Administration Outsourcing - Portugal

Revenue in the Administration Outsourcing market is projected to reach US$145.00m in 2024.
Revenue is expected to show an annual growth rate (CAGR 2024-2029) of 3.98%, resulting in a market volume of US$176.20m by 2029.
The average Spend per Employee in the Administration Outsourcing market is projected to reach US$26.51 in 2024.
In global comparison, most revenue will be generated United States (US$27.29bn in 2024).

Definition :
Administration Outsourcing refers to the market for services associated with the external sourcing of typical IT administration tasks such as hardware supply, setup, configuration, maintenance, security, and support. This market contains all services related to the provision of physical IT equipment, whereas the support of company-owned software is not included.

Administration outsourcing allows organizations to optimize their administrative processes, improve efficiency, and focus on core competencies.

Additional Information:

The Administration Outsourcing market comprises revenues, revenue change, average spend per employee, and a list of the key players in the market and their consolidated revenues. Market values represent revenues that are generated by primary vendors either directly or through distribution channels at the manufacturer price level (excluding VAT). Reported market revenues include spending by enterprises (B2B) and governments (B2G). Detailed definitions of each market can be found on the respective page where the market data is displayed. Key players in the market include Hewlett Packard Enterprise, IBM, Accenture, Capgemini, and CGI.

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Hardware supply, such as Cisco Systems, Hewlett Packard Enterprise (HPE), and Dell Technologies
Hardware configuration, such as CDW (CDW Corporation), World Wide Technology (WWT), and ProSys Information Systems
Hardware maintenance, such as IBM Technology Support Services, Innovative Computer Systems, and Maintech
Security and support, such as Rapid7, Check Point Software Technologies, and Trend Micro

Application outsourcing, such as ScienceSoft, Arcanys, and SumatoSoft
Web hosting, such as GoDaddy, Bluehost, and Amazon Web Services
Customer relationship management, such as Salesforce, SAP Customer Experience(C/4HANA), and Microsoft Dynamics 365
Support of core business functions

The Administration Outsourcing market in Portugal has seen significant growth in recent years.

Customer preferences: Portuguese companies are increasingly turning to outsourcing their administrative tasks to third-party providers in order to reduce costs and improve efficiency. This trend is particularly evident in small and medium-sized enterprises, which make up the majority of businesses in Portugal. These companies often lack the resources to hire in-house administrative staff, making outsourcing an attractive option.

Trends in the market: One trend that has emerged in the Portuguese Administration Outsourcing market is the increasing use of cloud-based solutions. This allows companies to access their administrative data from anywhere, at any time, and reduces the need for physical storage space. Another trend is the growing demand for services such as payroll processing and tax compliance, as companies seek to ensure compliance with local regulations.

Local special circumstances: One factor that has contributed to the growth of the Administration Outsourcing market in Portugal is the country's relatively low labor costs. This has made it an attractive location for outsourcing providers, who can offer their services at competitive rates. Additionally, the Portuguese government has implemented a number of measures to encourage foreign investment in the country, including tax incentives and streamlined administrative procedures.

Underlying macroeconomic factors: The growth of the Administration Outsourcing market in Portugal is also linked to broader macroeconomic trends. The country's economy has been steadily recovering since the global financial crisis, with GDP growth averaging around 2% in recent years. This has created a more favorable business environment, with companies feeling more confident about investing in their operations. Additionally, Portugal's membership in the European Union has facilitated trade and investment with other member states, providing further opportunities for outsourcing providers.

Data coverage:

The data encompasses B2G, B2B, and B2C enterprises. Figures are based on enterprises' technology spending on products, consulting, and outsourcing services.

Modeling approach / Market size:

Market sizes are determined through a combined top-down and bottom-up approach, building on a specific rationale for each market segment. As a basis for evaluating markets, we use annual financial reports of key players in the industry, Statista's primary research and surveys, and IT associations. In addition, we use relevant key market indicators and data from country-specific associations, such as GDP, internet users, and telecommunication. This data helps us estimate the market size for each country individually.

Forecasts:

In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques is based on the behavior of the relevant market. For example, the exponential trend smoothing method is used based on the market data characteristics. The main drivers are the GDP and its sector composition, internet penetration, the level of digitization, and the attitude toward IT security.

Additional notes:

The data is modeled using current exchange rates. The market is updated twice a year in case market dynamics change. The impact of the COVID-19 pandemic and the Russia-Ukraine war is considered at a country-specific level.

This report presents a comprehensive analysis and additional information on the Technology market, in a PDF format.

Unseen yet omnipresent, Information Technology (IT) services are the invisible gears driving modern organizations. These services support business operations and digital transformation through outsourcing, managed services, security, data management, and cloud computing. By leveraging these services, companies enhance efficiency, reduce costs, and gain competitive advantages in a digital marketplace. Prominent cloud providers worldwide include Amazon Web Services, Microsoft Azure, Google Cloud, and Alibaba Cloud. In the managed services sector, Oracle, Accenture, and IBM are among the largest providers globally.