What the Future Holds: Top 7 Accounting Software Trends For 2023
Published November 15, 2022
Today, in the age of digital transformation, business technologies are evolving and changing at an increasingly rapid pace. The accounting and business management software solutions are not an exception. Even though the accounting software market leaders, QuickBooks by Intuit and Sage, have been around for almost four decades now, these software suites are keeping up with the times. Multiple alternative products, such as Xero and Wave, are now in place to rival them as well.
In this rapidly changing market environment, it is especially crucial for businesses to be aware of the biggest trends and developments occurring across all the layers of enterprise software. Today we’d like to take the time and talk about the most important trends in the accounting software niche, reflecting on what seems to be the most important.
Providing a cloud hosting platform for accounting and ERP solutions since 2005, we at gotomyerp had more than enough time to study the market dynamics. Here is a list of the top seven trends that in our opinion will dominate the accounting software market in 2023.
The shift from on-premise to cloud deployment of accounting and finance management software has been continuously unfolding since the early 2000s. But in the last several years the demand for migration to accounting in the cloud was omnipresent among businesses of all sizes, fueled by the post-COVID economy transformations and the need to keep up with the requirements of digital transformation.
It would be a safe bet to expect that the trend to shifting from desktop to cloud accounting will be on the rise in 2023 and further ahead until the absolute majority of businesses will completely migrate from on-premise deployment of all ERP solutions.
The need to migrate to the cloud today is well-understood by industry professionals. According to the Practice of Now report by Sage, 83% of accountants agree that new technologies and a culture of digitalization drive a pressing need for higher investments in modernization of accounting software infrastructure.
Integration of accounting software with ERP solutions.
Another major trend in the accounting software market is the ongoing integration of specialized accounting tools with other ERP solutions and systems. In this age of digital transformation, businesses across industries are looking to implement centralized business management and intelligence systems that would combine bookkeeping and financial information with other solutions, such as inventory management, order tracking, HR, customer relations, etc.
In light of the above, implementing cloud-hosted accounting and finance management systems like Sage and QuickBooks becomes an increasingly attractive option as both software suites incorporate a multitude of ERP components that allow organizations to combine their bookkeeping with centralized management of other business operations.
Big Data and data-driven predictive analytics.
The ability to collect and utilize continuously increasing volumes of data is one more trend affecting all the aspects of modern-day business operations. Organizations and professional accountants realize they need to adopt instruments that would support powerful Big Data analytics in order to provide their clients with accurate forecasts, optimize operational procedures, come up with valuable business insights, and track every aspect of their client’s bookkeeping in real time.
Empowering of accounting with artificial intelligence (AI).
The adoption of AI and ML (machine learning) technologies is a global business trend that will be playing a growing role in the accounting software solutions as well in 2023 and the following years. According to the survey done by Sage in 2020, 20% of professional accountants said their organizations are already investing into AI solutions and adopting this technology, while another 20% were planning to start doing it within the next 12 months. It is safe to predict that we will see an even higher rate of AI adoption in 2023, fueled by a turbulent economy and growing demands for the adoption of digitization across all the industries around the globe.
Declining prices and higher added value in accounting software.
Tightening competition is another clear trend on the accounting software market. Longtime industry leaders, QuickBooks and Sage, are now facing fierce competition by a number of alternative solutions such as Wave, Xero, Freshbooks and others. In this highly competitive environment, the providers of accounting software solutions are forced to add value to their products by introducing new features and functional components. All this is good news for consumers who can expect to pay less for the subscription on the accounting software solutions of their choice in 2023. gotomyerp provides top-level cloud-hosted accounting software for an affordable price since 2005 and will continue to do so in the years to come. You can check out prices on our services and compare them with other providers to make sure our offer is among the most lucrative on the market.
New regulatory standards and compliance requirements.
We can also expect new accounting-related government rules and compliance requirements introduced by the U.S. and Canada’s government in 2023. The new regulations will be driven by a transition from COVID-related measures such as the Coronavirus Aid, Relief, and Economic Security (CARES) Act that was introduced in 2020, as well as continuous shift towards the remote work practices, which have already sparked the need for changes in taxation requirements for employees working from home offices.
Staying in compliance with rules and policies when migrating your accounting and finance solutions to a cloud-based system can be a headache. Especially for small businesses and CPAs, too busy with daily tasks to spend extra time on figuring out how to make sure their cloud-based hosting is compliant with industry standards. gotomyerp provides a selection of compliance certificates for the clients of our cloud hosting services.
Growing demands for cybersecurity and data protection.
The era of digital transformation has a number of downsides. Due to the wide adoption of smart devices and ubiquitous interconnections between hardware and software solutions, businesses become increasingly vulnerable to cyber threats and security breaches of various kinds. Which is why we can expect a growing demand for the reliable cybersecurity technologies and data protection instruments implemented as part of the accounting software solutions in 2023. According to a survey of CIOs done by Harvey Nash and KPMG, 47% of CIOs said that security and privacy is one of their top three most important technology investments, as they are facing a growing number of cybersecurity threats and data breaches in recent years.
Being one of the leading and most trusted Quickbooks and Sage cloud hosting platforms in the United States and Canada, we at gotomyerp put the protection of our client’s data first and foremost. We offer a wide selection of features and components powered by the latest, most powerful cybersecurity technologies to make sure that information entrusted to us by our clients won’t be compromised, lost, or misused.
Final words
Summing it up, despite multiple problems and challenges, the accounting software industry is moving with the rest of business technology fields towards the digital transformation, with all its benefits of automating mundane processes, real-time tracking of financial information and easy remote access to bookkeeping systems from any desktop or mobile device. We at gotomyerp are happy to keep up with these trends, providing our clients with reliable, secure and expertly managed cloud hosting of Sage and QuickBooks, as well as other accounting and ERP solutions.
If you need more information about gotomyerp’s QuickBooks and Sage cloud hosting offers or want to know if our dedicated server environments can be customized to fit your company’s specific needs, we also host live demos. Any potential customer is able to request a live demo of gotomyerp platform with explanations about Sage/QuickBooks hosting costs and other info.
Ready to migrate your desktop accounting system to gotomyerp’s cloud hosting platform? Get in touch.
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