Advanced Analytics Market - Growth, Trends, COVID-19 Impact, and Forecasts (2021 - 2026)

Market Overview

The advanced analytics market is expected to register a CAGR of over 20% over the forecast period (2021-2026), owing to the increased adoption of such solutions to address diverse business needs. The adoption has been augmented by the presence of data generation and collection, and IT and other critical infrastructure. Digitization drive in the past three decades in the industry was also able to create an ecosystem that promotes the business to adopt these advanced solutions for improved business insights.

• Advanced analytics solutions are becoming more widespread, as enterprises continue to create new data at a rapid rate. For instance, the amount of data generated worldwide is increasing immensely. According to Seagate Technology PLC, the volume of data created worldwide is expected to increase to 47 zettabytes and 163 zettabytes in 2020 and 2025, respectively, from 12 zettabytes in 2015.
• Moreover, with the increasing popularity of online shopping and rising social network penetration, the demand for advanced analytics is anticipated to rise substantially over the forecast period. For instance, according to We Are Social, as of January 2019, the social network penetration in China and the United States accounted for 71% and 70%, respectively.
• Data generated, owing to the increasing social penetration, contains hidden patterns that traditional analytics tools are unable to find. If implemented in the correct form, advanced analytics solutions can help businesses unlock critical hidden information, which can then be used by the organizations to customize their offering to their consumers.
• Furthermore, an increase in the adoption of advanced analytics solutions, owing to the low price, is expected to boost the market's growth positively. Furthermore, the increasing demand to counter Big Data challenges is impacting the market's growth positively.

The advanced analytics market is expected to register a CAGR of over 20% over the forecast period (2019-2024), owing to the increased adoption of such solutions to address diverse business needs. The adoption has been augmented by the presence of data generation and collection, and IT and other critical infrastructure. Digitization drive in the past three decades in the industry was also able to create an ecosystem that promotes the business to adopt these advanced solutions for improved business insights.

• Advanced analytics solutions are becoming more widespread, as enterprises continue to create new data at a rapid rate. For instance, the amount of data generated worldwide is increasing immensely. According to Seagate Technology PLC, the volume of data created worldwide is expected to increase to 47 zettabytes and 163 zettabytes in 2020 and 2025, respectively, from 12 zettabytes in 2015.
• Moreover, with the increasing popularity of online shopping and rising social network penetration, the demand for advanced analytics is anticipated to rise substantially over the forecast period. For instance, according to We Are Social, as of January 2019, the social network penetration in China and the United States accounted for 71% and 70%, respectively.
• Data generated, owing to the increasing social penetration, contains hidden patterns that traditional analytics tools are unable to find. If implemented in the correct form, advanced analytics solutions can help businesses unlock critical hidden information, which can then be used by the organizations to customize their offering to their consumers.
• Furthermore, an increase in the adoption of advanced analytics solutions, owing to the low price, is expected to boost the market's growth positively. Furthermore, the increasing demand to counter Big Data challenges is impacting the market's growth positively.

Scope of the Report

 Advanced analytics is a comprehensive set of analytical techniques and methods, such as statistics, descriptive and predictive data mining, simulation, and optimization, designed to help businesses discover trends and patterns, and accurately predict the future. The market scope includes such solutions adopted and used by the end-user industries considered in this study. Applications of advanced analytics include healthcare, marketing, and risk management.                                                                    

Report scope can be customized per your requirements. Click here.

Key Market Trends

Need to Mitigate Frauds and Risk Management Prompt Paced Adoption in BFSI

Companies operating in the banking and financial sector are using advanced analytics technology to mitigate frauds, optimize processes followed by banks, and to manage risks.

According to Accenture’s 2018 Compliance Risk Study, 89% of the respondents indicated a rise in compliance investments over the next two years, with a focus on technology. Advanced analytics helps banks sort through unstructured data to analyze global and local regulatory compliance, which may depend upon the region of operation.

Similarly, according to the Grant Thornton survey, 85% of respondents believed that their bank’s data and risk information management initiatives need additional efficiencies to realize the full potential. Furthermore, 82% also indicated the same for their institution’s risk analytics and measurements. However, with the adoption of the advanced analytics solutions, this scenario is changing, with banking players adopting a more performance-oriented risk management approach. This realignment has led banks to invest more in such solutions to generate actionable information that can guide critical business choices impacting profitability. The need to identify and mitigate risks before an incident, to reduce the intensity of its impact, is a major factor driving the adoption of advanced analytics in this sector.

Moreover, according to the Coalition against Insurance Fraud Study, traditional anti-fraud technology tools are giving way to advanced analytics as insurance fraud rises. Majority of insurers have expanded their range of anti-fraud tools and their ability to detect and investigate the fraud. Many players are entering the field with new products and services, which is expected to boost the market's growth positively. AI technology evolution has further enabled the market capabilities in offering better real-time insights.                                                                   

To understand key trends, Download Sample Report