"The automated testing software market size reached US$ 5.1 Billion in 2023. Looking forward, Reports and Insights expects the market to reach US$ 10.9 Billion by 2032, exhibiting a growth rate (CAGR) of 8.8% during 2024-2032."
Growth of the global automated testing software market has been registering a significant incline in terms of revenue in recent years. Automated testing software refers to a set of tools and solutions that enable streamlining and enhancing the software testing process through automation of repetitive tasks, executing test cases, and generating comprehensive reports.
Revenue growth is also driven by factors such as increasing adoption of agile and DevOps methodologies in software development and rise in demand for more efficient and quicker testing solutions. Automated testing software enables organizations to achieve faster release cycles, improved software quality, and reduced time-to-market.
Increasing levels of complexity of software applications is driven by technological advancements such as integration of cloud computing, Artificial Intelligence (AI), and the Internet of Things (IoT), and this has necessitated need for more robust testing solutions. Automated testing software adds to ability to conduct extensive testing across diverse platforms, operating systems, and devices.
Rising awareness regarding the benefits of automated testing and related advantages such as cost reduction, enhanced test coverage, and improved software reliability, is also expected to drive revenue growth of the. Organizations across various industries, including IT, BFSI, healthcare, and retail, are increasingly adopting automated testing software to ensure delivery of high-quality software products.
Major companies in the global automated testing software market are focusing on technological advancements, strategic partnerships, and acquisitions to expand their market share and offer innovative solutions in the market.
Automated Testing Software Market Report Overview:
The global automated testing software market research report provides comprehensive insights into driving factors, restraints, opportunities, and trends, with provision of in-depth supporting information, data, and statistics and actionable insights. Though covered and provided extensively across the report, the data and information format are simple, yet dynamic in order to ensure ease of reading and understanding, as well as presenting and maximizing leverage and use.
Revenues are provided in detail for previous years in order to showcase the evidence upon which our estimations and forecasts are based. Revenue growth rates and differences, as well as comparisons and relatable data are provided to further support all findings. Data points are provided for each year – from historical to end of forecast period – and this format is followed for each segment region and respective countries, as well as sub-segments and others. Vital details of major companies in the market are provided in the company profile section of the report. Cover includes financials, recent developments, strategies, product launches, agreements, expansion, mergers & acquisitions, and others.
The global automated testing software market research report is segmented on by type of testing, by deployment mode, by organization size, by end-user industry, and regions and countries. Regional segmentation includes North America (United States and Canada); Europe (Germany, United Kingdom, France, Italy, Spain, Russia, Poland, BENELUX, NORDIC, and Rest of Europe); Asia Pacific (China, India, Japan, South Korea, ASEAN, Australia & New Zealand, & Rest of Asia Pacific); Latin America (Brazil, Mexico, Argentina, & Rest of Latin America); Middle East & Africa (Saudi Arabia, South Africa, United Arab Emirates, Egypt, Israel, and Rest of MEA).
Automated Testing Software Market Trends Analysis and Insights:
Global automated testing software market research has been exhaustive and the report provides in-depth details of the various factors, trends, patterns, and scenarios and aspects that have a direct or indirect impact, near-term or far-term on the market and products and services etc. Some insights on the market are provided below:
Increasing Adoption of Agile and DevOps: Steadily increasing adoption of agile and DevOps methodologies in software development is driving demand for automated testing software. These methodologies emphasize frequent software releases and collaboration between development and operations teams. Automated testing software enables organizations to integrate testing seamlessly into their development processes, ensuring faster release cycles, improved software quality, and accelerated time-to-market.
Growing Complexity of Software Applications: The rising complexity of software applications, driven by technological advancements such as cloud computing, AI, and the Internet of Things (IoT), is supporting demand for robust testing solutions. Automated testing software provides the ability to perform comprehensive testing across diverse platforms, operating systems, and devices. This trend is expected to continue as the complexity of software applications continues to increase.
Shift towards Continuous Testing: Continuous testing has gained significant momentum in software development and quality assurance. It involves the execution of automated tests throughout the software development lifecycle, ensuring early detection of defects and rapid feedback. Automated testing software plays a crucial role in enabling continuous testing by automating test cases, enabling frequent testing iterations, and generating real-time reports. This trend is driving the adoption of automated testing software in organizations seeking to achieve continuous delivery and improve software quality.
Rising Demand for Cost and Time Efficiency: Automated testing software offers substantial cost and time savings compared to manual testing. It eliminates repetitive and mundane testing tasks, allowing testers to focus on more complex scenarios. By automating test cases, organizations can reduce testing efforts, accelerate testing cycles, and achieve faster time-to-market. The cost and time efficiency provided by automated testing software are major factors driving its adoption across various industries.
Increasing Awareness of Quality Assurance: Organizations are increasingly recognizing the importance of quality assurance in delivering reliable software products. Automated testing software plays a critical role in ensuring software quality by enabling thorough and comprehensive testing. It offers benefits such as enhanced test coverage, early defect detection, and improved software reliability. As organizations prioritize quality assurance, the demand for automated testing software is expected to increase substantially.
What Factors Are Restraining Growth of Automated Testing Software Market?
Despite the various positive factors and growth prospects in the global market, some restraints and factors are having negative impacts on revenue growth. Some key factors include:
Initial Investment and Implementation Costs: One of the major restraints for organizations considering automated testing software is the initial investment and implementation costs. Implementing an automated testing solution often requires upfront investments in software licenses, infrastructure, training, and resources. These costs can be significant, especially for Small and Medium-Sized Enterprises (SMEs), and this hampers decision to adopt automated testing software.
Complexity of Test Automation: Test automation can be complex and challenging, particularly for organizations that lack experienced and skilled resources. Developing and maintaining automated test scripts requires technical expertise and ongoing efforts. The complexity of test automation can discourage some organizations from adopting automated testing software, especially those lacking access to the necessary skills or facing resource constraints.
Compatibility and Integration Challenges: Automated testing software needs to be compatible with various software environments, platforms, operating systems, and devices. Ensuring compatibility and seamless integration with existing systems can be complex. Compatibility issues may arise due to the frequent updates and upgrades of operating systems or applications, leading to delays in testing and additional efforts to maintain compatibility.
Limited Test Coverage and Human Judgment: Automated testing software relies on predefined test cases and scripts. While it can provide efficient and consistent execution, it may lack the flexibility and adaptability of human judgment. Automated testing may not cover all possible scenarios or detect complex issues that require human intuition or subjective evaluation. Organizations need to strike a balance between automated testing and manual testing to ensure comprehensive test coverage and accurate results.
Security and Data Privacy Concerns: Automated testing involves handling and processing sensitive data and confidential information. Security breaches or data privacy concerns can significantly impact the adoption of automated testing software. Organizations may be hesitant to automate their testing processes due to the fear of data leaks, unauthorized access, or compliance violations. Ensuring robust security measures and compliance with data protection regulations is crucial to address these concerns.
What are the Opportunities for Leading Automated Testing Software Providers?
Companies operating in the global automated testing software market are capitalizing on opportunities and revenue streams by expanding market presence while increasing revenue to stay agile, innovate continuously, and align their offerings with the evolving needs of customers so as to leverage emerging opportunities successfully.
Growing Demand for Cloud-Based Testing Solutions: Increasing adoption of cloud computing presents a significant opportunity for companies offering cloud-based automated testing software. Cloud-based solutions offer scalability, flexibility, and cost-effectiveness, making them attractive to organizations of all sizes. By providing cloud-based automated testing software, companies can tap into the growing demand for on-demand testing resources, subscription-based models, and seamless collaboration across geographically dispersed teams.
Expansion in Emerging Markets: Emerging markets, especially in Asia Pacific and Latin America, present substantial growth opportunities for companies in the automated testing software market. These regions are witnessing rapid digital transformation and increased software development activities. Companies can expand their presence in these markets by offering localized solutions, addressing specific regional requirements, and establishing strategic partnerships with local organizations. By targeting emerging markets, companies can also tap into new customer bases and revenue streams.
Integration with DevOps and Continuous Integration/Continuous Deployment (CI/CD) Pipelines: The integration of automated testing software with DevOps practices and CI/CD pipelines offers a significant revenue stream. DevOps emphasizes the integration of development, operations, and testing processes to achieve continuous delivery. By seamlessly integrating automated testing software into the DevOps and CI/CD workflows, companies can provide comprehensive testing solutions that cater to the evolving needs of organizations adopting these practices.
Expansion into New Industry Verticals: While the IT industry has been a primary adopter of automated testing software, there are opportunities for expansion into new industry verticals. Sectors such as healthcare, finance, retail, and manufacturing are increasingly relying on software applications to improve their operations. Companies can tailor their automated testing software solutions to meet the specific needs and compliance requirements of these industries. By diversifying into new verticals, companies can unlock new revenue streams and expand their market reach.
Value-Added Services and Support: Providing value-added services and support can be a significant revenue stream for companies in the automated testing software market. These services may include consulting, training, customization, and ongoing technical support. By offering comprehensive support throughout the implementation and usage of their software, companies can enhance customer satisfaction, strengthen long-term relationships, and generate additional revenue through service contracts and renewals.
Regional analysis of the global automated testing software market indicates significantly high potential in terms of sales, demand, and preference in key regions and countries. North America, led by the US, dominates other regional markets in terms of market share contribution due to robust technological advancements. Europe market revenue growth is supported, particularly by major revenue share contribution from Germany and the UK. India and China lead in Asia Pacific in terms of revenue share contribution and market potential due to the rapid digitization of industries. Emerging economies in Latin America and the Middle East are also witnessing increased automated testing software demand, driven by digital transformation initiatives.
What are the factors driving the growth of Automated Testing Software in North America region?
Demand for automated testing software is high in North America, driven by the presence of several technology giants and a mature software development industry. The region has a strong supply of advanced testing solutions and major preference for robust and scalable automation solutions. Industry growth is also supported significantly by digital transformation initiatives across various sectors in countries in the region. Government initiatives focus on promoting innovation and this is also supporting growth of the technology industry.
Why is Europe a prominent market for Automated Testing Software?
Europe exhibits significant automated testing software demand, with countries such as Germany and the UK leading in terms of revenue share contribution to the market in the region. Emphasis on quality assurance and compliance is driving preference for comprehensive testing solutions. Increasing adoption of agile methodologies and expansion of the software development sector, along with government initiatives focusing on innovation and digitalization in industries are other factors driving revenue growth of the Europe market.
Who are the major contributing countries in Asia Pacific Automated Testing Software market?
India and China are registering substantial growth in demand for automated testing software in Asia Pacific. Rapid digitization across industries, coupled with a growing software development ecosystem, is driving steady market revenue growth. Preference towards scalable and cost-effective testing solutions is also expected to continue to support revenue growth over the forecast period. Governments in countries in the region are implementing initiatives to support digital transformation and promote the adoption of advanced technologies, which is another factor expected to support revenue growth of the market in the region.
Which industries contribute to the Latin America Automated Testing Software market demand?
Latin America is registering incline in demand for automated testing software as industries embrace digitalization. Brazil, Mexico, and Argentina are key markets in the region, with preference towards solutions that offer ease of use and adaptability to local requirements inclining. Market revenue growth is also supported by the expansion of IT services and adoption of agile methodologies. Also, governments are implementing initiatives to support the growth of the technology sector and encourage digital innovation.
What factors driving the Automated Testing Software sales in MEA region?
Middle East & Africa market growth has been registering moderate incline, but this trend is promising. Countries such as the United Arab Emirates, Saudi Arabia, and South Africa are registering an increase in demand and focus on scalable and cloud-based solutions is expected to continue to rise. Market growth is also driven by digital transformation initiatives in sectors such as banking, healthcare, and telecommunications, and governments implementing programs to support technological advancements and boost the adoption of automation solutions.
Leading Key Players & Competitive Landscape:
The landscape in the global automated testing software market is highly competitive and fragmented. Key players such as Micro Focus, IBM Corporation, SmartBear Software, Tricentis, and Ranorex dominate other players in the market. These companies focus on technological advancements, strategic partnerships, and acquisitions to expand their market share and offer innovative solutions.
- IBM Corporation
- SmartBear Software
- Ranorex GmbH
- Sauce Labs Inc.
- Parasoft Corporation
- Eggplant (formerly TestPlant)
- Cigniti Technologies
- QualiTest Group
- Broadcom Inc. (formerly CA Technologies)
- Hewlett Packard Enterprise (HPE)
Major Companies & Recent Developments:
- In October 2020, IBM announced the launch of IBM Cloud Pak for Data, an AI-powered data platform. The platform integrates AI and automation capabilities to enable seamless data preparation and testing, assisting organizations in improving the quality and efficiency of their software testing processes.
- In June 2021, SmartBear acquired Bitbar, which is a provider of mobile application testing solutions. This acquisition strengthened SmartBear's position in the mobile testing market and expanded its portfolio of testing tools for mobile applications.
- In April 2021, Tricentis introduced Tricentis NeoLoad 7.9, which is the latest version of their performance testing tool. The update focused on enhancing collaboration, enabling shift-left testing, and providing advanced analytics and reporting capabilities.
- In September 2020, Ranorex released Ranorex Studio 9.4, which is an updated version of their automated testing tool. The new version offered improved support for web and mobile testing, enhanced reporting features, and extended integrations with popular development tools.
Market size available for the years
Compound Annual Growth Rate (CAGR)
Type of Testing, Deployment Mode, Organization Size, End-User Industry, and Region
North America: The U.S. & Canada
Latin America: Brazil, Mexico, Argentina, & Rest of Latin America
Asia Pacific: China, India, Japan, Australia & New Zealand, ASEAN, & Rest of Asia Pacific
Europe: Germany, The U.K., France, Spain, Italy, Russia, Poland, BENELUX, NORDIC, & Rest of Europe
The Middle East & Africa: Saudi Arabia, United Arab Emirates, South Africa, Egypt, Israel, and Rest of MEA
Fastest Growing Country in Asia Pacific
IBM Corporation, SmartBear Software, Tricentis, Ranorex GmbH, TestComplete, Selenium, Appium, Sauce Labs Inc, Parasoft Corporation, Eggplant (formerly TestPlant), Cigniti Technologies, QualiTest Group, Broadcom Inc. (formerly CA Technologies), Hewlett Packard Enterprise (HPE), and amongst others.
By Type of Testing:
- Functional Testing
- Performance Testing
- Security Testing
- Compatibility Testing
- Usability Testing
By Testing Tool:
- Test Management Tools
- Functional Testing Tools
- Performance Testing Tools
- Security Testing Tools
- Codeless Testing Tools
By Deployment Mode:
By Organization Size:
- Small and Medium-sized Enterprises (SMEs
- Large Enterprises
By End-User Industry:
- IT and Telecom
- BFSI (Banking, Financial Services, and Insurance)
- Government and Public Sector
- Media and Entertainment
Segmentation By Region:
- United States
- The U.K.
- Rest of Europe
- South Korea
- Australia & New Zealand
- Rest of Asia Pacific
Middle East & Africa:
- Saudi Arabia
- South Africa
- United Arab Emirates
Frequently Asked Question
What is the market size and growth rate of the global automated testing software market?
As of the latest available data, the automated testing software market was US$ 22.6 Billion in 2022. Furthermore, the automated testing software market to register a CAGR of 6.4% which is expected to result in a market forecast value for 2031 of US$ 54.8 Bn
What are some factors driving growth of the global automated testing software market?
Growth of the global automated testing software market is primarily driven by factors such as the increasing adoption of agile and DevOps methodologies, the need for faster time-to-market, rising demand for continuous integration and continuous delivery (CI/CD), and the growing complexity of software applications.
Which industry verticals are the key adopters of automated testing software?
The key industry verticals adopting automated testing software include IT and telecom, banking and finance, healthcare, retail, manufacturing, government, and media and entertainment. These sectors rely on software applications for their operations and seek efficient and reliable testing solutions.
What are some major challenges faced in the global automated testing software market?
Some of the challenges faced in the global automated testing software market include a lack of skilled professionals, difficulty in automating certain types of testing, complexities in testing mobile and web applications, and the need for continuous updates and upgrades to keep pace with evolving technologies.
What are some key trends shaping the global automated testing software market?
Key trends in the global automated testing software market include increasing adoption of cloud-based testing solutions, emergence of AI and ML in testing, integration of testing with DevOps and CI/CD pipelines, rise of codeless testing tools, and focus on test automation for mobile and web applications.