The global Treasury Management Market is estimated to be valued at US$ 5.10 billion in 2023 and is expected to exhibit a CAGR of 13.8% over the forecast period 2023-2030, as highlighted in a new report published by Coherent Market Insights.
Market Overview:
Treasury management involves various financial processes that help organizations effectively manage their cash flows, liquidity, risk, and investments. With the increasing complexities in financial operations and the need for real-time visibility and control over finances, organizations are adopting treasury management solutions. These solutions offer advantages such as improved cash flow forecasting, enhanced financial decision making, reduced operational costs, and better risk management. The growing need for efficient financial operations and the benefits associated with treasury management solutions are driving the market growth.
Market Key Trends:
One key trend in the treasury management market is the increasing adoption of cloud-based treasury management solutions. Cloud-based solutions offer flexibility, scalability, and cost-effectiveness to organizations, allowing them to access and analyze financial data from anywhere at any time. Moreover, cloud-based solutions provide real-time updates, ensuring accurate and up-to-date financial information. These solutions also offer better data security and compliance with regulatory requirements. As organizations continue to prioritize agility and digital transformation, the demand for cloud-based treasury management solutions is expected to witness significant growth in the coming years.
A Comprehensive Analysis of the Treasury Management Market
Introduction:
As the market is projected to witness high growth, exhibiting a CAGR of 13.8% over the forecast period of 2023-2030, it is crucial to understand the market dynamics and key factors influencing its growth. We will explore the threats of new entrants, the bargaining power of buyers and suppliers, the threat of new substitutes, and the competitive rivalry in the market. Additionally, we will provide key takeaways regarding the market size, regional analysis, and the leading players in the industry.
Porter's Analysis:
Threat of New Entrants:
The Treasury Management Market Size poses moderate barriers to entry due to the presence of established key players and the need for substantial financial resources to invest in infrastructure and technology.
Bargaining Power of Buyers:
Buyers in the Treasury Management Market have considerable bargaining power due to the increasing number of providers and the availability of alternative solutions. Additionally, buyers have the ability to negotiate prices and demand customized solutions to meet their specific needs.
Bargaining Power of Suppliers:
Suppliers in the Treasury Management Market hold a significant bargaining power due to the limited number of specialized vendors offering treasury management services. Suppliers may have the ability to dictate pricing and terms of service agreements.
Threat of New Substitutes:
The threat of new substitutes in the Treasury Management Market is relatively low, as the complexity and criticality of treasury management functions require specialized expertise and technology that cannot be easily replicated.
Competitive Rivalry:
The Treasury Management Market is highly competitive, with a few dominant players such as J.P. Morgan Treasury Services, Bank of America Merrill Lynch, Citibank, and Wells Fargo. The intense competition leads to pricing pressure and innovation as companies strive to differentiate themselves in the market.
Key Takeaways:
Market Size:
The global Treasury Management Market is expected to reach a valuation of US$ 5.10 billion by 2023, with a projected CAGR of 13.8% during the forecast period. The market's growth can be attributed to the increasing need for efficient cash management, risk mitigation, and compliance with regulatory requirements.
Regional Analysis:
North America is anticipated to be the fastest-growing and dominating region in the Treasury Management Market. This can be attributed to the presence of major financial institutions and the adoption of advanced technological solutions. Moreover, the Asia Pacific region is also expected to witness significant growth, driven by the expansion of multinational corporations and favorable government regulations.
Key Players:
The key players operating in the Treasury Management Market include J.P. Morgan Treasury Services, Bank of America Merrill Lynch, Citibank, Wells Fargo, HSBC Global Banking and Markets, BNP Paribas, Deutsche Bank, PNC Bank, Barclays, and U.S. Bank. These players have established themselves as industry leaders through their extensive product portfolios, global reach, and technological capabilities.
In conclusion, the Treasury Management Market offers substantial growth opportunities and challenges for both existing and new players. Understanding the market dynamics, including the threats of new entrants, bargaining powers of buyers and suppliers, and competitive rivalry, is essential for success in this rapidly evolving market. By analyzing the key takeaways regarding market size, regional analysis, and the leading players, businesses can formulate effective strategies to capitalize on the market's potential.
According to a new market research report "Multi-Vendor Support Services Market by Service Type (Hardware and Software Support Services), Business Application (Sales and Marketing, Financial and Accounting, Supply Chain, and IT Operations), Vertical, and Region - Global Forecast to 2023" published by MarketsandMarkets™, the Multi-Vendor Support Services Market size expected to grow from USD 53.09 billion in 2018 to USD 60.14 billion by 2023, at a Compound Annual Growth Rate (CAGR) of 2.52% during the forecast period.The major growth drivers for the market include rapidly increasing changes in the IT infrastructure, rising maintenance costs of Original Equipment Manufacturer (OEM) services, reducing IT support and maintenance complexities, and regaining control of infrastructure support from OEMs.
MVSS providers help maintain and manage the hardware and software required by this business application and assist in improving the efficiency of systems by offering patches and upgrades, and end-of-warranty and life services.The large enterprises segment to hold a larger market size during the forecast periodLarge enterprises focus on the adoption of IT support services to reduce their infrastructure maintenance and support costs.
They cater to different industry verticals which leads to a complex IT and network infrastructure management.
MVSS simplifies IT support management for large multi-vendor data centers to offer a simplified technology support for enhancing the business operations of large organizations.
Furthermore, MVSS providers help these large organizations maintain business continuity and improve the operational efficiency by reducing downtime, providing system updates and patches, and extending the life of equipment.Speak to Analyst @https://www.marketsandmarkets.com/speaktoanalystNew.asp?id=251781478North America to hold the largest market share during the forecast periodNorth America is the largest contributor to the MVSS market in terms of regions.
The North American market provides a suitable environment for new entrants and SMEs to adhere to government regulations and compliances.
Financial dealings between business entities within a company, commonly known as intercompany transactions, account for 30% to 40% of the global economy, equaling almost $40 trillion annually.
In response, Grant Thornton LLP has launched inter.x, a unique offering that uses blockchain technologies to provide transparency for intercompany transactions.The inter.x solution delivers real-time data-analytics dashboards that monitor intercompany transactions, including transfer-pricing compliance and treasury management.PaymentsThe offering can assist companies as they contend with the disruption caused by the coronavirus pandemic.
For example, inter.x provides deep insights into a rapidly changing supply chain, which makes the offering a useful tool to speed cashflow and increase liquidity.“Grant Thornton designed inter.x to provide a simple user experience that can red-flag missed opportunities tied to intercompany transactions and identify instances when transactions may have fallen short of company policies,” said Jamie Fowler, chief transformation officer at Grant Thornton.
“The inter.x solution has a simple value proposition: Companies bring their underlying data, while inter.x brings the automation and transparency.”Another key benefit of the inter.x offering is that it uses blockchain technology to permanently store the inputs, outputs, and actual run-time calculations of a transaction – a capability that can help companies improve transfer-pricing compliance.According to Steven Wrappe, national technical leader of Transfer Pricing in Grant Thornton’s Washington National Tax Office: “The inter.x offering helps users shift their compliance concerns; they no longer need to focus on applying policies, and instead can focus on whether those policies make sense.”Reducing errors, bureaucracy, and fraudIntercompany transactions are the fifth most common cause of corporate financial restatements.
They are frequently the source of underlying fraud, manual errors, unnecessary bureaucracy and wasted time.Historically, there have been few innovations for managing intercompany transactions.
Most enterprise resource planning (ERP) systems do not share information seamlessly.
