Düsseldorf, 1st of December 2022- Growing demand for cloud-based solutions is driving the growth of the domestic market as digital innovation becomes the norm. The ongoing Covid-19 pandemic has prompted demand for cloud solutions as companies were driven to move to remote working solutions. The German software industry remains steady with a continued growth rate of 24 percent in 2022, despite the current world-wide economic situation. Yesterday, the 1st edition of the Main Software 50 Germany took place, whereby further evidence to these trends were demonstrated. The ranking gives acclaim to the most outstanding software companies in the industry that drive the digitalization of the German economy. On the top of the list is cleversoft Group, a solutions provider for compliance and integrated risk management for the Banking & Financial Services Industry.
Since 2012, software companies in the Netherlands register for the Main Software 50 each year. The event is an initiation of software investor Main Capital Partners to highlight the importance but often under-reported economic and societal impact of the enterprise software sector. Main indexes hundreds of companies that sign up each year based on seven objective business metrics: revenue, revenue growth, profitability, cloud/SaaS services revenue, recurring revenue, international revenue and revenue from partner channels. Now for the first time, Main has expanded the ranking to Germany. The results are verified by independent research institute Fraunhofer.
Sven van Berge Henegouwen, Partner and head of the DACH office, mentions: “With the Main Software 50 we aim to give acclaim and show our well-deserved appreciation to successful companies in the German software industry. We are proud to have expanded the ranking, which already has a prominent reputation in the Netherlands for 11 consecutive years.”
Key statistics of the Main Software 50 Germany 2022
The key statistics of the Main Software 50 Germany edition 2022 once more shows solidity in the profile of German software companies in terms of revenue growth (24% growth compared to last year), employment (19% growth compared to last year), productivity (3% growth compared to last year), profitability channels and the contribution of cloud/SaaS revenue.
Driving demand for cloud solutions
As has been demonstrated, the companies listed in the ranking have shown considerable growth of 24 percent in total revenue in 2022 compared to the previous year and managed to obtain 68 percent of recurring revenue. The ongoing Covid-19 pandemic has driven demand for cloud solutions as companies were forced to move to remote working solutions. This trend has benefited cloud providers alike. Cost effectiveness and flexibility are two of the main factors that make cloud computing beneficial. Within this field of cloud computing, companies offering SaaS (Software as a Service) are flourishing. The key statistics from the Main Software 50 2022 demonstrate that the average contribution to SaaS revenue is 47 percent.
Software and society
Software companies are not only the engine of the digital economy but also a facilitator to society. For this reason, this year’s event focused on the societal impact of software. The topics tackled during the event, in the form of two panel discussions, was the impact of software on the health care sector and how it drives efficiency and quality as well as a panel discussion about talent management and more specifically on how to retain talent for the software industry.
Sven van Berge Henegouwen mentions: “The software industry has an immense impact on society. Not only do software applications and programs make workflows more convenient and efficient, but they also facilitate a better society by filling in the gaps. This year we focused on the impact on healthcare and employment, which are both very relevant topics within the current social climate.”
Five distinguished awards were presented during the ceremony: the Overall Champion Award for the top 3 of the entire ranking, the Highest Growth Award for the company with the highest revenue growth and the Cloud Champion, which is awarded to the company with the highest cloud-based revenue between 2020 and 2021. The 1st overall winner is software company, cleversoft, which provides end-users with solutions for compliance and integrated risk management. The company founded in 2004, counts over 180 employees and serves more than 1000 clients within Europe and beyond. Conceptboard won the prize for the 2nd overall Champion Award. The software company, established In 2010, is specialized in building a solution for remote collaboration for teams in more than 100 countries worldwide. The 3nd overall winner is awarded to d.velop AG, a company that delivers software solutions for document management and digital process to over 3 million clients world-wide and currently counts over 700 employees.
Highest Growth Award: Evermood
The highest growth award is a awarded to the company that achieved the highest revenue growth between 2021-2022. This year’s winner is Evermood, a relatively young software company that was founded in 2019 with the aim of offering professional support to employees who have experienced sexual harassment or discrimination in the workplace. By actively supporting companies and the people who work there, the company creates healthier and more sustainable working environments. By providing a holistic platform the company delivers solutions for human resource management. Evermood experiences great momentum, demonstrated in their ability to grow to a stunning 444% in revenue.
Cloud Champion: Link11
This is the award for the company with the highest cloud-based revenue between 2020 and 2021. This year the award goes to Link11, a leading software provider in the field of cyber security. Link11, founded in 2005 and headquartered in Germany (Frankfurt am Main), maintains cross-continental locations and helps businesses strengthen their cyber-resilience of their networks and critical applications. 95% of their revenue is cloud-based (Cloud revenue growth of 65%), making Link11 the undisputed winner of the Cloud Champion award 2022.
About Main Capital Partners
Main Capital Partners is a leading software investor in the Benelux, DACH and the Nordics. Main has almost 20 years of experience in strengthening software companies and works closely together with management teams of its portfolio companies as a strategic partner, in order to realize sustainable growth and build excellent software groups. Main counts 60 employees and has offices in The Hague, Stockholm, Düsseldorf, Antwerp and the USA (Boston). As of October 2021, Main has over EUR 2.2 billion of assets under management. Main has invested in more than 150 software companies to date. These companies have created jobs for approximately 9000 employees.
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