Big Data and Business Analytics Market

Big Data And Business Analytics Market Research, 2033

The global big data and business analytics market was valued at $225.3 billion in 2023, and is projected to reach $665.7 billion by 2033, growing at a CAGR of 11.6% from 2024 to 2033.

Big data analytics is the major part of enterprises as it helps organizations to manage, process, and streamline large datasets in real time as well as it improves their organizations decision-making capability. In addition, the major objective of big data and business analytics is to help organizations to get a better understanding of their customers and help to narrow down their targeted audience, thus improving companies marketing campaign. Furthermore, various industries are adopting big data and business analytics to analyze massive volume of data generated due to offline and online trading. Moreover, with the introduction of cloud-based big data and business analytics, users can access all the information online from anywhere across the globe. This helps various big data service providers to increase their investment in cloud technology and have a competitive edge over other service providers.

Surge in adoption of big data analytics software by various organizations to deliver enhanced & faster decision-making and to provide competitive advantage by analyzing and acting upon information in a timely manner significantly contributes toward the growth of the global big data and business analytics market. In addition, increase in demand for cloud-based big data analytics software among small & medium enterprises positively impacts the growth of the market. However, high implementation cost and dearth of skilled workforce are expected to hamper the market growth. On the contrary, increase in need to gain better insights for business planning and emerging trends such as social media analytics are expected to offer remunerative opportunities for the expansion of the market during the forecast period. Each of these factors is projected to have a definite impact on the growth of the big data and business analytics market.

The big data and business analytics market is expected to grow post COVID-19 pandemic, as many organizations have started adopting work-from-home and remote working cultures, which in turn have created huge amounts of data and opportunities for data analytics. As a result, organizations have started adopting big data and business analytics solutions to manage companies' critical data, enhance data security, and optimize business productivity.

The big data and business analytics market is segmented into Application, Component and Industry Vertical.

Segment Review

The global big data and business analytics market is segmented into component, application, industry vertical, and region. In terms of component, the market is fragmented into hardware, software, and services. The applications covered in the study include customer analytics, supply chain analytics, marketing analytics, pricing analytics, spatial analytics, workforce analytics, risk & credit analytics, and transportation analytics. As per industry vertical, the market is segregated into BFSI, manufacturing, healthcare, government, energy & utilities, transportation, retail & e-commerce, IT & telecom, education, and others. Region-wise, it is analyzed across North America, Europe, Asia-Pacific, and LAMEA.

By application, the big data and business analytics market was led by the customer analytics segment in 2023, and is projected to maintain its dominance during the forecast period. An increase in competition among the key players to provide better customer satisfaction and personalized experience fuels the growth of this segment. However, the risk & credit analytics segment is expected to grow at the highest rate during the forecast period, owing to an increase in complexities in business processes and rise in business process automation.

Region-wise, North America domianted the big data and business analytics market share in 2023, and is expected to retain its position during the forecast period. This is attributed to the surge in the use of smartphones, wearable devices, and other smart-connected devices. However, Asia-Pacific is expected to witness significant growth during the big data and business analytics market forecast, owing to the massive volume of data generated due to rapid digitization and the rise in the use of electronic devices & networks among organizations.

COVID-19 Impact Analysis

The big data and business analytics market has witnessed significant growth in the past few years; however, due to the outbreak of the COVID-19 pandemic, the market was projected to witness a slight downfall in 2020. This was attributed to implementation of lockdown by governments in majority of the countries and the shutdown of travel across the world to prevent the transmission of virus. The big data and business analytics market is projected to prosper in the upcoming years after the recovery from the COVID-19 pandemic. Various organizations have initiated work-from-home culture for their employees, which is creating demand for the cloud-based big data analytics to manage critical information of organizations, thus creating lucrative opportunities for the big data and business analytics market trends during the forecast period. 

Furthermore, big data analytics is helping various researchers, healthcare workers, and scientists to aggregate and synthesize incident data on a regular and global scale. Moreover, companies have invented different search engines, which will help countries to fight against the pandemic situation. Although COVID-19 has severely impacted various industries, the big data and business analytics industry is expected to witness moderate impact of COVID-19, due to major shift toward digital transformation, increase in investments in data analytics, rise in demand for remote services as well as location data, and surge in need for tracking real-time information to monitor the spread of coronavirus. For instance, Verizon, an international telecommunication company, launched a big data coronavirus search engine, which is an open-source program used to create coronavirus academic research searches with over 50,000 articles and offers relevant information on COVID-19 research.

Top Impacting Factors  

Surge in adoption of big data analytics software by multiple organizations

An increase in investments in big data and business analytics tools among the large number of organizations to drive revenue growth and improve service efficiencies fuels the adoption of big data analytics. Moreover, senior executives of many organizations are increasingly adopting different styles of analytics to resolve their business imperatives due to the emerging importance of big data analytics, which boosts the market growth. Moreover, organizations are adopting big data analytics to improve customer experience, thus driving the growth of the global market.

Increase in demand for cloud-based big data analytics software among SMEs

The increase in availability of accessible cheap data centers delivered by cloud vendors has brought down the costs of upfront investment for small- & medium-sized businesses, which eases the market entry barrier. This has led to increased demand for cloud-based big data analytics software among small- & medium-sized enterprises. For instance, Oracle Corporation, one of the major players in the market, mentioned that 75% of its 400K+ customers are small- to medium-sized businesses, which are creating numerous opportunities for it in the market. Furthermore, cloud services have solved the complexity of storing and accessing data for companies to simplify the use of their big data analytics solutions. By using cloud-based big data analytics, organizations can store all their data in a single platform that extends consistency of information to all the devices by reducing the investment cost in different sources for every device. This data can be used anywhere, anytime. Several end users such as banking, financial services, and insurance (BFSI); retail; healthcare; manufacturing; telecommunication & IT; and media & entertainment are increasingly adopting cloud services, which has significantly contributed toward the growth of the global market.

Numerous benefits provided by big data and business analytics solutions

The ability of big data analytics software to deliver better and faster decision-making and to provide a competitive advantage by analyzing & acting upon information in a timely manner propels the growth of the market. In addition, the demand for big data analytics software is continuously increasing, owing to the benefits offered such as easy access to vital business metrics, useful insight on customer behavior, increased revenue, and improved efficiency of organizations and employees. Furthermore, companies are adopting big data and business analytics for real-time forecasting and monitoring various occasions that may affect the performance of organizations. In addition, the ability of the solution to mitigate risks by optimizing complex decisions about unplanned events such as cyberattacks, and other crises more quickly augments the growth of the global big data and business analytics market.

High implementation cost

High implementation cost of big data and business analytics tools leads to budget constraints in small- & medium-sized businesses to provide effective data warehousing, which hampers the growth of the market. Furthermore, services related to big data such as consulting, maintenance, installation, integration, and upgradation incur additional cost, which limits its adoption among end users, especially in parts of Asia and LAMEA. Moreover, challenges associated with traditional and advanced system integration among many organizations have restrained the growth of the market, especially among SMEs. In addition, the cost factor required to implement big data initiatives and analytical models is a major factor that hinders the market growth to a certain extent. In addition, an increase in the volume of data fuels the cost of data warehouses, which, in turn, hinders the growth of the market.

Lack of skilled workforce

The demand for big data and business analytics is increasing continuously, however, the shortage of skilled workforce is hampering the growth of the market. The dearth of skilled professionals is attributed to the lack of knowledge and interest of the young generation in advanced technologies. For instance, according to a survey conducted by the World Economic Forum in 2021, 48% of the global workforce had to be re-skilled or up skilled to work in disruptive and digital technologies generating the virtual world. Furthermore, several companies have been willing to hire and train their existing workforce in big data analytics and artificial intelligence skills; however, it has barely improved and require longer time to learn these skills, which restrict the growth of the big data and business analytics industry.

Emerging trends such as social media analytics

Big data analytics is in high demand as organizations seek to use information assets to improve customer relationships, business outcomes, and operational efficiency. However, it has become more challenging to keep up with the changing demands and expectations of growing big data analytics users. Conversely, emerging trends in big data analytics such as social media analytics and text analytics are anticipated to create numerous opportunities for the market. Furthermore, many organizations have targeted social media as their key source for various advertising campaigns, promotions of different products, and events, as it is more effective than traditional way of advertising. In addition, rise in use of mobile phones and tablets with access to the internet coupled with ever-growing user volume on social media platforms fuels the growth of social media analytics, which, in turn is expected to provide lucrative opportunity for the big data and business analytics market growth during the forecast period.

Increase in need to gain insights for business planning

Continuously increasing competition among enterprises is influencing them to deploy big data analytics to optimize their expansion. Moreover, an increase in need to gain insights for business planning is anticipated to provide lucrative opportunities for market expansion, as big data analytics software enables organizations to study the factors that are influencing outcomes and provides the power of decision optimization. Furthermore, big data analytics helps organizations to enhance the efficiency of business operations and provide improved customer engagement through real-time data. In addition, big data analytics is used by various decision makers to optimize selling strategies and improve the decision-making capability of organizations.

Key Benefits for Stakeholders

• The study provides an in-depth analysis of the big data and business analytics market along with the current trends and future estimations to elucidate the imminent investment pockets.
• Information about key drivers, restraints, and opportunities and their impact analysis on the big data and business analytics market size is provided in the report.
• The Porter’s five forces analysis illustrates the potency of buyers and suppliers operating in the big data and business analytics market analysis.
• The quantitative analysis of the global big data and business analytics market for the period 2023–2033 is provided to determine the market potential.

 Big Data and Business Analytics Market Report Highlights