Low-Code Development Platform Market

Low-Code Development Platform Market Size:

The global low-code development platform market size reached US$ 20.4 Billion in 2023. Looking forward, IMARC Group expects the market to reach US$ 171.7 Billion by 2032, exhibiting a growth rate (CAGR) of 26.73% during 2024-2032. The market is being propelled by rising demand for rapid application development (RAD), increasing emphasis on digital transformation initiatives, rising need for citizen developers in organizations, and substantial presence of large enterprise and SMEs investing in digital innovation.

Low-Code Development Platform Market Analysis:

• Major Market Drivers: Some of the major market drivers include the rising demand for digital transformation across numerous industries and the growing demand for rapid development and deployment for business applications.
• Key Market Trends: Increasing emphasis on digital transformation initiatives, increasing need for citizen developers in organizations, and growing adoption of cloud computing and microservices architecture, are some of the key market trends leading to an increase in the low-code development platform demand.
• Geographical Trends: North America dominates the market on account of the early penetration of advanced technologies across the region and a significant number of large enterprises and SMEs investing in digital innovation. Whereas, Europe holds the second position in the industry due to the rising focus on digitalization and automation.
• Competitive Landscape: AgilePoint Inc., Appian Corporation, Magic Software Enterprises Ltd., Mendix Technology BV (Siemens Aktiengesellschaft), Microsoft Corporation, Netcall PLC, Oracle Corporation, Outsystems Inc., Salesforce Inc., ServiceNow Inc., and Zoho Corporation, are among some of the key players in the low-code development platform industry.  
• Challenges and Opportunities: Adherence of stringent security and compliance standards in application development and complexities of enterprise IT environments and legacy systems integration are some of the challenges faced by the industry. Whereas, some of the low-code development platform market recent opportunities include rapid growth into untapped markets with rising technology adoption and incorporation of artificial intelligence (AI) and machine learning (ML) capabilities to improve low-code platforms.

Low-Code Development Platform Market Trends:

Increasing Demand for Rapid Application Development (RAD)

The rising demand for rapid application development (RAD) on account of the increasing need of the businesses to adapt to the evolving market dynamics and consumer demands. Low-code development platform recent developments speed up the application development procedure, thus enabling businesses to create and deploy software applications in minimal time and a budget-friendly manner as compared to conventional methods. These platforms allow developers to visually design applications through drag-and-drop interfaces and pre-built templates, substantially minimizing the time needed for coding and testing. Other than this, the rising number of citizen developers within enterprises with minimum to zero coding experience is further creating a low-code development platform market outlook. According to a report published by GITNUX, approximately 41% of organizations are either already using or are planning to use low code platforms in order to rapidly enable application delivery. The report also states that organizations with less than 500 employees are the largest adopters of low-code platforms with a CAGR of 24.5%.

Increasing Focus on Digital Transformation Initiatives

Digital transformation has become vital for organizations in order to stay relevant in the highly competitive digital economy today. On account of the rising digitization of operations, optimization of procedures, and improvement in consumer experiences within organizations, the low-code development platforms market revenue has significantly increased. As per a report by FORBES MAGZINE, 70% of organizations have either digitally transformed their strategy in one place or are working toward it. Whereas, 63% of enterprises digitalized their supply chain by 2022. These platforms play a vital role in allowing digital transformation by supporting enterprises in rapidly creating and deploying custom applications customized to their distinctive business requirements. They also provide an adjustable and scalable approach to application development, thus enabling organizations to renew promptly in accordance to the changing business requirements and market trends.

Rising Need for Citizen Developers in Organizations

The rising need for citizen developers within enterprises is another major factor driving low-code development platform market growth. Citizen developers who are also known as business users or power users are individuals within the enterprise who are responsible for curating applications through low-code or no-code platforms without deep coding knowledge. Low-code application development is liable for a major portion of the application development procedure. Moreover, a shortage of skilled developers has been witnessed which is leading to an increasing importance of citizen developers to fill in the gap between demand and supply for applications within businesses. According to a report published in the ECONOMIC TIMES, 81% of enterprises surveyed stated that they experienced a substantial shortage in power user or developer tech skills.

Low Code Development Platform Industry Segmentation:

IMARC Group provides an analysis of the key trends in each segment of the market, along with forecasts at the global, regional, and country levels for 2024-2032. Our report has categorized the market based on deployment mode, organization size, application, and industry vertical.

Breakup by Deployment Mode:

• Cloud-based
• On-premises
   

Cloud-based accounts for the majority of the market share

The report has provided a detailed breakup and analysis of the market based on the deployment mode. This includes cloud-based and on-premises. According to the report, cloud-based represented the largest segment.

Cloud-based deployment presents a plethora of benefits that make it an appealing alternative for businesses worldwide. Other than this, the expanding adoption of cloud-based low-code platforms, which provide exceptional scalability and enables organizations to readily adapt their usage in response to fluctuations in demand without requiring initial investment in infrastructure, is creating a positive low-code development platform market overview. Additionally, cloud-based platforms facilitate collaboration by granting access to the development environment from any location with an internet connection, enabling teams that are geographically dispersed to work together effortlessly. According to a report published by GITNUX, the global cloud management platform market is projected to reach USD 26.4 Billion by the end of 2025.

Breakup by Organization Size:

• Small and Medium-sized Enterprises
• Large Enterprises
   

Large enterprises hold the largest share in the industry

A detailed breakup and analysis of the market based on the organization size have also been provided in the report. This includes small and medium-sized enterprises and Large Enterprises. According to the report, large enterprises accounted for the largest market share.

Large enterprise holds the largest low-code development platform market share. The market is expanding due to the increasing use of LCDP by large organizations, whose more complex and multifaceted business procedures necessitate the administration of numerous applications. Large organizations are also typically equipped with the capital necessary to implement innovative technologies that streamline processes, decrease expenses, and bolster competitiveness. In addition, the market is expanding due to the widespread adoption of low-code development platforms, which are favored by businesses that operate in multiple geographies and, at times, require standardized applications that can be deployed across regions.

Breakup by Application:

• Web-based
• Mobile-based
• Desktop and Server-based
   

Web-based represents the leading market segment 

The report has provided a detailed breakup and analysis of the market based on the application. This includes web-based, mobile-based, and desktop and server-based. According to the report, web-based represented the largest segment.

Web-based applications emerge as the prevailing sector as per the low-code development. Platforms market forecast. As web-based applications are platform-agnostic, they are accessible from any web-enabled device, thereby expanding their business reach and contributing to the expansion of the market. In addition, the market is expanding due to the rising prevalence of web-based applications, which are frequently more affordable and speedier, particularly when developed on a low-code platform with minimal upkeep expenses. According to FORBES MAGAZINE, there were 200 million active websites globally by February 2023. The report also stated that search engines lead the most used websites category with 98% usage, followed by online stores (66%).

Breakup by Industry Vertical:

• BFSI
• Retail and E-commerce
• Government and Defense
• Healthcare
• Information Technology
• Energy and Utilities
• Manufacturing
• Others
   

Information technology exhibits a clear dominance in the market 

A detailed breakup and analysis of the market based on the industry vertical have also been provided in the report. This includes BFSI, retail and e-commerce, government and defense, healthcare, information technology, energy and utilities, manufacturing, and others. According to the report, information technology accounted for the largest market share.

According to the low-code development platform forecast, IT dominates the market. The market growth is being supported by the increasing use of low-code development platforms in the IT industry, which is inherently technology-driven. As per a report published by the GITNUX, in 2020, approximately 45% of organizations spent over a quarter of their IT budgets on cloud services. Along with this, low-code development platforms provide an efficient method for creating software, which closely corresponds with the goals of numerous IT companies. Furthermore, the IT sector often encounters a significant need for bespoke software solutions, whether for internal utilization or for the benefit of clients. This has led to the implementation of low-code platforms, which accelerate the development process and enable IT firms to fulfill client demands for timely delivery while maintaining quality standards.

Breakup by Region:

• North America
  • United States
  • Canada
• Europe
  • Germany
  • France
  • United Kingdom
  • Italy
  • Spain
  • Others
• Asia Pacific
  • China
  • Japan
  • India
  • South Korea
  • Australia
  • Indonesia
  • Others
• Latin America
  • Brazil
  • Mexico
  • Others
• Middle East and Africa
   

North America leads the market, accounting for the largest low-code development platform market share

The market research report has also provided a comprehensive analysis of all the major regional markets, which include North America (the United States and Canada); Asia Pacific (China, Japan, India, South Korea, Australia, Indonesia, and others); Europe (Germany, France, the United Kingdom, Italy, Spain, Russia, and others); Latin America (Brazil, Mexico, and others); and the Middle East and Africa. According to the report, North America accounted for the largest market share.

The low-code development platform industry is dominated by technology companies based in North America, including software industry titans. For instance, Microsoft Azure holds 20% of the global cloud market share. This concentration of companies fosters a resilient ecosystem that inherently favors the early adoption of innovative solutions such as low-code platforms. Along with this, the market is experiencing a rise in expansion due to the increasing focus of the region on innovation and agility, which has generated a greater demand for optimizing operational efficiencies. Further, North America is home to a highly proficient labor force that places significant importance on ongoing education and adjustment to emerging technologies.

Competitive Landscape:

• The low-code development platform market report has also provided a comprehensive analysis of the competitive landscape in the market. Detailed profiles of all major companies have also been provided. Some of the major market players in the low-code development platform industry include AgilePoint Inc., Appian Corporation, Magic Software Enterprises Ltd., Mendix Technology BV (Siemens Aktiengesellschaft), Microsoft Corporation, Netcall PLC, Oracle Corporation, Outsystems Inc., Salesforce Inc., ServiceNow Inc., and Zoho Corporation.
  
  (Please note that this is only a partial list of the key players, and the complete list is provided in the report.)
   
• Prominent low-code development platform companies strive to enhance their products through consistent revisions and the addition of fresh functionalities. Frequently, these improvements are propelled by the integration of nascent technologies such as AI, ML, and IoT, which bolster the platforms' resilience and adaptability. In addition, an increasing number of organizations are establishing partnerships with other technology providers, consulting firms, and system integrators in order to expand their offerings and better meet the diverse requirements of their clients. For instance, EY entered into a partnership with APPIAN to assist businesses in digital transformation. This strategic step allowed organizations to modernize and simplify their business procedures through leading technologies including AI, low-code, data fabric, and process automation. Furthermore, significant investments are being made by the main corporations in user training, tutorials, and consumer support in order to enable consumers to optimize their product usage.

Latest News: 

• January 2024: ServiceNow announced its collaboration with Visa to modify the payment services. This step introduced ServiceNow Disputes Management, Built with Visa, a dependable low code platform that serves as a dispute resolution for issuers.
• November 2023: Oracle Corporation launched ORACLE APEX 23.2 which is usually available for download. The new introduction allows developers to create scalable enterprise mobile, cloud, and SaaS apps with low-code.

Low-Code Development Platform Market Report Scope:

Key Questions Answered in This Report:

• How has the global low-code development platform market performed so far, and how will it perform in the coming years?
• What are the drivers, restraints, and opportunities in the global low-code development platform market?
• What is the impact of each driver, restraint, and opportunity on the global low-code development platform market?
• What are the key regional markets?
• Which countries represent the most attractive low-code development platform market?
• What is the breakup of the market based on the deployment mode?
• Which is the most attractive deployment mode in the low-code development platform market?
• What is the breakup of the market based on the organization size?
• Which is the most attractive organization size in the low-code development platform market?
• What is the breakup of the market based on the application?
• Which is the most attractive application in the low-code development platform market?
• What is the breakup of the market based on the industry vertical?
• Which is the most attractive industry vertical in the low-code development platform market?
• What is the competitive structure of the market?
• Who are the key players/companies in the global low-code development platform market?

Key Benefits for Stakeholders:

• IMARC’s industry report offers a comprehensive quantitative analysis of various market segments, historical and current market trends, market forecasts, and dynamics of the low-code development platform market from 2018-2032.
• The research report provides the latest information on the market drivers, challenges, and opportunities in the global low-code development platform market.
• The study maps the leading, as well as the fastest-growing, regional markets. It further enables stakeholders to identify the key country-level markets within each region.
• Porter's five forces analysis assists stakeholders in assessing the impact of new entrants, competitive rivalry, supplier power, buyer power, and the threat of substitution. It helps stakeholders to analyze the level of competition within the low-code development platform industry and its attractiveness.
• The competitive landscape allows stakeholders to understand their competitive environment and provides insight into the current positions of key players in the market.