According to the Q3 2014 EMEA ISG Outsourcing Index, a study that covers deals with an annual contract value (ACV) of €4 million (£3.3 million) or more, discovered that ACV throughout EMEA reached almost €7 billion (£5.8 billion) even though the third quarter experienced a slowdown. It also found that during the past decade, this is the third highest year-to-date total so far.
In a statement, John Keppel, a Partner at ISG, said 2014 was a promising year for the EMEA market, leaving a positive outlook for the rest of the year. This could make 2014 one of the strongest - if not the strongest - years within the past 10 years.
Increased activity in Spain, Italy, and Southern Europe resulted to an ACV of €0.74 billion, the highest so far. Also, ACV in France amounted to more than €1 billion during the first three quarters, which is an increase of over 250 percent during the same period in 2013.
On the other hand, over the past five years, UK remains the largest and most mature outsourcing market in EMEA. Compared to the previous quarter, the UK’s ACV climbed 120 percent, and the number of deals grew 48 percent. However, UK values and contract numbers did not reach 2013’s third quarter figures.
During the first three quarters of 2014 throughout EMEA, ACV increased 15 percent compared to the first three quarters of 2013. As for the number of outsourcing contract deals, EMEA’s contract volume reached an all-time high during this period.