Low Code Development Market

Low Code Development Market Outlook (2024 to 2034)

The global low code development market is estimated to have a value of US$ 22.5 billion in 2024 and is calculated to increase at a CAGR of 26.8% to reach US$ 241.9 billion by the end of 2034.

Advancements in low-code development platforms are attracting a lot of interest from the IT and medical industries. They are offering SMEs the sense of flexibility to develop custom applications with nominal coding and minimal cost as compared to conventional coding, empowering millions of SMEs to take the lead in allowing ideas to turn into reality.

In the midst of the COVID-19 pandemic, swiftly developed applications and virtual platforms have assumed greater significance. Traditional software development, on the other hand, takes way too long and frequently fails to deliver the solutions that businesses desire.

Even before COVID-19, there just weren't enough skilled software developers across the globe to develop all of the applications that were demanded by end-users. The push for businesses to become ‘digital-first’ is sparking a lot of interest in new solutions and various ways of working among IT workers. Beyond IT coders, IT departments are seizing possibilities to democratize software development.

• North America is projected to capture 24.2% of the global low code development market share by 2034.
• The East Asia low code development market size is valued at US$ 5.2 billion in 2024.

Report Attribute	Detail
Low Code Development Market Size (2024E)	US$ 22.5 Billion
Forecasted Market Value (2034F)	US$ 241.9 Billion
Global Market Growth Rate (2024 to 2034)	26.8% CAGR
South Korea Market Value (2034F)	US$ 13.1 Billion
On-premise Demand Growth Rate (2024 to 2034)	24.9% CAGR
Key Companies Profiled	Mendix Technology BV; Zoho Corporation Pvt. Ltd.; Kintonne; Appian Corporation; Microsoft Corporation; Salesforce.com, Inc.; NewGen; AuraQuantic; Oracle Corporation; Pegasystems Inc.; ServiceNow Inc.; Creatio; Quick Base; Betty Blocks; TrackVia; OutSystems Inc.

How is Digital Transformation Driving Adoption of Low Code Development Platforms?

“Low Code Development Platforms Helping IT Companies Develop Improved Software Applications”

Low-code platform adoption has increased among a significant number of organizations in recent years. They are becoming popular as a result of their tendency to integrate business verticals and the emphasis placed on reducing technological debt.

Low code development has greater scalability, which benefits businesses by allowing them to deploy cutting-edge technologies across various departments. As a result of a shortage of software developers, finding dedicated and effective programming talent is a challenge. Therefore, there is an inclination for businesses to adopt low code solutions as an alternative course of action. With low code and no-code platforms, organizations can meet these new demands and at the same time reduce risks and costs of development.

Automation and client-facing applications are some of the notable low code development market trends gaining popularity in organizations, resulting in increasing demands for improvements in software. The low code improvement solution enables organizations to deliver more robust and cheaper applications faster and with fewer resources. In order for the app improvement process to be effective, business groups and IT teams ought to be under pressure. By implementing 'low-code' development strategies, IT and business teams can benefit from fast, consistent, and agile development.

“Low Code Development: Future of Business Intelligence & Analytics”

Recent advancements in the field of computer sciences, as well as the increasing need for easier approaches to building new applications, is resulting in a dramatic increase in the demand for low code development services. Low code platforms are advancing, which will remove the hard aspects of coding for non-coders in various industries.

The trend is currently shifting towards data sciences and analytics. As a method of reducing the pressure on IT teams with minimal code, low code development is swiftly gaining popularity in IT & telecommunications. The low-coding solutions provide ready-made building blocks that assist developers in managing their workflows and altering the application without the need for any hand coding.

What Obstacles are Lowering the Profits of Low Code Development Service Providers?

“Integration Issues and Lack of Customization Options”

Even though low code technology offers vast benefits some aspects are hampering their adoption. Low code-based tools and platforms does not integrate with all software solutions. Thus, the limited features are expected to challenge the developer to opt for other tools.

Lack of customization is also hampering the low code development market growth to some extent. Furthermore, the limited freedom option for personalization is also hindering their sales growth.

Start-up Ecosystem

• Retool is a United States-based start-up that offers low code development tools. The company’s platform offers a drag-and-drop feature that aids users in developing internal tools such as dashboards and admin panels.
• Predibase is a new provider of cloud-based AI applications and low code development platforms. Based in the United States, Predibase aids AI developers to develop, train, analyze, and deploy AI models for fraud detection, demand forecasting, and data analytics.

Country-wise Analysis

What Makes the United States a Key Market for Low Code Development Technology Providers?

“Presence of Prominent IT Companies Driving Adoption of Low Code Development Platforms”

Attribute	United States
Market Value (2024E)	US$ 2.5 Billion
Growth Rate (2024 to 2034)	26.7% CAGR
Projected Value (2034F)	US$ 26.7 Billion

The United States is a market leader in cloud computing, with some of the industry's prominent corporations present there. In the United States, software developers are at the forefront of adoption of low code development platforms. The United States has one of the world's largest IT market.

• According to Mendix, In the United States, four out of every five companies uses low-code development platforms.

Why are Low Code Development Producers Attracted to China?

“China Handsomely Leads Sales of Low Code Development Services in East Asia”

Attribute	China
Market Value (2024E)	US$ 2.5 Billion
Growth Rate (2024 to 2034)	26.7% CAGR
Projected Value (2034F)	US$ 27 Billion

Low code platform adoption is increasing in China due to their growing importance in business management. Chinese IT professionals are witnessing high demand for software solutions from end users. When compared to other countries, China has the most general acceptance of low code, with over 90% of IT professionals favoring it. Chinese businesses are also most likely to comment that low code is a trend that their company can't afford to ignore.

• In January 2021, Mendix, a developer of enterprise low code platforms, made its platform available in China.

Category-wise Analysis

Which Sector Accounts for High Use of Low Code Development Solutions?

“Major Use of Low Code Development Platforms in BFSI Services”

Attribute	BFSI
Segment Value (2024E)	US$ 4.5 Billion
Growth Rate (2024 to 2034)	27.8% CAGR
Projected Value (2034F)	US$ 52.2 Billion

The BFSI sector is widely utilizing low code development platforms due to the rising integration of digital technologies in financial services. The growing need for advancements in back-office operations, onboarding, client origination, and self-service options is further driving the use of low code development solutions. BFSI is also adopting low code development technologies to offer better customer experience and to stay competitive in evolving technological landscape.

Which Deployment Type is Set to Maximize Revenue Generation?

“Cloud-based Low Code Development Platforms Aiding Users in Effectively Developing Smart Applications”

Attribute	Cloud-based Low Code Development Platforms
Segment Value (2024E)	US$ 14.6 Billion
Growth Rate (2024 to 2034)	27.7% CAGR
Projected Value (2034F)	US$ 169.3 Billion

Cloud-based platforms coupled with low code development platforms aids developers and users in developing and monitoring the applications. This collaboration helps businesses attain scalability, flexibility, and rapid utilization and deployment of applications. It also helps to reduce IT overhead, development process, and the need of extensive coding expertise.

Competitive Landscape

Strategic collaborations are enabling key players in the low code development industry to increase their market reach and meet consumer demands, further contributing to the rise in the revenue growth. The introduction of new products and technologies are attracting tech-savvy users and early adopters.

• In 2021, AppGyver Oy was acquired by SAP, which is one of the leading players providing no code development platforms. AppGyver Oy has the capabilities for SAP to integrate to develop web and mobile applications. Through the integration of AppGyver’s offering with SAP’s own in-house low code capabilities, SAP develops workflows, forms, and case management through digital platforms.
• In 2023, Pega announced the use of new generative AI technology to boost low code app development and enhance customer engagement.

Fact.MR provides detailed information about the price points of key providers of low code development platforms positioned across the world, sales growth, production capacity, and speculative technological expansion in the recently updated market report.

Key Segments of Low Code Development Market Research

• By Deployment :

  • Cloud
  • On-premise

• By Type :

  • General Purpose Platforms
  • Database Application Platforms
  • Mobile Application Platforms
  • Process Application Platforms
  • Request Handling Platforms
  • Others

• By Application :

  • Collaboration Sites
  • Electronics Forms
  • Business Intelligence & Analytics
  • Business Rules Management
  • Predictive Analysis
  • Others

• By Enterprise :

  • Small & Medium Enterprise (SMEs)
  • Large Enterprise

• By Use Case :

  • IT & Telecommunication
  • BFSI
  • Retail & E-commerce
  • Education
  • Manufacturing
  • Healthcare
  • Government
  • Defense
  • Others

• By Region :

  • North America
  • Latin America
  • Western Europe
  • Eastern Europe
  • East Asia
  • South Asia & Pacific
  • Middle East & Africa