Market Overview

The size of the expense settlement solution market in FY2020 is estimated at 15,445 million yen based on the sales of related businesses, 130.2% of the previous year.

The spread of the new coronavirus infection and the accompanying changes in socioeconomic activities had both positive and negative impacts on the market. However, the positive factors had a greater impact, resulting in a strong performance in FY2020.

Negative factors included a decrease in business trips and business entertainment as corporate activities due to the COVID-19 pandemic. As the volume of expense settlement work decreased, the needs of user companies for expense settlement solutions also temporarily stagnated.

On the other hand, positive factors included new introduction of products for teleworking that became more active, and increase of new introduction by user companies that recognized the need to go digital and paperless in the wake of the pandemic.

Noteworthy Topics

Revision of Act on Electronic Preservation System for Books/Documents is a Tailwind for Market Growth

The Act on Special Measures for Preservation of National Tax-Related Books and Documents Prepared Using Computers (Act on Electronic Preservation System for Books/Document) went into effect in January 2022. The main revised points are as follows: Prior approval by the superintendent of a taxation office will no longer be required; the original verification and inspection that had been conducted as proper paperwork requirements will no longer be required; and the time stamping period will be extended to a maximum of approximately two months, making self-signature unnecessary. Due to these revisions, it is expected that it will be much easier to keep electronic books and to save other documents electronically using the function of scanning.


Moreover, these revisions are expected to promote the use of expense settlement systems by user companies that have been engaging in paper-based expense settlement operations, and expense settlement solution providers are focusing on the development of new functions and marketing activities taking these legal revisions as an opportunity to increase the number of new users.


At the same time, the need to digitize paper documents using multifunction printers (office copy machines with multiple functions such as printers, fax machines, and scanners) is expected to increase, and the linkage between expense settlement solutions and multifunction printers is also expected to progress steadily.

Future Outlook

The expense settlement solution market (based on business sales) in FY2021 is forecasted to grow to 21,930 million yen, 142.0% of the previous year. New introduction of products for teleworking and accelerated IT investment by user companies that recognized the need for digitization and paperless operations, as well as the implementation of the revised Act on Electronic Preservation System for Books/Documents, are expected to drive solid market growth. The current situation is expected to continue in FY2022, with the market size forecasted to grow to 31,125 million yen, 141.9% of the previous year.

Research Outline