Advanced Analytics Market by Component, Business Function, Type, Deployment Mode, Vertical and Region - Global Forecast to 2026
- February 2022 •
- 328 pages •
- Report ID: 6231625 •
- Format: PDF
The global Advanced Analytics market size to grow from USD 33.8 billion in 2021 to USD 89.8 billion by 2026, at a Compound Annual Growth Rate (CAGR) of 21.6% during the forecast period. Various factors such as the growing demand for monitoring and improving agent performance and the increasing demand for voice authentication in mobile banking applications during COVID-19. The use of AI and ML-based technologies to facilitate real-time actionable customer insights and the rise in the need to predict customer intent are expected to drive the growth of Advanced Analytics market.
The COVID-19 pandemic has accelerated many companies to instigate the use of advanced analytics and AI solutions and implement innovative strategies to helps engage customers through digital channels, manage fragile and complex supply chains, and support workers through disruption to their work and lives.Companies should focus on where they can obtain new insights rather than rely on lagging information.
These can come from both from new sources of data and using existing data in new ways.For instance, in banks that traditionally use credit scores to analyze risk can instead turn to customer-account data, where they might identify gaps in deposits.
The crisis has also exposed that one of the most advanced analytics techniques relies on principles of behaviors and patterns repeated periodically.But the patterns exposed are revealed through data and even suggested during identification, which changes the customer’s mind.
Many firms that had started benefitting its client with data analytics usage are growing in all departments. The departments most directly affected by the virus see the most incredible growth in marketing, finance, and customer service use cases for small businesses.
The advanced analytics market is expected to witness a slowdown in 2020 due to the global lockdown, which is impacting global manufacturing, and supply chains and logistics.The manufacturing, transportation and logistics, and retail and consumer goods sectors have been most severely affected.
The availability of essential items has also been impacted due to the lack of manpower to work on production lines, supply chains, and transportation, even though essential items are exempted from the lockdown.The situation is expected to come under control by early 2021.
Analytics have also played a vital role in the determination of fraudulent activities with a system updated with fraudulent activities that help in determining security boundaries for an organization.For instance, IBM Cloud Pak for Security can help you uncover hidden threats and make more informed risk-based decision.
An economic model has also been represented by data scientists to forecast the various insights about customers’ probable future behavior, suppliers, and staff is a top priority. These predicted behaviors have helped the business in deriving the consequential financial effect through continuous, rapid decision-making based on accurate, data-driven analytics, and simulations.
The services segment is projected to grow at a higher CAGR during the forecast period
The global Advanced Analytics market, by component, has been segmented into solutions and services. the services segment is projected to grow at a higher CAGR during the forecast period. This growth can be attributed to the need for determining the time and cost required to install the solution that requires fully managed advanced analytics services. The high growth is attributed to the higher adoption of advanced analytics solutions across key verticals such as BFSI, IT and telecom, and retail and consumer goods.
The Sales and Marketing segment will hold the largest market size during the forecast period
The Advanced Analytics market is segmented by business function has been segmented into finance, sales and marketing, operations, HR, and supply chain.The market size of the sales and marketing segment is expected to hold the largest market share in 2021, while the HR segment is projected to grow at the highest CAGR during the forecast period.
Businesses are adopting advanced analytics to take a deep dive into historical process data, identify patterns and relationships among discrete process steps and inputs, and then optimize the factors that prove to have the greatest effect on business yield.Many global manufacturers have abundant real-time shop-floor data and the capability to conduct such sophisticated statistical valuations.
They are taking previously isolated data sets, aggregating them, and analyzing them to reveal important insights.
The Risk Analytics segment is estimated to hold a higher growth rate during the forecast period
The advanced analytics market is segmented based on types such as big data analytics, customer analytics, predictive analytics, statistical analytics, prescriptive analytics, risk analytics, and other types (augmented analytics, multimedia analytics, and voice and social analytics).The risk analytics segment is expected to have the highest growth rate during the forecast period.
The growth is attributed to the increasing demand for advanced credit risk analytics enabling institutions to improve underwriting decisions and increasing revenues while reducing risk costs.
The Cloud segment is estimated to hold a higher growth rate during the forecast period
Advanced Analytics market is segmented on the basis of deployment mode which include on-premises and cloud.The market size and CAGR of the cloud segment is estimated to be higher than the on-premises segment during the forecast period.
The cloud technology benefit of easy deployment and minimal capital requirement facilitates the adoption of the cloud deployment model.The adoption of cloud-based advanced analytics solutions is expected to be supported by the COVID-19 pandemic, as lockdowns and social distancing practices are encouraging companies to move to cloud solutions that can be managed remotely.
The increasing demand for scalable, easy to use, and cost-effective advanced analytics solutions is expected to accelerate the growth of the cloud segment in the advanced analytics market.
The large enterprises segment is estimated to hold a larger market share
On the basis of organization size the Advanced Analytics market has been segmented into large enterprises and SMEs.The large enterprises segment is estimated to hold a larger market share in 2021.
The growth of the segment is due to the increased competition in large enterprises from budding SMEs.Large enterprises are focusing on solutions to effectively manage complex business process to enhance customer engagement.
Hence, these organizations are using advanced analytics solutions to effectively manage complex operations. The SMEs segment is projected to register a higher CAGR during the forecast period due to the growing need to enhance business processes, reach new customers, and stay competitive and control their spending.
The healthcare and life sciences vertical is projected to grow at the highest CAGR during the forecast period
On the basis of Vertical the advanced analytics market has been segmented into BFSI, healthcare and life sciences, IT and telecom, retail and consumer goods, manufacturing, government and defense, transportation and logistics, media and entertainment, and other verticals (education, energy and utilities, and travel and hospitality). The healthcare and life sciences vertical is projected to grow at the highest CAGR during the forecast period. Advanced analytics solutions provide care plans and educate patients to improve patient care and outcomes while decreasing healthcare costs to the healthcare firms
Among regions, APAC to hold higher CAGR during the forecast period
The advanced analytics market has been segmented into five regions: North America, Europe, APAC, MEA, and Latin America.APAC is expected to hold the fastest CAGR during the forecast period.
This growth can be. to the increasing penetration of smartphones and the need to enhance customer experience in the region.
Breakdown of primaries
In-depth interviews were conducted with Chief Executive Officers (CEOs), innovation and technology directors, system integrators, and executives from various key organizations operating in the Advanced Analytics market.
• By Company: Tier I: 35%, Tier II: 45%, and Tier III: 20%
• By Designation: C-Level Executives: 35%, D-Level Executives: 25%, and others: 40%
• By Region: APAC:30 %, Europe: 20%, North America: 45%, RoW: 5%
The report includes the study of key players offering Advanced Analytics market. The major vendors covered are IBM (US), Oracle (US), SAS Institute (US), SAP (Germany), FICO (US), KNIME (Switzerland), Microsoft (US), Altair (US), RapidMiner (US), AWS (US), Salesforce (US), TIBCO Software (US), Alteryx (US), Teradata (US), Adobe (US), Absolutdata (US), Moody’s Analytics (US), Qlik (US), Databricks (US), Dataiku (US), Kinetica (US), H2O.ai (US), Domino Data Lab (US), DataRobot (US), DataChat (US), Imply (US), Promethium (US), Siren (Ireland), Tellius (US), SOTA Solutions (Germany), and Vanti Analytics (Israel).
The research study for the Advanced Analytics market involved extensive secondary sources, directories, and several journals, including the Journal of Intelligent Learning Systems and Applications, International Journal of Advanced Science and Technology, and International Research Journal of Engineering and Technology (IRJET). Primary sources were mainly industry experts from the core and related industries, preferred Advanced Analytics providers, third-party service providers, consulting service providers, end users, and other commercial enterprises. In-depth interviews were conducted with various primary respondents, including key industry participants and subject matter experts, to obtain and verify critical qualitative and quantitative information, and assess the market’s prospects
Key Benefits of Buying the Report
The report would provide the market leaders/new entrants in this market with information on the closest approximations of the revenue numbers for the overall Advanced Analytics market and its subsegments.It would help stakeholders understand the competitive landscape and gain more insights better to position their business and plan suitable go-to-market strategies.
It also helps stakeholders understand the pulse of the market and provides them with information on key market drivers, restraints, challenges, and opportunities.