Global Analytics as a Service Market Research Report: by Component (Solutions and Services), by Analytics Type (Predictive, Prescriptive, and Others), by Deployment, by Organization Size, and by End-User – Forecast till 2030

Market Overview:

The analytics as a service industry works off of the cloud. It allows people to use various business analytical tools needed to extrapolate data and information from data. But analytics as a service industry allows users to store this data. They can then retrieve the data at a later date for future analysis and extrapolation. Data analysis is often necessary to make key and informed business decisions.

analytics as a service industry operate entirely off of artificial intelligence (AI). It uses ‘smart’ algorithms that extract and store data based on certain algorithms and patterns. Thus, in this sense, the AI.’learns’ which information will be important to the user in the future and acts accordingly.

It’s the fact that the Internet is increasingly being used for a variety of tasks and services that’s driving growth in the analytics as a service industry. Many businesses are recognizing the need for and the usefulness of analytics as a service, especially in the area of social media. This is the reason why they are investing heavily in it.

The Compound Annual Growth Rate (CAGR) for the analytics as a service industry is projected to be 27.82% for the next three years.

Source: MRFR analysis:   

The global market for Analytics as a Service is expected to reach USD 38.35 Billion at a 27.82% CAGR over the forecast period 2020-2030.

COVID-19 analysis

The analytics as a service market was enjoying healthy growth before the COVID-19 pandemic. Governments had already recognized the usefulness of this technology and were passing legislation to maket it easier for companies to adopt market analytics services into their regular business operations.

The pandemic has just forced governments to enact laws and pass legislation in favor of analytics as a service. The reason being that this industry supports doing business with as little human contact as possible. There may be even greater opportunities for growth in the analytics as a service industry once the global population has developed herd immunity to the COVID virus. The reason is that the emphasis on remote working is here to stay.

Market dynamics

Drivers:

One of the main drivers behind the breakneck speed growth in the analytics as a service industry is a fact that more and more businesses around the world are becoming acquainted with IoT. they are also becoming more comfortable with using the new devices and technologies that are emerging as the Internet is evolving.

Opportunities

Some opportunities in the analytics as a service market include the increased need for businesses to understand the ever-changing consumer behavior patterns that influence buying behavior. Because this behavior is increasingly becoming more complex, businesses need to consult large databases that use driven AI to help them isolate the data that will uncover new growth areas and new markets.

Restraints

Believe it or not, not all companies are happily embracing analytics as a service. Indeed, the analytics as a service market is facing some major restraints that are acting as ‘hurdles’ in terms of universal adoption and usage. These are:

• Structure - the algorithms that the AI use tend to produce data models that are far too complex for the average business person to understand. For example, these models tend to include complex bar graphs, pie charts, and mathematical equations.


• Culture - businesses that embrace data and rely on its extrapolation and analysis tend to overcomplicate things. For example, they will trust the data models that analytics as a service industry They will not stop to consider if the data and the resulting models are up-to-date or make any sense in the context of their respective industries.


• Methodology - these models tend to be complex. The companies that use them may fail to leverage the usefulness of these models and their data largely because they lack the infrastructure to do so.

Challenges

There are many challenges in the adoption of analytics as a service industry. These tend to be centered around the need to sync all data sources to make sure that they operate in harmony. Also, another huge hurdle to widespread adoption is that there just aren’t enough people trained to understand and interpret the data that these complex models tend to generate.

It can also be hard to glean meaningful information from the data since professionals may not always know which data is relevant and/or useful.

Cumulative growth analysis

The analytics as a service industry is expected to grow healthily. It’s expected to be a 30 billion US Dollar market by 2023.

Technology analysis

The technologies that power analytics as a service industry are constantly improving. For example, predictive hardware is constantly improving. This is key for analytics as a service because it uses algorithms to predict future phenomena. Another great technological boost for this industry is the improvement in the databases used to store this data. These are NoSQL databases.

Segment overview

By service

The analytics as a service industry is expected to help those businesses that sell various services and products. They can use vast amounts of diverse and complex data to come up with information that is easier to understand. This will also help them make better-informed decisions and predictions of the market.

Also, the fact that this industry is broken down into the following categories of consulting managed service, and support and maintenance means that analytics as a service can continue to focus on the analytical part of data extraction and storage.

By vertical

Many companies in many industries use analytics as a service industry. Some of these are financial services companies, companies that manage risk. BFSI, e-commerce, retail, government, healthcare, etc...

Regional analysis

The analytics as a service industry is facing the strongest growth in the following regions:

• North America


• Asia Pacific


• Europe


• The rest of the world

The strongest growth in the services analytics market has been in the North American region. The reason being the strong concentration of solutions providers who need the type of complex data and data models that analytics as a service can generate. However, the Asia-Pacific market is clocking the strongest growth of all of the regions in the world. The nations that dominate in this market are India, China, South Korea, and Japan. India’s fast economic growth is also the main contributor.

Competitive landscape

There is a lot of competition in the global analytics market. One of the main reasons for this is the fact that tremendous growth in the industry is presenting many opportunities for handsome profit potential for companies in the industry.

A major key player in the services analytics market is Amazon Web Services. This global major uses big data to help it better understand the changing nature of consumer buying behavior. This makes it easier for the marketing team to create marketing campaigns that will successfully sell its brands.

There are other key players in this industry. They are:

• Accenture - USA


• Atos SE - USA


• Google, Inc - USA


• Hewlett Packard Enterprise Development Lp - USA


• Hitachi Solutions - Japan


• IBM - USA


• Microsoft - USA


• 
  Oracle - USA


• SAS Institutes - USA

Report Overview

Many companies around the world are finding that they need to use analytics as a service because the increasing usage of the IoT is complicating consumer buying behavior. Governments were already passing legislation to facilitate the transition to this technology. COVID-19 only accelerated this trend.

The technologies that drive growth in this industry are constantly maturing and this provides many opportunities for analytics as a service provider.