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Leading Element Driving Change in the Employee Onboarding Software Market in 2025: Remote Work Drives Surge In Employee Onboarding Software Market Growth Driver
Employee Onboarding Software Market Growth
The employee onboarding software market has experienced exponential growth in recent years. It will rise from $1.77 billion in 2024 to $2.12 billion in 2025, at a compound annual growth rate (CAGR) of 20.1%. The growth is driven by digital transformation, increasing workforce diversity, regulatory compliance, the shift toward remote work, and a focus on employee experience.
The employee onboarding software market is expected to grow to $4.36 billion by 2029 at a CAGR of 19.7%, driven by AI, automation, gig economy expansion, and mobile workforce. Trends include HR analytics integration, personalized onboarding, and remote solutions.
What Are the Forces Behind the Rapid Growth of the Employee Onboarding Software Market?
The rise of remote work is expected to drive the growth of the employee onboarding software market. Remote work refers to an arrangement where employees perform their duties outside of a traditional office setting, typically from their homes. The trend toward remote work is fueled by the desire for greater flexibility, better work-life balance, and the potential for enhanced productivity and cost savings. Employee onboarding software allows companies to conduct the onboarding process remotely, from completing paperwork to holding training sessions, which is especially helpful for remote employees who cannot attend in-person sessions. According to a study by AT&T in February 2022, the percentage of companies adopting hybrid work models (combining remote and in-office work) is projected to increase from 42% in 2021 to 81% by 2024. Therefore, the rise of remote work is driving growth in the employee onboarding software market.
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Who Are the Dominant Companies Influencing Employee Onboarding Software Market Trends?
Major companies operating in the employee onboarding software market are SAP SE, ADP LLC, Workday Inc., Paychex Inc., Paycom Software Inc., Ceridian HCM Inc., Paylocity Corporation, Monday.com Ltd., Paycor Inc., iCIMS Inc., TriNet Zenefits, Bamboo HR LLC, Namely Inc., ClearCompany Inc., GoCo.io Inc., OrangeScape Technologies Ltd., WalkMe Ltd., Click Boarding LLC, Lessonly Inc., Ultimate Software Group Inc., WorkBright LLC, HR Cloud, Talmundo NV, EmployeeConnect Pty Ltd., HROnboard Pty Ltd
What Are the Different Segmentations in the Employee Onboarding Software Market?
The employee onboarding software market covered in this report is segmented -
1) By Type: Cloud-Based, On-Premises
2) By Application: Small And Medium-Sized Enterprises (SMEs), Large Enterprises
3) By End-User: Banking, Financial Services, And Insurance (BFSI), Information Technology (IT) And Telecommunications, Government, Energy And Utilities, Healthcare, Manufacturing, Retail And Consumer Goods, Transportation And Logistics, Other End-Users
Subsegments:
1) By Cloud-Based: SaaS (Software As A Service) Onboarding Solutions, Web-Based Onboarding Platforms, Cloud-Hosted Onboarding Solutions
2) By On-Premises: Self-Hosted Onboarding Solutions, On-Premises Integrated Systems, Customized On-Premises Platforms
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Which Region Is at the Forefront of the Employee Onboarding Software Market?
North America was the largest region in the employee onboarding software market in 2024. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the employee onboarding software market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.
What Is Covered In The Employee Onboarding Software Global Market Report?
- Market Size Analysis: Analyze the Employee Onboarding Software Market size by key regions, countries, product types, and applications.
- Market Segmentation Analysis: Identify various subsegments within the Employee Onboarding Software Market for effective categorization.
- Key Player Focus: Focus on key players to define their market value, share, and competitive landscape.
- Growth Trends Analysis: Examine individual growth trends and prospects in the Market.
- Market Contribution: Evaluate contributions of different segments to the overall Employee Onboarding Software Market growth.
- Growth Drivers: Detail key factors influencing market growth, including opportunities and drivers.
- Industry Challenges: Analyze challenges and risks affecting the Employee Onboarding Software Market.
- Competitive Developments: Analyze competitive developments, such as expansions, agreements, and new product launches in the market.
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