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Shreyas Patil
- Updated:
Procurement software has rapidly evolved into an essential tool for businesses looking to streamline purchasing processes, improve vendor relationships, and reduce operational costs.
In 2024, the procurement software market is booming, with shocking statistics revealing that the global procurement software market is expected to grow from $5.94 billion in 2021 to over $9.50 billion by 2026. With 57% of businesses reporting the adoption of some form of procurement software, it's evident that this technology is no longer a luxury but a necessity.
In this comprehensive guide, we will dive into the top 13 procurement software companies, discussing their performance, features, and recent developments. This article includes a table comparing their 2020-2024 revenues, YoY growth, and market share, along with their pros and cons.
Procurement Software Company Revenue & Market Share Overview
| Company | 2024 Rev | 2023 Rev | 2022 Rev | 2021 Rev | 2020 Rev | YoY Growth | Market Share (%) |
|---|---|---|---|---|---|---|---|
| Coupa Software | $1.3B | $1.1B | $850M | $640M | $510M | 18% | 21% |
| SAP Ariba | $2.0B | $1.8B | $1.5B | $1.3B | $1.1B | 12% | 29% |
| GEP SMART | $960M | $820M | $700M | $600M | $520M | 17% | 10% |
| Ivalua | $720M | $630M | $540M | $450M | $400M | 14% | 7% |
| Jaggaer | $850M | $750M | $620M | $540M | $480M | 13% | 8% |
| Oracle Procurement | $1.5B | $1.3B | $1.1B | $900M | $700M | 15% | 24% |
| Zycus | $600M | $530M | $450M | $380M | $320M | 13% | 6% |
| Basware | $470M | $420M | $360M | $300M | $250M | 12% | 5% |
| Precoro | $200M | $170M | $140M | $110M | $80M | 18% | 3% |
| Procurify | $340M | $300M | $240M | $200M | $150M | 13% | 4% |
| SynerTrade | $280M | $240M | $200M | $160M | $130M | 15% | 2% |
| Kissflow Procurement | $180M | $150M | $120M | $100M | $80M | 14% | 1% |
| Tradogram | $130M | $110M | $90M | $70M | $50M | 18% | 1% |
1. Coupa Software
Coupa Software is a leader in the cloud-based spend management space. Its procurement software helps businesses manage their procurement processes, reduce costs, and improve compliance.
- 2024 Revenue: $1.3B
- YoY Growth: 18%
- Market Share: 21%
- Recent Developments: Coupa acquired AI-based analytics firm Llamasoft to enhance its AI capabilities in procurement.
- Comprehensive spend visibility
- AI-driven insights
- Supplier management tools
| Pros | Cons |
|---|---|
| Powerful spend management features | Steeper learning curve for smaller businesses |
| AI-driven insights for better decision-making | Higher cost compared to competitors |
Website Link
G2 Link
Trustpilot Link
2. SAP Ariba
SAP Ariba provides cloud-based solutions for procurement and supply chain management. It helps organizations connect to the world's largest business network for collaboration with suppliers and partners.
- 2024 Revenue: $2.0B
- YoY Growth: 12%
- Market Share: 29%
- Recent Developments: SAP Ariba integrated more AI and machine learning tools for smarter supply chain management.
- Supplier risk management
- Invoice management
- Contract lifecycle management
| Pros | Cons |
|---|---|
| Strong global supplier network | High implementation costs |
| Great integration with SAP ERP | Complex user interface |
Website Link
G2 Link
Trustpilot Link
3. GEP SMART
GEP SMART is an AI-powered procurement platform designed for enterprises looking to optimize their procurement processes.
- 2024 Revenue: $960M
- YoY Growth: 17%
- Market Share: 10%
- Recent Developments: GEP SMART launched a new sustainability-focused procurement module.
- AI and ML-driven procurement analytics
- Supplier management
- Contract management
| Pros | Cons |
|---|---|
| Intuitive interface | Limited integration with non-enterprise tools |
| Strong AI-driven features | Slower customer support for smaller clients |
4. Ivalua
Ivalua is known for offering a complete source-to-pay suite that enables businesses to manage their procurement lifecycle efficiently.
- 2024 Revenue: $720M
- YoY Growth: 14%
- Market Share: 7%
- Recent Developments: Ivalua expanded its supplier collaboration tools to enhance real-time interaction.
- Spend analysis
- Supplier relationship management
- Procurement workflows
| Pros | Cons |
|---|---|
| Flexible and customizable procurement flows | Requires advanced configuration for full usage |
| Strong supplier management features | Costly for small-to-medium businesses |
5. Jaggaer
Jaggaer offers a comprehensive source-to-pay solution that focuses on procurement optimization for enterprises across industries.
- 2024 Revenue: $850M
- YoY Growth: 13%
- Market Share: 8%
- Recent Developments: Jaggaer rolled out enhanced AI-powered procurement automation tools in 2024.
- Automated procurement workflows
- Supplier performance management
- Contract management
| Pros | Cons |
|---|---|
| Highly customizable workflows | Higher price point |
| AI-driven insights for spend management | Complex onboarding process |
6. Oracle Procurement Cloud
Oracle Procurement Cloud offers a scalable solution that integrates seamlessly with Oracle’s other ERP offerings.
- 2024 Revenue: $1.5B
- YoY Growth: 15%
- Market Share: 24%
- Recent Developments: Oracle added blockchain support for improved procurement transparency and security.
- Cloud-based procurement
- Supplier qualification management
- Integrated financial analytics
| Pros | Cons |
|---|---|
| Excellent integration with Oracle ERP | Expensive for smaller organizations |
| Strong data analytics and reporting | User interface can be improved |
7. Zycus
Zycus offers an AI-driven procurement suite designed to automate source-to-pay processes for businesses of all sizes.
- 2024 Revenue: $600M
- YoY Growth: 13%
- Market Share: 6%
-
Recent Developments: Zycus introduced
a new AI-powered supplier risk management module.
- Automated procurement processes
- Spend analysis and reporting
- Supplier collaboration tools
| Pros | Cons |
|---|---|
| AI-driven supplier risk management | Limited customization options |
| Comprehensive source-to-pay automation | Longer implementation times |
8. Basware
Basware offers a cloud-based solution that focuses on procurement, invoicing, and payment automation.
- 2024 Revenue: $470M
- YoY Growth: 12%
- Market Share: 5%
- Recent Developments: Basware expanded its analytics capabilities to improve procurement visibility.
- Invoice automation
- Spend management
- Supplier collaboration tools
| Pros | Cons |
|---|---|
| Strong focus on invoice automation | Limited in advanced procurement features |
| High procurement visibility | Not ideal for large enterprises |
9. Precoro
Precoro offers a simple and intuitive procurement solution, ideal for small-to-medium-sized businesses looking for affordable procurement management.
- 2024 Revenue: $200M
- YoY Growth: 18%
- Market Share: 3%
- Recent Developments: Precoro introduced a new budgeting module for better spend forecasting.
- Budget management
- Approval workflows
- Vendor management
| Pros | Cons |
|---|---|
| Affordable for small businesses | Limited integration with large enterprise systems |
| Easy-to-use interface | Basic features for large-scale procurement |
10. Procurify
Procurify focuses on spend management and procurement workflows for growing businesses, offering an easy-to-use platform.
- 2024 Revenue: $340M
- YoY Growth: 13%
- Market Share: 4%
- Recent Developments: Procurify released an integration with QuickBooks for seamless financial management.
- Expense tracking
- Purchase order management
- Budget tracking
| Pros | Cons |
|---|---|
| Easy integration with accounting software | Limited advanced analytics |
| Intuitive for non-technical users | Lacks features for large enterprises |
11. SynerTrade
SynerTrade is an innovative procurement platform that supports a range of procurement processes from source-to-pay.
- 2024 Revenue: $280M
- YoY Growth: 15%
- Market Share: 2%
- Recent Developments: SynerTrade introduced advanced data analytics for enhanced supplier performance insights.
- Supplier performance management
- Spend analysis
- Procurement automation
| Pros | Cons |
|---|---|
| Strong data analytics tools | Limited third-party integrations |
| Comprehensive supplier performance features | Higher price point for smaller businesses |
12. Kissflow Procurement
Kissflow offers a lightweight procurement solution with a focus on simplicity and ease of use for small and medium businesses.
- 2024 Revenue: $180M
- YoY Growth: 14%
- Market Share: 1%
- Recent Developments: Kissflow released a new mobile app to streamline procurement on the go.
- Automated procurement workflows
- Supplier management
- Mobile accessibility
| Pros | Cons |
|---|---|
| Simple and easy to implement | Lacks advanced customization features |
| Affordable for small businesses | Not suitable for large enterprises |
13. Tradogram
Tradogram provides an affordable procurement solution for small businesses looking for an easy-to-use procurement tool.
- 2024 Revenue: $130M
- YoY Growth: 18%
- Market Share: 1%
- Recent Developments: Tradogram introduced enhanced approval workflows for better spend control.
- Purchase order management
- Budget tracking
- Supplier management
| Pros | Cons |
|---|---|
| Affordable and user-friendly | Limited features for enterprise businesses |
| Great customer support | Basic analytics and reporting |
Procurement Software Companies: Who Are Their Top Customers?
| Customer | Industry | Employee | Rev | Country | Provider |
|---|---|---|---|---|---|
| Nike | Retail | 76,700 | $44.5B | USA | Coupa Software |
| Siemens | Manufacturing | 293,000 | $93B | Germany | SAP Ariba |
| PepsiCo | Consumer Goods | 267,000 | $86.4B | USA | GEP SMART |
| Nestlé | Food & Beverage | 276,000 | $95.7B | Switzerland | Ivalua |
| Unilever | Consumer Goods | 148,000 | $62.6B | UK | Jaggaer |
| BP | Energy | 67,600 | $164.2B | UK | Oracle Procurement Cloud |
| Coca-Cola | Food & Beverage | 82,500 | $43B | USA | Zycus |
| L'Oréal | Cosmetics | 85,400 | $37.6B | France | Basware |
| Volkswagen Group | Automotive | 662,600 | $295B | Germany | Coupa Software |
| GlaxoSmithKline (GSK) | Pharmaceuticals | 99,500 | $44.2B | UK | SAP Ariba |
| General Electric (GE) | Energy | 168,000 | $74.2B | USA | GEP SMART |
| Procter & Gamble (P&G) | Consumer Goods | 101,000 | $80.2B | USA | Ivalua |
| HSBC | Banking & Finance | 226,000 | $54.9B | UK | Jaggaer |
| ExxonMobil | Energy | 62,000 | $276B | USA | Oracle Procurement Cloud |
| BMW Group | Automotive | 118,000 | $123B | Germany | Zycus |
| Pfizer | Pharmaceuticals | 83,000 | $81.2B | USA | Basware |
| ABB Group | Engineering | 105,000 | $29.4B | Switzerland | Coupa Software |
| Royal Dutch Shell | Energy | 86,000 | $380B | Netherlands | SAP Ariba |
| Johnson & Johnson | Pharmaceuticals | 152,700 | $94.9B | USA | GEP SMART |
| IBM | IT & Software | 288,000 | $60.5B | USA | Ivalua |
The companies listed above are some of the largest and most well-known businesses across various industries, from retail and consumer goods to energy and pharmaceuticals. Each of these companies has implemented advanced procurement software to streamline their procurement processes, drive efficiencies, and gain better control over their spending. From Nike's global retail operations using Coupa Software to BMW's automotive empire benefiting from Zycus, these organizations illustrate the power of procurement software in optimizing supply chain management and vendor relationships.
Whether it's Siemens integrating SAP Ariba for large-scale manufacturing procurement, or Pfizer enhancing its pharmaceutical procurement with Basware, these companies demonstrate how procurement software is transforming the way businesses operate by driving growth, improving compliance, and reducing operational costs.
Conclusion
Procurement software is no longer a “nice to have” but a “must-have” for businesses looking to streamline their procurement operations. As seen from the YoY growth rates and increasing market shares, the top procurement software companies are continually innovating, focusing on AI, automation, and better supplier management.
Whether you are a small business looking for affordability or an enterprise seeking comprehensive features, this guide provides insight into the top 13 procurement software solutions for 2024.
FAQs
What is procurement software?
Procurement software is a digital tool or platform designed to streamline and automate the procurement process for businesses. It helps manage the sourcing, purchasing, and management of goods and services from suppliers. This software typically includes features for supplier management, purchase order creation, invoice processing, and spend analysis. By using procurement software, companies can ensure efficiency, cost savings, and transparency throughout their procurement operations.
What is SAP procurement software?
SAP procurement software, part of the SAP Ariba platform, is a comprehensive solution designed to digitize and integrate the entire procurement lifecycle. It connects buyers and suppliers, allowing businesses to manage sourcing, purchasing, contract management, and supplier collaboration all in one place. SAP’s procurement software enhances operational efficiency by providing real-time data, automating processes, and supporting strategic sourcing decisions. It is widely used by large enterprises to improve procurement visibility and compliance.
Which is the best procurement software?
The best procurement software depends on the specific needs of your business, but some of the top-rated options include SAP Ariba, Coupa, and Oracle Procurement Cloud. These platforms offer extensive features such as supplier management, spend analysis, contract management, and purchase order automation. SAP Ariba is known for its vast network of suppliers, Coupa excels in spend management, and Oracle offers seamless integration with other Oracle business applications. Businesses should evaluate these platforms based on ease of use, scalability, and specific procurement needs.
What are the 3 types of procurement?
The three main types of procurement are direct procurement, indirect procurement, and services procurement:
- Direct procurement involves purchasing raw materials or goods used directly in the production of a company's products, such as components in manufacturing.
- Indirect procurement refers to purchasing goods and services that support the company's operations but are not directly tied to production, such as office supplies or IT services.
Services procurement focuses on sourcing and managing external service providers, such as contractors, consultants, or maintenance services.
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