Automation Testing Market

According to Stratistics MRC, the Global Automation Testing Market is accounted for $24.7 billion in 2022 and is expected to reach $68.0 billion by 2028 growing at a CAGR of 18.4% during the forecast period. Automation testing is a technique for testing and comparing actual results to predicted results. Automation testing is used to automate repetitive testing procedures that are difficult to do manually. The automation testing market scope follows the adoption of various testing solutions and services by various end-user sectors such as IT & telecommunication, BFSI, healthcare, retail, energy & power.

According to Consumer Technology Association (CTA), the majority (69%) of U.S. households currently own at least one smart home gadget. It corresponds to 83 million households, with 18%, or 22 million houses, owning more than one smart home gadget.



Market Dynamics:

Driver:

Delivery models those are scalable and flexible

Testing is an essential step in the Software Development Life Cycle (SDLC) process. On-demand testing resources necessitate dynamic distribution. The automation testing platform has shown to be an effective solution for data management and time management. Automation testing has a storage capability that may be scaled up or down based on the consumer's demands and requirements. The automated testing platform's versatility is extremely scalable due to changes in client demand and demography, and it may be contracted or extended as needed. Automation testing enables scalability and the extension of software services thereby propelling the growth of the market.

Restraint:

High initial investment cost

Automation necessitates a substantial initial investment in terms of equipment, human capital, infrastructure, and so on. Licence fees, in some situations, must be paid in addition to operational expenditures. Furthermore, even with open-source technologies like Selenium, the cost of training personnel and constructing the grid must be considered. Automated regression testing is needed and beneficial in the majority of agile scenarios. In reality, the early phases of test automation are typically expensive. Analysing, designing, and building a test automation framework, libraries, reusable functions, and so on are all required. In some cases, licencing fees, facilitating spending and operational costs such as those related with hardware and software must be considered.

Opportunity:

Use of internet and mobile apps has increased.

Cell phones and the internet are become indispensable aspects of daily life. The software application industry is one of the fastest expanding segments of the mobile and digital industries. Smartphone accessibility, the abundance of web-based apps, the drop in data prices, and rising consumer spending power all contribute to the market's growth. Furthermore, as compared to other apps, mobile applications have a shorter development phase and life cycle. As a result, automated testing on mobile applications plays an important role in the development of mobile app life cycles. By automating mobile application testing, businesses may increase testing productivity, improve regression test cases, and save time.

Threat:

Lack of skilled professionals

Because of a scarcity of competent digitization testers, particularly in the agile development life cycle, continued monitoring of specifics, delivery frequency, and overall customer satisfaction are all hampered. In agile development, testers are required to be technically knowledgeable in order to engage in a variety of conversations with teams and automation tools. Furthermore, test environments and test data professionals are in short supply.

Covid-19 Impact

Companies focused on automating IT tasks during the COVID-19 outbreak in order to recover from the catastrophe. Firms will spend more in cognitive skills, artificial intelligence, and robotic process automation (RPA) as they recover from COVID-19. The epidemic has made automation and testing mandatory in the boardroom. As organisations grow, so do their business continuity plans and hazards. This trend is predicted to continue as automated testing provides a time and quality advantage over other types of testing.

The implementation Services segment is expected to be the largest during the forecast period

The implementation segment is estimated to have a lucrative growth, due to A large percentage of the market is accounted for by the implementation sector. Automation may be more easily integrated into an existing software testing infrastructure with the help of implementation services. With the assistance of implementation services, automation may be readily incorporated into an existing software automation testing infrastructure. As a result, linking automated analytic solutions to various hardware components and analysing the whole system's operation is required for effective deployment.

The banking segment is expected to have the highest CAGR during the forecast period

The banking segment is anticipated to witness the fastest CAGR growth during the forecast period, due to the widespread implementation of digitalization in the BFSI industry is creating a substantial need for applications that undergo automation testing. The BFSI industry has been defined by sophisticated, unified applications and legacy systems that govern and manage mission-critical activities. These apps are continually changing to suit the demands of the new digital world. However, due to the rising presence of e-commerce, the retail sector is predicted to develop at the quickest rate.

Region with highest share:

North America is projected to hold the highest market share during the forecast period owing to North America will dominate the automated testing business. The predominant driver of the market in this sector is the extensive presence of technology providers. To maintain regional and worldwide competitiveness, these companies prioritise merger and acquisition activity, partnerships and collaborations, and the creation of creative solutions. Furthermore, the region's business is being driven by the extensive dispersion of technology suppliers. Innovative consumer electronics such as smart TVs, home appliances, and laptops are gaining popularity in the United States and driving market demand.

Region with highest CAGR:

Asia Pacific is projected to have the highest CAGR over the forecast period, owing to the software, online applications, and operating systems (OS) are inextricably interwoven with intelligent consumer devices. As these intelligent consumer devices become more widely adopted, the region's demand for test automation services will rise. Furthermore, governments across the area are launching projects to accelerate the use of new technologies like as artificial intelligence and machine learning, automation, the Internet of Things, mobile and web-based apps, cloud-based services, and other advances.



Key players in the market

Some of the key players profiled in the Automation Testing Market include Accenture, Applitools, Broadcom, Cigniti Technologies, Cygnet Infotech, Microsoft, Mobisoft Infotech, Micro Focus, Parasoft, Capgemini, AFour Technologies, IBM Corporation, Tricentis USA Corp, SmartBear Software Inc., Keysight Technologies Inc, Invensis Technologies Pvt Ltd and Sauce Labs Inc.

Key Developments:

In April 2023, Microsoft and Epic expand strategic collaboration with integration of Azure OpenAI Service, the collaboration expands the long-standing partnership, which includes enabling organizations to run Epic environments on the Microsoft Azure cloud platform.

In March 2023, Accenture and Cervest Collaborate to Bring Innovative Solutions to Clients Seeking Resilience Amid Increased Climate Risk, that will expand Accenture’s capabilities to deliver on-demand access to historical, current and predictive views of combined climate risks to assess and address asset and portfolio vulnerabilities for clients across industries.

In March 2023, Salesforce and Accenture Collaborate to Help Customers Harness the Transformative Power of Generative AI, together, the companies intend to establish a hub for generative AI that provides organizations with the technology and experience they need to scale Einstein GPT—Salesforce’s generative AI for CRM—helping to increase employee productivity and transform customer experiences.

Testing Types Covered:
• Static Testing
• Dynamic Testing

Services Covered:
• Advisory & Consulting Services
• Support & Maintenance Services
• Implementation Services
• Documentation & Training Services
• Planning & Development Services
• Managed Services
• Other Services

Organization Sizes Covered:
• SMEs (Small & Medium-Sized Enterprises)
• Large Enterprises

Endpoint Interfaces Covered:
• Web
• Mobile
• Desktop
• Embedded Software

Verticals Covered:
• Banking
• Insurance
• Automotive
• Retail
• Telecom & IT
• Financial Services
• Defense & Aerospace
• Healthcare & Lifesciences
• Logistics & Transportation
• Energy & Utilities
• Media & Entertainment
• Other Verticals

Regions Covered:
• North America
o US
o Canada
o Mexico
• Europe
o Germany
o UK
o Italy
o France
o Spain
o Rest of Europe
• Asia Pacific
o Japan
o China
o India
o Australia
o New Zealand
o South Korea
o Rest of Asia Pacific
• South America
o Argentina
o Brazil
o Chile
o Rest of South America
• Middle East & Africa
o Saudi Arabia
o UAE
o Qatar
o South Africa
o Rest of Middle East & Africa

What our report offers:
- Market share assessments for the regional and country-level segments
- Strategic recommendations for the new entrants
- Covers Market data for the years 2020, 2021, 2022, 2025, and 2028
- Market Trends (Drivers, Constraints, Opportunities, Threats, Challenges, Investment Opportunities, and recommendations)
- Strategic recommendations in key business segments based on the market estimations
- Competitive landscaping mapping the key common trends
- Company profiling with detailed strategies, financials, and recent developments
- Supply chain trends mapping the latest technological advancements

Free Customization Offerings:
All the customers of this report will be entitled to receive one of the following free customization options:
• Company Profiling
o Comprehensive profiling of additional market players (up to 3)
o SWOT Analysis of key players (up to 3)
• Regional Segmentation
o Market estimations, Forecasts and CAGR of any prominent country as per the client's interest (Note: Depends on feasibility check)
• Competitive Benchmarking
o Benchmarking of key players based on product portfolio, geographical presence, and strategic alliances