Business Analytics Market Overview
The business analytics market size was valued at USD 40.5 Billion in 2022. The business analytics industry is projected to grow from USD 43.9 Billion in 2023 to USD 84.39 Billion by 2032, exhibiting a compound annual growth rate (CAGR) of 8.50% during the forecast period (2024 - 2032).The increased adoption of business analytics software by various companies, increasing fundamental changes in the global business environment, and high investment costs to implement solutions are the key market drivers for expanding market growth.
Source: Secondary Research, Primary Research, MRFR Database and Analyst Review
Business Analytics Market Trends
Growing trend of edge computing is driving the market growth
Market CAGR for business analytics is being driven by the increasing connected lot devices volume owing to the surging adoption of Machine Learning algorithms, the Internet of Things, and Artificial Intelligence. As per the International Data Corporation data, 152,200 IoT appliances will join per minute by 2025. The increasing requirement for connected devices accelerates the performance of edge computing. Edge computing solutions are described as a structure where the processors are positioned closer to the destination or origin for data instead of clouds. For instance, in May 2021, Telefonica Tech collaborated with Microsoft on Azure Edge Zone. Telefonica united its 5G connectivity with Microsoft Edge computing competencies, allowing industry procedures to strengthen digital transformation.
Additionally, the technology raises serious security problems, such as the necessity for real-time security, the privacy of client data, and safety, among others. Some of the numerous pressing issues that need attention are shoddy identity administration, remote storage, a shortage of investment in the system and network security, linked devices, human error, and IoT applications. The firm faces a considerable task in overcoming these difficulties. The advancement in data loss incidents and cyberattacks on consumer data kept across industries is anticipated to impede market expansion.
The rising adoption of advanced analytics tools for applications such as predicting and forecasting electricity consumption, trade market, and traffic trend predictions is anticipated to drive market growth. Advanced analytics in demand forecasting can help firms make informed decisions and augment their profitability. Government agencies and industries, such as banking, manufacturing, and professional services, have invested aggressively in business analytics in recent years. Additionally, due to social media's superior efficacy over more conventional forms of advertising, many companies have chosen it as their immediate source for different product promotions, advertising campaigns, and event promotions, driving the business analytics market revenue.
Business Analytics Market Segment Insights
Business Analytics Deployment Mode Insights
The global business analytics market segmentation, based on deployment mode, includes on-cloud and on-premises. The on-cloud segment dominated the market, accounting for 35% of market revenue (15.4 Billion). In developing countries, category growth is driven by increased IoT and cloud computing penetration. However, on-premises is the fastest-growing category as it offers organizations more flexibility and control to customize their IT infrastructure while reducing their Internet dependency.
Business Analytics Industry Insights
The global business analytics market segmentation, based on industry, includes retail, telecom & IT, media & entertainment, healthcare, manufacturing, government, BFSI, education, energy & power, and others. The BFSI category generated the most income (70.4%) due to the continuous adoption of advanced analytics for optimizing processes, identifying fraudulent transactions, and handling data risks. However, telecom & IT is the fastest-growing category due to the growing demand for collaboration devices such as web and video conferencing.
Business Analytics Services Insights
The global business analytics market segmentation, based on services, includes managed services and professional services. The managed services category generated the most income by reducing downtime redundancy and providing customized value-added services like application testing, service catalog building, and expert consultancy. However, professional services are the fastest-growing category, allowing the company to stay abreast of fraudulent attacks.
Business Analytics Software Insights
The global business analytics market segmentation, based on software, includes advanced & predictive analytics, data discovery & visualization software, content analytics, corporate performance management suites, location intelligence, data warehousing platform, and others. The content analytics category generated the most income due to increased competition among the major competitors to provide higher customer satisfaction and a more individualized understanding. However, the data warehousing platform is the fastest-growing category due to the improved business intelligence and a time saver option.
Business Analytics Application Insights
The global business analytics market segmentation, based on application, includes finance analytics, marketing analytics, supply chain analytics, data mining, and others. The marketing analytics category generated the most income due to the continuous need to penetrate the market more effectively and understand consumer demands. However, supply chain analytics is the fastest-growing category due to enhanced awareness of the benefits of supply chain analytics (SCA) solutions.
Business Analytics End-User Insights
The global business analytics market segmentation, based on end-user, includes SMEs and large-scale enterprises. The large-scale enterprises category generated the most income due to the initial adoption of the solutions. However, SMEs are the fastest-growing category owing to the increasing number of SMEs in emerging regions.
Figure 1: Global Business Analytics Market by End-User, 2022 & 2032 (USD Billion)
Source: Primary Research, MRFR Database, Secondary Research, and Analyst Review
Business Analytics Regional Insights
By region, the study delivers market insights into North America, Europe, Asia-Pacific and the Rest of the World. The North American business analytics market will dominate owing to the presence of supporting infrastructure for implementing cutting-edge analytics. Further, the US business analytics market held the largest market share, and the Canada business analytics market was the fastest-growing market in the North American region.
Further, the prominent countries studied in the market report are The US, Canada, German, France, the UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil.
Figure 2: GLOBAL BUSINESS ANALYTICS MARKET SHARE BY REGION 2022 (USD Billion)
Source: Primary Research, MRFR Database, Secondary Research, and Analyst Review
Europe's business analytics market accounts for the second-largest market share due to the overall adoption of business analytics tools and solutions in the region. Further, the German business analytics market held the largest market share, and the UK business analytics market was the fastest-growing market in the European region.
The Asia-Pacific business analytics market is expected to grow at the fastest CAGR from 2023 to 2032. This is due to the increased usage of smartphones & the growth in data-driven business in this region. Moreover, China’s business analytics market held the largest market share, and the Indian business analytics market was the fastest-growing market in the Asia-Pacific region.
Business Analytics Key Market Players & Competitive Insights
Leading market players are investing a huge amount in research and development to expand their product lines, which will help the business analytics market grow even more. Market participants are also undertaking numerous strategic activities to expand their global footprint, with critical market developments such as unique product establishment, mergers and acquisitions, higher investments, contractual agreements, and collaboration with other organizations. To contractual agreements, ance and survive in a more competitive and rising market climate, the business analytics industry must deliver cost-effective items.
Manufacturing locally to decrease operational costs is one of the major business tactics manufacturers use in the global business analytics industry to benefit clients and increase the market sector. Major players in the business analytics market, including Cloudability, Inc, EXPONEA, Densify, Inc., Google LLC, Mixpanel, Inc., IBM, and others, are attempting to enhance market demand by investing in R&D operations.
Wipro Technologies Inc acts as a private company. The Company provides technological consulting and services to small businesses and corporations. Wipro Technologies Inc offers educational resources, technological tools, software installation assistance, and internet network management. Wipro Technologies Inc is located in Washington, DC. In April 2022, Wipro collaborated with DataRobot, an augmented intelligence business, to boost the business impact of consumers by offering augmented intelligence at scale and assisting them in becoming an Al-powered company. Further, this collaboration will guarantee that the Al approach is adopted quickly and businesses receive their data to value more efficiently.
Microsoft Company, Limited develops, manufactures, sells, licenses, and supports software products. The firm offers server application software, operating system software, business and consumer application software, software development tools, and Internet software. Microsoft also manufactures video game consoles and digital music entertainment devices. In March 2022, Microsoft released Azure Health Data Services, a Platform as a Service designed to help transactional and analytical workloads. It powers Artificial Intelligence (AI) and combines health data in the cloud, supporting Protected Health Information (PHI).
Key Companies in the Business Analytics market include
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Cloudability, Inc
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EXPONEA, Densify, Inc.
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Google LLC
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IBM
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SAP SE
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Tableau Software, Inc.
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Microstrategy Incorporated
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Teradata Corporation
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Adobe Systems Incorporated
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Qlik Technologies, Inc
Business Analytics Industry Developments
November 2022: IBM has unveiled a business intelligence (BI) and analytics package, branded Business Analytics Enterprise, that it says is aimed to assist firms in breaking down data silos and limitations to cooperation generated by using disparate sets of analytics tools in different divisions. By doing this, businesses may address emerging issues like supply chain interruptions, labor shortages, and changing legislation more effectively.
Business Analytics Market Segmentation
Business Analytics Deployment Mode Outlook
Business Analytics Industry Outlook
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Retail
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Telecom & IT
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Media & Entertainment
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Healthcare
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Manufacturing
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Energy & Power
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Government
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BFSI
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Education
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Others
Business Analytics Services Outlook
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Managed Services
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Professional Services
Business Analytics Software Outlook
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Advanced & Predictive Analytics
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Data Discovery & Visualization Software
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Content Analytics
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Corporate Performance Management Suites
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Location Intelligence
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Data Warehousing Platform
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Other
Business Analytics Application Outlook
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Finance Analytics
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Marketing Analytics
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Supply Chain Analytics
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Data Mining
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Other
Business Analytics End-User Outlook
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SMEs
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Large-Scale Enterprises
Business Analytics Regional Outlook
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Germany
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France
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UK
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Italy
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Spain
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Rest of Europe
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Asia-Pacific
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China
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Japan
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India
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Australia
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South Korea
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Australia
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Rest of Asia-Pacific
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Rest of the World
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Middle East
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Africa
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Latin America
| Report Attribute/Metric |
Details |
| Market Size 2022 |
USD 40.5 Billion |
| Market Size 2023 |
USD 43.9 Billion |
| Market Size 2032 |
USD 84.39 Billion |
| Compound Annual Growth Rate (CAGR) |
8.50% (2023-2032) |
| Base Year |
2023 |
| Market Forecast Period |
2024-2032 |
| Historical Data |
2018- 2022 |
| Market Forecast Units |
Value (USD Billion) |
| Report Coverage |
Revenue Forecast, Growth Factors, Market Competitive Landscape, and Trends |
| Segments Covered |
Deployment Mode, Industry, Services, Software, End-User, Application and Region |
| Geographies Covered |
North America, Europe, Asia Pacific, and the Rest of the World |
| Countries Covered |
The US, Canada, German, France, UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil |
| Key Companies Profiled |
Cloudability, Inc, EXPONEA, Densify, Inc., Google LLC, Mixpanel, Inc., IBM, SAS Institute, Inc., SAP SE, Tableau Software, Inc., Microstrategy Incorporated, Teradata Corporation, Oracle Corporation, Adobe Systems Incorporated, and Qlik Technologies, Inc |
| Key Market Opportunities |
The increased adoption of business analytics software by various companies. |
| Key Market Dynamics |
Increasing fundamental changes in the global business environment |
Frequently Asked Questions (FAQ) :
The global business analytics market size was valued at USD 40.5 Billion in 2022.
The global market is projected to grow at a CAGR of 8.50% during the forecast period, 2024-2032.
North America had the largest share of the global market
The key players in the market are SAS Institute, Inc., SAP SE, Tableau Software, Inc., Microstrategy Incorporated, Teradata Corporation, Oracle Corporation, Adobe Systems Incorporated, and Qlik Technologies, Inc.
The cloud-based category dominated the market in 2022.
The BFSI had the largest share of the global market.
The managed services category dominated the market in 2022.
Content analytics had the largest share of the global market.
The marketing analytics category dominated the market in 2022.
Large-scale enterprises had the largest share of the global market.
