The Global Employee Recognition System Market Size valued for USD 11.1 Billion in 2021 and is projected to occupy a market size of USD 34.1 Billion by 2030 growing at a CAGR of 13.4% from 2022 to 2030.
An employee recognition system, also known as employee recognition software, is a platform that enables businesses to recognize and reward employees in a structured manner. Employee recognition software typically offers peer recognition and reward options through a portal that supervises the delivery of points, gifts, gift cards, recognition messages, digital badges, or certificates. Employee recognition motivates employees to perform better in the coming quarters by not only rewarding them with rewards or money. Companies can indirectly expand their operations in this manner. According to a recent study, businesses that use efficient employee recognition software are 12 times more likely to have positive business outcomes. According to a recent study, 76% of employees who do not feel appreciated look for other employment options.
Employee Recognition System Market Report Statistics
Global Employee Recognition System Market Dynamics
Employee Recognition System Market Report Coverage
|Market||Employee Recognition System Market|
|Employee Recognition System Market Size 2021||USD 11.1 Billion|
|Employee Recognition System Market Forecast 2030||USD 34.1 Billion|
|Employee Recognition System Market CAGR During 2022 - 2030||13.4%|
|Employee Recognition System Market Analysis Period||2018 - 2030|
|Employee Recognition System Market Base Year||2021|
|Employee Recognition System Market Forecast Data||2022 - 2030|
|Segments Covered||By Deployment, By Enterprise Size, By Industry, And By Geography
|Regional Scope||North America, Europe, Asia Pacific, Latin America, and Middle East & Africa|
|Key Companies Profiled||Achievers Corp., BI WORLDWIDE EMEA, CorporateRewards, Globoforce, Incentive Logic Kudos, Inc., Paramax, Peoplecart, REFFIND Ltd., Terryberry, and Ultimate Software.
||Market Trends, Drivers, Restraints, Competitive Analysis, Player Profiling, Regulation Analysis|
Employee Recognition System Market Growth Factors
Growing number of employee resignations due to lack of recognition is a very prominent factor that is creating demand for employee recognition system among organizations. Social employee recognition can boost motivation in employees which drives the industry growth. Recognizing and rewarding employee performance will increase motivation and help employees stay on track and keep a positive attitude. These programmes promote collaboration and provide employees with a goal to strive for. When they are rewarded for performing a task right, they are more likely to do it again and again.
Employee recognition system market growth is also fueled by increased employee productivity. Employees are more productive at work when their accomplishments are acknowledged, either verbally or with a monetary reward. Teams of workers who are attempting to achieve goals are more productive because they become more efficient with their resources and energy in order to achieve those goals and see actual results.
Increased use of social media platforms such as LinkedIn and Twitter also contributes to market growth. This rapid expansion can be attributed to the use of these platforms to differentiate employee efforts and engage them in advertising, promotional, and marketing initiatives. Increased adoption of the BYOD ethos has the potential to lead to significant growth. Although it is still in its initial stages in small businesses, many large corporations have begun to embrace the culture of bringing your own device. This trend offers market participants a significant opportunity to expand their market position.
Employee Recognition System Market Segmentation
The global social employee recognition systems market is segmented based on deployment, enterprise size, industry, and geography.
Employee Recognition System Market By Deployment
According to our employee recognition system industry analysis, cloud-based deployment is expected to grow with fastest CAGR during the projected timeframe of 2022 to 2030. Cloud-based tools enable organizations or individuals to gain access to their business applications at any time and from any location. Furthermore, the ability of cloud-based services to reduce operational costs along with its cap potential to boost the number of people who can participate in a specific application is driving the overall growth of the cloud-based employee recognition software market.
Employee Recognition System Market By Enterprise Size
According to enterprise size forecasts, the large enterprise sub-segment will account for a sizable share in 2021 and will continue to do so in the following years. Large enterprises typically employ 1000+ people, making it impossible to assess their performance manually. As a result, large corporations implement employee recognition software to facilitate and improve employee appreciation. SMEs, on the other hand, are likely to gain significant impetus over the estimated period. The segment's rapid growth can be attributed to the increasing number of SMEs and their strategies for competing with large enterprises.
Employee Recognition System Market By Industry
According to our for social employee recognition systems market forecast, the retail and consumer goods sector will hold a significant market share between 2022 and 2030. The highest share of retail and consumer goods is due to increased investment in advanced technologies in the retail sector to enhance operational efficiency and customer satisfaction in order to retain customers. IT and telecom accounted for the second largest share, owing to the presence of a large number of employees worldwide and a higher level of employee appreciation in the sector.
Employee Recognition System Market Regional Outlook
The Middle East & Africa
Employee Recognition System Market Regional Analysis
North America currently dominates the global employee recognition software market geographically, owing to technological advancements and a huge proportion of contract positions in the region. Growing awareness of employee welfare and recognition, as well as a greater realization of the significance of worker morale in overall productivity, are predicted to drive demand in the region for employee recognition software.
On the other hand, Asia-Pacific region is likely to attain fastest growth rate in the coming years from 2022 to 2030. As new employee recognition software and systems are released, adoption of social employee recognition systems is expected to rise steadily in East Asia, South Asia, and the Pacific.
Employee Recognition Software Market Players
Some of the leading employee recognition system companies include Achievers Corp., BI WORLDWIDE EMEA, CorporateRewards, Globoforce, Incentive Logic Kudos, Inc., Paramax, Peoplecart, REFFIND Ltd., Terryberry, and Ultimate Software.
The market size of employee recognition system market in 2021 was accounted to be USD 11.1 Billion.
The projected CAGR of employee recognition system market during the analysis period of 2022 to 2030 is 13.4%.
The prominent players of the global employee recognition system market include Achievers Corp., BI WORLDWIDE EMEA, CorporateRewards, Globoforce, Incentive Logic Kudos, Inc., Paramax, Peoplecart, REFFIND Ltd., Terryberry, and Ultimate Software.
North America held the dominating employee recognition system during the analysis period of 2022 to 2030.
Asia-Pacific region exhibited fastest growing CAGR for Employee Recognition System during the analysis period of 2022 to 2030.
Growing digitization in workplace technology, rising awareness about employee recognition, and increasing productivity through employee recognition platforms drives the growth of global employee recognition system market.
Based on industry, retail & consumer goods segment is expected to hold the maximum share of the employee recognition system market.