Given the potential cost advantages and relative ease of implementation of software as a service, the industry has emerged as one of the fastest-growing segments of the technology industry in recent years. The availability of advanced technologies at a low cost has created new opportunities for productivity and competition for small and medium businesses.
To put it into perspective, the global SaaS market size was valued at USD 189.4 B in 2021 and is expected to reach USD 321.9 B by 2026, growing at a compound annual growth rate of 7.8 % during the forecast period (2021-2026). The market also boasts 100+ billion-dollar companies across different continents.
The SaaS market is segmented into two key areas; enterprise and productivity software, with the former accounting for over 70% of revenue share. The enterprise software segment attributes its growth to the continuing trend of small and medium businesses employing cloud software solutions.
Globally, one major player in this category is renowned CRM software company, Salesforce. The global giant is now ranked as one of the top CRM solutions in the market with over 150,000 active customers, with millions of users worldwide, and an impressive market value of USD 180 B+. The company has also managed to raise USD 2 B+ over the years. Graphic design platform, Canva, is valued at over USD 4 B and has garnered over 15 million users worldwide, including individuals, small businesses, and large enterprises, and raised USD 240 M+ in funding since its inception in 2012. Global video conferencing and collaboration software platform, Zoom is valued at over USD 100 B with over 6 million daily active users and over 900,000 paying customers. HubSpot recorded a market value of USD 1.5 B+ as of 2021, and has raised USD a total of USD 169 M. Other key bigshots in the sector include Slack and Dropbox.