Customer Purchasing Insights for Human Resource Management Software

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Chief editor

Customer Purchasing Insights for Human Resource Management Software

SoftwareSuggest is an online platform providing free consultation to find the right software for your enterprise. As a part of our work, we gather customers requirement, we analyze them and serve the industry with deep insights on software buyer under our initiative – SoftwareSuggest Insights.

Looking for HR Software? Check out SoftwareSuggest’s list of the best HR software solutions.

In this report, our team has profiled the buying behavior of Human Resource Management Software buyer. We have tried to answer the following questions, on the basis of the requirement gathered by our team, from active HRMS software buyers.

  • What is the geographical spread of HRM software Buyers?
  • Which deployment method does HRMS software buyer prefer: online vs offline?
  • Who is the decision-maker?
  • Which features are considered most important when making a purchase decision?
  • What is the budget software buyer have during an evaluation?
  • How is the purchase spread over the year?
  • Factors that affect the purchase decision.

Geographical Spread of HR Software Buyers in India

Human Resource Software is one of the most in-demand software today.Geographical distribution of HR Software buyers

Delhi (+NCR) has 24% buyers for HRM software, which makes it a leading city looking for good HR software. Other cities like Mumbai (21%), Bangalore (14%), and Chennai (11%) also have numerous software buyers.

These cities have a higher number of industries and offices than other, which take them to the top of the list. In this era of technology, top management of the most companies is becoming more tech-savvy, to optimize their efforts & focus more on their core business. Buying Human Resource Management Software is the first step toward automation and optimization.

Which HRM Software Is Preferred? SAAS Based Or Installation Based?

With the advent of information processing and the widespread usage of personal computing & Software as a Service (SaaS) have made HRMS systems easy to be implemented.

As per the data collected by SoftwareSuggest,  almost 64% users prefer Web-based HR software, 15% users go with the installation based whereas as 21% are indifferent to any particular deployment method.

Type of Software

Who Is Shopping For Human Resource Software?

Buying a software is a very critical decision with notable investment involved in it. The decision-making process for the purchase of HR software is spread across 3 groups.

Most of the purchase decisions are influenced by  HR Managers of the company. (Around 80%). The top management is involved in only 5% of the decision making. The remaining 15% purchase decisions are influenced by the IT manager of the company.

who is shopping for HR SoftwareWhat Features / Modules do People look for in HRM Software?

There are several features that buyers look most before taking a decision. Here are some of the top features / Modules that people look for in HRM Software before purchasing it. (In order from most to least important – Top to bottom)

feature of HR Software

Preferred Software Budget

What is the budget that software buyers have in their back of the mind? We have studied the budget based on different software deployment methods followed by software vendors.

budget in INR vs Installation based

The chart represents that buyers are almost equally distributed over the price range of Rs 10000 to Rs 5 lac budget. The buyer looking to spend more than 5 lac on installation based software are very low in number.

Budget in INR vs SaaS Based

SaaS-based HRM Software buyers can be analyzed in a better way by the amount they are looking to spend per user per month. 48% of organizations allocate INR 100 to INR 150 per employee per month for good HR software. There is about 28 percent of organizations ready to spend INR 50-100 per employee.

Due to the highly growing trend of incorporating technology in your business, we also found that there are about 36% users who have no budgetary constraints and are ready to pay higher for good service quality and the higher level of automation.

Sale of HRM software during a year:

Leads Ratio

Above chart clearly represents that the purchase of HRIS software is at its peak during the month of June. This graph also shows the decline in purchase after the month of July. During October-November-December, the number of software buyer tends to be lesser. This is the trend with software buyer in most categories.

Factors that affect the purchase decision

Below mentioned are the factors / Features that users would look into while buying HRM software. The list is in the ascending order from the most to the least important influencer.

factors that affect on purchase decision
In the era of UI/UX, it is anyways certain that user-friendliness of software gets most important while selecting the software. Even if software comes with full functionalities, it’s of no use if it is not supported by the great user experience. Hence, any HR software vendor must have hands-on guidelines and manual to make it easy for a user to interpret and implement.


The report has been generated from the data collected by our team, do write your comments below or email us with suggestions & your views on the report.

Explore the list of top human resource management software along with software demo video, comparison reports, screenshots, features and many more to help you in selecting the right software.

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