What is the current and projected future market share of Google Suite for Business in the enterprise, in Europe?

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What is the current and projected future market share of Google Suite for Business in the enterprise, in Europe?

Hello! Thanks for your question about the current and projected future market share of Google Suite for Business in Europe. The sources I found most useful for answering your question are BitGlass, BetterCloud Trends and Cloud Computing. The short answer is that G Suite's current market share in Europe is lagging behind Office 365 due mainly to European privacy concerns. However, triangulating the growth reveals that G Suite's market share is growing at a better rate than Office 365. Below you will find a deep dive of my findings.

METHODOLOGY

I searched extensively through multiple types of sources, including corporate websites, industry reports, government reports and databases, and trusted media sites. Unfortunately, the projected future market share for G Suites is not readily available from any external source. However, by using the growth from 2015 to 2016 as a basis, I was able to triangulate a growth rate in order to use as a basis for prediction. You will find my calculations in the attached spreadsheet.

POPULARITY OF OFFICE 365 VS G SUITE

Bitglass's EMEA Cloud Report reveals that Office 365 is more popular in Europe than G Suite, with 43% of the 8000 enterprises surveyed responding that they use Office 365 compared with only 22% revealing that they use G Suite.

Reports conclude that the adoption of Office 365 is outstripping that of G Suite. Data privacy is cited as the main reason for this difference, with large public companies in particular opting for Office 365.

However, the figures for growth from 2015-2016 reveal a different story when analyzed with a view to future projection. This shows G Suite consistently growing at a better rate in all sampled countries except The Netherlands (where growth is roughly equal). Average growth shows a slight swing in market share from Office 365 to G Suite in Europe, and tentative predictions indicate that there may be a 50/50 split by 2019.

One potential reason for this swing is the number of SaaS being adopted by companies. G Suite leads the way in this respect, with "17% of all G Suite organizations run more than 11 SaaS applications" compared with 13% for Office 365. With "large enterprises expect to have adopted 52 SaaS applications on average" by mid 2017, this preference for G Suite seems likely to continue.

ADOPTION OF G SUITE

Worldwide, "More than 3 million paying businesses are now using G Suite". In Europe, some major companies adopting G Suite as a platform include:
-- Rentokil Initial, where "G Suite has allowed it to quickly integrate acquired companies into the same communication and collaboration platform"
-- Imagination, a creative company with "a distributed workforce operating in 1,150 cities and 73 countries" that "has been able to empower its global workforce and leverage Google Drive and Sites as a content management system"

CONCLUSION

To wrap it up, G Suite currently holds a 37% share of the European cloud computing market. Tentative predictions using back of the envelope calculations show that G Suite may hold a 50% share of the European cloud computing market by 2019.

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