Inventory Management Software Market Report 2026

The inventory management software market size has grown strongly in recent years. It will grow from $2.46 billion in 2025 to $2.7 billion in 2026 at a compound annual growth rate (CAGR) of 9.9%. The growth in the historic period can be attributed to growing retail and manufacturing sectors, rising complexity in supply chains, increased adoption of erp systems, demand for accuracy in inventory tracking, need for cost reduction in warehousing.

The inventory management software market size is expected to see strong growth in the next few years. It will grow to $3.73 billion in 2030 at a compound annual growth rate (CAGR) of 8.4%. The growth in the forecast period can be attributed to expansion of e-commerce, increasing adoption of cloud-based solutions, integration of ai and machine learning, demand for omnichannel inventory management, rising focus on automation and digital supply chain. Major trends in the forecast period include real-time inventory tracking, automated reordering systems, cloud-based inventory optimization, integration with accounting and erp systems, mobile and barcode/rfid inventory solutions.

The increasing demand for inventory tracking in healthcare is anticipated to drive the growth of the inventory management software market in the coming years. Healthcare inventory tracking involves the organized monitoring and management of medical supplies, medications, and equipment to ensure availability, minimize waste, maintain precise stock levels, and support patient care. This rise in healthcare inventory tracking is fueled by growing supply chain complexity, frequent shortages of essential medical supplies, and the increasing need to improve patient safety and operational efficiency. Inventory management software aids healthcare organizations by offering real-time visibility of stock levels, facilitating better supply planning, reducing wastage, and ensuring regulatory compliance. For example, in October 2023, according to the National Health Service (NHS), a UK-based government department, operational planning guidance for 2023/24 indicated that NHS Supply Chain would spearhead the implementation of inventory management and point-of-care solutions nationally, assisting healthcare providers in achieving greater stock visibility and supply-chain resilience. Consequently, the growing need for healthcare inventory tracking is driving the expansion of the inventory management software market.

Key players in the inventory management software market are strategically focusing on developing new technologies to cater to the evolving needs of various sectors. One such example is ItemOptix, an RFID inventory management solution designed to help retailers optimize their stock, minimize losses, and drive sales. For instance, in January 2023, Checkpoint Systems Inc., a US-based technology company, introduced ItemOptix, an inventory management software for retail, aimed at enhancing stock accuracy, accelerating stock movement, and ultimately improving sales and customer experiences. This solution offers various features such as real-time inventory tracking, stock visibility, user-friendly interfaces, and easy deployment to enhance inventory control and operational efficiency in retail stores.

In May 2024, Epicor, a US-based business software provider, acquired Smart Software Inc. for an undisclosed amount. With this acquisition, Epicor strengthened its product portfolio and optimized inventory management costs by incorporating AI-powered inventory management tools. Smart Software Inc. is a US-based company specializing in cloud-based, AI-driven inventory planning and optimization (IP&O) applications.

Major companies operating in the inventory management software market are Microsoft Corporation, Oracle Corporation, VMWare Inc, Intuit Inc, NCR Corporation, Zebra Technologies Corporation, SAP SE, The Sage Group, NEC Corporation, Manhattan Associates Inc, Zoho Corporation Pvt Ltd, Revel Systems Inc, Fishbowl Manufacturing, Wasp Barcode Technologies Ltd, CIN7 Ltd, Acumatica Inc, Stockpile Technology Pvt Ltd, Erply Ltd, SkuVault Inc, Finale Inventory, Orderhive Inc, QuickBooks Commerce, Inflow Inventory, DEAR Systems.

North America was the largest region in the inventory management software market in 2025. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the inventory management software market report are Asia-Pacific, South East Asia, Western Europe, Eastern Europe, North America, South America, Middle East and Africa. The countries covered in the inventory management software market report are Australia; Brazil; China; France; Germany; India; Indonesia; Japan; Taiwan; Russia; South Korea; UK; USA; Canada; Italy; Spain.

The inventory management software (IMS) market consists of revenues earned by entities by providing services such as software licensing, subscription fees, maintenance, and support services, customization, and implementation services. The market value includes the value of related goods sold by the service provider or included within the service offering. The inventory management software (IMS) market also includes sales of barcode scanners, mobile devices, and radio frequency identification (RFID) readers. Values in this market are ‘factory gate’ values, that is, the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors, and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

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