Legal Research Software Market Outlook
The global legal research software market size was valued at USD 406.1 Million in 2019 and is projected to reach USD 1,386.2 Million by 2027, expanding at a CAGR of 16.9% during the forecast period. Law firms are at the forefront of using innovative technology for efficiency enhancements.
Legal research software assists in monitoring and sampling regulations, data on contractors, and court decisions. The legal research domain experienced a positive impact, due to digitalization. Development in the field of IT is a boon for lawyers.
Legal Research Software Market Dynamics
Artificial intelligence (AI) is transforming the law practice, as the legal profession is increasingly using AI-based software to reduce costs and time taken for completing a task. Legal research software assists lawyers to complete narrowly defined work and reduce repetitive and time-consuming tasks at a low cost. Growing use of AI for legal research by law firms helps in reducing the margin of error and overall inefficiencies as compared to the traditional method of legal research.
Moreover, legal research software helps to speed up research processes, increases output, and improves quality by reducing errors. Additionally. Rising awareness about legal research software among law firms in Asia Pacific is expected to drive the demand for legal research software during the forecast period.
Increasing awareness about legal AI software in the corporate legal department along with efficient use of technology in countries such as India, which is emerging as a legal tech hub, is responsible for increasing demand for legal research software. Law firms and corporate legal departments are modernizing business models to stand out in a hypercompetitive market. Introduction of next-generation legal research software helps law firms to conduct research smoothly and efficiently.
However, Artificial intelligence positively affected the law industry by making work less time-consuming, easy, and effective; however, these technologies possess the risk of cyber-attacks, cybersecurity, and economic constraints. For instance, cloud-based software for legal research is vulnerable to data breaches and intruder attacks and creates privacy issues for law firms over their data.
Many law firms are hesitant to shift to cloud-based legal research software, as they are concerned about data confidentiality. The number of ransomware attackers increased during COVID-19 especially in law firms. According to American Bar Association, nearly 29% of law firms reported a security breach.
Legal research software contain millions of documents in the repositories for legal professionals. These documents help in processing huge data at a high speed and are useful for extracting additional insights. Demand for data-driven decisions by legal professionals is growing, as lawyers make confident decisions by collecting and analyzing data. Data-driven legal decisions assist lawyers to focus on value-driven activities.
Data-driven law firms use analytics and provide information to make strategic and smart decisions; therefore, growing demand for data-driven decisions by legal professionals is projected to create opportunities in the market.
Legal Research Software Market Segment Insights
Product Types Segment Analysis
Based on product types, the global legal research software market is divided into cloud-based and on-premise. The cloud-based segment is anticipated to hold a significant share of the market, owing to its low cost compared to on-premise and large data storage.
The cloud-based segment is expected to dominate the market during the forecast period, due to the increasing adoption of the cloud-based model by companies. Cloud-based software is operated effortlessly and offers a set of specialized tools for lawyers, which consists of time tracking, storing, accessing, extracting, gathering, analyzing, and managing case documents and files.
Applications Segment Analysis
In terms of applications, the market is segmented into large enterprises and SMEs. The large enterprises segment is anticipated to account for a key share of the market, owing to the increasing use of legal research software.
Legal research software enables large enterprises to store and maintain large data.The SMEs segment is projected to grow at a rapid pace, as cloud-based legal research software requires low installation costs and customization.
End Users Segment Analysis
On the basis of end-users, the global legal research software market is categorized into law firms, corporate legal departments, and others. The corporate legal department segment is expected to account for a key market share, as legal research software enables the corporate legal department to reduce costs, reduce repetitive tasks, streamline work and processes, and increase productivity.
The law firm segment is expected to grow at a considerable pace during the forecast period, as law firms are adopting legal research software to increase efficiency and save time. Legal research software enables law firms to find useful information for writing documents and writing cases.
In terms of regions, the global Legal Research Software Market is segregated into North America, Europe, Latin America, Asia Pacific, and Middle East & Africa. North America accounted for a significant share of the global market in 2019. The market in Europe is projected to expand at a substantial pace during the forecast period.
Increasing number of legal research software vendors in countries such as Germany, France, and the UK and rising number of technological advancements are expected to drive the demand for legal research software in the region. Asia Pacific is segmented into China, Japan, South Korea, India, Australia, and the Rest of Asia Pacific. China held a key share of the market in 2019.
The market in the region is expected to expand at a high CAGR during the forecast period. Major legal service providers in China are international law firms, local law firms, and online legal service portals such as legal research software. High-tech initiatives are growing rapidly in China due to increasing innovation and favorable government policies.
Key Benefits for Industry Participants & Stakeholders
- In-depth Analysis of the legal research software.
- Historical, Current and Projected Market Size in terms of Value.
- Potential & Niche Segments and Regions Exhibiting Promising Growth Covered
- Industry Drivers, Restraints and Opportunities Covered in the Study
- Recent Industry Trends and Developments
- Competitive Landscape & Strategies of Key Players
- Neutral Perspective on Global Legal Research Software Market Performance
- Corporate Law Firms
- Legal Departments
- North America
- Latin America
- Rest of Latin America
- Rest of Europe
- Asia Pacific
- South Korea
- South East Asia (SEA)
- Rest of Asia Pacific (APAC)
- Middle East & Africa (MEA)
- Saudi Arabia
- South Africa
- Rest of Middle East & Africa (MEA)
Key Market Players Profiled in the Report
Key players in the market include LexisNexis, Thomson Reuters, Wolters Kluwer N.V., Casetext, Inc, Fastcase Inc, Tologix Experts Systems Inc, UniCourt Inc., ALM Media Properties, LLC., Talisker Technology Solutions, Consilio LLC. These players are considered as key manufacturers of the market based on their different varieties of product availability, regional presence, better supply chain management system, and the increasing demand for the products. The players are adopting key strategies such as product development, geographical expansion, mergers and acquisition, and many other strategies to increase their demand for legal research software.