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The Employee Engagement Software Market size was valued at USD 946.60 million in 2023 and is expected to grow to USD 3608.27 million by 2032 and grow at a CAGR of 16.03 % over the forecast period of 2024-2032.
Employee retention, easy communication, increased productivity, and enhanced customer service are all aided by employee engagement software, which also increases corporate growth and income. Lattice’s all-in-one employee engagement, Emplus employee survey platform, Synergita employee engagement tracking, and survey software, and others are some of the employee engagement programs taken into account in the report. Demand for software is being driven by rising employee resignation rates and poor management communication in all industries. Thus, businesses are observing tremendous development in their sales, employee productivity, and customer happiness thanks to the deployment of software.
Platforms for employee engagement are frequently selected by HR departments and put into place by managers, IT, the C-suite, and other members of the organization under the direction of HR. Trust, honesty, reciprocal commitment, and communication between an organization and its members serve as the foundation for employee engagement. Enhancing organizational and individual performance, productivity, and well-being, is a strategy that raises the likelihood of business success. Nowadays, every business is data-driven, particularly when it comes to employee engagement. Dynamic dashboards in engagement tools instantly identify areas of the business that need help and showcase departments or regions that are performing excellent work.
Drivers
Growing Use of Digital Workplaces to Fuel Market Expansion
Employee engagement software helps to monitor the performance of employees
Digital technologies are being used by industries all over the world to improve management and operations. These digital workplaces integrate with a number of tools, such as employee engagement tools, to improve collaboration. The management of the companies is being driven to put a greater emphasis on employee well-being by the growing awareness of work-life balance. In a similar vein, incorporating employee involvement improves an employee's capacity for effective task management.
Restrains
Software's time-consuming tasks to impede market expansion
To analyze the level of employee engagement in an organization, engagement software needs feedback and data on a constant basis. However, occasionally the time needed for responding to surveys, exchanging feedback, and having in-person conversations takes up employee-designated working hours. With more labor, an employee may experience burnout and lose interest in the company. It is anticipated that employee input will continually limit market growth. As a result, designing engagement forms and surveys with the right definitions, objectives, and frequency is crucial.
Opportunities
Increasing attention paid to raising employee retention rates
Trend toward digitization is growing
Challenges
The cost of implementation and adoption of new innovation is high.
Availability of technical knowledge is less.
During COVID-19, Changes in the Workplace Environment Will Help Increase Market Share
The COVID-19 pandemic in 2020 impacted people's lives, livelihoods, and economies all around the world. The considerable changes in the working environment completely disrupted the employee experience. Employee engagement was first negatively influenced by pandemic worries in 2020. However, businesses started remote working and work-from-home policies with the use of cutting-edge equipment in response to strategic policies from governments throughout the world. The need for employee engagement software has increased as a result of the pandemic's growing requirement for sophisticated team management and communication solutions.
The pandemic's substantial focus on work-life balance among employees boosted the software's uptake. The businesses also made significant investments in employee engagement programs to improve onboarding procedures, well-being and health, and productivity of remote workers. According to the Quantum Workplace Benchmark Report & Analysis survey, the market saw a gain of 11% in 2020, when the pandemic was at its worst, compared to the growth rate in 2019. Given the profound changes it caused at work, the pandemic has so accelerated market expansion.
Impact of recession
The recession has caused an increase in the prices of goods and services, resulting in a rise in the cost of living. As a result, many employees are now performing multiple jobs, including part-time and full-time work. Monitoring and retaining employees have a significant impact on the employee engagement software market. The economic downturn has forced many individuals to take on additional work to make ends meet. This has led to a rise in demand for employee retention software, which helps companies keep track of their employees and ensure they are satisfied with their jobs. By utilizing this software, businesses can identify potential issues and take steps to address them before they become major problems. the recession has had a significant impact on the employee engagement software market. As companies strive to retain their employees and create a positive work environment, the demand for this software will continue to grow. By utilizing this software, businesses can stay ahead of the competition and ensure the long-term success of their organization.
We constantly track and update news in light of the ongoing political and economic unpredictability caused by the Russia-Ukraine Conflict. This war is having negative impacts on the life of people. In light of the most recent information on the conflict and the responses from across the world, the study explores the implications for demand-supply balances, pressure on pricing variants, influence on import/export and trading, and short-term suggestions to the Global Employee Engagement Software Market. We provide detailed information regarding this in the final report.
The Employee Engagement Software Market is segmented into three types on the basis of by Enterprise type, by Deployment, by function, and by Industry.
By Enterprise Type:
Large Enterprises
Small & Medium Enterprises
By Deployment:
Cloud
On-premises
By Function:
Onboarding
Training
Collaboration & Interaction
Customer Service
Rewards & Recognition
Others
By Industry:
Retail
Hospitality
Government
Healthcare
BFSI
IT & Telecom
Manufacturing
Others
During the anticipated period, North America will hold the majority of the global market share. The region's demand for software is expected to increase as a result of the increased investment in digital solutions and HR tech tools. In the United States, most employees are engaged in customer service and communication, which is double the global average, according to Gallup's State of the Global Workplace 2022. In a similar vein, Mexico is currently spending money on solutions that are geared toward improving employee productivity and ensuring business continuity in the wake of the covid-19 pandemic.
During the forecast period, massive growth is anticipated in Europe. With more dissatisfied workers in all industries, European organizations are having difficulties.
The growth potential for providers of employee engagement software is anticipated to be fueled by this. To increase productivity and lower employee absenteeism, job providers are investing in personnel management systems.
During the predicted period, Asia Pacific is likely to demonstrate a fast growth rate. Market expansion in the region is anticipated to be fueled by the rising number of small and medium-sized businesses that prioritize staff retention. Additionally, governments in various nations assist workers in terms of work-life balance and open corporate cultures. The market share for employee engagement software is anticipated to increase as a result. Due to rising investments in digital solutions, the Middle East and Africa are expected to experience high growth rates during the projection period. Market expansion is being driven by an increase in awareness of employee engagement across industries.
In the regional analysis study of the regions of North America, Europe, Asia Pacific middle east, and Africa.
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REGIONAL COVERAGE:
North America
USA
Canada
Mexico
Europe
Germany
UK
France
Italy
Spain
The Netherlands
Rest of Europe
Asia-Pacific
Japan
South Korea
China
India
Australia
Rest of Asia-Pacific
The Middle East & Africa
Israel
UAE
South Africa
Rest of the Middle East & Africa
Latin America
Brazil
Argentina
Rest of Latin America
The major players in the industry are Synergita Software Private Limited, 15Five, Smartly, Inc., Xoxoday Emplus, Lattice, Vantage Circle, Kudos, Inc., Culture Amp Pty Ltd., Workvivo Limited, Leapsome GmbH, and others are in the final report.
In order to further its staff engagement capabilities, Vantage Circle established a partnership with a team collaboration software supplier in November 2022. The companies hope to provide an all-in-one platform for internal communication and cooperation.
Launched in September 2022: Lattice A network called Lattice Connect enables its users to improve employee success tactics that can accelerate their professional advancement. By providing its ability to collaborate, onboard, or locate the proper partner, it strengthens its capacities to retain personnel motivated and raise its performances.
| Report Attributes | Details |
| Market Size in 2023 | US$ 946.60 Mn |
| Market Size by 2032 | US$ 3608.27Mn |
| CAGR | CAGR of 16.03% From 2024 to 2032 |
| Base Year | 2023 |
| Forecast Period | 2024-2032 |
| Historical Data | 2020-2022 |
| Report Scope & Coverage | Market Size, Segments Analysis, Competitive Landscape, Regional Analysis, DROC & SWOT Analysis, Forecast Outlook |
| Key Segments | • By Enterprise Type (Large Enterprises and Small & Medium Enterprises) • By Deployment (Cloud and On-premises) • By Function (Onboarding, Training, Collaboration & Interaction, Customer Service, Rewards & Recognition, and Others) • By Industry (Retail, Hospitality, Government, Healthcare, BFSI, IT & Telecom, Manufacturing, and Others) |
| Regional Analysis/Coverage | North America (USA, Canada, Mexico), Europe (Germany, UK, France, Italy, Spain, Netherlands, Rest of Europe), Asia-Pacific (Japan, South Korea, China, India, Australia, Rest of Asia-Pacific), The Middle East & Africa (Israel, UAE, South Africa, Rest of Middle East & Africa), Latin America (Brazil, Argentina, Rest of Latin America) |
| Company Profiles | Synergita Software Private Limited, 15Five, Smartly, Inc., Xoxoday Emplus, Lattice, Vantage Circle, Kudos, Inc., Culture Amp Pty Ltd., Workvivo Limited, Leapsome GmbH |
| Key Drivers | • Growing Use of Digital Workplaces to Fuel Market Expansion • Employee engagement software helps to monitor the performance of employees |
| Market Opportunities | • Increasing attention paid to raising employee retention rates • Trend toward digitization is growing |
The CAGR of the Employee Engagement Software Market for the forecast period 2024-2032 is 16.03%.
USD 946.6 million in 2023 is the market share of the Employee Engagement Software Market.
The major worldwide key players in the Employee Engagement Software Market are Synergita Software Private Limited, 15Five, Smartly, Inc., Xoxoday Emplus, Lattice, Vantage Circle, Kudos, Inc., Culture Amp Pty Ltd., Workvivo Limited, Leapsome GmbH, and others are in the final report.
The forecast period for the Employee Engagement Software Market is 2024-2032.
Growing Use of Digital Workplaces to Fuel Market Expansion. Employee engagement software helps to monitor the performance of employees.
Table of Contents
1. Introduction
1.1 Market Definition
1.2 Scope
1.3 Research Assumptions
2. Research Methodology
3. Market Dynamics
3.1 Drivers
3.2 Restraints
3.3 Opportunities
3.4 Challenges
4. Impact Analysis
4.1 COVID-19 Impact Analysis
4.3 Impact of Ongoing Recession
4.3.1 Introduction
4.3.2 Impact on major economies
4.3.2.1 US
4.3.2.2 Canada
4.3.2.3 Germany
4.3.2.4 France
4.3.2.5 United Kingdom
4.3.2.6 China
4.3.2.7 japan
4.3.2.8 South Korea
4.3.2.9 Rest of the World
5. Value Chain Analysis
6. Porter’s 5 forces model
7. PEST Analysis
8. Employee Engagement Software Market Segmentation, by Enterprise Type
8.1 Large Enterprises
8.2 Small & Medium Enterprises
9.Employee Engagement Software Market Segmentation, by Deployment
9.1 Cloud
9.2 On-premises
10. Employee Engagement Software Market Segmentation, by Function
10.1 Onboarding
10.2 Training
10.3 Collaboration & Interaction
10.4 Customer Service
10.5 Rewards & Recognition
10.6 Others
11. Employee Engagement Software Market Segmentation, by Industry
11.1 Retail
11.2 Hospitality
11.3 Government
11.4 Healthcare
11.5 BFSI
11.6 IT & Telecom
11.7 Manufacturing
11.8 Others
12. Regional Analysis
12.1 Introduction
12.2 North America
12.2.1 North America Employee Engagement Software Market by Country
12.2.2North America Employee Engagement Software Market by Enterprise Type
12.2.3 North America Employee Engagement Software Market by Deployment
12.2.4 North America Employee Engagement Software Market by Function
12.2.5 North America Employee Engagement Software Market by Industry
12.2.6 USA
12.2.6.1 USA Employee Engagement Software Market by Enterprise Type
12.2.6.2 USA Employee Engagement Software Market by Deployment
12.2.6.3 USA Employee Engagement Software Market by Function
12.2.6.4 USA Employee Engagement Software Market by Industry
12.2.7 Canada
12.2.7.1 Canada Employee Engagement Software Market by Enterprise Type
12.2.7.2 Canada Employee Engagement Software Market by Deployment
12.2.7.3 Canada Employee Engagement Software Market by Function
12.2.7.4 Canada Employee Engagement Software Market by Industry
12.2.8 Mexico
12.2.8.1 Mexico Employee Engagement Software Market by Enterprise Type
12.2.8.2 Mexico Employee Engagement Software Market by Deployment
12.2.8.3 Mexico Employee Engagement Software Market by Function
12.2.8.4 Mexico Employee Engagement Software Market by Industry
12.3 Europe
12.3.1 Europe Employee Engagement Software Market by Country
12.3.2 Europe Employee Engagement Software Market by Enterprise Type
12.3.3 Europe Employee Engagement Software Market by Deployment
12.3.4 Europe Employee Engagement Software Market by Function
12.3.5 Europe Employee Engagement Software Market by Industry
12.3.6 Germany
12.3.6.1 Germany Employee Engagement Software Market by Enterprise Type
12.3.6.2 Germany Employee Engagement Software Market by Deployment
12.3.6.3 Germany Employee Engagement Software Market by Function
12.3.6.4 Germany Employee Engagement Software Market by Industry
12.3.7 UK
12.3.7.1 UK Employee Engagement Software Market by Enterprise Type
12.3.7.2 UK Employee Engagement Software Market by Deployment
12.3.7.3 UK Employee Engagement Software Market by Function
12.3.7.4 UK Employee Engagement Software Market by Industry
12.3.8 France
12.3.8.1 France Employee Engagement Software Market by Enterprise Type
12.3.8.2 France Employee Engagement Software Market by Deployment
12.3.8.3 France Employee Engagement Software Market by Function
12.3.8.4 France Employee Engagement Software Market by Industry
12.3.9 Italy
12.3.9.1 Italy Employee Engagement Software Market by Enterprise Type
12.3.9.2 Italy Employee Engagement Software Market by Deployment
12.3.9.3 Italy Employee Engagement Software Market by Function
12.3.9.4 Italy Employee Engagement Software Market by Industry
12.3.10 Spain
12.3.10.1 Spain Employee Engagement Software Market by Enterprise Type
12.3.10.2 Spain Employee Engagement Software Market by Deployment
12.3.10.3 Spain Employee Engagement Software Market by Function
12.3.10.4 Spain Employee Engagement Software Market by Industry
12.3.11 The Netherlands
12.3.11.1 Netherlands Employee Engagement Software Market by Enterprise Type
12.3.11.2 Netherlands Employee Engagement Software Market by Deployment
12.3.11.3 Netherlands Employee Engagement Software Market by Function
12.3.11.4 Netherlands Employee Engagement Software Market by Industry
12.3.12 Rest of Europe
12.3.12.1 Rest of Europe Employee Engagement Software Market by Enterprise Type
12.3.12.2 Rest of Europe Employee Engagement Software Market by Deployment
12.3.12.3 Rest of Europe Employee Engagement Software Market by Function
12.3.12.4 Rest of Europe Employee Engagement Software Market by Industry
12.4 Asia-Pacific
12.4.1 Asia Pacific Employee Engagement Software Market by Country
12.4.2 Asia Pacific Employee Engagement Software Market by Enterprise Type
12.4.3 Asia Pacific Employee Engagement Software Market by Deployment
12.4.4Asia Pacific Employee Engagement Software Market by Function
12.4.5Asia Pacific Employee Engagement Software Market by Industry
12.4.6 Japan
12.4.6.1 Japan Employee Engagement Software Market by Enterprise Type
12.4.6.2 Japan Employee Engagement Software Market by Deployment
12.4.6.3 Japan Employee Engagement Software Market by Function
12.4.6.4 Japan Employee Engagement Software Market by Industry
12.4.7 South Korea
12.4.7.1 South Korea Employee Engagement Software Market by Enterprise Type
12.4.7.2 South Korea Employee Engagement Software Market by Deployment
12.4.7.3 South Korea Employee Engagement Software Market by Function
12.4.7.4 South Korea Employee Engagement Software Market by Industry
12.4.8 China
12.4.8.1 China Employee Engagement Software Market by Enterprise Type
12.4.8.2 China Employee Engagement Software Market by Deployment
12.4.8.3 China Employee Engagement Software Market by Function
12.4.8.4 China Employee Engagement Software Market by Industry
12.4.9 India
12.4.9.1 India Employee Engagement Software Market by Enterprise Type
12.4.9.2 India Employee Engagement Software Market by Deployment
12.4.9.3 India Employee Engagement Software Market by Function
12.4.9.4 India Employee Engagement Software Market by Industry
12.4.11 Australia
12.4.10.1 Australia Employee Engagement Software Market by Enterprise Type
12.4.10.2 Australia Employee Engagement Software Market by Deployment
12.4.10.3 Australia Employee Engagement Software Market by Function
12.4.10.4 Australia Employee Engagement Software Market by Industry
12.4.11 Rest of Asia-Pacific
12.4.11.1 APAC Employee Engagement Software Market by Enterprise Type
12.4.11.2 APAC Employee Engagement Software Market by Deployment
12.4.11.3 APAC Employee Engagement Software Market by Function
12.4.11.4 APAC Employee Engagement Software Market by Industry
12.5 The Middle East & Africa
12.5.1 The Middle East & Africa Employee Engagement Software Market by Country
12.5.2 The Middle East & Africa Employee Engagement Software Market by Enterprise Type
12.5.3 The Middle East & Africa Employee Engagement Software Market by Deployment
12.5.4The Middle East & Africa Employee Engagement Software Market by Function
12.5.5 The Middle East & Africa Employee Engagement Software Market by Industry
12.5.6 Israel
12.5.6.1 Israel Employee Engagement Software Market by Enterprise Type
12.5.6.2 Israel Employee Engagement Software Market by Deployment
12.5.6.3 Israel Employee Engagement Software Market by Function
12.5.6.4 Israel Employee Engagement Software Market by Industry
12.5.7 UAE
12.5.7.1 UAE Employee Engagement Software Market by Enterprise Type
12.5.7.2 UAE Employee Engagement Software Market by Deployment
12.5.7.3 UAE Employee Engagement Software Market by Function
12.5.7.4 UAE Employee Engagement Software Market by Industry
12.5.8South Africa
12.5.8.1 South Africa Employee Engagement Software Market by Enterprise Type
12.5.8.2 South Africa Employee Engagement Software Market by Deployment
12.5.8.3 South Africa Employee Engagement Software Market by Function
12.5.8.4 South Africa Employee Engagement Software Market by Industry
12.5.9 Rest of Middle East & Africa
12.5.9.1 Rest of Middle East & Asia Employee Engagement Software Market by Enterprise Type
12.5.9.2 Rest of Middle East & Asia Employee Engagement Software Market by Deployment
12.5.9.3 Rest of Middle East & Asia Employee Engagement Software Market by Function
12.5.9.4 Rest of Middle East & Asia Employee Engagement Software Market by Industry
12.6 Latin America
12.6.1 Latin America Employee Engagement Software Market by Country
12.6.2 Latin America Employee Engagement Software Market by Enterprise Type
12.6.3 Latin America Employee Engagement Software Market by Deployment
12.6.4 Latin America Employee Engagement Software Market by Function
12.6.5 Latin America Employee Engagement Software Market by Industry
12.6.6 Brazil
12.6.6.1 Brazil Employee Engagement Software Market by Enterprise Type
12.6.6.2 Brazil Africa Employee Engagement Software Market by Deployment
12.6.6.3 Brazil Employee Engagement Software Market by Function
12.6.6.4 Brazil Employee Engagement Software Market by Industry
12.6.7 Argentina
12.6.7.1 Argentina Employee Engagement Software Market by Enterprise Type
12.6.7.2 Argentina Employee Engagement Software Market by Deployment
12.6.7.3 Argentina Employee Engagement Software Market by Function
12.6.7.4 Argentina Employee Engagement Software Market by Industry
12.6.8 Rest of Latin America
12.6.8.1 Rest of Latin America Employee Engagement Software Market by Enterprise Type
12.6.8.2 Rest of Latin America Employee Engagement Software Market by Deployment
12.6.8.3 Rest of Latin America Employee Engagement Software Market by Function
12.6.8.4Rest of Latin America Employee Engagement Software Market by Industry
13. Company Profile
13.1 Synergita Software Private Limited.
13.1.1 Market Overview
13.1.2 Financials
13.1.3 Product/Services/Offerings
13.1.4 SWOT Analysis
13.1.5 The SNS View
13.2 15Five
13.2.1 Market Overview
13.2.2 Financials
13.2.3 Product/Services/Offerings
13.2.4 SWOT Analysis
13.2.5 The SNS View
13.3 Smartly, Inc.
13.3.1 Market Overview
13.3.2 Financials
13.3.3 Product/Services/Offerings
13.3.4 SWOT Analysis
13.3.5 The SNS View
13.4 Xoxoday Emplus.
13.4.1 Market Overview
13.4.2 Financials
13.4.3 Product/Services/Offerings
13.4.4 SWOT Analysis
13.4.5 The SNS View
13.5 Vantage Circle.
13.5.1 Market Overview
13.5.2 Financials
13.5.3 Product/Services/Offerings
13.5.4 SWOT Analysis
13.5.5 The SNS View
13.6 Kudos, Inc.
13.6.1 Market Overview
13.6.2 Financials
13.6.3 Product/Services/Offerings
13.6.4 SWOT Analysis
13.6.5 The SNS View
13.7 Culture Amp Pty Ltd.
13.7.1 Market Overview
13.7.2 Financials
13.7.3 Product/Services/Offerings
13.7.4 SWOT Analysis
13.7.5 The SNS View
13.8 Workvivo Limited.
13.8.1 Market Overview
13.8.2 Financials
13.8.3 Product/Services/Offerings
13.8.4 SWOT Analysis
13.8.5 The SNS View
13.9 Leapsome GmbH.
13.9.1 Market Overview
13.9.2 Financials
13.9.3 Product/Services/Offerings
13.9.4 SWOT Analysis
13.9.5 The SNS View
13.10 Lattice.
13.10.1 Market Overview
13.10.2 Financials
13.10.3 Product/Services/Offerings
13.10.4 SWOT Analysis
13.10.5 The SNS View
14. Competitive Landscape
14.1 Competitive Benchmarking
14.2 Market Share Analysis
14.3 Recent Developments
15. USE Cases and Best Practices
16. Conclusion
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