Global Open Source ERP Software Market Size By Product (Cloud-based, On-Premises), By Application (Large Companies, Small and Medium Companies), By Geographic Scope And Forecast

Open Source ERP Software Market Size And Forecast

Open Source ERP Software Market size was valued at USD 3.59 Billion in 2024 and is projected to reach USD 5.17 Billion by 2031, growing at a CAGR of 10.05% from 2024 to 2031.

Owing to increasing demand for open-source ERP software from industries is the major key factor that boosts the market growth. The Global Open Source ERP Software Market report provides a holistic evaluation of the market. The report offers a comprehensive analysis of key segments, trends, drivers, restraints, competitive landscape, and factors that are playing a substantial role in the market.

Global Open Source ERP Software Market Definition

An open-source ERP is an enterprise resource planning (ERP) software system type source in which code is made to other developers for use, modification, and enhancement. Companies can access the open-source code for free and customize the software themselves, rather than depending on the vendor. Open-source ERP can be particularly useful for small and medium enterprises (SMEs) who want to upgrade or customize their ERP systems without paying large licensing and support fees. Most open-source ERP software systems can be used as open-source databases and operating systems that give us a license-free option.

A further reason that open-source ERP is used is that it is full source content and there is no lock-in or dependency on the vendor, which responds to implement the software as our choice. Conventional ERP technology has been conveyed for a very long while, notwithstanding, expanded appropriation of cutting-edge innovations like IoT, AI, and enormous information examination have driven toward the development of the business. The combination of ERP with IoT-based gadgets permits associations to distinguish and dispose of issues like superfluous resources. Likewise, the mechanization of cycles by IoT innovation keeps the plant activities running on schedule with no human intercession.

During the COVID-19 pandemic, an upsurge sought for cloud-based ERP programming upheld organizations to support interruptions. What’s more, the ERP programming arrangement assumed a crucial part in keeping the whole business measures effectively working through different highlights like far-off access, computerized information trade, robotized detailing, and constant work floor control. Also, the pandemic has constrained organizations throughout the planet to move their actual workplaces into far-off working arrangements. This factor has prompted a flood sought after for ERP programming, subsequently filling the development of the Open Source ERP Software Market.

Global Open Source ERP Software Market Overview

Owing to increasing demand for open-source ERP software from industries is the major key factor that boosts the market growth. Additionally, flexible ERPs bring adaptable processes that support diversification strategy and ensure quick responses to the continuously changing business needs is a factor accelerating market growth. This Covid-19 is ascribed to the fast expansion in the interest for cloud-based ERP programming that upheld the organizations to support during pandemics. The ERP programming arrangement assumed an imperative part in keeping the whole business measures proficiently working and leveled out.

This is accomplished through different highlights of ERP programming like distant access, computerized information trade, robotized revealing, and constant work floor control. Furthermore, the pandemic has constrained organizations throughout the planet to move their actual workplaces into far-off working arrangements, which has prompted a flood sought-after for ERP programming, consequently powering Open Source ERP Software Market development. Furthermore, open-source ERP systems bring cost savings compared to proprietary ERP systems and this is another reason for the market growth. However, the lack of skilled users and complex packages for software are some factors that hamper the market growth.

Global Open Source ERP Software Market Segmentation Analysis

The Global Open Source ERP Software Market is segmented on the basis of Product, Application, and Geography

Open Source ERP Software Market, By Product

• Cloud-based
• On-Premises

Based on Product, the market is segmented into Cloud-based and On-Premises. The on-premise fragment accumulated the biggest ERP piece of the pie in 2022 and is anticipated to keep up with its predominance in the forthcoming years, as the on-premise arrangement model is viewed as generally helpful in enormous ventures as the product can be executed on the IT framework of the actual organization and it gives greater security when contrasted with the cloud. Notwithstanding, the cloud fragment is relied upon to observe the most noteworthy development, attributable to a change in outlook in the organization techniques from on-premises to cloud-based models.

Open Source ERP Software Market, By Application

• Large Companies
• Small and Medium-Sized Companies

Based on Application, the market is segmented into Large Companies and Small and Medium Companies. The wide presence of small & medium-scale enterprises, which are turning toward hosted ERP solutions to efficiently manage their business processes, particularly in developing countries will boost the market for small and medium enterprises. Moreover, an increase in demand for ERP among small & medium enterprises and technological advancements in ERP is likely to have a notable effect on the Global Open Source ERP Software Market.

Open Source ERP Software Market, By Geography

• North America
• Europe
• Asia Pacific
• Latin America
• Middle East & Africa

Based on Geography, The Global Open Source ERP Software Market is segmented into North America, Europe, Asia Pacific, Latin America, and Middle East & Africa. North America dominated the open-source ERP software portion of the overall industry in 2022, ascribed to various factors like the infiltration of new businesses and improvement in the economy.

Besides, organizations in this area are progressing from on-premises to cloud-empowered ERP programming, attributable to its minimal expense execution and upkeep. The presence of an enormous number of cloud ERP arrangement sellers across the U.S. Furthermore, Canada is relied upon to give worthwhile opportunities to the market.

In any case, Asia-Pacific is relied upon to develop at the most elevated rate during the Open Source ERP Software Market gauge period, because of the wide presence of little and medium-scale endeavors, which are moving in the direction of the facilitated ERP answers for proficiently dealing with their business measures, especially in the agricultural nations like China, India, and Singapore.

Key Players

The “Global Open Source ERP Software Market” study report will provide valuable insight with an emphasis on the global market. The major players in the market are TRYTON, Odoo, MixERP, iDempiere, Openbravo, xTuple, OpenPro, Dolibarr, Bitrix24, ERPNext, DATEV, Microsoft, Sage, SAP, and others.

Our market analysis offers detailed information on major players wherein our analysts provide insight into the financial statements of all the major players, product portfolio, product benchmarking, and SWOT analysis. The competitive landscape section also includes market share analysis, key development strategies, recent developments, and market ranking analysis of the above-mentioned players globally.

Key Developments

• Summit Partners invested USD 215 million in Odoo 2021, a developer of open-source ERP software with headquarters in Belgium. Odoo, a startup established in Wallonia in Belgium, is now valued at over EUR 2 billion due to this investment, giving it the country’s first unicorn.
• In 2021, Samsung Electronics opened regional and local offices in Southeast Asia, Southwest Asia, and China to introduce its N-ERP (Next-Generation – Enterprise Resource Planning) system. The recently released ERP system enables the real-time connection of systems inside and outside the firm by embracing open API

Ace Matrix Analysis

The Ace Matrix provided in the report would help to understand how the major key players involved in this industry are performing as we provide a ranking for these companies based on various factors such as service features & innovations, scalability, innovation of product, industry coverage, industry reach, and growth roadmap. Based on these factors, we rank the companies into four categories as Active, Cutting Edge, Emerging, and Innovators.

Market Attractiveness

The image of market attractiveness provided would further help to get information about the region that is majorly leading in the Global Open Source ERP Software Market. We cover the major impacting factors that are responsible for driving the industry growth in the given region.

Porter’s Five Forces

The image provided would further help to get information about Porter’s five forces framework providing a blueprint for understanding the behavior of competitors and a player’s strategic positioning in the respective industry. Porter’s five forces model can be used to assess the competitive landscape in the Global Open Source ERP Software Market, gauge the attractiveness of a certain sector, and assess investment possibilities.

Report Scope

Research Methodology of Market Research