Prescriptive Analytics Market overview:
The prescriptive analytics market has a CAGR of 21.2% until the end of 2030. The industry is expected to be worth 16.23 billion US Dollars by then. Prescriptive analytics involves analyzing certain information and data to make informed and strategic decisions regarding business decisions. It’s used to predict the future performance of a business based on current and past data and information.
The COVID-19 pandemic first appeared on the global stage in March of 2020. Since the COVID-19 virus could be dangerous at times and deadly (rarely), governments responded with various measures including introducing stricter guidelines that emphasized cleanliness and sanitation.
But these measures did not stop there. Various national governments imposed temporary quarantines or indefinite lockdowns (India.) Business activity in many industries and sectors largely ceased. Those industries and sectors that were still operational were encouraged (and in some cases required) to promote remote working as much as possible.
The fact that many businesses are operating routine and/or basic business functions is driving growth in the prescriptive analytics market. This was a trend that started approximately five years ago. However, the COVID-19 pandemic accelerated this trend with the focus on contactless delivery and social distancing. Another important prescriptive analytics market driver is the increase in cyber crimes and cyber security breaches.
The increased use of Big Data and the Internet of Things (IoT) is creating real opportunities in the prescriptive analytics market. This is driven by greater demand in the corporate world for access to data that describe events and phenomena as they occur. The fact that many more organizations around the world are concerned about the damage that Internet security breaches is also creating new opportunities in the form of products and services that use new technologies to protect enterprises from these types of breaches.
The fact that there are not enough skilled people to comprehend and analyze the data that prescriptive analytics technologies create is a real restraint in terms of future prescriptive analytics market growth.
Prescriptive Analytics Market Challenges:
A real challenge in spurring prescriptive analytics market growth will be finding the resources to train enough talented people to comprehend and interpret the information and data and their analysis that prescriptive analytics will create.
Cumulative Growth Analysis:
The CAGR for the prescriptive analytics market is expected to be above 20% for the next year. The market is expected to be worth 2.47 billion US Dollars by December of 2022.
Companies in the prescriptive analytics market are doing research and development. The results have been the integration and incorporation of new technologies to produce the next generation of prescriptive analytics products. These products will engage in market simulation. Market simulation is the practice of recreating a business environment or industry as it is expected to operate in the future and predicting actions and results based on that.
Pilots already use market simulation to learn how to fly in all conditions by simulating the worst possible flying environments and scenarios and anticipating what the safest actions and decisions to take based on educated analysis and guesses are.
The major prescriptive analytics market segments are component, application, business sector, and vertical.
The component part can be further categorized into software products and packages and services. The application part can be further categorized into operation management, revenue management, network management, supply chain management, and others.
The deployment segment can be further categorized into cloud and premise. The business sector segment can be further categorized into HR, marketing, finance, operations, and sales. The vertical sector can be further categorized into manufacturing, BFSI, IT/ITES, Healthcare, transportation, and government.
Prescriptive Analytics Market Regional analysis
The market share for prescriptive analytics is greatest in the North American region. There are many factors driving this high market share. They include increased use of and access to the Internet and technological advancements.
The Asia-Pacific region has the highest prescriptive analytics business growth of all regions. What is largely driving growth there is the increasing use of cloud services and other types of Information Technology (IT.)
Prescriptive Analytics Market Competitive landscape:
There are many key players in the market. They’re entering the market because of the high CAGR and revenue streams. This is in-spite of the fact that high investments in research and development present significant barriers to entry.
Companies are surviving by investing more in R&D, forging partnerships, mergers and acquisitions, and launching new technologically advanced and more effective products and services.
Ayata is a major American player in the prescriptive analytics market. It’s retaining its competitive edge by introducing new products to prescriptive analytics market. These have the latest in technology and are inspired by the design of the human body’s Central Nervous System (CNS.) Its products and services use a combination of structured and unstructured data to predict future scenarios and their likely outcomes.
Prescriptive Analytics Market Key players:
The CAGR for the predictive analytics market is expected to top 20% in the foreseeable future. This is being driven by the increased usage of cloud infrastructure, IoT, and cyber security in corporations. The main restraint is the high cost of producing these products. There are currently many prescriptive analytics market players. They are surviving through technological innovation which is being driven through greater investments in R&D, mergers and acquisitions, and joint ventures.
|Market Size||USD 16.23 Billion 2030|
|Forecast Units||Value (USD Billion)|
|Report Coverage||Revenue Forecast, Competitive Landscape, Growth Factors, and Trends|
|Segments Covered||By Component, By Application|
|Geographies Covered||North America, Europe, Asia-Pacific, and Rest of the World (RoW)|
|Key Vendors||FICO (U.S.), Ayata (U.S.), IBM Corporation (U.S.), River Logic, Inc. (U.S.), Angoss Software (U.S.), Frontline (U.S.), Profitect (U.S.), Panoratio (Germany), TIBCO Software (U.S.), NGData (Belgium)|
|Key Market Opportunities||
|Key Market Drivers||
Marketing, HR, finance, and operations
Big Data, IoT, and machine learning
Small and medium as well as large sized organizations deploy prescriptive analytics.
Surge in cloud deployment has induced market growth in APAC.
SMEs and large corporations
The surge in use of cloud technologies