Accounts Payable Automation Global Market Report 2024

The accounts payable automation market size has grown exponentially in recent years. It will grow from $3.74 billion in 2023 to $4.5 billion in 2024 at a compound annual growth rate (CAGR) of 20.4%. The growth observed in the historical period can be attributed to various factors, including the inefficiencies associated with manual processes, the prevalence of paper-based invoicing, the emergence and adoption of Enterprise Resource Planning (ERP) systems, the emphasis on cost and time savings, and a heightened focus on risk management.

The accounts payable automation market size is expected to see exponential growth in the next few years. It will grow to $9.67 billion in 2028 at a compound annual growth rate (CAGR) of 21.1%. The anticipated growth in the forecast period can be attributed to the adoption of cloud-based solutions, the impact of globalization, the increasing prevalence of Robotic Process Automation (RPA), a heightened focus on vendor relations, and the integration of predictive analytics and reporting. Prominent trends expected in the forecast period encompass touchless processing, the integration of blockchain technology, the development of mobile applications for approval processes, real-time invoice tracking, and API-driven integrations.

The anticipated surge in internet penetration is set to propel the expansion of the accounts payable automation market in the forthcoming years. The internet, constituting a global network interconnecting the world wide web and billions of computers internationally, plays a pivotal role in facilitating access for accounts payable automation providers across various elements of the accounts payable process, including documentation and invoices. This accessibility, available through any device worldwide, enables the automation of processes without requiring human intervention. As highlighted by the International Telecommunication Union (ITU) in 2023, internet user numbers surged from 4.9 billion in 2021 to 5.3 billion in 2022. Consequently, the escalating internet penetration significantly drives the growth of the accounts payable automation market.

The escalating trend of digitization is poised to propel the advancement of the accounts payable automation market in the foreseeable future. Digitization, encompassing the conversion of information, data, or content from analog or physical formats into digital forms through computer-based and digital technologies, plays a crucial role in leveraging accounts payable automation. This technology optimizes financial transactions, invoices, and payments, diminishing manual tasks, reducing errors, and expediting workflow. Its core objective is to enhance accuracy, streamline operations, and achieve cost-efficiency, fostering a more agile and responsive business environment. According to data from Augusta Free Press in December 2022, global spending on digital transformation reached approximately $1.85 trillion, reflecting a 16% increase from the previous year. Hence, the escalating trend of digitization serves as a driving force behind the growth of the accounts payable automation market.

Technological advancement emerges as a pivotal trend gaining traction within the accounts payable automation market. Leading companies within this sector are strategically focusing on enhancing the capabilities of accounts payable automation services using diverse technological advancements. An illustrative example is evident from Vroozi, a US-based software company, which in November 2021 introduced Vroozi Intelligence, an innovative accounts payable automation platform. This platform revolutionizes automation processes by integrating artificial intelligence, machine learning, and cognitive data capture. It offers functionalities encompassing invoice matching, coding, exception handling, and approval workflows, thus augmenting operational efficiencies.

Prominent companies engaged in the accounts payable automation sector are directing their efforts towards product innovations, exemplified by the introduction of the NFT Suite, aiming to deliver a comprehensive solution for managing NFT portfolios, tracking taxes, and accounts payable. This suite represents a pinnacle in industry-leading tax and accounting software. An instance from June 2023 involves Ledgible, a US-based audit and accounting software enterprise, unveiling its cutting-edge NFT Suite. This suite presents professional-grade NFT portfolio management, robust tax and accounting tracking, comprehensive accounts payable reporting, and year-round planning capabilities. Tailored as a full-service portfolio tracking tool catering to active investors, traders, and funds, it facilitates convenient access to Ethereum-based NFT portfolios. Equipped to monitor realized and unrealized gains or losses, the platform empowers users to make informed decisions concerning buying and selling actions.

In August 2022, Fleetcor Technologies Inc., a U.S.-based business payments management company, successfully acquired Accrualify Inc. for an undisclosed amount. This strategic acquisition serves to augment the capabilities of Fleetcor's corporate payments platform and extends the spectrum of payment solutions offered. Accrualify Inc., the acquired entity, is based in the U.S. and is recognized for providing accounts payable automation solutions.

Major companies operating in the accounts payable automation market report are Oracle Corporation, SAP SE, Fidelity National Information Services Inc., Sage Group PLC., Bill.com, Coupa Software, Comarch SA, AvidXchange Holdings, AvidXchange, Kofax Inc., Zycus Inc., Zoho Corporation Pvt. Ltd., Esker, FinancialForce, Bottomline Technologies Inc., Bottomline Technologies, Corcentric, Chrome River, Procurify Technologies Inc., Tipalti Inc., MHC Automation, Procurify, Airbase Inc., MineralTree, AppZen Inc., Palette Software, Stampli, DocuPhase, Certinia, Medius.

North America was the largest region in the accounts payable automation market in 2023. The regions covered in the accounts payable automation market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the accounts payable automation market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

The primary components of accounts payable automation include solutions and services. Accounts payable automation solutions entail the electronic completion of accounts payable tasks, replacing manual processes. These solutions can be deployed through various modes such as on-premises or cloud-based solutions. The application of accounts payable automation extends across enterprises of different sizes, encompassing large enterprises as well as small and medium-sized enterprises. It finds utility in diverse industry verticals, including but not limited to banking, financial services and insurance (BFSI), consumer goods and retail, information technology (IT) and telecom, manufacturing, healthcare, government, among others.

The account payable automation research report is one of a series of new reports that provides account payable automation market statistics, including account payable automation industry global market size, regional shares, competitors with an account payable automation market share, detailed account payable automation market segments, market trends and opportunities, and any further data you may need to thrive in the account payable automation industry. This account payable automation market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.

The accounts payable automation market consists of revenues earned by entities by providing E-invoicing and compliance guidance services. The market value includes the value of related goods sold by the service provider or included within the service offering. Only goods and services traded between entities or sold to end consumers are included.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.