CAGR: 31.7%Current Market Size: USD 18.7 BillionFastest Growing Region: APAC
Largest Market: North AmericaProjection Time: 2023-2030Base Year: 2022
The global low-code development platform market is expected to grow from USD 18.7 billion in 2022 to USD 169.24 billion by 2030, at a CAGR of 31.7% during the Projection period 2023-2030. The growth of the low-code development platform market is mainly driven by remote working policies.
The remote working practices, movement limitations, and general lockdowns that were enacted around the world during the COVID-19 epidemic would be a primary reason for the growth of the market. These measures resulted in a significant increase in demand for computer and mobile programs that provide news and games, COVID-related warnings, and other features. With their drag-and-drop methodology, low-code development platforms enable persons even with little or no experience in computer programming and coding to create apps and software. Even before the epidemic, the rapid digital transition had fueled demand for a wide range of mobile and computer software and applications. As a result, IT firms are leveraging low-code development technology to reduce software development time and cost by enlisting citizen developers. Most users have put low-code development platforms in the cloud because it provides enhanced scalability, 24/7 data access, and lower IT costs. Small and medium enterprises (SMEs) will become increasingly important in the low-code development platform industry in the future years, as the technology's promise of lower costs and faster app delivery makes it appropriate for smaller businesses with fewer resources. To date, the IT sector has been the greatest user of this technology because it develops the majority of software and programs for computers and mobile phones. As a result, such businesses have widely adopted these solutions to boost productivity and minimize their reliance on costly resources.
Sample Request: - Global Low Code Development Platform Market
Market Dynamics:
Drivers:
After businesses turned to digital modernization, which included improving user experiences, automating processes, and modernizing vital systems, low-code use exploded. Minimal-code development platforms have proven to be ideal due to their low cost. One of the benefits of low code is its drag-and-drop interface, which saves time. Every single process in low code is shown visually with the use of a graphical interface, making everything easier to understand. It simplifies the development of applications for developers.
Restraints:
Low code technology has numerous advantages that contribute to industry growth. However, the platform is missing some factors that are predicted to stymie market expansion. One of the market's issues is that not all low-code-based tools and platforms interface with every software. As a result, it is critical for the developer and designer to account for the limited integration capability while building the product in order to avoid future problems. Similarly, one of the platform's major limitations is its lack of flexibility and freedom. Only a few players provide the option of bespoke applications geared to business models. As a result, limited options for customizing applications and interaction with advanced software constrain market growth.
Opportunities:
To date, the IT sector has been the greatest user of this technology because it develops the majority of software and programs for computers and mobile phones. As a result, such businesses have widely adopted these solutions to boost productivity and minimize their reliance on costly resources. In the future, demand for services such as low-code development platform integration and deployment, training, advice, and upgrades will outpace the demand for solutions.
Challenges:
The disruption created by the COVID-19 epidemic spurred enterprise adoption of low-code platforms. Companies that did not previously have low-code platform systems found it difficult and time-consuming to adapt their ERP system to the new difficulties of remote operations. Companies with a low-code platform, on the other hand, adapted faster.
Segmentation Analysis:
The global low-code development platform market has been segmented based on offering, deployment type, enterprise, and region.
By Offering
The offering segment is solution and service. The solution segment led the largest share of the low-code development platform market with a market share of around 55.67% in 2022. Because of the increasing adoption of these platforms in various industries to decrease long-term operational expenses. Organizational digital transformation has become simple and cost-effective thanks to these technologies. Various features, such as pre-built templates and drag-and-drop choices, allow you to create apps quickly.
By Deployment Type
The deployment type segment is cloud, and on-premises. The cloud segment led the largest share of the low-code development platform market with a market share of around 52.34% in 2022. Most low-code development platforms are placed in the cloud because it provides real-time access to view and monitor apps and services. Other benefits of cloud-based implementation include increased speed, 24/7 service, administrative capabilities, and greater scalability. The cloud is largely used by businesses to simplify monitoring and management. App Maker on Google Cloud and Mendix on IBM Cloud are two prominent cloud-based low-code development platforms.
By Enterprise
The enterprise segment is large enterprises and SMEs. The SMEs segment led the largest share of the low-code development platform market with a market share of around 58.3% in 2022. Small and medium-sized businesses are expected to develop quicker in the future years as they place a greater emphasis on having a digital presence through mobile and computer applications. This platform enables even non-technical people to create applications on their own, at a low cost and in a short period of time. Furthermore, cloud-based solutions are typically subscription-based, so customers only pay for what they use.
Global Low-Code Development Platform Market - Sales Analysis.
The sale of the low-code development platform market expanded at a CAGR of 29.8% from 2016 to 2022.
A low-code development platform (LCDP) is a platform that provides a coding environment for building application applications using graphical user interfaces and configuration rather than traditional hand-coded computer programming. A low-code architecture enables developers of varied levels of competence to create apps with a dynamic user interface and model-driven logic. These platforms may generate completely functional apps or necessitate substantial coding for certain situations.
The market is being driven primarily by the increasing rate of digitization and the requirement to build apps quickly. Other elements that contribute to this are the cost-effectiveness, time savings, and increased productivity provided by these platforms.
Thus, owing to the aforementioned factors, the global low-code development platform market is expected to grow at a CAGR of 31.7% during the Projection period from 2023 to 2030.
By Regional Analysis:
The regions analyzed for the low-code development platform market include North America, Europe, South America, Asia Pacific, the Middle East, and Africa. North America region dominated the low-code development platform market and held a 37.6% share of the market revenue in 2022.
Global Low-Code Development Platform Market - Country Analysis:
Germany's low-code development platform market size was valued at USD 1.08 billion in 2022 and is expected to reach USD 9.8 billion by 2030, at a CAGR of 31.8% from 2023 to 2030. This is due to the rapid adoption of digital technology and the presence of numerous significant businesses in the region. Furthermore, the increased emphasis on enhancing IT infrastructure is driving the need for mobile and computer apps, as well as other types of software.
China’s low-code development platform market size was valued at USD 1.45 billion in 2022 and is expected to reach USD 13.36 billion by 2030, at a CAGR of 32% from 2023 to 2030. Due to the increased internet usage and desire of enterprises for cheaper operating costs. Furthermore, increased disposable income in the region is significantly boosting the sale of mobile devices, which, in turn, fuels the industry's growth.
India's low-code development platform market size was valued at USD 1.12 billion in 2022 and is expected to reach USD 10.26 billion by 2030, at a CAGR of 31.9% from 2023 to 2030. In India, several digital efforts and developments, including low-code platforms, are taking place. For example, Esri India will deliver ArcGIS Platform-as-a-Service (PaaS) in November 2021, which contains maps and location tools for developing apps and innovative solutions. The platform is expected to minimise time to market and foster creative design, offering an open location-focused PaaS for software developers, businesses, and organisations who need to integrate maps and location services into their products, solutions, and systems.
Key Industry Players Analysis:
To increase their market position in the global low-code development platform market business, top companies focus on tactics such as adopting new technology, mergers & acquisitions, product developments, collaborations, partnerships, joint ventures, etc.
Latest Development:
Report Metrics
Report Attribute |
Details |
Study Period |
2022-2030 |
Base year |
2022 |
CAGR (%) |
31.7% |
Market Size |
18.7 billion in 2022 |
Projection period |
2023-2030 |
Projection unit |
Value (USD) |
Segments covered |
By Offering, By Deployment Type, By Enterprise, and By Region. |
Report Scope |
Revenue Projection, competitive landscape, company ranking, growth factors, and trends |
Companies covered |
Appian Corporation, Oracle Corporation, Salesforce.com Inc., Alphabet Inc., Microsoft Corporation, ServiceNow Inc., Magic Software Enterprises Ltd., Outsystems, and Caspio Inc. |
By Offering |
|
By Deployment Type |
|
By Enterprise |
|
Regional scope |
|
Scope of the Report
Global Low-Code Development Platform Market By Offering:
Global Low-Code Development Platform Market By Deployment Type:
Global Low-Code Development Platform Market By Enterprise:
Global Low-Code Development Platform Market By Region:
Global low-code development platform market is expected to reach USD 169.24 billion by 2030.
The low-code development platform market is projected to have a CAGR of 31.7%.
Based on the offering, the low-code development platform market is segmented into solution and service.
After businesses turned to digital modernization, which included improving user experiences, automating processes, and modernizing vital systems, low-code use exploded. Minimal-code development platforms have proven to be ideal due to their low cost.
Political Factors- Before deciding whether or not to expand, the low-code development platform market should carefully examine the relevant tax legislation. The government will prioritise some industries so that they benefit more from tax policies. Many rising countries aggressively pursue tax reductions for businesses in order to attract foreign direct investment. These countries should be regarded in the low-code development platform market due to their low tax rates, as it will be simpler for them to earn a profit and invest in R&D, innovation, and the development of new goods.
Economic Factors- Because operating in highly efficient financial markets increases one's capacity to enter new markets and improves one's liquidity position, it has an impact on the global expansion plans of the low-code development platform market. The power of the low-code development platform market to raise funds at reasonable rates will be determined by the state and efficiency of the financial markets. The current economic climate has an impact on the functioning of the market for primitive tools. The economic and regulatory environment of an oligopolistic or monopolistic structure differs from that of a monopolistic or perfect competition.
Social Factors- Respect for hierarchy and social class stratification are two significant social characteristics that may influence the low-code development platform market industry. These characteristics may also influence the market's commercial, marketing, and human resource management tactics. When addressing countries with significant power distance, the market for low-code development platforms works effectively with a hierarchical organisation and formal work culture. Because of the development in social stratification, the market for low-code development platforms cannot simultaneously target various groups from different socioeconomic strata with the same marketing mix.
Technological Factors- With the advancement of information and communication technologies, it has become easier to implement cutting-edge marketing strategies to increase consumer collaboration. In today's business world, the use of social media has grown significantly. The potential of social media marketing to promote commercial success benefits the low-code development platform market. Businesses can employ technology to develop new social media campaigns and build online communities. The bioinformatics services business can increase its market share by entering new markets and focusing on new technological breakthroughs.
Environmental Factors- The development of renewable technology to lessen reliance on natural resources is an important trend in many businesses. In order to capitalise on this environmental trend, the low-code development platform market should assess how well a country's technological infrastructure supports the usage of renewable technologies. Governments in certain parts of the world provide incentives to use renewable energy sources. By seizing the opportunity, the low-code development platform market may invest in renewable energy sources and fulfill its long-term economic growth goals.
Legal Factors- Because of consumer concerns about their privacy and security, data protection has become a major problem. To protect consumer data, the low-code development platform market must consider data security standards. There are additional laws in existence to manage costs, assure a particular level of quality, and protect customers from deceptive advertising claims. Certain factors must be considered in the low-code development platform sector to ensure compliance with consumer protection legislation. The purpose of intellectual property laws is to protect firms' valuable patents and ideas. If intellectual property rights are not successfully protected, the market for low-code development platform may lose its competitive edge and become less competitive with other market competitors.
List of Table
List of Figures