Crowdsourced Testing Market - Growth, Trends, Covid-19 Impact, And Forecasts (2021 - 2026)

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The key driving factors for the market include increasing digital transformation, the increasing necessity of organizations to improve the user experience for competing in today's global market, and building brand awareness, hence helping organizations to adopt methods for releasing their websites or mobile apps to the public fast.

The internet is the motor of the modern-day crowdsourcing platform. It provides both a broadcast mechanism for organizations to set or announce challenges and a network for connecting people and their diverse ideas, skill sets, and knowledge. According to a social media management platform, Hootsuite, almost 4.57 billion people were active internet users as of April 2020, encompassing 59% of the global population.

- In the Crowdsourced Testing Market by platform, mobile testing services under the platform type segment is expected to record the highest growth rate during the forecast period, as there has been a massive increase in the number of mobile-based applications suiting different Operating Systems (OS), such as Android and iOS.

According to VentureBeat Inc., consumers downloaded ...
... 204 billion mobile apps to their connected devices in 2019, up from 140.7 billion app downloads in 2016. Also, in January 2020, mobile devices excluding tablets accounted for 51.98%of web page views worldwide. Over 61.7% of webpage views in Asia were generated via mobile.

- Besides, the large enterprises are expected to hold a larger market size during the forecast period, as it helps them in attaining high-level of quality assurance, fasten development and release process, and streamline bug handling, which is critical to their development teams and helps in enhancing the overall organization's quality and agility.

- Apart from that, concerns over data privacy regulations across the globe, managing the crowd to achieve efficiency in testing, and concerns over data security and confidentiality are some of the factors restraing the growth of the market. In addition, adoption of cloud computing to enhance device virtualization and tester support, and growth of IoT to increase the need for End-user testing services will provide adequate opportunities for the growth of the market.

- The influence of the COVID-19 pandemic on the IT industry is expected to be worse than the global financial crisis (GFC). The economic loss owing to Covid-19 is projected to in turn affect spending on IT by clients, The fear is justified, considering the US and Europe, which together account for more than two-thirds of India's IT exports, are among the worst affected geographies by the pandemic. Clients could significantly reduce their IT spending this year, which consequently would have an impact on the Crowdsourced Testing Market.

Key Market Trends

Large Enterprises Segment to Constitute a Larger Market Size

- The large enterprises are expected to hold a larger market size during the forecast period, as it helps them in attaining high-level of quality assurance, fasten development and release process, and streamline bug handling, which is critical to their development teams and helps in enhancing the overall organization's quality and agility.

- Open strategies to innovation have long been the standard for some large businesses. For instance, P&G's ‘Connect + Develop' has enabled the company to establish more than 2,000 successful agreements with innovation partners around the world.

​- IBM in 2001, started an internal innovation experiment that has now evolved into its ‘InnovationJam' platform, which it uses to work with clients, helping participants to ‘jam' by contributing their expertise and opinions in various topic areas. Thomson Reuters uses crowdsourcing internally to tap into the skills of its 17,000 technologists, finding new problem solvers and breaking down department silos.

According to Capgemini's World Quality Report 2019-20, a panel of CIO's and its senior technology professionals from large enterprises reported that, on average, around 23% of their organization's annual IT budget was allocated towards quality assurance and testing. The average budget share allocated towards quality assurance and testing has been increasing in recent years.

- Additionally, firms like Global App Testing powers QA for some of the largest companies in the world including Facebook, Microsoft, Warner Bros. and many more, by reducing the time and effort spend on testing, provides access to global testers for real-world results and helps to deliver much higher quality applications.

North America to Account for the Largest Market Size

- America is supposed to hold a significant share during the forecast period, owing to the quick adoption of advanced technologies, such as cloud, North helping crowdsourced testing service providers implement efficient crowdsourced testing solutions. The market in North America is growing due to the presence of vendors, especially in Canada.

- North American is a technology hub. Therefore, the federal government has made strict rules regarding security crowdsource testing services. Furthermore, it is made compulsory for industries, such as BFSI, to adhere to compliance testing.

- Having a presence in the US, companies like QAwerk focuses on testing games, mobile and desktop applications, and websites. About 60% of the company's projects fall under the category of a long-term collaboration. The industries that QAwerk works with are eGovernment, eCommerce, startups, business automation, media and entertainment, and data mining.

- A Canadian government ministry contacted QA Consultants to attempt test automation that had previously failed. The manual test effort involved regression test execution that was no longer viable. QA Consultants' skilled Test Automation experts developed both an automation framework and scripts for use in their regular regression testing.

- Moreover, the presence of developed economies, such as the United States and Canada, which are rapidly implementing the latest technologies due to the increased internet penetration and improving customer demand, is also considered to be a key factor for the growth of the crowdsourced testing market in the region.

- Crucial and emerging market players in the region include Applause, Bugcrowd, Cobalt Labs, Crowdsourced Testing, Rainforest, Qualitest, Synack, test IO, and Testbirds. These players have adopted various strategies to grow in the global market.

Competitive Landscape

The global crowdsourced testing market is moderately competitive and consists of several major players. In terms of market share, few of these notable players currently dominate the market. Crowdsourced Testing companies are dedicated to decreasing their manufacturing cost; on the other hand, they try to give more equipped products to customers. Besides, they are seeking to broaden the applications of Crowdsourced Testing.

- Feb 2020 - Applause, announced a new partnership with Infosys, a global leader in next-generation digital services and consulting, to provide broader end-to-end digital experience testing services to clients. The partnership combines Infosys' behind-the-firewall validation with Applause's white-glove crowdtesting approach to deliver tangible results for clients across three focus areas - getting closer to customers, increasing development velocity, and delivering high-quality digital experiences.

- April 2019 - test IO partnered with Saatva, a global eCommerce company, for helping them funnel the testing process. With this integration, Saatva was able to scale-up its defects, addressing upto 10 bugs per week and providing the company with a successful customer experience program.

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