The staffing and recruitment software market: How big is it?

With the ongoing technological advances and the restrictions related to the COVID-19 pandemic, staffing firms are now busier than ever. To handle their increasingly increasing workload, they are using staffing and recruitment software nowadays. As a result, the market for such software has grown big, but how big is it?

You will find the answer to this question about the staffing and recruiting software market in this article. Here, we will show you what staffing and recruitment software is, the advantages of using one, and the size of its market. For this, we will talk about the following topics:

1. What is staffing and recruitment software?
2. What are the advantages of using software for staffing and recruitment?
3. How is the market for staffing and recruitment software arranged?
4. Why is the staffing and recruitment software market growing?
5. Where can I find more information about staffing and recruitment software?

1. What is staffing and recruitment software?

The peak of the COVID-19 pandemic is already behind us, and the economy is slowly coming back to pre-pandemic numbers. Hence, most companies want to fill the vacant positions the pandemic left, to manage the post-pandemic business’s high demands.

Consequently, many of those companies are seeking staffing agencies to perform their hiring processes in a more efficient manner. Therefore, such staffing agencies are now handling a large number of clients at the same time. The performance of this handling manually with so many clients can lead to mistakes or unfulfilled hiring requirements. Hence, most agencies are shifting to the use of staffing and recruitment software.

This software is the assembly of three main components: applicant tracking systems (ATS), interviewing software, and candidate relationship management (CRM). Above all, staffing agencies use ATS on active job applicants, while they use CRM to build a pool of eligible talent for future job openings. Furthermore, CRM can help staffing agencies expand their candidate pool. You may think it is the wrong thing to do, but it is not.

2. What are the advantages of using software for staffing and recruitment?

In today’s business world, recruitment has become tremendously competitive. Here, staffing agencies compete with each other to find the best potential candidates and the most trustworthy clients. Therefore, with applicants being screened and interviewed constantly, Agencies that succumb to time consumption will be last in this race. Now, to search for the top spots, they are turning to the use of staffing and recruitment software.

Its popularity nowadays comes as a result of its advantages. Depending on the type of business of their clients, the number of such advantages can be large. However, we managed to find five of them that are common to all industries worldwide. On the other hand, staffing agencies can use this software to help you with several issues. One of them is hiring employees for full-time positions.

Let us now show you more detailed information about these five advantages of using staffing and recruitment software:

2.1. Recruiter’s productivity

With traditional recruitment methods, staffing agencies’ personnel are often confined to the office, with paperwork to do. The use of staffing and recruitment software erases this scenario, allowing agencies to work even from their mobile devices.

As a result, they will improve their productivity immensely, allowing them to effectively work from anywhere. Moreover, productivity is also one of the advantages staffing agencies are seeing in remote management.

2.2. Time-saving

Staffing and recruitment often involve many tedious tasks, such as filling out paperwork and forms, among others. However, the use of staffing and recruiting software gives agencies the opportunity to perform these tasks with technological tools.

Consequently, it will reduce the time taken to complete them, giving staffing agencies an advantage over their competitors. On the other hand, time-saving is also one of the main aspects of a temporary staffing agency.

2.3. Automation

Staffing agencies that use staffing and recruitment software have an extra degree of control over the recruitment process. In essence, the software allows them to automate a wide range of tasks, such as activity scheduling and more.

Such automation allows staffing agencies to turn their attention to other important topics, such as holding more in-depth interviews. Furthermore, the arrival of new technology companies generated other changes besides automation. It also increased the demand for IT specialists.

2.4. Social reach

Without a doubt, social media has changed our way of living. You may even find out about us through a social media platform. Hence, it is too widely used in recruitment today. Social reach is hugely important for staffing agencies. In this matter, using staffing and recruitment software allows agencies to reach more potential candidates on social media platforms.

As a matter of fact, most staffing and recruiting software includes social media integration options to link to the social media profiles of their candidates. The use of social media in the staffing process is one of the staffing trends of the year.

2.5. 24/7 availability

Employees of staffing agencies using traditional recruitment methods are only available during office hours. This can be a problem if a client or an applicant has queries and needs the answers past office hours.

With staffing and recruitment software, staffing agencies do not have this issue. They will be able to access it at any time of the day, giving you the answers you need in a fast manner. Moreover, the 24/7 availability is necessary for staffing agencies that seek remote employees who can live in other time zones.

3. How is the market for staffing and recruitment software arranged?

Both IT developers and staffing agencies have an eye on the market for staffing and recruitment software constantly. However, with so many staffing agencies around the world and so much available software, keeping track of it can be difficult.

To analyze the market properly, most companies and research organizations segment it based on different categories. It allows them to have better and clearer statistical results of market analyses. After all, recruitment is a worldwide business, and staffing and recruiting software do not escape such a reality.

Now, every research organization arranges its market reports differently. But when it comes to staffing and recruitment software, they all have three categories in common: market type, application, and regions. On the other hand, these categories also allow agencies to understand how to apply content marketing trends.

Let us now dig deeper into these three categories in which the staffing and recruiting software market is arranged:

3.1. Market type

The staffing and recruitment software market can be segmented by its type. Such classification is based on how the software is marketed to its users. Like any other product in today’s business world, the staffing software is mostly marketed in two ways:

• On-premises: It is known as merchandising and involves offering software at local stores with marketing directed to consumers in real-time.
• Cloud-based: In this market, customers find, purchase, and manage cloud-based software at online storefronts.

As you may expect, on-premises marketing was the norm back in the day. But with fast technological evolution, the cloud-based market is gaining ground rapidly.

3.2. Application

The implementation of staffing and recruitment software also generates different market segments. Here, the most important aspect considered is the size of the enterprise using the software as a staffing agency or client.

Thus, by use, the recruitment software market can be segmented into two major categories:

• Small and medium enterprises (SMEs): They include businesses whose personnel numbers are below certain limits, depending on where they are located. For instance, the EU states that companies with 500 employees or fewer are SMEs.
• Large enterprises: It involves large companies with high annual revenue and a large number of employees (usually, over 1000).

Furthermore, the size of each of these segments can vary substantially depending on the market location. In some countries with low GDP, SMEs represent up to 98% of all businesses. On the other hand, in countries with high GDP, large companies can represent half of all businesses.

Enterprises from both categories can use staffing and recruitment software. But SMEs will often use it to seek contract workers, and large companies will search for permanent employees with it.

3.3. Regions

As it is with every market of every business, location matters. In essence, local regulations and cultural customs will vary in how recruitment processes are handled in every place. Therefore, they will use staffing and recruitment software differently. Different software can also have diverse demands between countries. Hence, it is correct to consider every region as its market.

The key regions covered in most staffing and recruitment software market reports are the following:

• North America.
• Europe.
• Asia-Pacific.
• Latin America.
• The Middle East and Africa.

4.  Why is the staffing and recruitment software market growing?

The results of the latest staffing and recruitment software market reports are remarkable. As of 2025, the market size has reached an estimated AED 880 million, marking substantial growth from AED 345.9 million in 2022. It is projected to climb further, reaching AED 1121.9 million by 2026.

This rapid expansion is fueled by the widespread adoption of cloud-based platforms, the increasing shift to mobile recruitment systems, and the continued popularity of remote working models. These factors have significantly transformed how recruitment agencies operate.

With remote screening and interviewing becoming the norm, staffing and recruitment software has proven invaluable. Moreover, agencies leveraging these tools are helping to address critical understaffing issues in regions like Dubai, where many businesses are actively seeking efficient hiring solutions.

5. Where can I find more information about staffing and recruitment software?

Searching for tools that can make your life easier in your business is a paramount task. Staffing agencies know this, and their use of staffing and recruitment software is proof of it. Besides, market growth is visible in every report. Hence, using this software is a smart decision.

Your company’s recruitment processes can have a substantial improvement with the use of staffing services. At Connect Staff, we believe in doing meaningful work for you by providing you with staffing services using the staffing and recruitment software you need.

Do you have some inquiries about staffing services? Go and contact us to get more knowledge about how we can help your business. Call us at +971 43 316 688. You can also email us at [email protected] to talk with one of our representatives, who will answer all your questions.

On The Talent Point, we have many job offers to help your search for your dream job. Apply for one today by uploading your CV to thetalentpoint.com. You can also start sending applications through [email protected].