We are excited to share our latest SAP Market Update as of November 2025! The SAP ecosystem continues to expand rapidly – with over 25,000 partners worldwide and a total addressable market exceeding $670 billion. In Germany alone, the partner network comprises around 650 companies and is steadily growing.

Key Takeaways:

• Current valuation levels and market drivers in the SAP sector 
• The essential role of SAP partners as innovation and growth enablers 
• Key developments and opportunities in the German SAP partner landscape 

SAP Market Data & Insights Overview

Trends in S/4HANA migration​

ECC (old system) –> S/4HANA (new system)

• SAP customers are highly loyal and almost always migrate to other SAP solutions instead of competing offerings by other vendors 
• Migration to S/4HANA happens across all industries, so that there are no specific sectors that tend to migrate a lot faster than others 
• While the very large enterprises have mostly migrated to S/4HANA already, the majority of mid-market companies haven’t migrated yet 

SAP is targeting a massive market opportunity

SAP partners represent an essential part of the SAP value chain

• Global market leader in enterprise application software, supporting all sizes and industries with an end-to-end suite of applications and services 
• SAP’s partner ecosystem offers solutions to help customers grow their businesses and accelerate their move to the cloud 
• Customers maximize their SAP investment through partner offerings, such as industry-specific solutions, Line-of-Business solutions, added functionality and sustainable offerings 

SAP partner ecosystem in Germany

• The Business Technology Platform is an open platform bringing together application development and automation, data and analytics, integration, and AI capabilities in one unified environment
• Complementary software solutions created by SAP partners through BTP offer room for cross-selling and to build a one-stop shop solutions provider via a buy-and-build strategy

• SAP partners often expand into new markets through M&A, a trend expected to accelerate in the coming years as interest rates decline in Europe, making acquisitions more attractive
• The SAP partner ecosystem is highly fragmented, with over 25,000 businesses worldwide. This creates significant consolidation opportunities, particularly as many partners are regionally focused and may seek scale through M&A

• Vertical integration is another common reason for SAP partners to grow via acquisitions, as customers increasingly demand one-stop-shop solutions and services
• Increasing market share with solutions tailored to customers in specific industry verticals can also be facilitated via acquisitions

• Recent SAP partner M&A activity has increasingly focused on acquiring security expertise, particularly in supply chain and application security solutions, to address growing cybersecurity demands and regulatory requirements

• IT services platforms have been in high demand by mid-market private equity firms in the DACH region over the last few years
• SAP partners also represent potential candidates for buy-and-build strategies, due to their asset-light nature, market tailwinds leveraging SAP-based solutions and the highly fragmented landscape of opportunities in the DACH region