Robotic Process Automation (RPA) Market Analysis North America, Europe, APAC, South America, Middle East and Africa - US, China, Japan, UK, Germany - Size and Forecast 2023-2027

Robotic Process Automation (RPA) Market Forecast 2023-2027

The robotic process automation (RPA) market size is forecast to increase by USD 16.63 billion, at a CAGR of 35.83% between 2022 and 2027. The expansion of the robotic process automation (RPA) market is shaped by several key factors, including cost-effectiveness, improved service delivery, and the diminishing availability of low-cost industrial labor. RPA systems automate rule-based and repetitive tasks, eliminating the need for human intervention. A notable advantage of RPA is its ability to automatically update software, ensuring seamless business process execution without interruptions. This capability enhances operational efficiency and reduces the risk of delays in task completion. As organizations strive to optimize their operations and minimize manual effort, the demand for RPA solutions continues to grow. By leveraging automation technology, businesses can achieve significant cost savings, streamline workflows, and enhance overall productivity. These trends underscore the increasingly vital role of RPA in driving efficiency and competitiveness across various industries.

What will be the size of the Market During the Forecast Period?

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Market Segmentation

This report extensively covers market segmentation by type (services and software), end-user (BFSI, IT/ITES, telecom, logistics, and others), and geography (North America, Europe, APAC, South America, and Middle East and Africa). It also includes an in-depth analysis of drivers, trends, and challenges. Furthermore, the market forecast report includes historic market data from 2017 to 2021. 

Moreover, RPA adoption is essential for ensuring data security and Regulatory Compliance in various sectors. Cloud models and RPA solutions are being used to automate processes while maintaining the necessary security measures. Overall, RPA is revolutionizing the way businesses operate, from manufacturing to services, and will continue to be a game-changer in the years to come.

By Type

The market share growth of the services segment will be significant during the forecast period. The market witnesses significant growth due to increasing RPA adoption in various industries. Companies seek to enhance productivity and achieve higher Return on Investment (ROI) through RPA solutions. Cloud models and advanced automation technologies facilitate scalability and cost reduction. Vendors offer RPA services, including consulting, training, and advising, to help businesses identify automation opportunities and optimize their automation lifecycle management. RPA solutions enable data manipulation and communication between applications, enhancing efficiency and accuracy. SLA-based automation, credential management, and Citrix automation are essential features for businesses.

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The services segment was valued at USD 694.14 million in 2017. Cloud-based solutions, PaaS services, and open source resources provide flexibility and affordability for Small and Medium Enterprises (SMEs) and SMBs. RPA plays a crucial role in customer relationship management, enterprise resource planning, and financial applications. The current business environment, with social distancing norms and a human resource crunch, further emphasizes the need for RPA. Automation of workflows in accounting and finance, ERP management, and returns processing is essential for businesses to remain competitive. RPA adoption is not limited to large enterprises but also extends to end-user industries, including manufacturing, healthcare, and retail. Temporary, seasonal workers and regulatory spikes necessitate the use of software robots to maintain network connectivity and ensure compliance. RPA solutions can help businesses navigate the challenges of consumer behavior analysis and adapt to the evolving business landscape. Hence, the abovementioned factors are expected to drive the growth of the services segment of the market during the forecast period.

By End-User

The banking and financial services industry relies on precise data exchange and compliance with regulations. To enhance services and reduce errors, the industry embraces digital technology and Robotic Process Automation (RPA). RPA allows for streamlined operations, improved productivity, and increased profits. Digital platforms are replacing traditional methods for services like money transfer and account creation. RPA software adoption is expected to boost productivity and minimize errors in the industry, leading to better outcomes and profits during the forecast period.

By Region

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North America is estimated to contribute 44% to the growth of the global robotic process automation market growth during the forecast period. Technavio’s analysts have elaborately explained the regional trends and drivers that shape the market during the forecast period. Robotic Process Automation (RPA) adoption is on the rise in Europe, particularly in the UK, Germany, and France. RPA solutions have been implemented in various industries, including government sectors like the UK National Health Service, resulting in significant cost savings of approximately USD 631.67 million annually. Structured and rule-based businesses are the primary adopters, driven by concerns over data fraud and client interactions. RPA offers increased productivity, with cloud models enabling flexibility and scalability. Vendors like UiPath provide RPA solutions for data manipulation, communication, and automation lifecycle management.

Moreover, workload management, SLA-based automation, and credential management are essential features. Citrix automation and data APIs are integral to cloud-based solutions. SMEs and SMBs are also adopting RPA, leveraging PaaS services for customer relationship management, enterprise resource planning, and accounting and finance. Cloud computing, open source resources, and cooperative robot learning are shaping the future of RPA. The automation of financial applications, network connectivity, and human resource processes are crucial in the current climate of social distancing norms, regulatory spikes, and workforce crunches. RPA is transforming industries, including end-user industries, by automating processes, reducing manual intervention, and improving efficiency. Temporary and seasonal workers can benefit from RPA, as software robots can handle repetitive tasks, allowing humans to focus on more complex tasks. RPA is revolutionizing returns processing, workflow management, and accounting and finance, among other areas.

Market Dynamics and Customer Landscape

In the Digital Transformation Era, various industries, including Healthcare Providers, Hospitality, Pharmaceutical Sector, Smartphone Manufacturing, Energy Sector, Aerospace Market, and the Insurance Industry, are embracing Robotic Process Automation (RPA) to enhance productivity and streamline operations. RPA solutions, such as those offered by Blue Prism Cloud, are being adopted industry-specifically to automate contact center tasks, vaccine manufacturing processes, pharmacovigilance, and data manipulation. Intelligent bots, a key component of RPA, are being integrated into robotic operating models to provide Bot Insights and Machine Learning capabilities. These cognitive robotic systems enable the automation of repetitive tasks, freeing up human resources for more complex tasks.

Key Market Driver

One of the key factors driving market growth is improved cost savings for businesses. In the retail and ecommerce industries, Robotic Process Automation (RPA) is an emerging technology that offers significant cost savings for business operations. RPA allows for the industrialization of highly standardized processes, reducing the need for manual labor and resulting in a high return on investment. The Census Bureau reports that retail sales and online sales continue to grow, necessitating the need for industrialization solutions. Companies like Zebra Technologies are pioneers in retail automation, implementing RPA to streamline processes in warehouses and distribution centers.

Further, the automotive OEMs and other industries are also adopting RPA, with innovators such as the Association for Advancing Automation and regulated authorities encouraging its use. Conversational RPA chatbots are a recent addition to the RPA market, offering automated customer service and further reducing operational costs. RPA's flexibility to integrate with various business applications makes it an attractive option for private companies and government organizations alike. Thus, such factors will drive the market in the forecast period.

Significant Market Trends

Emerging trends in business process transformation are one of the key market trends. In the emerging market, businesses, particularly in the retail and ecommerce industries, are increasingly adopting automation solutions to enhance business operations and reduce human error. The Census Bureau reports that online sales accounted for 16.1% of total retail sales in Q2 2020.

Further, to optimize their operations, retailers and warehouses are turning to RPA innovators like Zebra Technologies for automation. Automotive OEMs and other industries also use RPA to streamline processes. Regulated authorities, government organizations, and private companies are also embracing RPA, with conversational RPA chatbots becoming a trend. Pioneers in RPA are focusing on improving operational depth and quality, benefiting industries such as retail and ecommerce. The Association for Advancing Automation reports continued growth in RPA adoption.
Such factors will further support the market growth in the coming years.

Major Market Challenge

One of the key challenges to market growth is the subscription cost of robotic process automation software. In the retail and ecommerce industries, RPA is an emerging technology that is revolutionizing business operations. RPA software, provided by third-party vendors like Zebra Technologies, is being implemented to automate repetitive tasks, reduce manpower, and generate error-free data. The implementation of RPA in warehouses and online sales channels is becoming increasingly popular. The subscription cost for RPA includes scheduled software updates and maintenance. Regulatory terms and conditions between end-users and software providers can impact the cost.

Further, the automotive OEMs and pioneers in the retail sector are leading the way in RPA adoption. Conversational RPA chatbots are also gaining traction in this space. The Association for Advancing Automation and regulated authorities are working closely with private companies to ensure the implementation of RPA adheres to government guidelines. According to the Census Bureau, the use of robots in retail and manufacturing industries is on the rise. Innovators in the ecommerce industry are leveraging RPA to streamline their operations and enhance customer experience.

Market Customer Landscape

The market report includes the adoption lifecycle of the market, covering from the innovator’s stage to the laggard’s stage. It focuses on adoption rates in different regions based on penetration. Furthermore, the market forecasting report also includes key purchase criteria and drivers of price sensitivity to help companies evaluate and develop their growth strategies.

 Market Customer Landscape

Who are the Major Market Companies?

Companies are implementing various strategies, such as strategic alliances, partnerships, mergers and acquisitions, geographical expansion, and product/service launches, to enhance their presence in the market.

Accenture Plc - The company offers robotic process automation products for financial institutions such as solutions AI. 

The market report also includes detailed analyses of the competitive landscape of the market and information about 20 market companies, including:

• Accenture Plc
• Advanced Systems Concepts Inc.
• Amelia US LLC
• Atos SE
• Cognizant Technology Solutions Corp.
• Deloitte Touche Tohmatsu Ltd.
• Genpact Ltd.
• Infosys Ltd.
• International Business Machines Corp.
• Kofax Inc.
• Microsoft Corp.
• NICE Ltd.
• Nintex Global Ltd.
• Nippon Telegraph and Telephone Corp.
• OnviSource Inc.
• Pegasystems Inc.
• SS and C Technologies Holdings Inc.
• UiPath Inc.
• WorkFusion Inc.

Qualitative and quantitative analysis of companies has been conducted to help clients understand the wider business environment as well as the strengths and weaknesses of key market players. Data is qualitatively analyzed to categorize companies as pure play, category-focused, industry specific, and diversified; it is quantitatively analyzed to categorize companies as dominant, leading, strong, tentative, and weak.

Segment Overview

The market report forecasts market growth by revenue at global, regional & country levels and provides an analysis of the latest trends and growth opportunities from 2017 to 2027. 

• Type Outlook 
  • Services
  • Software
• End-user Outlook
  • BFSI
  • IT/ITES
  • Telecom
  • Logistics
  • Others
• Region Outlook 
  • North America
    • The U.S.
    • Canada
  • Europe
    • The U.K.
    • Germany
    • France
    • Rest of Europe
  • APAC
    • China
    • India
  • South America
    • Brazil
    • Argentina
  • Middle East & Africa
    • Saudi Arabia
    • South Africa
    • Rest of the Middle East & Africa

Market Analyst Overview:

Robotic Process Automation (RPA) is a revolutionary technology that has taken the business world by storm. RPA providers like RPA Lab and Automation Anywhere offer solutions that digitize and automate repetitive tasks, enabling businesses to increase efficiency and reduce errors. Robotic bots perform tasks in a human-like manner, interacting with applications and systems just as humans do. These bots are cloud-based and require minimal IT intervention, making implementation quick and cost-effective.

Further, RPA is particularly beneficial for industries such as finance, healthcare, and insurance, where large volumes of data need to be processed accurately and efficiently. With the increasing demand for digital transformation, the RPA market is expected to grow significantly in the coming years. Companies are recognizing the value of RPA in streamlining operations, improving customer experience, and reducing operational costs. RPA is a game-changer for businesses, providing a competitive edge in today's fast-paced business environment.

Market Scope
Report Coverage	Details
Page number	178
Base year	2022
Historic period	2017-2021
Forecast period	2023-2027
Growth momentum & CAGR	Accelerate at a CAGR of 35.83%
Market growth 2023-2027	USD 16.63 billion
Market structure	Fragmented
YoY growth 2022-2023(%)	33.97
Regional analysis	North America, Europe, APAC, South America, and Middle East and Africa
Performing market contribution	North America at 44%
Key countries	US, China, Japan, UK, and Germany
Competitive landscape	Leading Companies, Market Positioning of Companies, Competitive Strategies, and Industry Risks
Key companies profiled	Accenture Plc, Advanced Systems Concepts Inc., Amelia US LLC, Atos SE, Automation Anywhere Inc., Cognizant Technology Solutions Corp., Deloitte Touche Tohmatsu Ltd., Genpact Ltd., Infosys Ltd., International Business Machines Corp., Kofax Inc., Microsoft Corp., NICE Ltd., Nintex Global Ltd., Nippon Telegraph and Telephone Corp., OnviSource Inc., Pegasystems Inc., SS and C Technologies Holdings Inc., UiPath Inc., and WorkFusion Inc.
Market dynamics	Parent market analysis, Market growth inducers and obstacles, Fast-growing and slow-growing segment analysis, COVID-19 impact and recovery analysis and future consumer dynamics, Market condition analysis for the forecast period
Customization purview	If our report has not included the data that you are looking for, you can reach out to our analysts and get segments customized.

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What are the Key Data Covered in this Market Research Report?

• CAGR of the market during the forecast period
• Detailed information on factors that will drive the market growth and forecasting of the market between 2023 and 2027
• Precise estimation of the market size and its contribution to the parent market
• Accurate predictions about upcoming market trends and analysis and changes in consumer behavior
• Growth of the market across Europe, North America, APAC, South America, and Middle East and Africa
• Thorough market growth analysis of the market’s competitive landscape and detailed information about companies
• Comprehensive market analysis and report on the factors that will challenge the market research and growth of market companies

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