their IT Environments, including ERP, HCM, ATS, CRM, Procurement, Treasury and other apps being used globally, but also on a country level.
| Company | ERP | HCM | ATS |
|---|---|---|---|
| Walmart | SAP S/4 HANA | Workday HCM | Workday Recruiting |
| Exxon Mobil | SAP S/4 HANA | SAP HCM (HR) | SuccessFactors Recruiting |
| Apple | SAP S/4 HANA | SAP HCM (HR) | In-House ATS |
| Berkshire Hathaway | Oracle ERP Cloud | Oracle HCM Cloud | Oracle Taleo |
| Amazon.com | In-House ERP | Workday HCM | In-House ATS |
| UnitedHealth Group | Oracle E-Business Suite | Oracle HCM Cloud | Oracle Taleo |
| McKesson | SAP S/4 HANA | Workday HCM | Workday Recruiting |
| CVS Health | SAP S/4 HANA | Workday HCM | IBM Kenexa BrassRing |
| AT&T | SAP ERP ECC 6.0 | Workday HCM | Oracle Taleo |
| AmerisourceBergen | SAP S/4 HANA | Workday HCM | Oracle Taleo |
| Chevron | SAP S/4 HANA | Workday HCM | SuccessFactors Recruiting |
| Ford Motor | SAP S/4 HANA | Oracle HCM Cloud | IBM Kenexa BrassRing |
| General Motors | SAP S/4 HANA | Workday HCM | Oracle Taleo |
| Costco Wholesale | SAP S/4 HANA | SAP SuccessFactors HCM | Oracle Taleo |
| Alphabet | SAP S/4 HANA | Workday HCM | Google Hire |
Source: Apps Run The World, December 2021
We ask the simple question: Who’s buying ERP 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 ERP applications market size is expected to reach $100.7 billion by 2025, compared with $95.2 billion in 2020 at a compound annual growth rate of 1.1%.
| Exhibit 2: Worldwide ERP Software Market 2020-2025 Forecast, $M | |||
|---|---|---|---|
| Year | 2020 | 2025 | 2020-2025 CAGR, % |
| Total | 95222 | 100680 | 1.1% |
Source: Apps Run The World, December 2021
Top 10 ERP Software Vendors
ERP Financial Management software covers finance-specific business processes such as accounts payable, accounts receivable, general ledger, and fixed asset accounting, as well as online functions such as invoicing, factoring, electronic payments and financial reporting. FM applications revenues represent a major contributor to the Enterprise Resource Planning market as part of our market sizing exercise.
ERP Services and Operations Management covers integrated applications suites designed to automate a range of business processes from back-office operations to financial management and from sales order capture to customer information management. Currently ERP also covers functions not being addressed by other functional markets. Examples include Environment and Health and Safety, Governance, Risk and Compliance, as well as industry-specific applicatons for 21 verticals.
Buoyed by NetSuite, Workday and Xero, the ERP FM market has never looked more promising, but incumbents are fighting back with quick conversion toolkits, GL upgrades and embedded analytics for easy reporting.
Industry-specific ERP applications continue to exert considerable influence over direction of enterprise applications market, but growth remains muted because of entrenched presence of legacy systems.
Here are the rankings of the top 10 ERP software vendors in 2020 and their market shares.
| Rank | Vendor | 2019 ERP Apps Revenues, $M | 2020 ERP Apps Revenues, $M | YoY Growth | 2020 ERP Market Share, % | Recent Developments |
|---|---|---|---|---|---|---|
| 1 | SAP | Subscribe | Subscribe | 5.2% | Subscribe | After gaining a critical mass for its ERP upgrade strategy, SAP has turned its attention to S/4 HANA Cloud under RISE with SAP, a rapid deployment program designed to boost cloud adoptions among its customers. In 2021, the vendor made RISE with SAP a centerpiece of its Intelligent Enterprise messaging as it signed up a few hundred customers in a given quarter. |
| 2 | Oracle | Subscribe | Subscribe | 11.6% | Subscribe | 8,500 customers have adopted Oracle Fusion globally. Of the 8,500 customers using Fusion ERP, only about 1,000 moved from Oracle’s on-premise product, the remaining 7,500 were completely new customers. It has an additional 28,400 NetSuite ERP customers. |
| 3 | Intuit Inc. | Subscribe | Subscribe | 10.1% | Subscribe | Intuit renamed QuickBooks Cash, calling the platform QuickBooks Checking after debuting less than two years ago. QuickBooks Checking has signed up more than 150,000 small businesses since it was unveiled. After Acquiring TradeGecko, Intuit is shutting it down, going forward, QuickBooks Commerce will only be available as part of QuickBooks Online and only for customers in the United States. |
| 4 | FIS Global | Subscribe | Subscribe | 8.3% | Subscribe | FIS and Global Payments have fallen through on a potential $70 billion merger. It is unclear if talks will rev up again. FIS remains the largest payments and processing company in the world after the Worldpay acquisition for $35 billion in 2019. |
| 5 | Microsoft | Subscribe | Subscribe | 18.8% | Subscribe | In 2021, Microsoft delivered new integrations between Dynamics 365 and Teams, enabling anyone in an organization to seamlessly view and collaborate on customer records within Teams, without having to purchase multiple license. It also introduced industry clouds for financial services, healthcare, manufacturing, nonprofits, and retail. In 4QFY21, it also unveiled Microsoft Cloud for Sustainability to record emissions footprint, reduce waste and addrss climate change-related issues. |
| 6 | Constellation Software Inc. | Subscribe | Subscribe | 12.4% | Subscribe | In June 2021, Constellation Software acquired Fair Isaac Corporation’s Collection and Recovery business and placed it under the auspices of one of its companies, Constellations’ Jonas Software operating group. In February 2021, Constellation Software made another acquisition through Volaris Group, acquiring SSP Limited, a supplier of technology systems and software for the property and casualty insurance industry. |
| 7 | IQVIA | Subscribe | Subscribe | 8.5% | Subscribe | In April 2021, IQVIA acquired the remaining 40 percent minority share of Q2 Solutions from Quest Diagnostics, a leader in diagnostic information services, resulting in 100 percent ownership by IQVIA. Q2 Solutions is a leading global clinical laboratory services organization that provides comprehensive testing, project management, supply chain, biorepository and biospecimen and consent tracking solutions for clinical trials. IQVIA has a diversified base of over 10,000 clients in over 100 countries. |
| 8 | Cox Automotive | Subscribe | Subscribe | 8.1% | Subscribe | In 2021, Cox Automotive acquired FleetMaster, a cloud-based fleet software company that delivers solutions to rental companies, dealerships and automotive manufacturers. With this acquisition, Cox Automotive aims to expand its capabilities to customers and prospects in Europe. More than 40,000 auto dealer clients across five continents are supported by Cox Automotive’s technology. |
| 9 | Infor | Subscribe | Subscribe | -4.1% | Subscribe | In October 2021, Infor launched Infor Public Sector, a dedicated multi-tenant cloud offering for the UK public sector. The solution combines Infor CloudSuite Public Sector, Financials and Supply Chain Management (FSCM), Infor People Solutions (HR & Talent) with the dedicated public sector enterprise asset management capabilities of Infor Hansen, all of which run on Amazon Web Services (AWS). In 2021, Infor acquired Lighthouse Systems, a provider of manufacturing execution system (MES) software for smart manufacturing. Lighthouse Systems’ MES solution can be fully integrated into Infor CloudSuite ERP systems. Infor supports more than 73,000 customers. |
| 10 | Sage | Subscribe | Subscribe | 2.9% | Subscribe | In December 2021, Sage acquired the remaining stake in Brightpearl, for $340 million, Sage previously owned 17% of the company. Brightpearl provides a SaaS-based retail operating system, enabling real-time business insights. Over 2.5 million organizations manage their business on Sage software across the Sage 50 franchise alone. About 200,000 customers use X3 and Sage BMS. |
| Subtotal | Subscribe | Subscribe | 8.6% | Subscribe | ||
| Other | Subscribe | Subscribe | -2.0% | Subscribe | ||
| Total | 94052 | 95222 | 1.2% | 100% |
Source: Apps Run The World, December 2021
Other ERP software providers included in the report are: ACI Worldwide, Active Network, Acumatica, Adobe, Allscripts, Amadeus, Aptean, ARCHIBUS, Asseco Group, athenahealth, Avalara, Blackbaud, BlackLine, Bottomline Technologies, Capita Software, CDK Global, Cegid, CGI Group Inc., Cision, CompuGroup, CoStar Group, Cox Automotive, CSG Systems International, DATEV, Ellie Mae, Ellucian, Epic Systems, Epicor, Ericsson, Exact Holding BV, Exela Technologies, FICO, FinancialForce, Finastra, GE Digital, Greenway Health, Guidewire, HealthStream, IBM, IFS, Jack Henry & Associates, JDA Software Group, Kingdee, LexisNexis, Liscor, Medidata, MYOB, NCR Corporation, NextGen Healthcare, Nuance Communications, OBIC Co. Ltd., RealPage, Reynolds and Reynolds Company, Roper Technologies, SABRE Corp, Sage, Salesforce, Sapiens, Sopra Steria Group SA, SS&C Technologies, Temenos Group AG, Tieto, TOTVS, Trimble, Tyler Technologies, UNIT4, Vertafore, Visma, Wolters Kluwer, Workday, Works Apps, Xero, Yardi, Yonyou, Zoho Corp., Zuora
Custom data cuts related to the ERP Applications market are available:
- Top 500 ERP Applications Vendors and Market Forecast 2020-2025
- 2020 ERP Applications Market By Industry (21 Verticals)
- 2020 ERP Applications Market By Functional Market (16 Markets)
- 2020 ERP Applications Market By Country (USA + 45 countries)
- 2020 ERP Applications Market By Region (Americas, EMEA, APAC)
- 2020 ERP Applications Market By Revenue Type (License, Services, Hardware, Support and Maintenance, Cloud)
- 2020 ERP Applications Applications Market By Customer Size (revenue, employee count, asset)
- 2020 ERP Applications Market By Channel (Direct vs Direct)
- 2020 ERP Applications Market By Product
Exhibit 4 shows the enterprise applications market by functional area. The highest growth functional markets revolve around smaller segments like eCommerce, Enterprise Performance Management, Sales Performance Management and Treasury and Risk, where first movers remain less established than those that for decades have been entrenched in functional areas like ERP, CRM and PLM.
ERP Win/Loss Analysis As Part Of Enterprise Applications Buyer Insight Customer Database
On the buyer side, customers are investing in ERP 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 ERP 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 ERP 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, December 2021
Further Readings
An expanded version of this report covers the top 500+ ERP Financial Management Software Vendors and ERP Services and Operations Management 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 2015-2020 product revenues.
Their 2020 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.
