![](https://cdn.prod.website-files.com/6640cd28f51f13175e577c05/668be5fefc86a1108d268175_2023-11-SaaS-Inflation-Index-HeroBG-1920x1080.webp)
Spend on software has grown 17.9% over the past 12 months alone.
In 2023, almost $200bn will have been spent on SaaS globally. That’s more than the GDPs of Algeria, Hungary, and Ukraine. Putting that into more practical terms for finance leaders, that represents approximately $7,900 per employee, up from $6,220 in 2022.
![Spend on software has grown 17.9% over the past 12 months alone.](https://cdn.prod.website-files.com/6640cd28f51f13175e577c05/668bf8870f41c5f92d5a48ee_2023-11-SaaS-Inflation-Index-Chart-03-1920x1080.jpg)
![Spend on SaaS per employee is now a bigger contribution than healthcare.](https://cdn.prod.website-files.com/6640cd28f51f13175e577c05/668bf88b9b293772b40b37c1_2023-11-SaaS-Inflation-Index-Chart-05-1920x1080.jpg)
Spend on SaaS per employee is now a bigger contribution than healthcare.
This increase is incredibly sharp — up 27% from 2022 — and is a subsequent result of headcount cuts, growth in new software expenditure, and the impacts of SaaS inflation. While most (54%) vendors charge per-employee pricing, often expressed as ‘per seat’ or ‘by license,’ many others use pricing based on features or consumption.
![](https://cdn.prod.website-files.com/66150678cd4993ceaf346c7e/665f048c655039cbec77f011_Row.png)
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