Debt Collection Software Market Trends and Growth (2021-2031)
The debt collection software market size is projected to reach US$ 7893.42 million by 2031 from US$ 3697.37 million in 2023. The market is expected to register a CAGR of 9.9% during 2023–2031. The rising number of accounts with reduced account balances is likely to remain a key trend in the market.
Debt Collection Software Market Analysis
The debt collection software offers various benefits. It compiles all debtor profiles into a single location, including their address, credit card information, current balance, and a comprehensive report about the debt's delinquent payments, such as amount, age of debt, etc. It is essential to exchange information between creditors and DCA regarding the debtor's profile, location, contact information, additional information regarding their debts, etc. BPO is another name for this data-sharing process. Software and API for debt recovery can be employed to collect charges from both businesses and consumers. Therefore, with such benefits, the debt collection software market is growing.
Debt Collection Software Market Overview
Debt collection software is employed for the automation of various processes involved in debt recovery. This business process automation streamlines many of the components of the debt collection process removing friction to enable more effective and efficient collection efforts. Connecting and engaging in their channel at the right time improves how customers perceive the business and determines the likelihood of a successful outcome. By adding all the elements that provide effective and effective conversations like digital channels. Automation, blended engagement, APIs, and AI will transform how customers interact and generate more payments faster.
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Debt Collection Software Market: Strategic Insights
Debt Collection Software Market
-
CAGR (2023 - 2031)
9.9%
-
Market Size 2023
US$ 3697.37 Million
-
Market Size 2031
US$ 7893.42 Million
Market Dynamics
GROWTH DRIVERS
- Increasing digitization
FUTURE TRENDS
- Rising Number of Accounts With Reduced Account Balances
OPPORTUNITIES
- Increasing use of AI and ML in debt collection processes
Key Players
- Chetu Inc
- FICO
- CSS Inc
- Experian Information Solutions Inc
- EXUS
- Loxon Solutions
- FIS
- Pegasystems Inc
- Quantrax Corporation Inc
- CGI Inc
Regional Overview
- North America
- Europe
- Asia-Pacific
- South and Central America
- Middle East and Africa
Market Segmentation
Component
- Software and Service
Deployment Type
- On-Premises and Cloud
Organization Size
- Large Enterprises and SMEs
Industry Vertical
- IT & Telecom
- BFSI
- Retail
- Manufacturing
- Sample PDF showcases the content structure and the nature of the information with qualitative and quantitative analysis.
Customize Research To Suit Your Requirement
We can optimize and tailor the analysis and scope which is unmet through our standard offerings. This flexibility will help you gain the exact information needed for your business planning and decision making.
Debt Collection Software Market: Strategic Insights
-
CAGR (2023 - 2031)9.9% -
Market Size 2023
US$ 3697.37 Million -
Market Size 2031
US$ 7893.42 Million
Market Dynamics
- Increasing digitization
- Rising Number of Accounts With Reduced Account Balances
- Increasing use of AI and ML in debt collection processes
Key Players
- Chetu Inc
- FICO
- CSS Inc
- Experian Information Solutions Inc
- EXUS
- Loxon Solutions
- FIS
- Pegasystems Inc
- Quantrax Corporation Inc
- CGI Inc
Regional Overview
- North America
- Europe
- Asia-Pacific
- South and Central America
- Middle East and Africa
Market Segmentation
- Software and Service
- On-Premises and Cloud
- Large Enterprises and SMEs
- IT & Telecom
- BFSI
- Retail
- Manufacturing
- Sample PDF showcases the content structure and the nature of the information with qualitative and quantitative analysis.
Debt Collection Software Market Drivers and Opportunities
Increasing digitization
The COVID-19 pandemic accelerated the introduction of cashless transactions. Digital banking is the norm, and since debt collection involves financial transactions, it is evident that digitization is responsible for banks and debt collection agencies. As delinquencies increase, lending institutions worldwide are increasingly utilizing digital debt collection techniques to boost their recovery rates in a cost-effective manner. Therefore, the increasing digitization is driving the debt collection software market.
Increasing use of AI and ML in debt collection processes
Using AI and ML, Digital Debt collection platforms utilize various strategies to increase efficiency. A few acquire critical data from multiple sources and channels. This data could include information such as borrowers' profile, their income, choices, credit and financial history, and payment track records to create smart micro-segments, enhancing the efficiency of traditional collection strategies employed by the lender. Thus, increasing the use of AI and ML in debt collection processes is increasing opportunities for the market.
Debt Collection Software Market Report Segmentation Analysis
Key segments that contributed to the derivation of the debt collection software market analysis are component, deployment type, organization size, and industry vertical.
- Based on the component, the debt collection software market is divided into software and service. The customized segment held a larger market share in 2023.
- By deployment type, the market is segmented into on-premises and cloud. The surface-mounted segment held a larger market share in 2023.
- By organization size, the market is segmented into large enterprises and SMEs.
- By organization size, the market is segmented into IT & telecom, BFSI, retail, manufacturing, and others.
Debt Collection Software Market Share Analysis by Geography
The geographic scope of the debt collection software market report is mainly divided into five regions: North America, Asia Pacific, Europe, Middle East & Africa, and South & Central America.
APAC dominates the debt collection software market. The debt collection software market in this region is growing due to various factors, such as increasing government initiatives to improve the visibility of tunnel lighting and the presence of a well-established transportation industry.
Debt Collection Software Market Report Scope
Report Attribute | Details |
---|---|
Market size in 2023 | US$ 3697.37 Million |
Market Size by 2031 | US$ 7893.42 Million |
Global CAGR (2023 - 2031) | 9.9% |
Historical Data | 2021-2022 |
Forecast period | 2024-2031 |
Segments Covered |
By Component
|
Regions and Countries Covered | North America
|
Market leaders and key company profiles |
|
- Sample PDF showcases the content structure and the nature of the information with qualitative and quantitative analysis.
Debt Collection Software Market News and Recent Developments
The debt collection software market is evaluated by gathering qualitative and quantitative data post primary and secondary research, which includes important corporate publications, association data, and databases. A few of the developments in the debt collection software market are listed below:
- University Hospital Zurich (USZ) replaced its previous SAP-based debt collection software solution with Robo-Inkasso from Tilbago AG. According to USZ, this helps to reduce overall manual effort and, therefore, the total costs involved while also offering a greater scope of services. (Source: University Hospital Zurich (USZ)., Press Release, December 2022)
- Tally, a fintech startup known for helping people diligently pay down their credit card debt, announced the release of its white-labeled credit card debt management software. This B2B offering scales Tally’s mission to give consumers a better path to debt management. Tally’s first partner, a large publicly traded consumer company with more than 50 million users, is slated to launch Tally’s software to its users in July 2024. Tally raised additional capital from existing investors to develop its B2B offering and, to date, has raised over $200 million to build and scale the platform. (Source: Tally, Press Release, April 2022)
Debt Collection Software Market Report Coverage and Deliverables
The “Debt Collection Software Market Size and Forecast (2021–2031)” report provides a detailed analysis of the market covering below areas:
- Debt collection software market size and forecast at global, regional, and country levels for all the key market segments covered under the scope
- Debt collection software market trends as well as market dynamics such as drivers, restraints, and key opportunities
- Detailed PEST/Porter’s Five Forces and SWOT analysis
- debt collection software market analysis covering key market trends, global and regional framework, major players, regulations, and recent market developments
- Industry landscape and competition analysis covering market concentration, heat map analysis, prominent players, and recent developments for the debt collection software market
- Detailed company profiles
Report Coverage
Revenue forecast, Company Analysis, Industry landscape, Growth factors, and Trends
Segment Covered
Component, Deployment Type, Organization Size, and Industry Vertical
Regional Scope
North America, Europe, Asia Pacific, Middle East & Africa, South & Central America
Country Scope
Argentina, Australia, Brazil, Canada, China, France, Germany, India, Italy, Japan, Mexico, Russian Federation, Saudi Arabia, South Africa, South Korea, United Arab Emirates, United Kingdom, United States
Frequently Asked Questions
The expected CAGR of the global debt collection software market is 9.9%.
The global debt collection software market is expected to reach US$ 7893.42 million by 2031.
The key players holding majority shares in the global debt collection software market are Chetu Inc., FICO, CSS, Inc., Experian Information Solutions Inc., EXUS, Loxon Solutions, FIS, Pegasystems Inc., Quantrax Corporation, Inc., and CGI Inc.
The rising number of accounts with reduced account balances is anticipated to play a significant role in the global debt collection software market in the coming years.
Increasing digitization and increasing use of AI and ML in debt collection processes are the major factors that propel the global debt collection software market.
Europe dominates the debt collection software market.