Enterprise Resource Planning (ERP) Software Market Size, Share, Growth, 2034

Market Overview
According to Fortune Business Insight, The global Enterprise Resource Planning (ERP) software market size was valued at USD 92.6 billion in 2025. The market is projected to grow from USD 106.22 billion in 2026 to USD 281.58 billion by 2034, exhibiting a CAGR of 13% during the forecast period.
Fortune Business Insights™ has detailed these findings in its research, highlighting that North America dominated the global market with a share of 34.20% in 2025. Organizations globally are investing in digital strategies to automate business processes, a trend accelerated by the COVID-19 pandemic and favorable government policies for digital technology implementation.

Major Players Profiled in the Market Report:
• Oracle Corporation (U.S.)
• IBM Corporation (U.S.)
• SAP SE (Germany)
• Workday, Inc. (U.S.)
• Microsoft Corporation (U.S.)
• Sage Group plc (U.K.)
• Infor (U.S.)
• Deltek (U.S.)
• Acumatica, Inc. (U.S.)
• Epicor (U.S.)

Segments
Rising Demand for Resource Planning for Business Expansion by Large Enterprises Boosts Market Growth
Based on enterprise type, the market is segmented into Small & Medium Size Enterprise (SME) and large enterprises. The large enterprises segment captured the maximum market share due to factors such as increased operational efficiency, reduced production costs, and central data collection. However, the SME segment is expected to record the highest CAGR as cloud ERPs help simplify business processes and reduce costs.

Increased Demand for Cloud & Hybrid ERP Software with Enhanced Data Storage Will Drive Market Growth
Based on deployment, the market is segmented into cloud & hybrid and on-premise. The cloud & hybrid segment is expected to account for the largest market share (83.07% in 2026). Low infrastructure costs, integration capabilities with mobile devices, and the ability to restore data are driving the shift toward cloud solutions.

Use of ERP Solutions to Automate Business Processes and Strengthen Financial Transactions to Drive Market Growth
Based on business function, the market is segmented into financial management, human capital management, supply chain management, customer management, inventory & work order management, and others. The financial management segment accounts for the maximum revenue share, while the inventory & work order management segment is expected to record the highest CAGR.

IT & Telecom Segment to Lead Due to Rising Popularity of ERP Technology
Based on end-user, the market is segmented into manufacturing, BFSI, IT & telecom, retail & consumer goods, healthcare & life sciences, transportation & logistics, government, and others. The IT & telecom segment is expected to register the highest CAGR as ERP software streamlines back-end office operations and improves communication.

Source: https://www.fortunebusinessinsights.com/enterprise-resource-planning-erp-software-market-102498

Report Coverage
The report offers:
• Major growth drivers, restraining factors, opportunities, and potential challenges for the market.
• Comprehensive insights into regional developments and technological adoption.
• List of major industry players.
• Key strategies adopted by the market players, such as strategic acquisitions and product upgrades.
• The latest industry developments include product launches, partnerships, and collaborations.

Drivers & Restraints
Growing Need to Improve Operational Efficiency and Streamline Business Processes to Propel Market Growth
The need for transparency and operational efficiency has forced companies globally to adopt integrated solutions to handle operations like sales, marketing, and supply chain management. According to PwC, 80% of CEOs believe product commercialization will significantly influence business models. The integration of ERP software simplifies these operations, eliminating manual data entry and providing a uniform platform for data visibility.

However, integration issues with on-premises deployment models may limit ERP adoption. High implementation costs and system complexity make it difficult to link legacy systems with new cloud-based ERPs, leading some companies to rely on outdated technology.

Regional Insights
High Adoption of Automated Business Functionalities Propels Market Growth in North America
North America holds the dominant ERP market share, valued at USD 31.72 billion in 2025. The region’s growth is attributed to the rising need to automate business functionalities and significant investments in research and development by key regional players.

Asia Pacific is expected to register the highest CAGR during the forecast period. The growth is attributed to continually evolving industry verticals, including manufacturing, BFSI, and transportation & logistics in nations such as China, India, and Japan.

Enterprise Resource Planning (ERP) Software Market Future Growth:
The ERP software market is experiencing dynamic growth, driven by the increasing popularity of Two-Tier ERP strategies. Enterprises are moving away from single-tier systems to two-tier approaches that allow subsidiaries to run specialized modules while maintaining core standardization at the headquarters level. This strategy saves time and reduces costs. Additionally, the integration of Artificial Intelligence (AI) and machine learning into ERP systems—such as Microsoft's Copilot and IBM Watson—is revolutionizing the sector by offering interactive assistance and data-driven insights. The shift toward cloud-based and hybrid solutions continues to accelerate as organizations seek resilience, scalability, and better control over their IT infrastructure in a post-pandemic digital landscape.

Competitive Landscape
Growing Adoption of Mergers and Acquisitions Strategies to Propel Market Growth
The market features prominent players like Oracle, SAP, and Microsoft. These leading companies are accelerating growth through strategic initiatives such as brand enhancement, innovative product development, and expanding their customer base through collaborations. A major focus lies on strategic acquisitions to expand market share and the development of cloud-native solutions to meet modern business demands.

Key Industry Development
• February 2024: AwanBiru Technology entered a partnership with U.K.-based Sage Group PLC to promote, distribute, and resell Sage X3 products and services in Malaysia.
• December 2023: The Finnish Defense Forces collaborated with Accenture for a digital transformation program to modernize its existing legacy ERP system.