Research Nester has released a report titled “Japan Software as a Service (SaaS) Market – Regional Demand Analysis & Opportunity Outlook 2027” which delivers detailed overview of the Japan software as a service (SaaS) market in terms of market segmentation by deployment model and by end user.
Further, for the in-depth analysis, the report encompasses the industry growth drivers, restraints, supply and demand risk, market attractiveness, BPS analysis and Porter’s five force model.
The Japan SaaS market is segmented by end user into manufacturing, BFSI, retail, healthcare and others, out of which, the BFSI segment is anticipated to hold the largest market share of around 30.4% in the year 2027. The segment is further slated to achieve USD 5718.4 million from USD 1217.9 million in-between 2018-2027. Factors such as generation of large amount of data from BFSI and the shifting trend towards the adoption of cloud-based solutions for the analysis and storage of data is anticipated to drive the growth of the segment in the Japan SaaS market.
The Japan SaaS market is growing on the back of rising technologies, such as artificial intelligence (AI) and machine learning among others along with the increasing use of vertical SaaS solutions and the introduction of mobile SaaS in the nation, which provides amplified growth opportunities for the market in the nation. Additionally, several other factors, such as rising demand for consultative support from IT organizations, growing applications that require specific business requirements, low cost of SaaS solutions, improved internet connectivity in the region, upsurge in the utilization of instant messaging, emergence of social media, emails and video calls among others are anticipated to promote the growth of the Japan SaaS market. The market is further slated to achieve USD 18822.9 million from USD 3870.0 million in-between 2018-2027. The Japan SaaS market is expected to grow at a CAGR of 19.3% throughout the forecast period 2019-2027 with a Y-o-Y growth rate of 20.43% in the year 2027 as compared to the previous year.
Increasing Inclination Towards the Deployment of Cloud Technologies
The Asia Cloud Computing Association (ACCA), in one of its statistics stated that during the year 2018 Japan was ranked fourth in the Cloud Readiness Index (CRI) and the nation was also ranked as the top country for SME cloud investments.
Japan has observed significant growth in ICT infrastructure in the recent times. The government of the nation have invested massively to develop this ICT infrastructure. Owing to such a factor, SMEs are rapidly shifting their businesses to cloud services and are adopting SaaS solutions so as to reduce their operational expenditure and increase efficiency. Many multinational companies are also expanding their business premises to the nation which is anticipated to raise the demand for adaptability of cloud systems. Furthermore, rising concern for declining workforce and companies focus towards development of automated processes that reduces labor intensive work approaches is also expected to contribute towards the growth of the Japan SaaS market during the forecast period.
However, concerns regarding rising occurrences of cyberthreats and data thefts, coupled with the fear of sudden downtime of the internet and work delay occurred due to technical failures in hardware system are some of the factors anticipated to affect negatively towards the growth of the Japan SaaS market.
This report also provides the existing competitive scenario of some of the key players of the Japan SaaS market, which includes company profiling of Microsoft Corporation (NASDAQ: MSFT), Alphabet Inc. (NASDAQ: GOOGL), IBM (NYSE: IBM), Hewlett Packard Enterprise Company (NYSE: HPE), Oracle (NYSE: ORCL), Salesforce.com, Inc. (NYSE: CRM), Softbank Corp. (TYO: 9984), and Fujitsu (TYO: 6702). The profiling enfolds key information of the companies which encompasses business overview, products and services, key financials and recent news and developments. On the whole, the report depicts detailed overview of the Japan SaaS market that will help industry consultants, equipment manufacturers, existing players searching for expansion opportunities, new players searching possibilities and other stakeholders to align their market centric strategies according to the ongoing and expected trends in the future.