New PAC RADAR series: "Leading Suppliers of SaaS Implementation and Integration Services in Europe"
For its brandnew PAC RADAR series on SaaS implementation and integration services in Europe, PAC has evaluated the leading providers of SaaS-related services in Europe in a total of nine different PAC RADAR reports; the focus has been put on C&SI services for the major SaaS platforms with the most established ecosystems of services and for specific regions.
Western European companies spend almost € 16.5 billion on software as a service (SaaS) subscriptions per year, which corresponds to 18% of the total spending on software products and solutions. And this share is expected to grow to 35% by 2021.
In 2017, Western European companies are expected to spend almost € 12 billion on SaaS-related consulting and systems integration, and PAC believes that this market will grow to more than € 25 billion by 2020. Typical C&SI services are initial readiness & opportunity assessment, deployment, configuration and customizing of a SaaS solution, data and workload migration, support with the automation of workflows, sourcing, license and vendor management, business process (re-)design or governance and security services.
In terms of revenue, the main SaaS platforms in Europe are Microsoft, Adobe Systems, Salesforce, IBM, Google, Oracle, SAP and ServiceNow. All of them grew their SaaS business by between 35% and almost 60% last year. The by far biggest European SaaS – and therefore SaaS C&SI – markets are the UK, Germany and France.
Against this background, PAC has evaluated the providers of SaaS-related services in Europe in a total of nine different PAC RADAR analyses, with a focus on C&SI services for the major SaaS platforms with the most established ecosystem of services, i.e.
as well as on SaaS C&SI services for specific regions:
- The UK
The provider landscape in the SaaS-related services market is very heterogeneous.
The participating providers disclosed projects across all sizes of clients and industry sectors as well as a balanced number of local, multi-national and global projects. But the consultancy capacities of the providers regarding SaaS-related services range from a few specialists at local level to many thousand worldwide.
Some providers cover many different SaaS platforms, processes and use cases. Others focus more on specific use cases and related platforms (e.g. workspace & collaboration with Microsoft Office 365, service management with ServiceNow or HCM modernization with SAP SuccessFactors).
Some count on onsite resources, while others follow a strict offshoring approach, even if the share of near-/offshore in SaaS consulting services is lower than in the general C&SI market (e.g. in software development).
While several vendors have a fairly homogeneous presence across Europe, others are well-positioned in selected countries. And a SaaS vendor’s particular strength in specific regions can also impact its platform focus; e.g. providers that are particularly strong in Germany usually have a stronger focus on SAP, while those focusing on the UK market normally have a stronger Oracle-related business.
A mirror of the current demand situation in the SaaS consulting market is the enormously high utilization rate of the considered suppliers’ resources. Some providers are partnering with subcontractors to a massive degree to meet the strong demand and fill gaps in their own teams.
In addition, many of the service providers that were considered in our RADAR analysis have been strengthening their capabilities in recent years by taking over SaaS platform specialists. Including many Salesforce partners such as Oinio (Capgemini), Nefos (NTT Data), ClientHouse, CRMWaypoint, Tquila and New Energy Group (all Accenture) or ServiceNow partners like Fruition Partners and Aspendiens (CSC/DXC), solid-serVision (Accenture), Engage ESM (Atos), TeamUltra (Computacenter) or Symfoni ESM (Fujitsu). To name but a few. And with the acquisition of Appirio by Wipro, the last of the major dedicated cloud C&SI specialists was incorporated by a global player. Previously, Bluewolf Group (IBM) and Cloud Sherpas (Accenture) were acquired.
The PAC RADAR
Based on more than 100 single criteria, this PAC RADAR series provides a holistic evaluation and visual positioning of the leading C&SI services providers for the leading SaaS platforms and, cross-platform, in specific regions.
It supports ICT and business decision-makers in classifying and selecting the right service provider. Using a dynamic MS Excel tool, decision-makers can weight all evaluated criteria in line with their specific preferences and requirements for an initial steer on which provider might be the most suitable one. Additionally, the PAC RADAR results are used by PAC as the basis for individual consultancy projects for provider evaluation and pre-selection.
C&SI providers get a neutral, comprehensive, and detailed view of their strengths and weaknesses as compared to the direct competition.
All nine PAC RADAR reports are available here: