Website Creation Software Developers
Business for Sale Industry Economics
2002 - 2020
2020 - 2026
The Website Creation Software Developers industry comprises companies that primarily develop and publish HTML editing software, which is used to design websites. The industry has encountered significant growth over the five years to 2020, as digital content and delivery have become essential to consumers and businesses.
Rapid growth in the number of websites and how consumers interact has been fueled by a proliferating number of broadband connections, the advent of the smartphone, and evolving consumer preferences. Consequently, an opportunity has presented itself to web developers to create software enabling individuals and small businesses to easily create web pages for themselves or their businesses.
Moreover, expansion in the number of businesses in the United States has fueled demand for industry products and services during the period. Altogether, industry revenue is estimated to have grown at an annualized rate of 7.7% to $10.9 billion over the five years to 2020.
The Website Creation Software Developers industry comprises companies that develop and publish HTML editing software used to design websites.
Online services represent a rapidly growing feature of the US economy, with broadband penetration reaching new heights and consumer preferences increasingly shifting online.
Consequently, small businesses and individuals are developing websites so they can easily be found and provide information to visitors.
The Website Creation Software Developers industry will continue to expand over the five years to 2025, although growth is expected to decelerate.
As broadband and mobile internet connections continue growing towards a natural point of saturation, industry growth is expected to slow, somewhat.
Nonetheless, positive macroeconomic conditions will stimulate growth in the United States economy as it recovers from the impact of the COVID-19 (coronavirus) pandemic.
This will encourage new businesses to open, heightening demand for website creation services and industry software, as it becomes increasingly necessary for businesses to have an online presence.
Competition is also expected to rise as more companies join the industry, forcing operators to diversify their product offerings to gain a greater market share.
Altogether, industry revenue is expected to rise at an annualized rate of 2.8% to reach $12.5 billion over the five years to 2025.
The industry includes operators that develop and publish HTML editing software used to design websites.
A low degree of capital intensity distinguishes the Website Creation of Software Developers. While the sector relies on computer systems, capital is not a considerable cost compared to industry personnel’ skills.
In the year 2020 wages are predicted to represent 48.6% of industrial sales, whereas this year’s depreciation cost represents only 2.4% of total sales. Industry staff are highly qualified, generally tertiary, and include programmers, developers, sales personnel, and marketing workers.
This personnel is required exclusively for their tasks by computers, specialized software, and other communication means. The average industrial operator is predicted to invest only $0.05 in capital for every dollar spent on labor by 2020. In the last five years, the intensity of capital has fallen while the intensity of work has grown.
Although growth is high, revenue volatility is minimal in the software developers’ website creation market.
Due to differences in the number of companies in the United States and sluggish acceptance of broadband connections, the industry has seen small changes.
In the last five years till 2020, however, the industry otherwise thrived and recorded strong growth each year.
As computer and software firms continue to spend, income grew by as much as 11.2% in 2018 and smaller businesses continue to appreciate the necessity of a web presence that will inspire enterprises to spend in software for the sector.
In comparison, the pandemic of COVID-19 (Coronavirus) is expected to substantially decrease private investment and corporate profit levels by just 4.0% in 2020.