July 16, 2024
Accounting Practice Management Market

Growing Demand For Cloud-Based Accounting Software To Augment The Accounting Practice Management Market

The global Accounting Practice Management Market is estimated to be valued at US$ 1.2 Bn in 2023 and is expected to exhibit a CAGR of 7.8% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.

Market Overview:

Accounting practice management software is used by accountants and bookkeepers to manage all aspects of their accounting practice. It helps in client/customer management, project/task management, billing, invoicing, payroll, time tracking and reporting. It offers advantages like increased productivity, time management, standardization of processes, centralized data storage and collaboration. With digitalization, cloud based accounting practice management software is becoming popular as it provides remote access, data security and scalability.

Market key trends:

One of the key trends in the accounting practice management market is growing adoption of cloud-based solutions. Cloud-based accounting practice management software is gaining popularity as it provides several advantages like real-time data access, collaboration, remote working facilities, automatic data backup and recovery. It reduces IT infrastructure and maintenance costs. With rising digitalization across industries, demand for such cloud-based accounting solutions is increasing. This is expected to drive the growth of accounting practice management market during the forecast period.

Porter’s Analysis:

Threat of new entrants: The accounting practice management market has moderate barrier for new entrants as it requires technical expertise and license for accounting services. The existing players have strong brand presence and clientele.

Bargaining power of buyers: The bargaining power of buyers is moderate as there are many vendors offering accounting practice management software. However, switching costs for buyers is high since it requires migrating all data from existing system.

Bargaining power of suppliers: The bargaining power of suppliers is low as there are many software developers providing these products and services.

Threat of new substitutes: There is a low threat from substitutes as accounting practice management software has limited substitutes. Spreadsheets and basic accounting software cannot match the functionality.

Competitive rivalry: There is high competition among existing vendors to increase their market share and customer base. Players compete on features, pricing, integrations, and customer support.

Key Takeaways:

The Global Accounting Practice Management Market Size is expected to witness high growth, exhibiting CAGR of 7.8% over the forecast period, due to increasing need for automation and digitization of accounting tasks. The market size for 2023 is estimated to be US$ 1.2 Bn.

The North American region is expected to dominate the accounting practice management market during the forecast period. This is attributed to strong adoption of accounting automation solutions across organizations of all sizes in the region. Stringent regulations around accounting are also propelling demand.

Key players operating in the accounting practice management market are AccountancyManager, Aero Workflow, Adra Accounts, ApprovalMax, EasyCloud Consultants Pvt Ltd, IRIS Software Group, Nexus1040, I-SPIRIT, Omni Accounts, and Attach Accounting System. AccountancyManager leads the market with its easy-to-use and secured cloud accounting software for accountants.

1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it