|Status : Published||Published On : Jan, 2021||Report Code : VRICT5131||Industry : ICT & Media||Available Format :||Page : 202|
From USD 14.1 billion in 2021, the global low-code development platform market will reach USD 55.0 billion by 2027, witnessing a CAGR of 30.5% during the forecast period. Rather than using traditional coding approaches, low-code platforms allow developers a coding environment so as to build applications using graphical user interfaces. Low-code platforms allow non-technical employees to build applications with little to no coding skills. As a result, non-technical employees are involved in the ongoing corporate application development process, which encompasses concept generation, design, implementation, and deployment. Digital revolution in the BFSI, healthcare, education, retail, and other verticals has improved the efficiency of firms, increased customer engagement, and aided in the organization of data, thus proliferating the market growth for low-code development platforms.
The COVID19 epidemic has fueled the development of virtual platforms and applications. Low-code capabilities assist remote work functions like digital forms and workflow automation during work from home (WFH) and work from anyplace (WHA) situations that occurred during the pandemic. Through the optimum usage of low code development platforms, the epidemic has demonstrated a chance for market players and end-users to establish a long-term relationship in developing apps.
Insight by Offering
Based on offering, the global low-code development platform market is bifurcated into solution and service. The solution segment is subdivided into general-purpose, mobile-first app, database app, process app, and request handling. The service segment is further subdivided into managed and professional. The solution segment contributes the largest share in the market owing to increased adoption across all verticals so as to cut IT expenditure and rapid growing digitalization.
Due to the growing demand for the technical know-how and timely platform updates, the service category is anticipated to contribute fastest revenue during the forecast period.
Insight by Deployment Type
Based on deployment type, the global low-code development platform market is bifurcated into on-premises and cloud-based, wherein the cloud-based category contributes the higher revenue globally. This is because many industry players provide cloud-based low-code development platforms. Furthermore, for application development, this sort of deployment provides higher scalability, 24/7 service, high speed, and improved management capabilities.
Insight by Enterprise Size
Based on enterprise size, the global low-code development platform market is bifurcated into Small & Medium Enterprises and Large Enterprises. SMEs is anticipated to have a high CAGR during the forecast period as low-code offers flexibility in developing custom applications with nominal coding and less cost in comparison to conventional coding. Also, increased awareness about process automation, emphasis by the government on digital transformation, and expansion of business by global vendors will drive the market outlook for the low-code development platform industry. Thus, encouraging millions of small and medium-sized businesses to take the lead in making ideas a reality.
Insight by Vertical
Based on vertical, the global low-code development platform market is classified into Government, Healthcare, Education, Media and Entertainment, Retail, Energy and Utilities, Manufacturing, IT, BFSI, and Others. The BFSI segment is anticipated to have a high CAGR during the forecast period as low-code platforms ease the development processes, enhances automation in the customer service business functions, help in managing the documents easily, and offer greater scalability in banking and insurance applications.
The industry players are continuously working efficiently with limited resources so as to increase the market revenue for low-code development platforms. Thus, the increasing trend to optimize time to market (TTM) strategy will help customers to get involved in new applications and features.
Increased demand for digitalization and rapid customization will propel the growth of the market.
The market for low-code development platforms is predicted to rise as the number of digital platforms grows. As a result of digital business acceleration, IT leaders are under pressure to substantially increase application delivery speed and time to value. The growing demand for custom software solutions in support of digital transformation has driven the creation of citizen developers outside the IT sector, which has influenced the rise of low-code development platforms. Thus, it reduces time to market and backlogs, allowing businesses to generate value more quickly and for less money. These factors drive the growth of the market.
Other factors attributing to the growth of the low-code development platform market include increased adoption in SaaS and Hyper Automation and maturity of agile DevOps practices will propel the market development of the low-code development platform market. The enhanced user experiences, upgradation of key systems, and automation processes owing to its low cost have resulted in the preferred choice for the low-code development platforms market. Moreover, owing to the shortage of software developers, businesses are inclined to adopt low-code solutions as an alternative course of action. Thus, low-code development offers more scalability, allowing firms to employ cutting-edge technologies across multiple departments.
Increasing concerns about the security of data and the adoption of substitutes such as customized apps, and visual modeling tools may hamper the market growth of the global low-code development platform market.
Geographically, North America is anticipated to contribute the largest share in the low-code development platform market owing to increased adoption of information technology services along with technological development such as IoT, AI, etc., and the presence of major IT players in the region.
Additionally, Asia-Pacific is anticipated to have the fastest growth during the forecast period owing to mounting economic growth in emerging economies, increased disposable income, increased internet penetration, proliferation of smartphones, and growth in IT service industry, thereby propelling the market development in low-cde platform industry.
Owing to the robust development of digital technologies like artificial intelligence (AI), machine learning, and predictive analytics, as well as the digital transformation of verticals, the low-code development platform industry is extremely consolidated. In order to gain a substantial position in the industry, players have been forming partnerships, M&A, upgrading existing platforms, and launching new products in recent years.
Salesforce is a prominent leader in CRM software. Salesforce has leveraged its CRM knowledge to create a sophisticated, metadata-driven low-code application development environment that is completely cloud-based. Regardless of their level of coding expertise, the Salesforce platform gives customers with the advanced tools they need to create any apps they want. The Salesforce platform's visual interface and simple drag-and-drop capabilities entice nontechnical business users, while those who are experienced with coding languages may go deeper into the building blocks of their applications.
In April 2022, Salesforce and Slack launched New Low-Code Developer tools for Slack Integration. It is a new toolkit that allows developers to create customized Slack apps and draw core Salesforce functionality straight into Slack, such as actions, automation, and business insights. The Salesforce Platform for Slack toolset allows developers to quickly create Slack apps that link employees across the company, resulting in powerful digital HQs that help employees to thrive in a work-from-anywhere environment.
Caspio is one of the world's most popular low-code platform for creating online database applications without coding. Caspio’s low-code platform allows customers to construct apps faster by a factor of 20, as compared to traditional software development. Hand-coding and debugging consume a significant amount of time in any development sprint, therefore removing it from the equation increases development timeframes significantly.
OutSystems announced a next-generation application platform in November 2021 that allows development teams to create cutting-edge cloud applications. The new platform, codenamed Project Neo, enables enterprises to compete in a cloud-first environment by delivering the next level of application scaling and developer efficiency.
Some of the key industry players operating in the global low-code development platform market are Oracle Corporation, Salesforce.com Inc, Alphabet Inc, Caspio Inc, Kony Inc, Appian Corporation, Mendix Technology B.V., Outsystems Inc, AgilePoint Inc., Microsoft Corporation, MatsSoft Limited, and ServiceNow Inc.
Source: VynZ Research