A freshly-released report published by MarketsandMarkets entitled 'Business Intelligence and Analytics Software Market ... Global Forecast to 2020' predicts revenues in the marketplace will grow from $18bn in 2014 to $26.78 billion by 2019, at a Compound Annual Growth Rate of 8.4 per cent.
Among the North American, European, Asia Pacific, Middle East and Africa regions, North America will hold the maximum market size according to their forecasts, while APAC will be the major growth area.
Banking, Financial services and Insurance, Retail, IT and Telecoms verticals will account for the largest market share to 2020, with a few smaller revenue 'pockets' such as healthcare, manufacturing, media and entertainment also experiencing significant growth, MarketsandMarkets added.
The Business Intelligence and Analytics Software market is considered to be the fastest-growing industry in IT, gaining traction thanks to increasing competition between businesses, pushing them into adopting business optimisation tools across multiple departments from marketing and sales and financial management through to security and logistics.
And while many analysts agree that the Business Intelligence and analytics market is tending towards maturity in the developed regions of North America and Europe, emerging regions such as Asia-Pacific, the Middle East and Africa, and Latin America are now investing heavily in these tools for strategic and tactical decision-making.
Add to this, a boom in the volume of data businesses now manage and shifting customer interest in mobile devices - both of which have created a wealth of new BI products for firms.
The researchers further predict that tools capable of analysing, optimising and managing these exponential increases in data so that firms across any sector can understand the behaviour and changing preferences of customers or measure the performance of their company resources, will gain the broadest support. However, they also see bespoke software tailored to specific verticals or industry niches outperforming one-size-fits-all Business Intelligence products in some cases.
Demand for cloud-based business intelligence and analytics software will grow steadily as companies, especially smaller firms, adopt this cost-effective and easily deployable option that allows them to compete on a level playing field with their corporate contemporaries, they add.
For the larger players, there will continue to be notable traction of Business Intelligence and Analytics Software as SaaS delivery models continue to evolve, but with increased usage by Small to Medium Enterprises. The only barrier to growth in this area, especially with regard to adoption by smaller firms, will be because of a lack of BI skilled and proficient workers meaning under-utilization of the tools, as well as data integration issues.
Slightly more conservative, but also pointing to strong growth within the BI industry, researchers TechNavio put out a report in January that similarly predicted the global business information market to grow, but at a lower rate, at 5.15 per cent to 2019.
TechNavio’s 'Global Business Information Market 2015-2019' publication explored major trends in the industry such as increased penetration of smartphones and tablets, as well as sharing the view that BI growth is being driven out of a need for firms to assess their business condition and develop competitive strategies to stay ahead, or break into new markets.