Accounts Receivable Automation Market Insights
Account receivable automation is modernization of account receivable process with the help of automated, electronic systems to reduce time consuming work. Improving cash position, increase control over cash and working, increased account receivable management efficiency, and improved customer communication, with rise in customer service and satisfaction with reduced administrative cost in minimizing credit risk are some of the benefits of account receivable software.
Impact of COVID-19 on Accounts Receivable Automation Market:
- The impact of COVID-19 has hampered functioning of several sectors, including technology, automation, and banking. The impact can be seen very clearly on foreign and domestic small and medium enterprises (SMEs) and multinational companies (MNCs) as they are suffering and some are even shutting down their operations as well.
- Impact of the pandemic on the IT industry is expected to be worse and this economic loss due to COVID-19.
- The COVID-19 situation is expected to have two major impacts on revenue and cash-flow receipts such as new sales will be harder to come by and existing customers to pay slower invoices, which are expected to impact negatively on the growth of the account receivable automation market.
- This situation has a major impact on the cash flow of every company and companies will face the challenge of achieving full visibility into their open invoices so that they can get complete control over cash flow. However, some of companies have launched accounts receivable app, which helps companies to manage, monitor, and automate customer collections and unique challenges presented by the COVID-19 pandemic. Companies can use these insights and take action to reduce shorten credit terms, late payments, and ensure error-free invoices in real time.
Top impacting factors: Market Scenario Analysis, Trends, Drivers, and Impact
Due to the continuously changing environment every business is focusing on enhancing their business efficiency, which can be achieved with the help of better managing of account receivables such as digital invoice and payments which drives the growth of the market. Moreover, it provides number of benefits such as cost savings, reduced time, less manual work and others which is expected to increase the demand of account receivable automation system. However, high price of these system and complexities of the account receivable automation like complex financial systems, less standardization is expected to hinder the growth of the market. Furthermore, rise in cloud-based account receivable automation solutions along with rise in adoption of these solutions among small and medium sized businesses are expected to create lucrative opportunities for the market.
Growth in need for high account receivable management efficiency
Account receivable management helps the organizations to reduce the time spent in prioritizing and preparing for calls. Also, it helps them to reduce the time spent on managing the disputes and increase the time they spend soliciting customers for payment which is expected to drive the growth of the market.
Rise in cloud-based deployment
Number of key players operating in the market is offering payment collection solutions through the private and public cloud. These solutions are available in different subscriptions and pay-per-use models.
Enterprises are increasingly deploying account receivable automation solution on the cloud, as it provides numerous advantages, such as flexibility, scalability, enhanced collaboration, cost-efficiency, and others which fuels the market growth. It also facilitates enterprises to focus on their core competencies, rather than IT processes. Cloud-based solutions are gaining popularity mainly due to their unprecedented deployment flexibility benefits and global availability which is increasing their adoption among the small and medium enterprises.
Complex implementation of account receivable software:
One of the major challenges which organizations are facing is the complex implantation process of these software. As manual accounts are generally easier to setup and can be more flexible than computerized accounting. Hence the organizations probably need some initial help while setting up the accounting software and thus the accountant may charge for this which can result into high initial cost.
Key benefits of the report:
- This study presents the analytical depiction of the global accounts receivable automation industry along with the current trends and future estimations to determine the imminent investment pockets.
- The report presents information related to key drivers, restraints, and opportunities along with detailed analysis of the global accounts receivable automation market share.
- The current market is quantitatively analyzed to highlight the accounts receivable automation receivable automation market growth scenario.
- Porter’s five forces analysis illustrates the potency of buyers & suppliers in the market.
- The report provides detailed global accounts receivable automation market analysis based on competitive intensity and how the competition will take shape in coming years.
Accounts Receivable Automation Market Report Highlights
By Deployment Type
By Organizational Size
By Industry vertical
Key Market Players
Oracle corp., Bottomline technologies, Workday Corp, SAP SE, Yapay Inc, Emagia corp., Kofax corp., IBM Corporation, Vanguard systems, Microsoft Corp