Top Predictions for 2024 Procurement Application Software: Embracing Automation, Collaboration, and Innovation

The IDC Perspective predicts a strong demand for spend management applications with a CAGR of 9.2% through 2027, driven by automation, collaboration, and innovation. Key trends include the increased use of AI and automation, focus on sustaining cost savings, direct sourcing, addressing workforce challenges, and the need for enhanced collaboration features. The procurement application space is becoming crowded, posing funding challenges for start-ups. The document also highlights the growing interest in spend orchestration, a new class of procurement applications."Efficient and effective spend management applications remain as strong tools to drive operations, optimize spend, mitigate risk, and support workforce challenges. IDC sees continued strong buyers interest with application providers offering compelling features that are infused with automation and AI." - Patrick Reymann, research director, Procurement and Enterprise Applications, IDC