The global market for Cloud Based Office Productivity Software is forecast to reach US$42.1 billion by 2024, driven by globalization of businesses, rise of borderless organizations and workforce decentralization and emergence of the cloud as the true flavor of mobility well suited to deliver productivity apps for mobile employees.
A growing number of companies worldwide are adopting flexible workforce mobility programs to enhance productivity, control costs, keep employees satisfied and retain critical talent. This is largely because of the growing mobile mindshift which is defined quite simply as instant gratification of contextual information needs at any point of time. Epitomizing the mobile mindshift is the over 1 billion and 250 million annual global sales of smartphones and tablets respectively. Although the mobile mindshift has its roots in the consumer environment, the phenomenon is proliferating the enterprise environment with the modern workforce going "mobile native" and preferring to use smartphones and tablets for corporate information access, communication and conducting transactions. Given the mobile mind shift of the new millennials, companies are faced with the necessity of mastering the mobile mind shift and productively engage and retain next generation corporate thinkers and leaders. An agile, mobile workforce is no longer just an attractive employee benefit plan but has emerged to be a critical variable in achieving corporate success and business goals in the current competitive market environment. Supported by the all-around benefits of workforce mobility, the focus of most talent and HR management strategies are focused on enterprise mobility and workforce mobility.
The scenario provides the cornerstone for the growth of the US$38 billion enterprise mobility enablement market. Among all the components of enterprise mobility, applications rank as the most vital element, with over 70% of businesses earmarking large budgets for investing in applications. This thereby has made mobile applications the largest expense category in enterprise mobility spending. There is strong demand for applications encompassing various business operations involving communication, collaboration, coordination and information and data management. With increasing number of companies adopting BYOD programs enterprise mobility is all about enhancing productivity. Office productivity applications, in this regard, remain in the spotlight a key mobility strategy.
Cloud based office productivity apps are defined as apps such as Spreadsheet, Presentation, Calendar, Project Management, Collaboration Tools, and Contact Management etc. delivered over private and/or public clouds for easy access by employees on smartphones and/or tablets through browsers. Few of the factors driving in the market include mass adoption among the growing base of SMBs worldwide; massive investments in workforce mobility/BYOD programs, migration from traditional desktop productivity software to cloud based solutions; growing confidence in the security and reliability of public cloud computing services; and developments in high-speed Internet and bandwidth expansion that make cloud service a commercial viability.
The United States represents the largest market worldwide. Asia-Pacific ranks as the fastest growing market with a CAGR of 27.2% over the analysis period led by the development of the enterprise sector; increased investments in enterprise IT; aspiration of developing countries to emerge into the forefront of IT revolution; and growing cloud readiness of Asian economies. The growth in the region is also benefiting from the growing interest in investing in disruptive and transformative enterprise technologies that are vital for innovation, growth and enterprise agility especially against the backdrop of rising global competition and expanding opportunities offered by Asia's role as the global outsourcing marketplace for both manufacturing and services.
Major players in the market include Adobe Systems Incorporated, Amazon.com, Inc., Apple, Inc., Google Inc., Hancom, Inc., Hewlett Packard, HyperOffice, IBM Corporation, Infraware Inc., Microsoft Corporation, and Zoho Corporation Pvt. Ltd., among others.