Europe Procurement Outsourcing Market Growth and Key Dynamics 2025-2034
The Europe procurement outsourcing market is projected to grow from USD 2.33 billion in 2026 to USD 4.94 billion by 2034, at a CAGR of 9.85%. Key drivers include integration of AI and advanced analytics, strategic sourcing expansion, and increasing demand across sectors like BFSI and healthcare.
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The Europe procurement outsourcing market is estimated to grow from USD 2.33 billion in 2026 to USD 4.94 billion by 2034, reflecting a CAGR of 9.85%. The segment for solutions is expected to see the highest growth, at 13.5%, driven by the adoption of digital technologies and automation tools.
Factors hindering growth include data security concerns and regulatory compliance challenges. The BFSI sector dominated the market in 2025 with a 32.3% share, while healthcare is anticipated to be the fastest-growing segment at a CAGR of 14.2%.
Key players include Infosys, IBM, and Accenture, among others. The ongoing talent shortage in specialized procurement roles poses a significant challenge for providers, affecting service quality and innovation. As industries increasingly seek value-driven outsourcing solutions, the emphasis on strategic partnerships and advanced analytics will shape the future of procurement outsourcing in Europe.
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