Market Overview:
The global payroll outsourcing market is expected to grow at a CAGR of 7.8% from 2018 to 2030. The growth in the market can be attributed to the increasing demand for payroll outsourcing services by small and medium-sized businesses (SMBs) and large enterprises, and the growing trend of cloud-based payroll solutions. The global payroll outsourcing market is segmented on the basis of type, application, and region. On the basis of type, the market is segmented into full-managed outsourced services and co-managed outsourced services. Full-managed outsourced services are further subsegmented into managed service providers (MSPs) and captive centers/inhouse centers. Co-managed outsourced services are further subsegmented into shared service centers (SSCs) and business process outsourcing (BPO) providers/third party administrators (TPAs). On the basis of application, SMBs accounted for majority share in 2017 owing to their need for cost savings through economies of scale offered by payrolling vendors.
Product Definition:
Payroll outsourcing is the process of hiring a third party to handle all or part of the payroll functions for a company. This can include processing paychecks, issuing W-2 forms, and filing taxes. The importance of payroll outsourcing lies in the fact that it can save companies time and money while also freeing up resources to focus on other areas of their business.
Full-Managed Outsourcing:
Full-Managed Outsourcing (FMO) is a type of outsourcing in which an external firm is made responsible for managing all aspects of a client's business including HR, training, sales and marketing, finance and accounting. The primary difference between managed services and FMO is that the former includes only HR functions while the latter involves other functionalities as well.
Co-Managed Outsourcing:
Co-managed outsourcing is a type of shared services model in which two organizations, namely the service provider and client, work together to provide solutions for various business processes. The key difference between Co-Managed Services and Co-Managing is that while Co-Managed Service involves both the organization's resources (the internal team as well as external resources), Co- Managing solely refers to the relationship between an external resource or partner company and an organization.
Application Insights:
The small business segment accounted for the largest revenue share of over 60% in 2017. The segment is expected to witness significant growth over the forecast period owing to increasing adoption of technologies, easy access to global markets, and growing concerns regarding employee management. Payroll outsourcing services help small businesses manage their payroll functions efficiently and effectively while reducing costs associated with time consumption and human resources.
Outsourcing payroll saves time as it reduces paperwork burden by automating routine tasks such as calculating holiday pay, vacation days, sick leave etc., which can be a tedious job for a small business owner or manager if done manually. Outsourced payroll solutions also offer real-time insights into employees¢â‚¬â„¢ salaries so that managers can adjust wages accordingly at any given point of time without involving themselves in tedious calculations every month. This helps businesses focus on their core operations while outsourceing only those functions which require specialized expertise thereby boosting market growth across regions globally.
Regional Analysis:
Asia Pacific region accounted for the highest market share in 2017 and is expected to continue its dominance over the forecast period. The growth can be attributed to increasing outsourcing activities by various organizations in countries such as India, China, Philippines, and Australia. In addition, rising labor costs due to high minimum wages are driving organizations to outsource certain tasks such as payroll processing at a significant scale.
The Asia Pacific regional market is also anticipated to witness significant growth opportunities due to rapidly developing economies such as India and China that offer numerous opportunities for Payroll Outsourcing (PEO) service providers. Furthermore, growing demand for cloud-based services among small & medium businesses will drive the overall regional market further. Moreover cloud based solutions offer flexibility of working from anywhere at any time which suits modern business requirements thus making it an effective alternative of full-time staffing up till now!.
Growth Factors:
- Increased demand for outsourcing services due to the need for cost savings and improved efficiency.
- Rapid growth of the freelance workforce, which is driving demand for payroll outsourcing services that can manage a dispersed and mobile workforce.
- The increasing complexity of payroll and tax laws, which is making it difficult for businesses to manage their own payroll processes internally.
- The growing trend of companies moving away from traditional employee benefits packages in favor of more flexible, customizable options that can be outsourced to a third party provider.
- The increasing use of cloud-based technologies in the workplace, which is making it easier for businesses to outsource their payroll functions to a third party provider without having to worry about installing and maintaining any software or hardware on their own premises
Scope Of The Report
Report Attributes
Report Details
Report Title
Payroll Outsourcing Market Research Report
By Type
Full-Managed Outsourcing, Co-Managed Outsourcing
By Application
Small Business, Midsized Business, Large Business,
By Companies
ADP, Sage, Xerox, Paychex, Gusto, Intuit, Zalaris, Infosys, KPMG, Vision H.R., Deloitte, Aurion, Activpayroll, Immedis, Ascender, NGA HR, Neeyamo, BDO, CloudPay, Excelity, i-Admin, TriNet,
Regions Covered
North America, Europe, APAC, Latin America, MEA
Base Year
2021
Historical Year
2019 to 2020 (Data from 2010 can be provided as per availability)
Forecast Year
2030
Number of Pages
230
Number of Tables & Figures
161
Customization Available
Yes, the report can be customized as per your need.
Global Payroll Outsourcing Market Report Segments:
The global Payroll Outsourcing market is segmented on the basis of:
Types
Full-Managed Outsourcing, Co-Managed Outsourcing
The product segment provides information about the market share of each product and the respective CAGR during the forecast period. It lays out information about the product pricing parameters, trends, and profits that provides in-depth insights of the market. Furthermore, it discusses latest product developments & innovation in the market.
Applications
Small Business, Midsized Business, Large Business,
The application segment fragments various applications of the product and provides information on the market share and growth rate of each application segment. It discusses the potential future applications of the products and driving and restraining factors of each application segment.
Some of the companies that are profiled in this report are:
- ADP
- Sage
- Xerox
- Paychex
- Gusto
- Intuit
- Zalaris
- Infosys
- KPMG
- Vision H.R.
- Deloitte
- Aurion
- Activpayroll
- Immedis
- Ascender
- NGA HR
- Neeyamo
- BDO
- CloudPay
- Excelity
- i-Admin
- TriNet
Highlights of The Payroll Outsourcing Market Report:
- The market structure and projections for the coming years.
- Drivers, restraints, opportunities, and current trends of market.
- Historical data and forecast.
- Estimations for the forecast period 2030.
- Developments and trends in the market.
- By Type:
- Full-Managed Outsourcing
- Co-Managed Outsourcing
- By Application:
- Small Business
- Midsized Business
- Large Business
- Market scenario by region, sub-region, and country.
- Market share of the market players, company profiles, product specifications, SWOT analysis, and competitive landscape.
- Analysis regarding upstream raw materials, downstream demand, and current market dynamics.
- Government Policies, Macro & Micro economic factors are also included in the report.
We have studied the Payroll Outsourcing Market in 360 degrees via. both primary & secondary research methodologies. This helped us in building an understanding of the current market dynamics, supply-demand gap, pricing trends, product preferences, consumer patterns & so on. The findings were further validated through primary research with industry experts & opinion leaders across countries. The data is further compiled & validated through various market estimation & data validation methodologies. Further, we also have our in-house data forecasting model to predict market growth up to 2030.
Regional Analysis
- North America
- Europe
- Asia Pacific
- Middle East & Africa
- Latin America
Note: A country of choice can be added in the report at no extra cost. If more than one country needs to be added, the research quote will vary accordingly.
The geographical analysis part of the report provides information about the product sales in terms of volume and revenue in regions. It lays out potential opportunities for the new entrants, emerging players, and major players in the region. The regional analysis is done after considering the socio-economic factors and government regulations of the countries in the regions.
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8 Reasons to Buy This Report
- Includes a Chapter on the Impact of COVID-19 Pandemic On the Market
- Report Prepared After Conducting Interviews with Industry Experts & Top Designates of the Companies in the Market
- Implemented Robust Methodology to Prepare the Report
- Includes Graphs, Statistics, Flowcharts, and Infographics to Save Time
- Industry Growth Insights Provides 24/5 Assistance Regarding the Doubts in the Report
- Provides Information About the Top-winning Strategies Implemented by Industry Players.
- In-depth Insights On the Market Drivers, Restraints, Opportunities, and Threats
- Customization of the Report Available
Frequently Asked Questions?
Payroll outsourcing is the process of contracting with an outside company to perform payroll duties for an organization. This can include everything from creating and issuing paychecks to tracking employee hours and deductions. Outsourcing can be a cost-effective way to handle payroll, as it allows organizations to focus on their core business activities while someone else takes care of the administrative tasks associated with paying employees.
Some of the major players in the payroll outsourcing market are ADP, Sage, Xerox, Paychex, Gusto, Intuit, Zalaris, Infosys, KPMG, Vision H.R., Deloitte, Aurion, Activpayroll, Immedis, Ascender, NGA HR, Neeyamo, BDO, CloudPay, Excelity, i-Admin, TriNet.
The payroll outsourcing market is expected to register a CAGR of 7.8%.
1. Executive Summary
2. Assumptions and Acronyms Used
3. Research Methodology
4. Payroll Outsourcing Market Overview
4.1. Introduction
4.1.1. Market Taxonomy
4.1.2. Market Definition
4.2. Macro-Economic Factors
4.2.1. Industry Outlook
4.3. Payroll Outsourcing Market Dynamics
4.3.1. Market Drivers
4.3.2. Market Restraints
4.3.3. Opportunity
4.3.4. Market Trends
4.4. Payroll Outsourcing Market - Supply Chain
4.5. Global Payroll Outsourcing Market Forecast
4.5.1. Payroll Outsourcing Market Size (US$ Mn) and Y-o-Y Growth
4.5.2. Payroll Outsourcing Market Size (000 Units) and Y-o-Y Growth
4.5.3. Payroll Outsourcing Market Absolute $ Opportunity
5. Global Payroll Outsourcing Market Analysis and Forecast by Type
5.1. Market Trends
5.2. Introduction
5.2.1. Basis Point Share (BPS) Analysis by Type
5.2.2. Y-o-Y Growth Projections by Type
5.3. Payroll Outsourcing Market Size and Volume Forecast by Type
5.3.1. Full-Managed Outsourcing
5.3.2. Co-Managed Outsourcing
5.4. Absolute $ Opportunity Assessment by Type
5.5. Market Attractiveness/Growth Potential Analysis by Type
6. Global Payroll Outsourcing Market Analysis and Forecast by Application
6.1. Market Trends
6.2. Introduction
6.2.1. Basis Point Share (BPS) Analysis by Application
6.2.2. Y-o-Y Growth Projections by Application
6.3. Payroll Outsourcing Market Size and Volume Forecast by Application
6.3.1. Small Business
6.3.2. Midsized Business
6.3.3. Large Business
6.4. Absolute $ Opportunity Assessment by Application
6.5. Market Attractiveness/Growth Potential Analysis by Application
7. Global Payroll Outsourcing Market Analysis and Forecast by Sales Channel
7.1. Market Trends
7.2. Introduction
7.2.1. Basis Point Share (BPS) Analysis by Sales Channel
7.2.2. Y-o-Y Growth Projections by Sales Channel
7.3. Payroll Outsourcing Market Size and Volume Forecast by Sales Channel
7.3.1. Manufacturer/Distributor/Service Provider
7.3.2. Aftermarket
7.4. Absolute $ Opportunity Assessment by Sales Channel
7.5. Market Attractiveness/Growth Potential Analysis by Sales Channel
8. Global Payroll Outsourcing Market Analysis and Forecast by Region
8.1. Market Trends
8.2. Introduction
8.2.1. Basis Point Share (BPS) Analysis by Region
8.2.2. Y-o-Y Growth Projections by Region
8.3. Payroll Outsourcing Market Size and Volume Forecast by Region
8.3.1. North America
8.3.2. Latin America
8.3.3. Europe
8.3.4. Asia Pacific
8.3.5. Middle East and Africa (MEA)
8.4. Absolute $ Opportunity Assessment by Region
8.5. Market Attractiveness/Growth Potential Analysis by Region
8.6. Global Payroll Outsourcing Demand Share Forecast, 2019-2026
9. North America Payroll Outsourcing Market Analysis and Forecast
9.1. Introduction
9.1.1. Basis Point Share (BPS) Analysis by Country
9.1.2. Y-o-Y Growth Projections by Country
9.2. North America Payroll Outsourcing Market Size and Volume Forecast by Country
9.2.1. U.S.
9.2.2. Canada
9.3. Absolute $ Opportunity Assessment by Country
9.4. North America Payroll Outsourcing Market Size and Volume Forecast by Application
9.4.1. Small Business
9.4.2. Midsized Business
9.4.3. Large Business
9.5. Basis Point Share (BPS) Analysis by Application
9.6. Y-o-Y Growth Projections by Application
9.7. North America Payroll Outsourcing Market Size and Volume Forecast by Type
9.7.1. Full-Managed Outsourcing
9.7.2. Co-Managed Outsourcing
9.8. Basis Point Share (BPS) Analysis by Type
9.9. Y-o-Y Growth Projections by Type
9.10. Market Attractiveness/Growth Potential Analysis
9.10.1. By Country
9.10.2. By Product Type
9.10.3. By Application
9.10.4. By Sales Channel
9.11. North America Payroll Outsourcing Demand Share Forecast, 2019-2026
10. Latin America Payroll Outsourcing Market Analysis and Forecast
10.1. Introduction
10.1.1. Basis Point Share (BPS) Analysis by Country
10.1.2. Y-o-Y Growth Projections by Country
10.1.3. Latin America Average Pricing Analysis
10.2. Latin America Payroll Outsourcing Market Size and Volume Forecast by Country
10.2.1. Brazil
10.2.2. Mexico
10.2.3. Rest of Latin America
10.3. Absolute $ Opportunity Assessment by Country
10.4. Latin America Payroll Outsourcing Market Size and Volume Forecast by Application
10.4.1. Small Business
10.4.2. Midsized Business
10.4.3. Large Business
10.5. Basis Point Share (BPS) Analysis by Application
10.6. Y-o-Y Growth Projections by Application
10.7. Latin America Payroll Outsourcing Market Size and Volume Forecast by Type
10.7.1. Full-Managed Outsourcing
10.7.2. Co-Managed Outsourcing
10.8. Basis Point Share (BPS) Analysis by Type
10.9. Y-o-Y Growth Projections by Type
10.10. Market Attractiveness/Growth Potential Analysis
10.10.1. By Country
10.10.2. By Product Type
10.10.3. By Application
10.10.4. By Sales Channel
10.11. Latin America Payroll Outsourcing Demand Share Forecast, 2019-2026
11. Europe Payroll Outsourcing Market Analysis and Forecast
11.1. Introduction
11.1.1. Basis Point Share (BPS) Analysis by Country
11.1.2. Y-o-Y Growth Projections by Country
11.1.3. Europe Average Pricing Analysis
11.2. Europe Payroll Outsourcing Market Size and Volume Forecast by Country
11.2.1. Germany
11.2.2. France
11.2.3. Italy
11.2.4. U.K.
11.2.5. Spain
11.2.6. Russia
11.2.7. Rest of Europe
11.3. Absolute $ Opportunity Assessment by Country
11.4. Europe Payroll Outsourcing Market Size and Volume Forecast by Application
11.4.1. Small Business
11.4.2. Midsized Business
11.4.3. Large Business
11.5. Basis Point Share (BPS) Analysis by Application
11.6. Y-o-Y Growth Projections by Application
11.7. Europe Payroll Outsourcing Market Size and Volume Forecast by Type
11.7.1. Full-Managed Outsourcing
11.7.2. Co-Managed Outsourcing
11.8. Basis Point Share (BPS) Analysis by Type
11.9. Y-o-Y Growth Projections by Type
11.10. Market Attractiveness/Growth Potential Analysis
11.10.1. By Country
11.10.2. By Product Type
11.10.3. By Application
11.10.4. By Sales Channel
11.11. Europe Payroll Outsourcing Demand Share, 2019-2026
12. Asia Pacific Payroll Outsourcing Market Analysis and Forecast
12.1. Introduction
12.1.1. Basis Point Share (BPS) Analysis by Country
12.1.2. Y-o-Y Growth Projections by Country
12.1.3. Asia Pacific Average Pricing Analysis
12.2. Asia Pacific Payroll Outsourcing Market Size and Volume Forecast by Country
12.2.1. China
12.2.2. Japan
12.2.3. South Korea
12.2.4. India
12.2.5. Australia
12.2.6. Rest of Asia Pacific (APAC)
12.3. Absolute $ Opportunity Assessment by Country
12.4. Asia Pacific Payroll Outsourcing Market Size and Volume Forecast by Application
12.4.1. Small Business
12.4.2. Midsized Business
12.4.3. Large Business
12.5. Basis Point Share (BPS) Analysis by Application
12.6. Y-o-Y Growth Projections by Application
12.7. Asia Pacific Payroll Outsourcing Market Size and Volume Forecast by Type
12.7.1. Full-Managed Outsourcing
12.7.2. Co-Managed Outsourcing
12.8. Basis Point Share (BPS) Analysis by Type
12.9. Y-o-Y Growth Projections by Type
12.10. Market Attractiveness/Growth Potential Analysis
12.10.1. By Country
12.10.2. By Product Type
12.10.3. By Application
12.10.4. By Sales Channel
12.11. Asia Pacific Payroll Outsourcing Demand Share, 2019-2026
13. Middle East & Africa Payroll Outsourcing Market Analysis and Forecast
13.1. Introduction
13.1.1. Basis Point Share (BPS) Analysis by Country
13.1.2. Y-o-Y Growth Projections by Country
13.1.3. Asia Pacific Average Pricing Analysis
13.2. Middle East & Africa Payroll Outsourcing Market Size and Volume Forecast by Country
13.2.1. Saudi Arabia
13.2.2. South Africa
13.2.3. UAE
13.2.4. Rest of Middle East & Africa (MEA)
13.3. Absolute $ Opportunity Assessment by Country
13.4. Middle East & Africa Payroll Outsourcing Market Size and Volume Forecast by Application
13.4.1. Small Business
13.4.2. Midsized Business
13.4.3. Large Business
13.5. Basis Point Share (BPS) Analysis by Application
13.6. Y-o-Y Growth Projections by Application
13.7. Middle East & Africa Payroll Outsourcing Market Size and Volume Forecast by Type
13.7.1. Full-Managed Outsourcing
13.7.2. Co-Managed Outsourcing
13.8. Basis Point Share (BPS) Analysis by Type
13.9. Y-o-Y Growth Projections by Type
13.10. Market Attractiveness/Growth Potential Analysis
13.10.1. By Country
13.10.2. By Product Type
13.10.3. By Application
13.10.4. By Sales Channel
13.11. Middle East & Africa Payroll Outsourcing Demand Share, 2019-2026
14. Competition Landscape
14.1. Global Payroll Outsourcing Market: Market Share Analysis
14.2. Payroll Outsourcing Distributors and Customers
14.3. Payroll Outsourcing Market: Competitive Dashboard
14.4. Company Profiles (Details Overview, Financials, Developments, Strategy)
14.4.1. ADP
14.4.1.1. Overview
14.4.1.2. Financials
14.4.1.3. Developments
14.4.1.4. Strategic Outlook
14.4.2. Sage
14.4.2.1. Overview
14.4.2.2. Financials
14.4.2.3. Developments
14.4.2.4. Strategic Outlook
14.4.3. Xerox
14.4.3.1. Overview
14.4.3.2. Financials
14.4.3.3. Developments
14.4.3.4. Strategic Outlook
14.4.4. Paychex
14.4.4.1. Overview
14.4.4.2. Financials
14.4.4.3. Developments
14.4.4.4. Strategic Outlook
14.4.5. Gusto
14.4.5.1. Overview
14.4.5.2. Financials
14.4.5.3. Developments
14.4.5.4. Strategic Outlook
14.4.6. Intuit
14.4.6.1. Overview
14.4.6.2. Financials
14.4.6.3. Developments
14.4.6.4. Strategic Outlook
14.4.7. Zalaris
14.4.7.1. Overview
14.4.7.2. Financials
14.4.7.3. Developments
14.4.7.4. Strategic Outlook
14.4.8. Infosys
14.4.8.1. Overview
14.4.8.2. Financials
14.4.8.3. Developments
14.4.8.4. Strategic Outlook
14.4.9. KPMG
14.4.9.1. Overview
14.4.9.2. Financials
14.4.9.3. Developments
14.4.9.4. Strategic Outlook
14.4.10. Vision H.R.
14.4.10.1. Overview
14.4.10.2. Financials
14.4.10.3. Developments
14.4.10.4. Strategic Outlook
14.4.11. Deloitte
14.4.11.1. Overview
14.4.11.2. Financials
14.4.11.3. Developments
14.4.11.4. Strategic Outlook
14.4.12. Aurion
14.4.12.1. Overview
14.4.12.2. Financials
14.4.12.3. Developments
14.4.12.4. Strategic Outlook
14.4.13. Activpayroll
14.4.13.1. Overview
14.4.13.2. Financials
14.4.13.3. Developments
14.4.13.4. Strategic Outlook
14.4.14. Immedis
14.4.14.1. Overview
14.4.14.2. Financials
14.4.14.3. Developments
14.4.14.4. Strategic Outlook
14.4.15. Ascender
14.4.15.1. Overview
14.4.15.2. Financials
14.4.15.3. Developments
14.4.15.4. Strategic Outlook
14.4.16. NGA HR
14.4.16.1. Overview
14.4.16.2. Financials
14.4.16.3. Developments
14.4.16.4. Strategic Outlook
14.4.17. Neeyamo
14.4.17.1. Overview
14.4.17.2. Financials
14.4.17.3. Developments
14.4.17.4. Strategic Outlook
14.4.18. BDO
14.4.18.1. Overview
14.4.18.2. Financials
14.4.18.3. Developments
14.4.18.4. Strategic Outlook
14.4.19. CloudPay
14.4.19.1. Overview
14.4.19.2. Financials
14.4.19.3. Developments
14.4.19.4. Strategic Outlook
14.4.20. Excelity
14.4.20.1. Overview
14.4.20.2. Financials
14.4.20.3. Developments
14.4.20.4. Strategic Outlook
