The cloud ERP software market is experiencing enormous growth whilst traditional ERP vendors, who have dominated the market by locking-in customers with growth-yielding licensing deals, are now struggling to survive. Gartner says cloud software will drive $3,8-trillion of overall IT spending in 2015.
One Channel CEO Bernard Ford says this bodes well for SaaS vendors who are disrupting the established ERP model of on-premise software. “There is a definite shift towards cloud, traditional ERP vendors have to change their business models and come up with viable cloud offerings to compete with true cloud ERP vendors likes Acumatica.”
Competition is becoming fiercer between cloud and traditional on-premise software vendors. The Gartner Worldwide IT Spending Forecast predicted that spending in the enterprise software market will hit $335-billion in 2015, a 5,5% increase on 2014.