What Does The Market Look Like For Custom Software Development In The Future?
In the digital age, we’re faced with new technology all the time that seems to have come straight out of a science fiction film—the Internet of Things, blockchain, artificial intelligence, augmented reality, and so on.
As new technologies continue to evolve, the demand for custom software to wield them rises to the challenge.
The custom software development market is set to expand exponentially as more and more businesses seek creative solutions to their own unique operations and objectives, reaching a value of USD 146.18 billion in 2030. Commercial off-the-shelf (COTS) solutions don’t cut it anymore. Many brands are born into the digital age now, and the competitive drive for innovation must be met with software that maximises possibility.
Here’s a brief overview of Myth’s predictions for what the custom software development market will look like in the future.
The Custom Software Market Today
The custom software development market size was valued at USD 24.46 billion in 2021. The compound annual growth rate of the custom software market is predicted to rise to 22.3% in 2030 to USD 146.18 billion. North America currently holds the largest share of the custom software market at 35% in 2021.
There are myriad factors which have contributed to the expansion of the custom software market—a lot of them firmly ingrained in our digital culture. Virtually every company uses analytics and tracking in one way or another. Artificial intelligence is widespread, with chatbots, writing tools, and automation being adopted worldwide to overturn processes.
Bespoke software development was arguably given a jumpstart during and following the Covid-19 pandemic, which saw companies and consumers forced into the digital world to keep the economy ticking over. The demand for remote working was met with an accelerated use of technology, in particular, a demand for custom software to enhance efficiency and scalability.
What does the future hold?
There are already some examples of successful custom software development in the public eye that many people will recognise.
Artificial intelligence and machine learning: custom software to incorporate AI and ML into predictive analysis, natural language processing, and automation will become more and more commonplace as people adopt these tools. Just look at the waves ChatGPT is making in our work and personal lives.
Virtual assistants: Siri, Alexa, Google Assistant, Bard. New virtual assistants are always turning up on the custom software scene, and with this new level of customer service, other brands must follow if they expect to compete.
Blockchain: cryptocurrency and blockchain technology continue to grow in prevalence, putting custom software in demand to enable secure transactions, smart contracts, and storage of sensitive data.
Augmented and virtual reality: games, films, training, and even remote working now incorporate AR and VR to offer consumers an elevated experience.
The Cloud: cloud-based storage, collaboration, and communication are at the core of the majority of organisations today, requiring integration between offline and online platforms between businesses.
The Internet of Things: more and more devices are being brought online. Phones and laptops aren’t the only smart devices in the home and out in public. Custom software is vital to enable them to function, share data, and communicate.
Custom Software Created by Myth Digital
We have an abundance of knowledge about how to approach custom software development. Check out two of our latest projects.
Elecsys: groundbreaking platform, aspiring to redefine electricity network management for the renewable sector, consistently championing a seamless user experience.
LifePass: a software platform focussed on tech & safety for prompt SOS management in hard-to-reach mountain terrains.
How will custom software impact us in the future?
Custom software's effects will create waves worldwide and fundamentally define new ways of working and living.
Increased automation will enable better efficiency, lower costs, higher revenue, and fewer errors. Actions like inventory processing and customer journeys can be made faster and require less human intervention meaning fewer labour costs and potential human error. Many businesses are realising this today and adopting custom software to maximise their potential. Find out why custom software is important to brands in our article.
Customer experiences will be improved dramatically as brands deliver more satisfying, interactive, and engaging customer experiences, another advantage of custom software for developing businesses. From highly personalised customer recommendations to tailored automated routines, custom software meets the needs of customers and clients perfectly. Products, services, and customer experience can be exactly what the customer is searching for, leading to improved customer loyalty, referral, and satisfaction.
Data gathering, tracking, and analysis built into custom software to meet the unique needs of a brand afford it improved decision-making. Analysis of customer behaviour and sales trends using metrics unique to the business can identify opportunities for growth and increased revenue that COTS simply could not.
As reliance on digital platforms and software continues to grow and the world as we know it shifts more online than ever, more and more sensitive operations are vulnerable to cybercriminals. Custom software is always a cut above generic, out-of-the-box software thanks to its complex and robust development processes. Add to this the fact there’s no one big brand-name platform which is well-known to both businesses and hackers.
Businesses sometimes hire a developer in-house, but outsourcing custom software development to an agency generally results in a more robust, innovative solution with a faster turnaround. Find out about outsourcing your project to Myth Digital.
