Accounting Software Market - Global Industry Size, Share, Trends, Opportunity, and Forecast, 2021-2031

The Global Accounting Software Market is projected to expand from USD 20.09 Billion in 2025 to USD 35.03 Billion by 2031, achieving a CAGR of 9.71%. This sector is defined as a comprehensive suite of digital applications designed to record, process, and audit financial transactions for enterprises and professionals. Market growth is primarily fueled by the critical need for regulatory compliance, the drive to minimize human error in financial reporting, and the demand for operational efficiency through automation. This growing reliance on advanced technological solutions is supported by recent industry data; according to CPA Australia, the percentage of businesses utilizing artificial intelligence to enhance their operational capabilities rose to 69 percent in 2024, reflecting a strong appetite for the automation features embedded in modern financial platforms.

However, the market faces a substantial hurdle that could retard its progress. A significant challenge impeding broader expansion is the shortage of technically skilled personnel capable of managing and maximizing complex digital ecosystems, which complicates the migration from legacy systems and delays the realization of return on investment.

Market Drivers

The accelerated adoption of cloud-based accounting solutions is fundamentally reshaping the market by enabling organizations to transition from rigid on-premise infrastructure to flexible, remote-accessible platforms. This shift is driven by the critical need for real-time collaboration and cost scalability, compelling businesses to invest heavily in modernizing their financial systems. The aggressive migration toward these digital environments is evident in the financial performance of major industry vendors; according to Sage Group’s "Full Year 2024 Results" from November 2024, cloud-native revenue increased by 23% to £732 million, underscoring the rapid uptake of purely online software models. This momentum is further substantiated by the significant capital resources firms are allocating for digital upgrades; according to Intuit QuickBooks, in 2024, accounting firms reported earmarking an average of $30,000 to invest in accounting technology over the subsequent 12 months, signaling a sustained commitment to infrastructure modernization.

Concurrently, the integration of artificial intelligence and machine learning technologies is driving market expansion by satisfying the rising demand for operational efficiency. Accounting professionals are increasingly leveraging these automated tools to eliminate manual data entry, reduce human error, and reallocate time toward high-value advisory services. The tangible productivity gains offered by intelligent automation have become a decisive factor in software selection; according to Thomson Reuters' "2024 Future of Professionals Report" from July 2024, surveyed professionals predicted that utilizing AI-powered technological tools could free up as much as four hours per week within the next year. This potential for time savings empowers accountants to focus on strategic decision-making, thereby reinforcing the imperative for advanced software adoption across the global market.

Market Challenges

The shortage of technically skilled personnel constitutes a primary impediment to the expansion of the global accounting software market. As financial platforms increasingly integrate complex features such as artificial intelligence and automated data processing, the demand for professionals who possess both accounting acumen and advanced digital literacy has outpaced supply. This widening skills gap creates a significant bottleneck for software vendors, as potential clients delay purchasing decisions or struggle to fully implement purchased solutions due to a lack of internal expertise. Consequently, the inability to effectively deploy these digital ecosystems prevents organizations from realizing the promised return on investment, thereby dampening overall market momentum.

This disconnect between technological capability and workforce readiness is highlighted by recent industry findings which quantify the severity of this operational barrier. According to the "AICPA and CIMA," in 2025, 50 percent of finance leaders cited a lack of skilled talent as the leading obstacle to adopting new technologies. When organizations lack the necessary talent to manage modern accounting infrastructures, they are less likely to upgrade from legacy systems, directly restricting the revenue growth potential for software providers in the current economic landscape.

Market Trends

The incorporation of automated ESG and sustainability reporting tools is becoming a critical market trend as global regulatory frameworks increasingly demand transparent environmental accountability. Accounting software vendors are responding by embedding carbon footprint calculators and compliance modules that derive sustainability metrics directly from financial ledger data. This integration allows organizations to automate the complex process of tracking emissions and energy usage alongside monetary transactions, bridging the gap between intent and execution. According to Sage’s November 2024 report, "Unlocking Sustainable Finance for SMEs," although 86 percent of small and medium-sized enterprises view sustainability as a business priority, only 9.1 percent formally report on their environmental impact due to the difficulty of current standards, accelerating the development of automated tools that simplify non-financial disclosure requirements for businesses.

Simultaneously, the emergence of embedded finance and banking connectivity is transforming accounting platforms into comprehensive financial services hubs. Rather than serving solely as record-keeping systems, modern software now directly integrates payment processing, business checking, and access to capital within the user interface, thereby streamlining cash flow management. This shift enables businesses to execute financial operations, such as paying bills or receiving loans, without leaving their accounting environment. According to Intuit’s "Fiscal Year 2024 Fourth Quarter and Full Year Financial Results" from August 2024, Online Ecosystem revenue grew 20 percent, a surge driven largely by the increased adoption of these integrated financial solutions, underscoring the market's pivot toward platforms that unify accounting workflows with active banking and treasury functions.

Key Players Profiled in the Accounting Software Market

• Intuit Inc.
• Sage Group PLC
• Oracle Corporation
• SAP SE
• Microsoft Corporation
• Zoho Corporation Pvt. Ltd.
• Epicor Software Corporation
• Infor Inc.
• Acumatica Inc.
• Zeta Software LLC

Report Scope

In this report, the Global Accounting Software Market has been segmented into the following categories:

Accounting Software Market, by Component:

• Software
• Services

Accounting Software Market, by Enterprise Size:

• Large Enterprises
• Small
• Medium Enterprises

Accounting Software Market, by Type:

• Spreadsheets
• ERP
• Custom Accounting Software
• Tax Management

Accounting Software Market, by End-Use Industry:

• BFSI
• IT & Telecommunication
• Others

Accounting Software Market, by Region:

• North America
• Europe
• Asia-Pacific
• South America
• Middle East & Africa

Competitive Landscape

Company Profiles: Detailed analysis of the major companies present in the Global Accounting Software Market.

Available Customization

The analyst offers customization according to your specific needs. The following customization options are available for the report:

• Detailed analysis and profiling of additional market players (up to five).

This product will be delivered within 1-3 business days.