Productivity Software - Israel

Israel

Revenue in the Productivity Software market is projected to reach US$405.10m in 2024.
Office Software dominates the market with a projected market volume of US$151.10m in 2024.
Revenue is expected to show an annual growth rate (CAGR 2024-2028) of 2.41%, resulting in a market volume of US$445.60m by 2028.
In global comparison, most revenue will be generated in the United States (US$40,000.00m in 2024).

Key regions: South Korea, Netherlands, United States, Canada, United Kingdom

Definition:

The Productivity Software market covers software applications that are designed to support individuals and organizations in increasing their efficiency and effectiveness in carrying out their tasks. This market includes applications ranging from common office software to complex creative software applications that are used for both personal and business purposes.

Products in the Productivity Software market can be obtained in two ways: as on-premises software that is sold via a transactional license or a subscription and as cloud-based software (software as a service/ SaaS) that is most frequently sold as a subscription.

Structure:

The Productivity Software market contains five markets that are based on the functionality of the software:

Administrative Software refers to software applications that are used to manage various administrative tasks and processes within an organization.
Collaboration Software refers to software applications that are used to facilitate communication and collaboration among teams and individuals within an organization.
Office Software refers to software applications that are used for productivity and work-related tasks in an office environment.
Creative Software refers to software applications designed to support tasks such as graphic design, video editing, 3D modeling, music composition, and photo editing.
Construction and Design Software refers to software applications in the areas such as Computer-Aided Design (CAD), Manufacturing (CAM), and Product Lifecycle Management (PLM).

Additional Information:

The Productivity Software market comprises revenue and revenue growth as the key performance indicators. Only revenues that are generated by primary vendors at the manufacturer price level either directly or through distribution channels (excluding value-added tax) are included, and revenues generated by resellers are excluded. Revenues are generated through both online and offline sales channels and include spending by consumers (B2C), enterprises (B2B) as well as governments (B2G). Detailed definitions of each market can be found on the respective page where the market data is displayed.

Key players in this market include Microsoft, Zoom, Adobe, SAP, and Dassault Systems.

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Market

Region

Region comparison

Currency

Analyst Opinion

Israel, the country with the highest number of startups per capita in the world, has a dynamic and growing technology sector. The Productivity Software market in Israel has been experiencing steady growth in recent years, driven by several factors.

Customer preferences: Israel is known for its highly educated and tech-savvy population, which has a strong preference for innovative and efficient software solutions. The demand for productivity software is high among businesses and individuals who seek to enhance their productivity, streamline their workflows, and improve their overall efficiency. Cloud-based software solutions have become increasingly popular in Israel, as they offer flexibility, scalability, and cost-effectiveness.

Trends in the market: One of the main trends in the Productivity Software market in Israel is the growing adoption of artificial intelligence (AI) and machine learning (ML) technologies. Israeli companies are at the forefront of developing cutting-edge AI and ML solutions that are tailored to the needs of businesses and individuals. These solutions can automate repetitive tasks, provide insights into data, and improve decision-making processes.Another trend in the market is the increasing focus on collaboration and teamwork. Israeli productivity software companies are developing solutions that enable teams to work together seamlessly, regardless of their location. These solutions offer features such as real-time communication, file sharing, and project management, which help teams to collaborate more effectively and efficiently.

Local special circumstances: Israel has a unique startup culture that fosters innovation and entrepreneurship. The country has a well-established ecosystem of accelerators, incubators, and venture capital firms that support the growth of startups. This ecosystem provides Israeli productivity software companies with access to funding, mentorship, and networking opportunities, which enable them to develop and scale their solutions.

Underlying macroeconomic factors: Israel has a strong and stable economy, with a high GDP per capita and a low unemployment rate. The country has a highly educated workforce and a thriving technology sector, which attracts foreign investment and fuels innovation. The government has implemented policies to support the growth of the technology sector, such as tax incentives and grants for research and development. These factors create a favorable environment for the growth of the Productivity Software market in Israel.

Methodology

Data coverage:

The data encompasses B2B, B2G, and B2C enterprises. Figures are based on the allocation to the country where the money was spent at manufacturer price level (excluding VAT).

Modeling approach / Market size:

The segment size is determined through a top-down approach. We use financial statements such as annual reports, quarterly earnings, and expert opinions to analyze the markets. To estimate the segment size for each country individually, we use relevant key market indicators and data from country-specific industry associations such as GDP, level of digitization, GDP sector composition, and observed level of software piracy.

Forecasts:

We use a variety of forecasting techniques, for instance, advanced statistical methods, depending on the behavior of the relevant segment. The main drivers are the GDP and the level of digitization.

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 is considered at a country-specific level.