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Cloud revolution in the accounting industry

3rd Mar 2014
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New study shows that online accounting will take up 50 % of the market in 2016
 
With 50,000 small and medium-sized companies as customers, e-conomic is one of Europe's leading providers of cloud-based accounting software. And the number of new customers is growing rapidly with about 1,500 a month.
 
Moreover, in a recent study, the International Data Corporation (IDC) estimates that with the rapid growth of online accounting, it will take up 50 per cent of the whole accounting software market among small and medium-sized companies in Europe in just a few years.
 
According to IDC, this trend forces accountants to include these processes of change in their businesses, as the online accounting market is exploding. 
 
Accountants forced to changes
In the report, IDC states that in 2011, online accounting took up 11 per cent of the online accounting market for small and medium-sized companies with between 1 and 99 employees. According to the report, this share will grow to about 50 per cent in 2016. 
 
 "The accountancy firms which focus on small companies as customers, will be forced to embrace and integrate the new trends. These new opportunities mean that accountants can standardise and exploit the new possibilities of automation to focus on councelling, thereby achieving a closer, long-term relationship with their customers", says IDC Program Manager Bo Lykkegaard. 
 
Record influx of new companies
Online accounting provider e-conomic recognizes this tendency. With 50,000 companies as customers and 4,100 bookkeepers and accountants associated, e-conomic is one of the leading providers of online accounting in Europe. In 2011, e-conomic had a record influx of new customers, and this tendency seems to be ongoing.
 
 "More than 35 per cent of the 50,000 small and medium-sized companies who use e-conomic are referred to us by bookkeepers and accounting firms. This shows that accountants have triggered the new process of change. 
 
Many accounting firms build their business concepts around e-conomic. With e-conomic, which is free of charge for accountants and bookkeepers, they can rationalize and streamline their business processes - something which more and more accountants are taking advantage of", says Torben Frigaard Rasmussen, CEO of e-conomic. 
 
Eating a piece of the bookkeeping pie
At the accounting firm Nielsen & Christensen, who have 150 employees, online accounting means optimizing the accountants' ressouces, giving them new opportunities for cooperation with their customers. According to Flemming Dahl-Jensen, IT consultant and certified accountant at accounting firm Nielsen & Christensen, the possibilities of profit now have another dimension.
 
 "Online accounting has eaten a piece of our bookkeeping pie, because many of our customers now do some parts of their accounting on their own. But in parallel, our possibilities of profit have grown too, allowing us to provide other services, such as counselling, ad hoc help and system support.
 
We find that online systems bring the accountants closer to the customers. We have easier access to our customers' data which makes it a lot easier for us to help them here and now", says Flemming Dahl-Jensen. 
 
Find out more
Torben Frigaard Rasmussen, CEO of e-conomic, tel. + 45 26 16 33 90 
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