360 Degree Feedback Software Market Report 2025

The 360 degree feedback software market size has grown rapidly in recent years. It will grow from $1.26 billion in 2024 to $1.44 billion in 2025 at a compound annual growth rate (CAGR) of 14%. The growth during the historic period can be attributed to the rising demand for employee development programs, the increasing adoption of cloud-based human resources solutions, the growing emphasis on performance transparency and accountability, the heightened importance of data-driven decision-making, and the expanding focus on leadership development and succession planning.

The 360 degree feedback software market size is expected to see rapid growth in the next few years. It will grow to $2.4 billion in 2029 at a compound annual growth rate (CAGR) of 13.7%. The growth expected in the forecast period can be attributed to rising investments in employee engagement and retention strategies, the expanding use of 360-degree feedback in non-traditional sectors such as education, healthcare, and non-profits, the increasing demand for continuous performance management over traditional annual reviews, the growing need for personalized learning and development pathways, and the heightened pressure to enhance organizational agility and adaptability. Key trends during this period include advancements in cloud computing, greater technology adoption in performance management systems, progress in mobile and remote accessibility, innovations in data analytics and visualization tools, and technology-driven improvements in user experience (UX).

The increasing adoption of remote and hybrid work models is expected to drive the growth of the 360-degree feedback software market in the coming years. Remote and hybrid work models are flexible arrangements in which employees either work entirely from remote locations or divide their time between working remotely and in-office. This shift is largely driven by the rising demand for work-life balance, as employees seek greater flexibility to manage both professional and personal responsibilities more effectively. 360-degree feedback software supports these models by delivering continuous, transparent, and multi-source performance insights, ensuring effective employee development and engagement regardless of location. For example, in February 2023, the Office for National Statistics in the UK reported that between September 2022 and January 2023, among adults who worked in the previous seven days, 16% worked entirely from home, while 28% followed a hybrid arrangement, splitting time between home and commuting. Altogether, 44% worked from home in some form, while 56% worked solely on-site during this period. This demonstrates how the growth of remote and hybrid work models is fueling demand for 360-degree feedback software.

Companies in the 360-degree feedback software market are focusing on innovations such as multi-source performance assessments to provide more comprehensive insights into employee performance and support data-driven talent management strategies. Multi-source performance assessments gather feedback from managers, peers, subordinates, and sometimes clients, giving organizations a broader view of employee strengths and areas for improvement. This approach supports personalized development plans and informed talent management decisions. For instance, in February 2024, ThriveSparrow, a US-based SaaS platform, introduced a 360-degree performance review feature within its employee success platform. This feature enables organizations to streamline the collection of feedback, produce advanced analytical reports, and promote continuous performance improvement. The launch reflects the growing focus on holistic and data-driven approaches to employee development and talent management.

In June 2023, Silver Lake Technology Management L.L.C., a US-based private equity firm, along with Canada Pension Plan Investment Board (CPP Investments), acquired Qualtrics for $12.5 billion. With this acquisition, Qualtrics is set to enter its next stage of growth in experience management, supported by strategic and financial backing from Silver Lake, CPP Investments, and co-investors. This support is expected to accelerate innovation, expand market presence, and deliver greater value to shareholders. Qualtrics, based in the United States, is an experience management company specializing in 360-degree feedback software.

Major players in the 360 degree feedback software market are Zoho Corporation Pvt. Ltd., Rippling Inc., Deel Inc., BambooHR LLC, Culture Amp Pty Ltd., BetterUp Inc., Workleap Inc., QuestionPro Inc., Explorance Inc., Keka Technologies Pvt. Ltd., SurveySparrow Pvt. Ltd., Jotform Inc., Engagedly Inc., Synergita Solutions Pvt. Ltd., Peoplebox Inc., PerformYard Inc., TheySaid Inc., Spidergap Ltd., Leapsome GmbH, Primalogik Inc.

North America was the largest region in the 360 degree feedback software market in 2024. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in this report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East and Africa. The countries covered in the 360 degree feedback software market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

Note that the outlook for this market is being affected by rapid changes in trade relations and tariffs globally. The report will be updated prior to delivery to reflect the latest status, including revised forecasts and quantified impact analysis. The report’s Recommendations and Conclusions sections will be updated to give strategies for entities dealing with the fast-moving international environment.

The rapid escalation of U.S. tariffs and the resulting trade tensions in spring 2025 are significantly impacting the professional services sector, particularly in legal, consulting, architectural, and engineering domains. Higher costs for imported technology, software licenses, office equipment, and digital infrastructure have raised operational expenses for firms reliant on global tools and platforms. International consulting projects are facing delays or cost overruns due to increased travel expenses and restricted access to foreign-sourced data and tools. Additionally, clients in manufacturing, construction, and logistics, heavily affected by tariffs are cutting back on outsourced services, squeezing demand for professional expertise. As a result, service providers are reevaluating pricing structures, expanding domestic supplier relationships, and investing in AI-driven solutions to sustain profitability and client engagement amid economic uncertainty.

360-degree feedback software is a performance evaluation tool that gathers feedback on an individual from multiple sources, including peers, managers, and subordinates. It delivers a well-rounded assessment of strengths, weaknesses, and development areas, helping organizations enhance performance management, employee growth, and leadership effectiveness.

The primary types of 360-degree feedback software are web-based and installed. Web-based platforms are accessed via browsers, enabling real-time feedback collection and management from any location without the need for local installation. These solutions support a range of functions such as performance management, employee engagement, talent management, training and development, and feedback and reviews. They are applied across various sectors, including corporate, travel and hospitality, retail, education, healthcare, and others, and are utilized by end-users such as small and medium-sized enterprises (SMEs), large enterprises, and government organizations.

The 360 degree feedback software market research report is one of a series of new reports that provides 360 degree feedback software market statistics, including 360 degree feedback software industry global market size, regional shares, competitors with the 360 degree feedback software market share, 360 degree feedback software market segments, market trends, and opportunities, and any further data you may need to thrive in the 360 degree feedback software industry. This 360 degree feedback software 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 360-degree feedback software market consists of revenues earned by entities providing services such as multi-rater employee assessments, performance evaluations, feedback collection and analysis, personalized development planning and real-time reporting dashboards. The market value includes the value of related goods sold by the service provider or included within the service offering. The 360-degree feedback software market also includes sales of subscription-based software licenses, cloud-based feedback platforms, on-premise deployment solutions, mobile-enabled feedback applications, and integration modules for HR and performance management systems.Values in this market are ‘factory gate’ values, that is the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.

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.

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