The Analytics as a Service Market size was USD 9.9 billion in 2022 and is expected to Reach USD 64 billion by 2030 and grow at a CAGR of 26.2 % over the forecast period of 2023-2030.
A third-party vendor offers analytical solutions via a cloud platform using the deployment approach known as analytics as a service (AaaS). Enhancing organizations' computational and statistical skills has become increasingly important as a result of the growing need from businesses to assess the consistency of data patterns, which is good news for the market's expansion. Businesses that prioritize analytics for data-driven decision-making to enhance the performance of many business areas including sales, demand forecasting, and the purchase of raw materials are the ones driving the growth. The need for Aaas is predicted to increase as cloud-based solutions become more widely used. Users of Aaas solutions can access analytics tools and services online because they are housed on cloud platforms. As a result, businesses are no longer required to upgrade and manage on-premises analytics technology Data integration features are frequently provided by Aaas providers, enabling organizations to connect to and use data from diverse sources. To assure data accuracy and usability, this may comprise data cleansing, transformation, and enrichment. Real-time analytics are supported by some Aaas solutions, allowing businesses to analyse and act on data as it is generated. This promotes quicker and more informed decision-making. Another significant aspect that has contributed to the market's expansion is the growing use of analytical solutions in the demand sensing of goods in the e-commerce and retail sectors. Demand sensing is widely used in the retail sector to identify prospective buyers of a product, assisting merchants in better understanding customer behaviour and how it affects the entire supply chain. Additionally, the adoption of analytical solutions to translate the data produced by the use of RFID tags has increased, which is positive for market expansion. The amount of business data being produced in a variety of sectors, including transportation, manufacturing, healthcare, and retail, has rapidly increased in recent years. As a result, businesses are concentrating on combining data gathered from many departments and turning raw data into insightful information. Increased spending on big data analytics by government organizations and established players in a variety of sectors, including banking, manufacturing, and professional services, is encouraging for market expansion.
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KEY DRIVERS
The increasing incorporation of the Internet of Things and the rapid progress of smartphones has enabled brands to simultaneously gather and store machine-generated data
The demand for Aaas is facilitated by the widespread adoption of social media applications
Due to growing adoption of IOT and the spread of smartphones. businesses are able to improve the performance of their internal assets, cut expenses associated with running their businesses, offer proactive customer service, and boost their profit margins, all of which are contributing to a more optimistic outlook for the market.
RESTRAIN
The market growth is expected to be hampered by surge in data security and privacy concerns
shortage of skilled professionals who understand big data analysis and can effectively utilize analytics tools and platforms
With the increasing amount of data being generated and analysed, data security and privacy have become major concerns. Organizations need to ensure that the data they collect and analyse is protected from unauthorized access and breaches.
OPPORTUNITY
Increase in demand for advanced technologies to process high workload through cloud, and lower cost of ownership associated with analytics services
Analytics as a service offers a lower cost of ownership compared to traditional on-premise analytics solutions
The increase in usage of machine-generated data across numerous industry verticals is expected to provide opportunities for the growth of the analytics as a service market in the upcoming years
CHALLENGES
Bringing Together Diverse Data Sources is Challenging
Ensuring the accuracy and reliability of data is crucial for effective analytics
Integrating and aggregating data from various sources gets more difficult as data sets grow larger and more varied. Inaccurate insights can result from improper data integration gaps.
Due to the war, businesses now require access to more current, accurate, and usable data. As a result, there is now more demand for analytics as a service, which may give organizations the information they need to make wise decisions. Additionally, this messed up supply networks and opened up new market prospects. This has prompted companies to use analytics to follow market trends, spot emerging possibilities, and reduce risk. the battle also resulted in a greater emphasis on cybersecurity. In order to identify and lessen cyber dangers, businesses have turned to analytics solutions. Analytics are being used by a financial services organization to monitor sanctions compliance and spot potential cyber risks during the Russia-Ukraine War. A manufacturing business is utilizing analytics to keep up with the most recent changes in the energy industry and determine how they will probably affect its supply chain. Analytics are being used by a retailer to better understand consumer behaviour and spot potential business expansion chances. Due to the initial sanctions, the value of Russia's currency has plummeted, which may affect the import of IT goods and services, such as platforms and tools for analytics.
IMPACT OF ONGOING RECESSION
The analytics as a service market is expected to have several kinds of effects from the ongoing recession. 13% of data and analytics professionals reported that their firms were either laying off or firing data and analytics experts, according to a poll by TDWI. According to 40% of respondents, employment for data and analytical specialists has been blocked. The good news is that while new job listings in data science and analytics have decreased overall, they now seem to be doing so more slowly than most other professions. In contrast, several industry analysts think that the global recession won't have an impact on the analytics sector. One the one hand, during a recession organization would be less willing to spend money on new analytics solutions. On the other hand, firms trying to reduce expenses and boost productivity may find analytics to be a useful tool. During a recession, businesses might be more hesitant to invest in new analytics solutions since they might be more concerned with saving money. This can cause the market for analytics as a service to grow more slowly. Additionally, companies might be more inclined to invest in analytics solutions that might save expenses. This might result in a rise in demand for analytics products that concentrate on topics like Customer retention, fraud detection, and predictive maintenance. During a recession, organizations may find cloud-based analytics tools to be a more cost-effective choice. This might result in a rise in interest in cloud-based analytics products.
By Type
Predictive
Diagnostic
Descriptive
By Organization Size
Large Enterprises
Small and Medium-sized Enterprises
By End-User
BFSI
Healthcare
Retail
Manufacturing
Government
IT
Telecom
Others
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North America
US
Canada
Mexico
Europe
Eastern Europe
Poland
Romania
Hungary
Turkey
Rest of Eastern Europe
Western Europe
Germany
France
UK
Italy
Spain
Netherlands
Switzerland
Austria
Rest of Western Europe
Asia Pacific
China
India
Japan
South Korea
Vietnam
Singapore
Australia
Rest of Asia Pacific
Middle East & Africa
Middle East
UAE
Egypt
Saudi Arabia
Qatar
Rest of Middle East
Africa
Nigeria
South Africa
Rest of Africa
Latin America
Brazil
Argentina
Colombia
Rest of Latin America
North America dominated the Analytics as a Service Market, with a market share of more than 40% in 2019, the United States is the largest market for analytics as a service in North America. Leading cloud service providers such as Amazon Web Services (AWS), Microsoft Azure, and Google Cloud dominate the North American Aaas market, offering a wide range of services to businesses and organizations. This is attributed to numerous associations and organizations in the area that promote the use of cloud computing for the deployment of various high-tech solutions like advanced analytics, big data analytics, and predictive analytics, such as the Cloud Native Computing Foundation and the National Cloud Technologists Association. Additionally, a number of government and healthcare institutions are working together to develop analytical solutions for the healthcare sector, which is encouraging for the expansion of the local industry.
The expansion of the Asia Pacific region is linked to the increase in analytics organizations investing in local start-ups, including EXL, IDG Ventures Partners, and TA Associates. For instance, in May 2018, SCIO Inspire, Corp., which offers Aaas to the healthcare sector, received a USD 240 million investment from EXL. The APAC region comprises a diverse set of countries at different stages of cloud adoption. Developed economies like Japan and Australia have robust cloud markets, while emerging economies like India and Southeast Asian countries are experiencing significant growth. Additionally, a number of trade organisations in the region, like the Asia Cloud Computing Association and the Asia Analytics Alliance, are pushing the adoption of Aaas solutions, which is fostering market expansion. The Aaas market in APAC is widespread across various industries, including e-commerce, telecommunications, banking, healthcare, and manufacturing. SMEs and start-ups have also embraced cloud services to scale their operations efficiently. For instance, the Asia Analytics Alliance, established in 2016, is committed to promoting the adoption of analytics technologies throughout the area. Additionally, the emphasis on implementing technology like cloud computing.
The major key players in the Analytics as a Service Market are Amazon Web Services Inc., Google LLC, TIBCO Software Inc., Hewlett Packard Enterprise Development LP, Microsoft Corporation, IBM, SAP SE, GoodData Corporation, Oracle Corporation, SAS Institute Inc., and other players.
Cloudera: June 27, 2023, Cloudera, the hybrid data company, announced an expansion of its Open Data Lakehouse offerings enabling customers to have a foundation for analytic and AI capabilities in their enterprises for all their data - in the cloud and now on-premises.
Terra data: In October 2019 Terra data announced new offerings to help companies use vantage to simplify their analytics ecosystem on their cloud journey. Tera data vantage now unifies analytics, data lakes, and data warehouses in the cloud. the company is set to soon expand its Analytics as a Service offerings to include Google cloud platform.
Amazon Web Services, Inc: In February 2020, Amazon Web Services, Inc. completed the acquisition of Data Row, which is used to provide analytics as a service to organizations operating in the sectors such as IT and telecom and BFSI.
| Report Attributes | Details |
| Market Size in 2022 | US$ 9.9 Bn |
| Market Size by 2030 | US$ 64 Bn |
| CAGR | CAGR of 26.2 % From 2023 to 2030 |
| Base Year | 2022 |
| Forecast Period | 2023-2030 |
| Historical Data | 2020-2021 |
| Report Scope & Coverage | Market Size, Segments Analysis, Competitive Landscape, Regional Analysis, DROC & SWOT Analysis, Forecast Outlook |
| Key Segments | • By Type (Predictive, Prescriptive, Diagnostic, Descriptive) • By Organization Size (Large Enterprises, Small and Medium-sized Enterprises) • By End-User (BFSI, Healthcare, Retail, Manufacturing, Government, IT, Telecom, Others) |
| Regional Analysis/Coverage | North America (US, Canada, Mexico), Europe (Eastern Europe [Poland, Romania, Hungary, Turkey, Rest of Eastern Europe] Western Europe] Germany, France, UK, Italy, Spain, Netherlands, Switzerland, Austria, Rest of Western Europe]). Asia Pacific (China, India, Japan, South Korea, Vietnam, Singapore, Australia, Rest of Asia Pacific), Middle East & Africa (Middle East [UAE, Egypt, Saudi Arabia, Qatar, Rest of Middle East], Africa [Nigeria, South Africa, Rest of Africa], Latin America (Brazil, Argentina, Colombia Rest of Latin America) |
| Company Profiles | Amazon Web Services Inc., Google LLC, TIBCO Software Inc., Hewlett Packard Enterprise Development LP, Microsoft Corporation, IBM, SAP SE, GoodData Corporation, Oracle Corporation, SAS Institute Inc. |
| Key Drivers | • The increasing incorporation of the Internet of Things and the rapid progress of smartphones has enabled brands to simultaneously gather and store machine-generated data. • The demand for Aaas is facilitated by the widespread adoption of social media applications |
| Market Restraints | • The market growth is expected to be hampered by surge in data security and privacy concerns • shortage of skilled professionals who understand big data analysis and can effectively utilize analytics tools and platforms. |
Ans. The Analytics as a Service Market is to grow at a CAGR of 26.2% Over the Forecast Period 2023-2030.
Ans: The Analytics as a Service Market size was valued at US$ 9.9 billion in 2022.
Ans. Analytics as a service is a deployment model in which a third-party vendor provides analytical solutions through a cloud platform. This allows organizations to access advanced analytics tools and infrastructure without having to invest in expensive on-premise solutions.
Ans. The pricing models for analytics as a service (Aaas) can vary depending on the provider and the specific needs of the organization. like Modular Pricing, Base Pricing, Competitor-Based Pricing, Value-Based Pricing.
Ans. The key players in the analytics as a service market have adopted various growth strategies to enhance and develop their product portfolio, strengthen their market share, and increase their market penetration.
TABLE OF CONTENTS
1. Introduction
1.1 Market Definition
1.2 Scope
1.3 Research Assumptions
2. Research Methodology
3. Market Dynamics
3.1 Drivers
3.2 Restraints
3.3 Opportunities
3.4 Challenges
4. Impact Analysis
4.1 Impact of Ukraine- Russia War
4.2 Impact of Recession
4.2.2.1 US
4.2.2.2 Canada
4.2.2.3 Germany
4.2.2.4 France
4.2.2.5 United Kingdom
4.2.2.6 China
4.2.2.7 Japan
4.2.2.8 South Korea
4.2.2.9 Rest of the World
5. Value Chain Analysis
6. Porter’s 5 forces model
7. PEST Analysis
8. Analytics as a Service Market, By Type
8.1 Predictive
8.2 Prescriptive
8.3 Diagnostic
8.4 Descriptive
9. Analytics as a Service Market, by Organization size
9.1 Large Enterprises
9.2 Small and Medium-sized Enterprises
10. Analytics as a Service Market, by End-User
10.1 BFSI
10.2 Healthcare
10.3 Retail
10.4 Manufacturing
10.5 Government
10.6 IT
10.7 Telecom
10.8 Others
11. Regional Analysis
11.1 Introduction
11.2 North America
11.2.1North America Analytics as a Service Market by Country
11.2.2North America Analytics as a Service Market by Type
11.2.3 North America Analytics as a Service Market By Organization size
11.2.4 North America Analytics as a Service Market by End-User
11.2.5 USA
11.2.5.1 USA Analytics as a Service Market By Type
11.2.5.2 USA Analytics as a Service Market By Organization size
11.2.5.3 USA Analytics as a Service Market by End-User
11.2.6 Canada
11.2.6.1 Canada Analytics as a Service Market By Type
11.2.6.2 Canada Analytics as a Service Market By Organization size
11.2.6.3Canada Analytics as a Service Market by End-User
11.2.7 Mexico
11.2.7.1 Mexico Analytics as a Service Market By Type
11.2.7.2 Mexico Analytics as a Service Market By Organization size
11.2.7.3 Mexico Analytics as a Service Market by End-User
11.3 Europe
11.3.1 Europe Analytics as a Service Market by Country
1.3.3.2 Europe Analytics as a Service Market By Type
11.3.3 Europe Analytics as a Service Market By Organization size
11.3.4 Europe Analytics as a Service Market by End-User
11.3.5 Germany
11.3.5.1 Germany Analytics as a Service Market By Type
11.3.5.2 Germany Analytics as a Service Market By Organization size
11.3.5.3 Germany Analytics as a Service Market by End-User
11.3.6 UK
11.3.6.1 UK Analytics as a Service Market By Type
11.3.6.2 UK Analytics as a Service Market By Organization size
11.3.6.3 UK Analytics as a Service Market by End-User
11.3.7 France
11.3.7.1 France Analytics as a Service Market By Type
11.3.7.2 France Analytics as a Service Market By Organization size
11.3.7.3 France Analytics as a Service Market by End-User
11.3.8 Italy
11.3.8.1 Italy Analytics as a Service Market By Type
11.3.8.2 Italy Analytics as a Service Market By Organization size
11.3.8.3 Italy Analytics as a Service Market by End-User
11.3.9 Spain
11.3.9.1 Spain Analytics as a Service Market By Type
11.3.9.2 Spain Analytics as a Service Market By Organization size
11.3.9.3 Spain Analytics as a Service Market by End-User
11.3.10 The Netherlands
11.3.10.1 Netherlands Analytics as a Service Market By Type
11.3.10.2 Netherlands Analytics as a Service Market By Organization size
11.3.10.3 Netherlands Analytics as a Service Market by End-User
11.3.11 Rest of Europe
11.3.11.1 Rest of Europe Analytics as a Service Market By Type
11.3.11.2 Rest of Europe Analytics as a Service Market By Organization size
11.3.11.3 Rest of Europe Analytics as a Service Market by End-User
11.4 Asia-Pacific
11.4.1 Asia Pacific Analytics as a Service Market by Country
11.4.2 Asia Pacific Analytics as a Service Market By Type
11.4.3 Asia Pacific Analytics as a Service Market By Organization size
11.4.4 Asia Pacific Analytics as a Service Market by End-User
11.4.5 Japan
11.4.5.1 Japan Analytics as a Service Market By Type
11.4.5.2 Japan Analytics as a Service Market By Organization size
11.4.5.3 Japan Analytics as a Service Market by End-User
11.4.6 South Korea
11.4.6.1 South Korea Analytics as a Service Market By Type
11.4.6.2 South Korea Analytics as a Service Market By Organization size
11.4.6.3 South Korea Analytics as a Service Market by End-User
11.4.7 China
11.4.7.1 China Analytics as a Service Market By Type
11.4.7.2 China Analytics as a Service Market By Organization size
11.4.7.3 China Analytics as a Service Market by End-User
11.4.8 India
11.4.8.1 India Analytics as a Service Market By Type
11.4.8.2 India Analytics as a Service Market By Organization size
11.4.8.3 India Analytics as a Service Market by End-User
11.4.9 Australia
11.4.9.1 Australia Analytics as a Service Market By Type
11.4.9.2 Australia Analytics as a Service Market By Organization size
11.4.9.3 Australia Analytics as a Service Market by End-User
11.4.10 Rest of Asia-Pacific
11.4.10.1 APAC Analytics as a Service Market By Type
11.4.10.2 APAC Analytics as a Service Market By Organization size
11.4.10.3 APAC Analytics as a Service Market by End-User
11.5 The Middle East & Africa
11.5.1 The Middle East & Africa Analytics as a Service Market by Country
11.5.2 The Middle East & Africa Analytics as a Service Market By Type
11.5.3 The Middle East & Africa Analytics as a Service Market By Organization size
11.5.4 The Middle East & Africa Analytics as a Service Market by End-User
11.5.6 Israel
11.5.6.1 Israel Analytics as a Service Market By Type
11.5.6.2 Israel Analytics as a Service Market By Organization size
11.5.6.3 Israel Analytics as a Service Market by End-User
11.5.6 UAE
11.5.6.1 UAE Analytics as a Service Market By Type
11.5.6.2 UAE Analytics as a Service Market By Organization size
11.5.6.3 UAE Analytics as a Service Market by End-User
11.5.7 South Africa
11.5.7.1 South Africa Analytics as a Service Market By Type
11.5.7.2 South Africa Analytics as a Service Market By Organization size
11.5.7.3 South Africa Analytics as a Service Market by End-User
11.5.8 Rest of Middle East & Africa
11.5.8.1 Rest of Middle East & Asia Analytics as a Service Market By Type
11.5.8.2 Rest of Middle East & Asia Analytics as a Service Market By Organization size
11.5.8.3 Rest of Middle East & Asia Analytics as a Service Market by End-User
11.6 Latin America
11.6.1 Latin America Analytics as a Service Market by Country
11.6.2 Latin America Analytics as a Service Market By Type
11.6.3 Latin America Analytics as a Service Market By Organization size
11.6.4 Latin America Analytics as a Service Market by End-User
11.6.5 Brazil
11.6.5.1 Brazil Analytics as a Service Market By Type
11.6.5.2Brazil Analytics as a Service Market By Organization size
11.6.5.3 Brazil Analytics as a Service Market by End-User
11.6.6 Argentina
11.6.6.1 Argentina Analytics as a Service Market By Type
11.6.6.2 Argentina Analytics as a Service Market By Organization size
11.6.6.3 Argentina Analytics as a Service Market by End-User
11.6.7 Rest of Latin America
11.6.7.1 Rest of Latin America Analytics as a Service Market By Type
11.6.7.2 Rest of Latin America Analytics as a Service Market By Organization size
11.6.7.3 Rest of Latin America Analytics as a Service Market by End-User
12 Company profile
12.1 Amazon Web Services Inc
12.1.1 Company Overview
12.1.2 Financials
12.1.3Product/Services/Offerings
12.1.4 SWOT Analysis
12.1.5 The SNS View
12.2 Google LLC
12.2.1 Company Overview
12.2.2 Financials
12.2.3Product/Services/Offerings
12.2.4 SWOT Analysis
12.2.5 The SNS View
12.3 TIBCO Software Inc.
12.3.1 Company Overview
12.3.2 Financials
12.3.3Product/Services/Offerings
12.3.4 SWOT Analysis
12.3.5 The SNS View
12.4 Hewlett Packard Enterprise Development LP
12.4.1 Company Overview
12.4.2 Financials
12.4.3Product/Services/Offerings
12.4.4 SWOT Analysis
12.4.5 The SNS View
12.5 Microsoft Corporation
12.5.1 Company Overview
12.5.2 Financials
12.5.3Product/Services/Offerings
12.5.4 SWOT Analysis
12.5.5 The SNS View
12.6 IBM
12.6.1 Company Overview
12.6.2 Financials
12.6.3Product/Services/Offerings
12.6.4 SWOT Analysis
12.6.5 The SNS View
12.7 SAP SE
12.7.1 Company Overview
12.7.2 Financials
12.7.3Product/Services/Offerings
12.7.4 SWOT Analysis
12.7.5 The SNS View
12.8. GoodData Corporation
12.8.1 Company Overview
12.8.2 Financial
12.8.3Product/Services/Offerings
12.8.4 SWOT Analysis
12.8.5 The SNS View
12.9 Oracle Corporation
12.9.1 Company Overview
12.9.2 Financials
12.9.3 Product/Service/Offerings
12.9.4 SWOT Analysis
12.9.5 The SNS View
12.10 SAS Institute Inc.
12.10.1 Company Overview
12.10.2 Financials
12.10.3 Product/Service/Offerings
12.10.4 SWOT Analysis
12.10.5 The SNS View
13. Competitive Landscape
13.1 Competitive Bench marking
13.2 Market Share Analysis
13.3 Recent Developments
13.3.1 Industry News
13.3.2 Company News
13.3.3 Mergers & Acquisitions
14. Use Case and Best Practices
15. Conclusion
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