Low-Code Development Platform Market By Component (Platform, Services) By Application Type (Web-based, Mobile-based, Desktop and Server-based) By Organization Size (Small and Medium-Sized Enterprises (SMEs), Large Enterprises) By Industry (BFSI, Retail and eCommerce, Government and Defense, Healthcare, IT) - Growth, Future Prospects & Competitive Analysis, 2016 – 2028

About this report

The Global Low-Code Development Platform Market report explores the critical analysis of the low-code development platform industry using key parameters. The report consists of investment strategies, the need for investments in the low-code development platform industry, and the multiple benefits for the investors. Importantly, this report sets out major changes in the global technical regulations for the low-code development platform industry and how economic and non-economic barriers are helping the market grow. Moreover, the report analyses the global, regional, and country-level historic and forecasted market size. The report also provides a comprehensive analysis of key investment propositions, demand and supply gap, competitors positioning, STAR analysis, SRC analysis, and Tornado analysis. Key technological developments and other analyses include Porter's five forces analysis, PESTEL analysis, value chain analysis, etc.


Key Highlights of the report

How are the major segments performing in the Low-Code Development Platform Market?

The platform segment led the market in components in 2021 and is expected to continue throughout the projection period. The platform segment's rapid growth is attributed to its capabilities for instant app development, automated software workflow, drag-and-drop interfaces, and pre-built templates. Microsoft Power App, Oracle APEX, ServiceNow App Engine, and Zoho Creator are popular low-code development platforms.

  • In 2021, the web-based application type segment led the global market due to increased demand for low-code development platforms, which help develop web-based enterprise applications using similar resources as the traditional development process. The web application is the most widely used development methodology and the corporate face. Businesses can use the low code development platform to deliver user-defined requirements and implement required web-based apps quickly.
  • In 2021, the large enterprise segment held the largest share in organization size, owing to the growing importance of software development across these organizations to achieve agility and sustained growth. Large enterprises are increasingly turning to low-code platforms to upskill their staff and workforce, recruit citizen developers, and assist pro-coders in working faster and smarter. Moreover, the rising need for digital transformation all over large enterprises accelerates segment growth.
  • In 2021, the BFSI industry segment dominated the market due to the growing demand for digitalized financial services like origination, client onboarding, self-servicing, and back-office operations. They are becoming more interested in low-code development platforms to boost business agility, enhance user experiences, and cut down on operational costs and time to market.

Which region dominated the Low-Code Development Platform Market?

North America dominated the low-code development platform market in 2021 and is expected to maintain its dominance throughout the forecast period. Many well-known regional market firms offer platforms and services for low code development to all local clients and firms. The United States and Canada have strong economies and are expected to play a significant role in the market growth. Significant R&D activities, collaborations, geographic presence, acquisitions, and mergers are the primary determinants of low code development platforms and services deployment. The major regional vendors, such as Appian, Microsoft, Salesforce, and Pegasystems, offer expanded low code development platforms and services to meet client expectations.

What is the competitive environment of the Low-Code Development Platform Market?

The major players in the market place a strong emphasis on forming strategic alliances and product innovation to increase their market share. For instance, in April 2022, Mendix Technology BV signed an extended partnership agreement with Atos, allowing the latter to incorporate the Mendix low-code platform to facilitate enterprise decarbonization and hyper-automation. As an example of product innovation, Quickbase introduced automation and drag-and-drop integration capabilities to its low-code platform in May 2020, allowing enterprise users to build workflows easily. Quickbase becomes a complete low-code platform with operational agility and insights after adding this safe integration and automation features for business users.

Executive Summary

What are all technical developments being developed in the Low-Code Development Platform Market?

The rapid advancement of digital technologies, including artificial intelligence (AI), predictive analytics, and machine learning, as well as the digital transformation of various industries, has resulted in increased market competition and a highly consolidated market for low-code development platforms. Low-code technology systems are being developed to rapidly create and use functional software that can meet the enterprise's unique process and data requirements. AI integration enables a low-code development platform in various applications, like solving complex functions, detecting content using keywords or colors, and inserting data into templates. A low-code development platform is developed using artificial intelligence to simplify the integration of legacy systems. For instance, the Zoho Corporation, an Indian provider of web-based business tools, introduced Qntrl in May 2021. This workflow solution aims to close the growing gap in process management for modern, complex processes that call for close cooperation among various stakeholders. Along with artificial intelligence and machine learning, it uses low- or no-code technology to complete these tasks.

Which are the key investments by the players in the Low-Code Development Platform Market?

Low-code development platforms are rapidly becoming one of the key strategic investments for the IT sector. Many businesses are investing in the platform due to its numerous applications and potential benefits. Low-code development platforms have evolved from simple and departmental applications into digital transformation tools in recent years, shifting how users interact with organizations and how organizations use information. For instance, Akkio received USD 3 million from Bain Capital Ventures in September 2021 to support the company's automated decision-making capabilities. The business offers a low code platform with cutting-edge technology rather than relying solely on data science. Improved data analytics, a better user experience, quick development, cost savings, and other benefits are among the large-scale business advantages. Similarly, in April 2021, FintechOS raised approximately USD 61 million in funding to develop a low-code platform for larger (older) insurance and banking companies to assist them in developing new analytics and services for their existing infrastructure.

Some of the major players in the market are

Microsoft, Salesforce, Appian, Pegasystems, Oracle, Magic Software Enterprises, OutSystems, AgilePoint, Quick Base, Zoho, LANSA, Netcall, Fujitsu RunMyProcess, K2, and WaveMaker.

What are the Major Driving Factors for the Low-Code Development Platform Market?

The growing need for digitalization, combined with the maturity of agile DevOps practices, is expected to propel the market. The growing need for rapid scalability and customization, the elimination of IT backlogs, and the growing demand for robust solutions are expected to drive low-code application development platforms market growth over the forecast period. A low-code application development platform (LCADP) assists organizations in overcoming a technical developer shortage. Increasing demand from various industries, including Healthcare, BFSI, Government & Defense, IT, energy and utilities, and manufacturing, is also expected to boost the market growth.

What are the Major Risks for the Low-Code Development Platform Market?

Some factors limiting market expansion include reliance on vendor-supplied customization and limited software integration. A select few players only offer the option of custom applications that support business models. Therefore, the ability to integrate complex software and customize applications is constrained, which inhibits market expansion. Not all low-code tools and platforms are compatible with every program creates a barrier for the market. As a result, when developing software, the designer and developer must consider the limited integration feature to avoid potential issues.

Which is the key Application Type in the Low-Code Development Platform Market?

The web-based segment led the global market in application type in 2021, and this trend is expected to continue throughout the projection period. The web-based application is the most common application development methodology and the face of a company. Businesses can quickly deliver user-defined requirements using the low code development platform and implement required web-based apps. There is less need to write technical codes now that low code application development platforms have been introduced. As a result, people with little to no technical knowledge can create a precise, functional online application. Besides, professionals with the necessary experience can easily carry out their regular work tasks, create original web applications, and improve pre-existing digital ecosystems.

How is the Low-Code Development Platform Market performing in regions?

North America dominated the global market for low-code development platforms in 2021 due to the strong regional presence of several key market players and the introduction of cutting-edge low-code development platform offerings by these industry players. Early technology adoption and widespread use of enterprise software such as custom applications, CRM, ERP, and databases further drive the North American low-code development platform market. For instance, Claris International Inc, an Apple Inc subsidiary, introduced Claris Connect, a low-code automation platform designed to assist SMEs in addressing real-world challenges, in March 2020. The new solution includes nearly 50 connectors for popular enterprise applications such as Slack, Box, and Trello. Conditional logic, code blocks, approvals, and custom connectors.

Besides, Asia Pacific is expected to grow the most during the forecast period owing to the rising incorporation of low-code platforms in the region, particularly in China. The use of low-code platforms by Chinese IT developers promotes efficient workflow. Mendix, a low-code platform, is used by several Chinese companies, including SAIC Motor, CIMC Vehicles, and Maxnerva Technology Services. According to the 2020 Software Survey of Asia-Pacific, more than 50% of the region's top executives are comfortable deploying low code platforms throughout their companies. Several regional vendors across all major verticals are leveraging these platforms to expand developer taskforces, accelerate application delivery, boost innovation, and reduce operating costs.

What is the regulatory landscape for the Low-Code Development Platform Market?

The continuous need to innovate, meet regulatory requirements, and solve problems faster than ever drives demand for software solutions and apps. Financial services firms increasingly turn to minimal-code platforms for quick and low-cost application development. Organizations can also use a low-code development platform to develop commercial applications that adhere to government standards and regulations. As a result, stringent government regulatory standards propel the industry forward worldwide. Moreover, the healthcare industry thrives globally due to government funding and rapid technological advancement. In the healthcare industry, a low-code development platform is used to improve workflow effectiveness, streamline data integration, and enhance the patient experience. For instance, in April 2021, Zoho Corporation Pvt. Ltd partnered with GoFloaters and Unmetrics, two tech firms with offices in India, to offer a low-code development platform as a backhand system. The companies used the platform to provide local governments with a portal for vaccination schedules. Likewise, Deloitte Consulting LLP and Appian Corporation formed a strategic partnership in March 2020 to assist clients in federal, commercial, civilian, defense, state, and local government agencies in modernizing mission systems through the use of low-code development and intelligent automation solutions such as robotic workforce management (RWM), AI, RPA, and other technological advances.

What is the Market Size of the Low-Code Development Platform Market regarding value?

The global low-code development platform market is anticipated to grow at a substantial CAGR of 28.5% in the upcoming years. The global low-code development platform industry was estimated to be worth USD 15.8 billion in 2021 and was expected to be worth USD 71.13 billion by 2028.

What are the major players planning for the future of the Low-Code Development Platform Market?

The surge in digital transformation in the IT industry is a key trend that will drive the low code development platform market forward. Many industries invest in low code development platforms, including healthcare, banking and finance, IT solutions, telecommunication network infrastructure, retail, and utilities. Governments are also working with industry players to hasten the rollout of 5G technology. As a result, digital transformation is expected to be a highly valued edge computing technology service across end-user industries. The growth of the low code development platform market will also be driven by vendor pricing strategies and the increased use of SaaS and hyper-automation technologies. SaaS, commercial open-source models, and term licensing are additional services that vendors offer to keep up with shifting customer needs. Salesforce Inc and Amazon Web Services, for example, collaborated in June 2021 to launch the implementation of an advanced business application that will accelerate growth and digital transformation in SaaS cloud services. Such factors are expected to alter the low-code development platform industry outlook over the forecast period.

Segmentation of Global Low-Code Development Platform Market -

Global Low-Code Development Platform Market – By Component

  • Platform
  • Services

 Global Low-Code Development Platform Market – By Application Type

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

Global Low-Code Development Platform Market – By Organization Size

  • Small and Medium-Sized Enterprises (SMEs)
  • Large Enterprises

Global Low-Code Development Platform Market – By Industry

  • BFSI
  • Retail and eCommerce
  • Government and Defense
  • Healthcare
  • IT
  • Energy and Utilities
  • Manufacturing
  • Others (education, transportation and logistics, and media and entertainment)

Global Low-Code Development Platform Market – By Region

  • North America
    • The U.S.
    • Canada
  • Europe
    • Germany
    • France
    • The U.K.
    • Italy
    • Spain
    • Rest of Europe
  • Asia Pacific
    • China
    • Japan
    • India
    • South Korea
    • South-east Asia
    • Rest of Asia Pacific
  • Latin America
    • Brazil
    • Mexico
    • Rest of Latin America
  • Middle East & Africa
    • GCC Countries
    • South Africa
    • Rest of the Middle East and Africa

Frequently asked questions about the global Low-Code Development Platform Market

The global COVID-19 pandemic positively impacted the market, as several industries rushed to accelerate digital transformation to meet the dynamically changing consumer and employee needs. The pandemic forced companies to move their operations online, which increased the demand for software application development tools.

North American region accounted for the highest share in the global low-code development platform market regarding value and volume.

The increasing demand for software developers to perform IT operational processes in rapidly changing environments and the growing need for digitalization in various business processes are driving the growth of the global low-code development platform market during the predicted period.

The platform segment had a major share in 2021, with more than 58% of the market revenue. Besides, the services segment is projected to witness the fastest growth.

Web-based segment had a major share in the global market in 2021 and is projected to continue its dominance over the forecast period.

Low-Code Development Platform Market Scope

Report Attribute Details
Market Value in 2021 USD 15.8 billion
Market Value in 2028 USD 71.13 billion
CAGR 28.5%
Benchmarking Year 2021
Past data 2016 – 2021
Forecast period 2022 – 2028
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Published Date:  Oct 2022
Category:  Automation & Process Control
Report ID:   60734
Report Format:   PDF
Pages:   130
Rating:    4.6 (60)
Delivery Time: 24 Hours to 48 Hours   
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