Market Insights Technology IT Services IT Outsourcing

Administration Outsourcing - Southern Asia

Southern Asia

Revenue in the Administration Outsourcing market is projected to reach €1.42bn in 2024.
Revenue is expected to show an annual growth rate (CAGR 2024-2029) of 8.55%, resulting in a market volume of €2.14bn by 2029.
The average Spend per Employee in the Administration Outsourcing market is projected to reach €1.96 in 2024.
In global comparison, most revenue will be generated in the United States (€25,300.00m in 2024).

Key regions: China, United States, Germany, India, Japan

Marché

Région

Comparaison de régions

Monnaie

Analyst Opinion

The Administration Outsourcing market in Southern Asia has been experiencing significant growth in recent years.

Customer preferences: Companies in Southern Asia are increasingly turning to administration outsourcing services to reduce costs and improve efficiency. Many businesses in the region are looking for ways to streamline their operations and focus on core competencies, and outsourcing administrative tasks is seen as a viable solution. Additionally, the rise of digitalization and the increasing need for data security are driving demand for outsourcing services.

Trends in the market: India is the largest market for administration outsourcing in Southern Asia, with a significant number of companies outsourcing their finance and accounting, human resources, and procurement processes. The country's large pool of skilled workers and relatively low labor costs make it an attractive destination for outsourcing. However, other countries in the region, such as the Philippines and Sri Lanka, are also emerging as outsourcing destinations due to their skilled workforce and favorable business environment.

Local special circumstances: One of the unique aspects of the administration outsourcing market in Southern Asia is the prevalence of small and medium-sized enterprises (SMEs). These companies often lack the resources to hire in-house staff for administrative tasks and turn to outsourcing as a cost-effective solution. Additionally, the region's diverse cultural and linguistic landscape means that outsourcing providers must be able to offer services in multiple languages and adapt to local customs and practices.

Underlying macroeconomic factors: The growth of the administration outsourcing market in Southern Asia is closely tied to the region's economic development. As countries in the region continue to grow and modernize, businesses are looking for ways to stay competitive and outsourcing administrative tasks is seen as a way to achieve this. Additionally, the global trend towards digitalization and the increasing need for data security are driving demand for outsourcing services in the region.

Methodology

Data coverage:

The data encompasses B2G, B2B, and B2C enterprises. Figures are based on enterprises' technology spending on products, consulting, and outsourcing services.

Modeling approach / Market size:

Market sizes are determined through a combined top-down and bottom-up approach, building on a specific rationale for each market segment. As a basis for evaluating markets, we use annual financial reports of key players in the industry, Statista's primary research and surveys, and IT associations. In addition, we use relevant key market indicators and data from country-specific associations, such as GDP, internet users, and telecommunication. This data helps us estimate the market size for each country individually.

Forecasts:

In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques is based on the behavior of the relevant market. For example, the exponential trend smoothing method is used based on the market data characteristics. The main drivers are the GDP and its sector composition, internet penetration, the level of digitization, and the attitude toward IT security.

Additional notes:

The data is modeled using current exchange rates. The market is updated twice a year in case market dynamics change. The impact of the COVID-19 pandemic and the Russia-Ukraine war is considered at a country-specific level.