Market Sizing Analysis: Assessing The Scale Of The IT Staffing Market & Gig Economy.pptx

PRODEVS OUTSOURCING LTD.
Market Sizing Analysis: Assessing The Scale Of The IT Staffing Market & Gig
Economy.

This market research report was prepared by Nectier & Company for ProDevs
Outsourcing Ltd.
Global IT Staffing Market & Gig Economy. Copyright ProDevs Outsourcing Ltd.

OBJECTIVES OF THIS RESEARCH
This research report provides detailed information on the following:
• Market Overview f
• Case Study
• Industry Statistics
• Market Drivers
• Market Size & Trends
• Competitor Analysis
• Industry Players & Upcoming strategies
• Segment Size
• Key Findings & Opportunities
• Recommendations

RESEARCH METHODOLOGY
• A thorough synthesis of existing publication across the web to gather meaningful
insights on the current situation of the market, technology developments, and any
other market related information. The sources include, but are not limited to:
• Public sources (OECD, UNDP, ILO, etc.)
• Industry & government website for blogs, and other publications.
• Association publications
• Transcripts of key personnel interviews, press releases and other strategic
publications by several competitors in the market.
• Free samples of paid sources (Statista, Factiva, Mordor Intelligence, etc.)

(CONT’D)
To further ensure the accuracy of the data sourced from various mediums online, a
crosschecking was done to ensure that the information we got was accurate. For
example, xxxxxx xxxxxx xxxxx reported that the CAGR of the gig economy is xx.xx%
from 2021 to 2028.
To check how accurate the information is, the formula for determining the CAGR was
used to cross-check:
[(𝐹𝑖𝑛𝑎𝑙 𝑉𝑎𝑙𝑢𝑒 ¹
[(𝑏𝑒𝑔𝑖𝑛𝑛𝑖𝑛𝑔 𝑉𝑎𝑙𝑢𝑒
n
-1 x 100
CAGR=

(CONT’D)U
 To go by the data provided by xxxxxxx xxxxxxx xxxxxxxx
Final value: $873B (2028)
Beginning Value: $455B (2021 as the base year)
n: number of years; 2028 – 2021 = 7
1/7 = 0.142
CAGR = 873/455
= 1.9180.142
CAGR = 9.6%

(CONT’D)
 A counter example from xxxxxxxx
Final Value: $455B (2023)
Beginning Value: $204B (2018 as the base year)
n: 2023 - 2018 = 5 years
1/5 = 0.2
455
204
= 2.230
2.2300.2
= 1.174
1.174 – 1 = 0.174; 0.174 x 100 = 17%
CAGR = 17%

(CONT’D)
 After a thorough fact checking, it was discovered that the data provided by
xxxxxxxxxxx which could be based on empirical data is wrong & therefore isn’t a
reliable source for data collection.
 xxxxxxxx on the other hand provided accurate data as confirmed from our own
calculations.
 Every information in this research was thoroughly cross-checked to ensure a
confidence level of 95% on the margin of error of ±3.1% was achieved.

RESEARCH DATA COLLECTION
Data collected for this study is secondary data. This data has already been collected
and processed by other sources using primary data (a more expensive, time
consuming but more valuable data collection method).

DATA SOURCES
The primary data source for this research is the internet. The data was gathered from
current and archived market reports, industry specific blogs and articles, case
studies & whitepapers.

DATA SOURCES (CONT’D)
TOOLS & RESOURCES

POPULAR IN-DEMAND GIGS
For many, entrepreneurship is an adventure. An opportunity for a few to showcase
their creative prowess. For these new institutions to thrive in our ever changing world,
these gigs are the most sought after:
1. Social Media Marketing
2. SEO
3. Content Writing
4. Web Design & Development
5. Graphics Design
6. AI

MARKET DRIVERS ANALYSIS
The four main market drivers of the gig economy are
1. Unemployment
2. Underemployment
3. An increase in the average hourly rate from $19 to $21
4. Independency in setting up of the hourly rates to expand market forwarding

KEY FINDINGS, OPPORTUNITIES &
MARKET TRENDS
• xx% of gig workers say they are very satisfied with their choice
• xx% of gig workers say they are very happy working on their own
• Millennials account for xx% to xx% of independent workers, Gen Z holds xx% in
2018 and xx% in 2019
• Men are more likely to be employed in the gig economy
• Millennials are more likely to provide professional services in specialty fields. Gen
Xers are more likely to provide services in the business and financial sector as
well as IT.
• Boomers do less skilled gig work and are more involved in sales than any other
demographic

MARKET TRENDS
• The United States has one of the biggest markets and customer bases for freelance
work.
• xx% of gig economy gross volume comes from customers in the United States.
• xx% of global gig economy revenue comes from ride-sharing or transportation
services.
• The highest-paying gig economy job in the U.S is massage therapy – paying an
average $xx.xx/hr.
• The number of global gig workers is expected to rise from xx million in 2018 to xx
million in 2023.

MARKET TRENDS
• Florida has the highest concentration of gig workers, with xx% of workers in the
state doing gig work – this is followed by California (xx%), Texas (xx%), and Illinois
(xx%).
• The United States has the highest global market for gig workers, but India,
Indonesia, Australia, and Brazil are rapidly growing, strong markets.
• The following sectors experienced rapid growth from 2016 to 2021 in England and
Wales: delivery driving (rose xxx%); household services (rose xxx%); errand running
(rose xxx%); and remote digital online tasks (xxx%).
• xx% of global freelance workers are providing skilled work like computer
programming, counselling, IT work, or marketing.

MARKET TRENDS
• The worldwide average hourly rate for freelancers charge is $21. which is a jump
from $19 in 2021
• 1 in 6 workers with a traditional job would like to become an independent earner
• xx% of freelancers would not go back to a traditional job
• 86% of freelancers think that the best days for freelancers are yet to come.
• By the end of 2023, it’s projected that xx% of workers will have spent some of their
careers as independent workers.
• xx% of large corporations plan to increase their use of flexible workers in the
coming years.

MARKET TRENDS
• Cost living in Nigeria is $xxxx which is xx% less expensive compared to the US at
$xxxx.
• Rentage is billed annually at an average of Nxxx,xxx ($xxx) for a mini flat
compared to $x,xxx per month in the U.S.
• Income tax is charged at a rate of x% in Nigeria compared to xx% for earnings
between $0 to $xx,xxx
• Earnings in dollars while in Nigeria gives more purchasing power due to the
Naira/Dollar exchange rate
• Russia is currently facing a brain drain due to the conflict with neighboring Ukraine
in the region. Migrants look to OECD nations for refuge and economic upheaval.

STRATEGIES FOR SUCCESS
• Implementing Effective Workforce Management Strategies
• Build strong relationships with gig workers
• Protecting intellectual property & confidentiality

THE FREELANCE MARKETPLACE
ECOSYSTEM

COMPETITIVE ANALYSIS (CONT’D)
Fiverr
• Known for its micro task model, where freelancers offer specific
services (gigs) at fixed prices.
• Ideal for simple and quick tasks, such as graphics design, content
writing and video editing.
• Clients can review freelancers’ profiles, ratings and reviews
before hiring them.
• Strengths: Affordable and quick services, suitable for small-scale
projects, easy-to-use-platform.
• Weaknesses: Limited in-depth expertise, may not be suitable for
complex or long-term projects.

Upwork
• Upwork is one of the largest freelancing platforms,
offering a wide range of skills and expertise.
• The platform allows clients to post jobs and hire
freelancers on an hourly of fixed-price basis
• Strengths: Extensive talent database, competitive pricing
options, a variety of skill sets.
• Weaknesses: Varying skill levels, potential challenges in
project management, and occasional low quality
deliverables.

Toptal
• Toptal is known for its exclusive focus on elite software developers,
designers, and finance experts. It has a rigorous screening process to
ensure top talent.
• The platform emphasizes quality over quantity, resulting in higher rates
but potentially better outcomes for clients.
• Toptal offers project management tools and support to help clients find
the right talent for their needs
• Strengths: Premium talent pool, high-quality deliverables, dedicated
project management.
• Weaknesses: Higher cost compared to other platforms, limited
availability in some niche skills.

• Arc.dev focuses on providing highly skilled software
developers and engineers for remote work.
• The platform prides itself on its stringent vetting process and
matching top-tier talent.
• Arc specializes in software development roles, offering clients
access to experienced professionals
• Strengths: Quality talent pool, expertise in software
development roles, personalized matching.
• Weaknesses: Limited to software-related roles, potentially
higher costs for premium talent.

• Freelancer.com is a widely used freelancing platform with a vast
number of registered users from various fields.
• The platform caters to a broad range of projects and budgets, making
it attractive for cost-sensitive clients.
• Clients can post projects and receive bids from freelancers, allowing
them to select based on price and skills.
• Strengths: Large talent pool, competitive pricing, suitable for smaller
projects and budgets.
• Weaknesses: Quality can be inconsistent, challenges in managing
larger and complex projects.

• Gigster focuses on software development and design projects,
offering pre-vetted freelance talent.
• The platform also provides project management support to
ensure smooth execution.
• Gigster positions itself as a high quality alternative, with skilled
professionals delivering on-demand projects.
• Strengths: Pre-screened talent, specialized in software
development and design, streamlined project management.
• Weaknesses: Limited scope in comparison to broader
freelancing platforms, potentially higher costs.

COMPETITOR ANALYSIS
Fiverr Upwork Toptal Arc.Dev Gigster Freelancer
Pricing & Fees 20% of Earnings 10% Flat rate Initial Deposit of
$500
From $60 19% of Earnings -
Vetting x x    x
Price
Positioning
Varies Varies Premium Varies Premium Budget-Friendly
USP
Suited for
smaller, one time
projects.
Average time to
hire a freelancer
is 3 days.
Provide access to
a highly
exclusive
network of top-
tier talent.
Focus on
connecting
businesses with
the top 1%
remote software
developers.
On-demand
software
development.
Pre-vetted talent
pool. Speed &
scalability.
Large talent
pool. Flexibility
in project scope.
Competitive
bidding system.

COMPETITOR ANALYSIS (CONT’D)
Marketing
Channels
Digital
advertising,
content
marketing,
Influencer
marketing.
Digital
advertising,
content
marketing,
Influencer
marketing,
Digital
advertising,
content
marketing,
Influencer
marketing
Digital
advertising,
content
marketing,
Influencer
marketing,
Digital
advertising,
content
marketing,
Influencer
marketing,
Digital
advertising,
content
marketing,
Influencer
marketing
SEO Content
Focus
High-quality gig
titles and
descriptions,
back linking.
Client and
freelancer user
personas. Long
tail keywords
Content writing,
gig titles and
descriptions
Meta tags,
heading tags,
keywords.
- -

COMPETITOR ANALYSIS (CONT’D)
Brand Voice Friendly, creative,
empowering,
informative,
professional
Professionalism,
innovation,
empowerment,
trustworthiness
Professional,
modern,
trustworthy -
Customer-
centric,
Approachable,
trustworthy
Solution-
oriented,
empowering,
trustworthy

OVERVIEW OF THE STAFFING
INDUSTRY
The IT staffing industry plays a critical role in connecting companies with qualified IT
professionals on a temporary, contract, or permanent basis. With the increasing
reliance on technology across various sectors, the demand for skilled IT personnel has
been steadily growing. The industry caters to a wide range of roles, including software
developers, data analysts, network administrators, cybersecurity experts, project
managers and more.

MARKET ANALYSIS
• The IT Staffing market size is expected to grow from $xxx.xxB in 2023 to $xxx.xxB
by 2028 at a CAGR OF x.xx% during the forecast period of 2023 – 2028.
• The market growth can be attributed to the increasing outsourcing of HR activities
and the emergence of advanced technologies such as AI & IoT , which are
expected to create robust demand for IT professionals across multiple end-user
segments.
• The growing usage of analytics solutions in recruitment is also expected to
increase the need for specialized HR services. According to a LinkedIn report, xx%
of professionals consider analytics to be the key to recruitment in emerging
economies.

MARKET ANALYSIS (CONT’D)
• Moreover, multiple firms across end-user segments are also migrating towards the
cloud to continue delivering a solution to their clients and ensure the continuity of
their critical solutions. This is expected to create a significant spike for cloud and
cybersecurity professionals.
• Financial service institutions are four times more susceptible to cyberattacks than
other industries, which is expected to drive the demand for security professionals.

IT STAFFING INDUSTRY BY SEGMENTATION
By Skill Set
Software Developer
Testers
Systems Analyst
Technical Support Professionals
Networking & Security Experts
Other Skill Sets
By End-User Industry
Telecoms
Banking, Financial Services & Insurance
Healthcare
Manufacturing
Retail
By Geography North America
Europe
Asia-Pacific

COMPETITOR ANALYSIS
The IT Staffing industry is highly competitive, with numerous companies vying for a
share of the market. A competitor analysis helps ProDevs Outsourcing Ltd
understand its position in the market, identify strengths and weaknesses, and
develop strategies to stay competitive.

COMPETITOR
ANALYSIS
Randstad Technologies
Randstad Technologies is a division of
Randstad, providing IT staffing services to
clients across the globe.
Strengths: Extensive reach, diverse talent
pool, strong market presence in Europe and
North America.
Weaknesses: Lost market share in niche
categories to new entrants. Marketing of
new products can be improved.

COMPETITOR
ANALYSIS
TEKsystems
TEKSystems is one of the largest IT staffing
and services firms in the United States.
Strengths: Deep expertise in IT staffing,
strong relationships with IT professionals,
comprehensive solutions.
Weaknesses: May face challenges in
expanding its international footprint
compared to more global competitors

COMPETITOR
ANALYSIS
Insight Global
Insight Global is known for its rapid growth
and focus on IT staffing services.
Strengths: Agile and responsive, customer-
focused approach, strong presence in the
US market
Weakness: May need to expand its global
reach to compete with larger multinational
competitors

COMPETITOR
ANALYSIS
Kforce
Kforce is an IT staffing firm with a strong
presence in the US market.
Strengths: Specialized technology and
finance staffing, strong relationship with
clients and candidates.
Weaknesses: NA

FINDINGS & KEY OPPORTUNITIES
• As businesses embrace new technologies, such as AI, IoT, and blockchain, the
demand for specialized IT skills has surged.
• Many companies prefer hiring IT professionals on a contract basis for short-term
projects or to fill specific skill gaps, making IT staffing agencies an attractive option.
• Staff augmentation offers flexibility, allowing companies to quickly scale their IT
workforce up or down based on project requirements, thereby reducing long-term
HR costs

FINDINGS & KEY OPPORTUNITIES
(CONT’D)
• With the growth of remote work and globalization, companies can access broader
talent pool worldwide, and IT staffing agencies help facilitate this process.
• The constantly evolving landscape of data privacy and cybersecurity regulations has
led to an increased need for specialized IT professionals to ensure compliance
• Cybersecurity expertise is the new bride. Industries mostly vulnerable to cyber
attacks include healthcare, government agencies, financial institutions & telecoms.

Market Sizing Analysis: Assessing The Scale Of The IT Staffing Market & Gig Economy.pptx

Recommended

Recommended

More Related Content

Similar to Market Sizing Analysis: Assessing The Scale Of The IT Staffing Market & Gig Economy.pptx

Similar to Market Sizing Analysis: Assessing The Scale Of The IT Staffing Market & Gig Economy.pptx (20)

Recently uploaded

Recently uploaded (20)

Market Sizing Analysis: Assessing The Scale Of The IT Staffing Market & Gig Economy.pptx