IDC’s newly released “China Low code and zero code software market Tracking Report in the first half of 2023” shows that in the first half of 2023, China’s low code and zero code software market size was 1.41 billion yuan, an increase of 32.2% year-on-year, showing a trend of high growth.

21000-16-05-00-050-04-02 As the first year of economic recovery in the post-epidemic era, China’s economic growth in 2023 shows a trend of recovery, but it still faces many challenges. A large part of the enterprise IT budget has been reduced, the construction of large-scale platform system projects has been suspended or delayed, and the actual needs of enterprise information construction and cost reduction and efficiency increase are imminent, and the overall project amount is generally within one million of low code and zero code products have become the best choice for many enterprises under the IT budget reduction. IDC estimates that the market size of China’s low code and zero code software will be 3.44 billion yuan in 2023, an increase of 31.2%, and the market size will reach 10.04 billion yuan in 2027, with a compound annual growth rate (CAGR) of 32.3% in the next five years.

From the perspective of market segmentation, the size of the upper and lower generation code submarket in 2023 accounted for 83.6%, and the size of the zero code submarket accounted for 16.4%. Since 2023, zero-code products have begun to accelerate into large enterprises to meet the rapid development needs of department-level applications, and most zero-code suppliers choose to meet the needs of large enterprises and head industry customers with localized standard product + service solutions, rather than completely relying on customized services.

21000-16-05-00-050-04-02 From the product supply side, the number of low code manufacturers in China is large and diversified. The types of vendors include: independent low-code vendors, enterprise application software vendors, SaaS vendors, systems and vendors, and cloud platform vendors. The participation of various types of manufacturers makes China’s low code and zero code market more prosperous, more perfect ecological construction, new technology integration and product iteration faster; At the same time, it also caused the intensified competition in the market, such as: increasing the cost of obtaining customers, low project amount.

IDC China enterprise software market research manager Wang Nan said that entering 2023, the rise of large language models and generative AI provides greater imagination for the potential of low code and zero code products: the introduction of code generation capabilities will help low code and zero code users focus more on the construction of applications, and further release the code work of developers; Using generative AI enables low – and zero-code product vendors to pre-build richer templates and components to meet more granular customer needs. The use of intelligent assistant capabilities to further reduce the threshold for users to use products and so on. At present, the leading manufacturers in the market have begun to invest resources in related research and development and exploration, and the full integration of low code and zero code products with large model/generative AI capabilities has become an inevitable trend.