Social Employee Recognition Systems Market - Forecast(2024 - 2030)

Social Employee Recognition Systems Market Overview

The Social Employee Recognition Systems Market size is estimated to reach US$14.68 billion by 2028, growing at a CAGR of 11.5% from 2023 to 2028. The increasing adoption of technology and digital solutions in businesses is driving the growth of the social employee recognition systems industry. Due to the increasing penetration of web applications, mobile applications, Artificial Intelligence, cloud computing, the Internet of Things (IoT) and software-as-a-service solutions among enterprises, the demand for advanced employee recognition solutions is rising at an impressive pace for providing Smart and Intelligent workspace. As the modern workforce demands motivation in an innovative and modern way, social employee recognition platforms help reinforce professional relationships in both SMEs and large enterprises. The introduction of cloud and on-premise employee engagement software further boosts the market growth. These aforementioned factors would positively influence the Social Employee Recognition Systems industry outlook during the forecast period.

Social Employee Recognition Systems Market Report Coverage

The report: “Social Employee Recognition Systems Industry Outlook – Forecast (2023-2028)” by IndustryARC, covers an in-depth analysis of the following segments in the Social Employee Recognition Systems industry.

Key Takeaways

• The cloud segment is expected to grow at a significant CAGR of 12.3% owing to factors such as quick implementation, scalability and ease of access.
• The Retail industry segment is expected to grow at a significant CAGR of 12.8% due to growing awareness of employee welfare and rising penetration of cloud computing, artificial intelligence and the Internet of Things (IoT).
• Europe dominated the market with a market share of 43% in the global Social Employee Recognition Systems Market size. This is due to the growing trend of digital workforce transformation and the introduction of corporate wellness programs.

Social Employee Recognition Systems Market Value Share, by Global Region, 2022 (%)

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Social Employee Recognition Systems Market Segment Analysis - by Deployment

Based on Deployment, the Cloud segment in the Social Employee Recognition Systems Market report had the highest share and it is analyzed to grow at a significant CAGR of 12.3% during the forecast period 2023-2028. Adopting cloud-based social employee recognition systems has numerous benefits, including low cost, accessibility from anywhere and at any time, quick implementation and scalability, all of which help businesses increase productivity and improve employee engagement by providing a smart and intelligent workspace. This, in turn, increases the Social Employee Recognition Systems market size. In April 2021, The Lab & Co launched a cloud-based social employee recognition system called Bucketlist. This system offers an easy and fun way to thank and recognize individuals and teams for living and demonstrating the values recognized at the Lab as critical to success. Such developments positively influence the Social Employee Recognition Systems industry outlook.

Social Employee Recognition Systems Market Segment Analysis - by End-use Industry

Based on End-use Industry, the retail segment in the Social Employee Recognition Systems Market report had the highest share and it is analyzed to grow at a significant CAGR of 12.8% during the forecast period 2023-2028. Growing awareness of employee welfare and recognition, as well as a greater understanding of the importance of worker morale in overall productivity and rising penetration of cloud computing, artificial intelligence and the Internet of Things (IoT), are expected to boost the retail segment in the Social Employee Recognition systems industry. For instance, in September 2020, Awardco launched MemoryBooks which is a way to celebrate the anniversaries of employees at work. This social employee recognition system is integrated with Amazon Business and offers millions of amazon products with zero markups. These developments would increase the Social Employee Recognition Systems market size.

Social Employee Recognition Systems Market Segment Analysis - by Geography

Europe dominated the global market for Social Employee Recognition Systems Market with a market share of 43% in 2022. The region is also analyzed to have significant growth over the forecasting period. The growing trend of digital workforce transformation, growing awareness towards employee morale and introduction of corporate wellness programs due to work-related stress and anxiety is boosting the Social Employee Recognition Systems market in this region. In December 2021, Health and Safety Executive, a UK government agency, stated that the total number of cases of work-related stress, depression or anxiety in 2020/21 was 822,000. These factors drive the demand for Social Employee Recognition Systems.

Social Employee Recognition Systems Market Drivers

Growing utilization of social media platforms:

Increasing enterprise use of social media platforms is expected to drive the growth of the Social Employee Recognition Systems market over the forecast period. In the recent past, various social media platforms have seen widespread adoption in organizations and business enterprises which had a significant effect on employee engagement. Companies are using social media platforms such as LinkedIn and Twitter to communicate with internal teams. They are also used to differentiate employee efforts and engage them in promotional and marketing activities. Companies are advertising new products and product discounts, as well as plans for future employee growth, in order to boost sales and increase brand loyalty online. In September 2022, Nectar 3 launched their newest and updated version of the social employee recognition system which is a peer-to-peer recognition system and is used by big companies such as Heineken, MLB and others.

Growing management participation:

Growing senior management participation is expected to drive the growth of the global Social Employee Recognition Systems market during the forecast period. The constant increase in senior management involvement in employee engagement and recognition has increased the adoption of social employee recognition systems in organizations. These social employee recognition solutions can be app-based, allowing senior management to actively participate from a remote location and recognize and reward employees' efforts thus providing a smart and intelligent workspace. Furthermore, social employee recognition solutions such as cloud and on-premise can assist employees in communicating with their respective teams as well as seniors, thereby increasing employee productivity. In February 2020, Infosys partnered with GE Appliances for providing smart and intelligent workforce solutions. Such developments boost the demand for Social Employee Recognition Systems.

Social Employee Recognition Systems Market Challenge

Lack of security measures:

The Social Employee Recognition Systems market is likely to be constrained by a lack of secure social networking platforms during the forecast period. Employee recognition technology implementation is hampered by the lack of appropriate security measures. When social networking sites are integrated with business applications, the company becomes vulnerable to cyber-attacks and unauthorized access. Through these cyber-attacks, confidential data become vulnerable. As a result, the demand for Social Employee Recognition Systems decreases. These factors hamper the market growth during the forecast period.

Key Market Players

Product launches, collaborations and R&D activities are key strategies adopted by players in the Social Employee Recognition Systems Market. The top 10 companies in the Social Employee Recognition Systems market are:

1. Salesforce Inc
2. Culture AMP
3. Terryberry
4. Achievers Solutions
5. Appreiz Inc
6. Tooodooo
7. Nectar
8. Wooboard Technologies
9. Semos Cloud
10. Workhuman

Recent Developments

• In May 2022, Terryberry acquired Walker Tracker, a corporate wellness SaaS platform. Terryberry would be able to provide new wellness products through its employee recognition and engagement technology as a result of this acquisition.
• In October 2021, Tooodooo Inc. announced the launch of its new incentive rewards platform. This is the first fully integrated platform and aims to bring workforce transformation and increase productivity. This is poised to increase the company’s share in the Social Employee Recognition Systems Market.
• In September 2021, Toronto-based Achievers announced a new cloud-based platform that is aimed at improving how employees in an organization are engaged and recognized.

Relevant Report Titles: 

Employee Engagement Software Market - Industry Analysis, Market Size, Share, Trends, Application Analysis, Growth and Forecast Analysis
Report Code: ITR 0279

Employee Monitoring Software Market - Industry Analysis, Market Size, Share, Trends, Application Analysis, Growth and Forecast Analysis
Report Code: ITR 0280

Corporate Wellness Market - Industry Analysis, Market Size, Share, Trends, Application Analysis, Growth and Forecast Analysis
Report Code: HCR 0223

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