HRTECH Market Recap Q3-2021

Last quarter $12.9 Billion was invested in Work Technology, with major deals for Articulate ($1.5 Billion) and Visma ($1 Billion).

Worktech and HRTech seem to have a bright future. Especially now most companies are aware of the challenges that HR and the entire labour market is facing now, and will face in the future.

(visual and information by Venero Capital Advisors)

Talent Management reïnvented

With talent and skills becoming rare assets to acquire in an open market, talent acquisition will have to become very creative and transparent to attract new candidates. Popular these days are remote hiring and a focus on the skills of the own staff. Also the recovery of talent who were attracted for attitude before - but were not hired because of lacking skills – is an interesting way of completing a company’s team, which is lacking a team member.

By doing this, the talent acquisition process will become a part of the bigger HR picture with i.e. retention (employee experience) and performance (engagement) – but also innovative payrolling and administration of i.e. remote workers (in other countries).

About retention and performance, it feels safe to say that topics like Employee Experience, Learning & Development and Engagement have become an important part of the (Total) Talent Management Strategy - and Solutions.

(Visual by Pitchbook)

Notable dynamics

The market also seems aware of the increasing complexity of attracting talent across the border, other than they already knew working with their contingent workforce. Therefor, innovative payrolling and administration of remote workers is becoming a popular functionality and a hybrid workforce lies just around the corner (it seems to come along with hybrid work).

So after what happened in Q2, the dynamics on the HRTECH Market in Q3 only confirm all the above as an existing trend that is even accelerating in Q4.

First of all, after Facebook announcing to hire over 10k workers in Europe to help build the metaverse, US Venture Capital and Big investors are moving in on Europe according to CNBC.

Even better (from our point of view), according to Pitchbook they have an increasing interest in HRTech Startups as the world shifts to remote working tackling the challenges mentioned above.

And that is not surprising when even McKinsey is telling the world that European Tech Startups are nailing it.

Looking at a third quarter - including October - most fundings an acquisitions had a focus on remote workers; either attraction, experience, learning and retention, or talentmanagement and innovative payrolling.

We've listed the most notable dynamics for you:


HRTECH Valley has curated an extensive list of HRTECH Solutions that are active on the BeNe Market, to create the famous HRTECH Landscapes.

Last year we needed to expand the visual to two copies for a decent overview of categories and vendors.