Payroll Services Industry Profile

Report Page Length: 10-12
Last Quarterly Update: 9/23/2024
SIC Codes: 8721
NAICS Codes: 541214
Chapters Include:
Industry Overview Trends & Challenges Industry Forecast
Quarterly Industry Update Call Prep Questions Website & Media Links
Business Challenges Financial Information Glossary & Acronyms
View Full Sample Add To Cart

Excerpt from Payroll Services Industry Profile

Companies in this industry generate paychecks, payroll reports, and tax filings for clients. Major US-based companies include ADP, Ceridian, Insperity, and Paychex, and others include Neeyamo (India), Nethris (Canada), and Populis Servicos (Brazil).

The global payroll services market is expected to grow by about $7 billion at a compound annual growth rate (CAGR) of about 5.8% from 2022 to 2027, according to Technavio. More than half of the growth in the industry will come from North America.

The US payroll services industry includes about 5,700 establishments (single-location companies and units of multi-location companies) that generate annual revenue of about $22 billion.

Professional employer organizations (PEOs), which may also provide payroll services, are covered further in a separate industry profile.

COMPETITIVE LANDSCAPE

Demand for payroll services is driven by employment. The profitability of individual companies depends on the efficient use of information technology and effective marketing. Large companies can better compete for business from customers who operate from multiple locations. Small companies can compete by serving local or regional markets. The US industry is concentrated: the 50 largest companies account for about 70% of industry revenue.

Companies in this industry may compete with other providers of outsourced human resources (HR) management services, including professional employer organizations (PEOs), business process outsourcing (BPO) firms, or financial institutions. Companies may also compete with organizations that have in-house payroll services, typically conducted through their accounting or HR ...

 
View Full Sample Add To Cart Return to the Industry Profile Menu

Related Profiles

Here are a few profiles related to Payroll Services that you also might be interested in viewing:

Would you or your company benefit from having unlimited access to First Research's industry intelligence tools?

Learn More About Subscription Options