MarketsandMarkets forecasts the accounts receivable automation market to grow from USD 1.7 billion in 2019 to USD 3.0 billion by 2024, at a Compound Annual Growth Rate (CAGR) of 12.1% during the forecast period. Growing focus on the improvement of cash flow and reduction in days sales outstanding and reduced accounting cycle time has facilitated the growth of accounts receivable automation market around the world.
Services play a crucial role in efficiently carrying out various tasks performed in the entire receivable process of an organization. The services segment has been broadly classified into consulting and implementation, and support and maintenance services. Accounts receivable automation vendors offer services to plan, design, implement, and deploy accounts receivable solutions. The increase in the number of digital transactions in the emerging economies is expected to fuel the demand for accounts receivable automation services. The demand for consulting and implementation services is expected to increase in the accounts receivable automation market with an increase in the adoption of accounts receivable automation technology-based solutions. Services form an integral part of the software life cycle and is expected to boost the growth rate of the accounts receivable automation market during the forecast period.
In the accounts receivable automation market research study, organizations with more than 1,000 employees are categorized under the large enterprises segment. The adoption of the accounts receivable automation solution in large enterprises is said to be high as compared to SMEs during the forecast period. This high adoption is attributed to the affordability and high economies of scale that enables organizations to leverage the benefits of the accounts receivable automation solution. The need for digitalizing payment landscape is driving enterprises to deploy the accounts receivable automation solution. The solution caters to dynamic customer trends, streamlines business operations, and enhances market competitiveness. In today’s highly competitive world, large enterprises particularly leave no stone unturned to capture a higher market share. Hence, they spend significant amounts on accounts receivable automation workshops, training, and education of their employees to empower them with the latest trends and technological advancements in the accounts receivable automation market.
In terms of regions, the global accounts receivable automation market has been segmented into five regions, namely, North America, Asia Pacific (APAC), Europe, Middle East and Africa (MEA), and Latin America. APAC is expected to witness a strong growth owing to the increasing demand for AI-based financial solutions in the APAC region. The region includes major economies, such as Japan, Australia, and New Zealand, which are making consistent improvements in their accounting process.
Accounts receivable automation solution vendors are investing in AI technology to empower finance and accounting executives for strengthening financial efficiency. Solution vendors are leveraging the AI technology to offer innovative accounts receivable automation solution, powered with cognitive and smart conversation competencies, to continually enhance job skills and perform finance-related operations efficiently. AI-powered accounts receivable automation solution leverages Artificial Intelligence (AI), robotic process automation, and analytics to perform accounting and finance operations to empower clients with quick reporting, complex predictions, reduced operational cost, improved decision-making, and enhanced the productivity of financial operations.