Global Application Performance Monitoring Market Size, Share, & COVID-19 Impact Analysis, By Application (End-user Experience Monitoring, Component Monitoring, Infrastructure Monitoring, Analytics, and Others), Deployment Type (On-premises, Cloud, and Hybrid), By Offering (Mobile APM and Web APM), By Enterprise Type (SMEs and Large Enterprises), By End-user Industry (IT & Telecom, BFSI, Healthcare, Retail & Consumer Goods, Automotive & Manufacturing, and Others), and Regional Forecast, 2024-2032

Application performance monitoring (APM) is the process of continuously monitoring the performance of business-critical applications and their usage. APM also involves detecting, diagnosing, and resolving performance-related problems. In recent times, IT environments are getting complex and highly distributed, thus increasing the importance of maintenance management. APM tools help DevOps and IT teams to get visibility of the health of key applications and run digital services seamlessly with minimal downtime.

A Storyblok study found that 60% of consumers abandon purchases owing to bad website user experience, costing e-commerce firms billions. Moreover, Google found that a 400 millisecond website loading delay caused a 0.59% drop in the number of searches per user and reduced website traffic by 20%. Slow loading speeds are one of the major reasons damaging the credibility of a business. Owing to these factors, businesses are on alert and maintain track of the performance issues afflicting their applications.

The application performance monitoring market is expected to exhibit significant growth in the upcoming years on account of the rising need to prevent unplanned website downtimes, increasing complexity of IT environments, providing seamless user experience and customer satisfaction, improving business productivity, and the growing adoption of cloud-based services. Website and mobile app downtime costs heavily to businesses of all sizes across industries. In 2021, a one-hour downtime cost of Amazon.com, Inc. was estimated USD 34 million in sales. Facebook’s downtime cost Meta around USD 100 million. To tackle such issues, organizations are increasingly adopting APM market strategies.

• In 2021, Riverbed Technology, a company that offers application performance software announced that Türkiye Halk Bankası A.Ş, the third largest bank in Tureky in terms of assets, is using Riverbed AppResponse to monitor its critical Internet banking and mobile banking applications.

Impact of COVID-19 on the APM Market

The novel coronavirus pandemic left an unprecedented impact on organizations, businesses, institutions, people, and, nearly every aspect of human life. The pandemic led to a significant shift in remote working practices, and rising demand for various digital services including video conferencing, online learning, and food delivery. With the pandemic demanding businesses and individuals to shift to the digital world, the significance of efficient applications as well as digital services increased unprecedentedly. This resulted in a surge in demand for APM solutions that enabled remote monitoring of critical internet and mobile applications. As IT environments become more and more complex in the age of the cloud, the demand for APM tools is expected to rise significantly in the upcoming years.   

Segmentation

Analysis by End-user Industry

APM tools’ increased adoption in various industries including IT & telecom, BFSI, healthcare, retail & consumer goods, automotive & manufacturing, and others. In the IT & telecom sector, APM tools are used for monitoring the performance of enterprise servers, database, middleware, operating systems, and networks. APM tools offer deeper understanding into the health of IT infrastructure, helping to identify bottlenecks and minimizing downtime for businesses and their clients. Server monitoring comprises a collection of metrics related to Disk I/O, CPU utilization, and memory usage.    

Key Insights

The report will cover the following key insights:

• Micro Macro Economic Indicators


• Drivers, Restraints, Trends, and Opportunities


• Business Strategies Adopted by the Key Players


• Impact of COVID-19 on the Global Application Performance Monitoring Market


• Consolidated SWOT Analysis of Key Players

Regional Analysis

The global application performance monitoring market is segmented into five regions: North America, South America, Europe, the Middle East & Africa, and Asia Pacific. A significant market share was held by the North America in 2022, owing to the presence of several dominant players as well as numerous local players, growing adoption of cloud computing, and increasing focus by organizations on improving customer experience while using web and mobile applications. APM tools are increasingly utilized across various industries in North America. Especially, E-commerce, BFSI, and IT & telecom are some of the industries that have been actively using APM to improve their critical application performance and customer satisfaction.

The distribution of the global application performance monitoring market by region of origin is as follows:

• North America – 35%


• South America – 11%


• Europe – 26%


• Middle East and Africa – 6%


• Asia Pacific – 22%

Key Players Covered

The key players in this market are Dynatrace LLC., Cisco Systems, Inc., New Relic, Inc., Datadog, Splunk Inc., SolarWinds Worldwide, LLC., Sematext Group, Sumo Logic, FUNCTIONAL SOFTWARE, INC., and Elasticsearch B.V. among others.

Key Offering Developments:

• June 2023 - Dynatrace LLC., a software intelligence company, launched the SaaS-based Dynatrace enterprise observability platform in Switzerland on Microsoft Azure. The availability of the Dynatrace platform in Switzerland will help organizations’ cloud modernization initiatives.


• June 2023 - Datadog, a provider of analytics and monitoring platforms, announced the launch of workflow automation for faster rectification of application issues. The workflow automation facilitates end-to-end remediation processes with pre-built templates.