Customer analytics is the process of using data from customer behavior to aid in business decisions through predictive analytics and market segmentation. This data is used to make site selection decisions, direct marketing campaigns, and customer relationship management. One of the major factors driving the growth of the customer analytics market is the increasing need to predict customer behavior. The various benefits of customer analytics, such as better data-driven decisions, have led to an increase in demand for the customer analytics market.
Because of the proliferation of cloud-based devices available in the market, the cloud is expected to continue its rule. Firms may also figure out how to comprehend the significance of cloud analytics, in which the vast majority of the components, such as customer information sources, information models, handling applications, registering power, diagnostic models, and information stockpiling, are located in the cloud, which may aid in coordinating insight into existing work processes and improving basic leadership cross-wisdom.
The global Customer Analytics market size was estimated to reach over USD 9.75 billion in 2020, and projected to grow significantly with a CAGR of 16.8% over the forecast period. This has resulted in an increase in the use of Customer Analytics to improve customer relationships and understand and predict customer behavior. The shifting preference for on-premise to cloud-based services is propelling the Customer Analytics Market forward. Customer Analytics is used by major organizations such as banks, insurance companies, funding offices, and others. This service provides critical information, such as how to increase cross-selling and customer lifetime value. These services analyses customer purchasing behavior, which is useful for industries such as retail and e-commerce.
The COVID-19 pandemic has had a negative impact on the growth of the customer analytics market. The government imposed a strict lockdown during the pandemic, and thus the markets were closed. As a result, the customer analytics industry has been hampered for a short period of time. Online retail, the fastest growing market sector, was severely impacted, but because the government supported the online shopping platform during the lockdown, this market gradually began to recover.
Customer Analytics Market Scope
|Forecast Unit||Value (USD)|
|Revenue forecast in 2028||USD 9.75 Billion|
|Growth Rate||CAGR of 16.8% during 2021-2028|
|Segment Covered||Component, Deployment Model, Organization Size, Industry Vertical, Regions|
|Regions Covered||North America, Europe, Asia Pacific, South America, Middle East and Africa|
|Key Players Profiled||Pitney Bowes Inc., Oracle Corporation, International Business Machine, Fair Isaac Corporation, Angoss Software Corporation, Actuate Software Corporation, SAP AG, SAS Institute Inc., Teoco Corporation, and Verint System Inc..|
Key Segments of the Global Customer Analytics Market
Component Overview, 2019-2028 (USD Million)
Deployment Model Overview, 2019-2028 (USD Million)
Organization Size Overview, 2019-2028 (USD Million)
- Large Enterprises
- Medium and Small Enterprises
Industry Vertical Overview, 2019-2028 (USD Million)
- IT & Telecom
- Retail and E-commerce
- Government and Public Sector
- Media and Entertainment
Regional Overview, 2019-2028 (USD Million)
- Rest of Europe
- Rest of Asia-Pacific
Middle East and Africa
- South Africa
- Rest of Middle East and Africa
- Rest of South America
Reasons for the study
- The purpose of the study is to give an exhaustive outlook of the global Customer Analytics market. Benchmark yourself against the rest of the market.
- Ensure you remain competitive as innovations by existing key players to boost the market.
What does the report include?
- The study on the global Customer Analytics market includes qualitative factors such as drivers, restraints, and opportunities
- The study covers the competitive landscape of existing/prospective players in the Customer Analytics industry and their strategic initiatives for product development.
- The study covers a qualitative and quantitative analysis of the market segmented based on component, deployment model, Organization Size and industry vertical. Moreover, the study provides similar information for the key geographies.
- Actual market sizes and forecasts have been provided for all the above-mentioned segments.
Who should buy this report?
- This study is suitable for industry participants and stakeholders in the global Customer Analytics market. The report will benefit every stakeholder involved in the Customer Analytics market.
- Managers within the Customer Analytics industry looking to publish recent and forecasted statistics about the global Customer Analytics market.
- Government organizations, regulatory authorities, policymakers, and organizations looking for investments in trends of the global Customer Analytics market.
- Analysts, researchers, educators, strategy managers, and government institutions looking for insights into the market to determine future strategies.
The insight into the purchasing behavior of customers is the key driver responsible for increasing the customer analytics market share. Recently, there has been some growth in the social media concern, which is also regarded as a key driver of the customer analytics market. Social media analytics is essentially a combination of measurement, analytics tools, and monitoring that aid in uncovering the sentiments of users as well as businesses with customers via various social media platforms. Well-established retailers have successfully leveraged the advantages provided by various social media platforms.
Growth in social media concern is a key driver for the market under consideration. Social media analytics combines monitoring, measurement, and analysis tools to discover user sentiments and businesses with customers via social media platforms by associating their product list with e-commerce sites, which aids in monitoring people and fostering relationships. Leading retailers, such as Amazon and Walmart, have successfully tapped into the benefits of various social media platforms, such as Facebook and Twitter. However, data security and privacy concerns are a major impediment to the market under consideration.
Based on the component segment, the market is classified into services, and solution. Service segment again bifurcate into maintenance and support services and professional services. Solution segment again bifurcate into social media analytical tools, dashboard, exact transform load or data management, web analytical tool, reporting, voice of customer (voc), and analytical tools.
Deployment Model Segment
Based on deployment mode, the cloud segment is expected to grow at a higher CAGR in the market during the forecast period, owing to the increasing adoption of a cloud-based solution such as Software-as-a-Service among organizations, owing to its ease of access. Furthermore, it has several advantages over on-premises solutions, including high scalability, low cost, simple implementation, and adaptability. Small and medium-sized businesses are increasingly embracing cloud solutions due to their low cost, round-the-clock support, and ease of maintenance.
Organization Size Segment
Based on the Organization Size, the market is segmented into Large Enterprises and Medium and Small Enterprises. Large organizations spend a lot of money on product management in order to better serve their customers and improve their experience. Marketers can easily analyses customer behavior toward their products and services and make changes to retain them. Customer analytics enables these strategies to be changed in real-time, allowing businesses to stay ahead of their competitors. Based on the information gathered through customer journey mapping, marketers can implement pricing, product development, or the addition of new purchase options.
Industry Vertical Segment
Based on the industry vertical, the market is segmented into BFSI, IT & telecom, retail and E-commerce, government and public sector, healthcare, Media and Entertainment, and others. Consumers today not only value, but also expect, a personalized Omni channel experience in the retail market. As a result, many retailers are utilizing technologies such as customer analytics to gain a more comprehensive understanding of a consumer's wants and needs. As retail sales increase, customer analytics is increasingly being used in the retail industry to develop personalized communications and marketing programmers. It also contributes to improved customer experience and loyalty by identifying which buyers are purchasing which products and personalizing marketing based on shopper data.
North America is expected to hold the largest share of the global customer analytics market during the forecast period, while Asia Pacific (APAC) is expected to grow at the fastest CAGR. The region is led by the United States and Canada, where organizations have deployed customer analytics solutions to make use of customer data in order to remain competitive in the market. Increasing customer information from various data sources necessitates new development and improved integrations in new and existing customer analytics solutions and services to meet a variety of business and customer needs. Furthermore, North America is home to a number of customer analytics solution vendors, including Google, Adobe, SAP, Microsoft, Oracle, and others.
The major players of the global Customer Analytics market are Pitney Bowes Inc., Oracle Corporation, International Business Machine, Fair Isaac Corporation, Angoss Software Corporation, Actuate Software Corporation, SAP AG, SAS Institute Inc., Teoco Corporation, and Verint System Inc. These players have adopted various strategies, such as new product launches, partnerships, agreements, collaborations, mergers & acquisitions, and business expansions to cater to the needs of the Customer Analytics market. Renowned companies are offering new and modern Customer Analytics Services solutions. Besides, the previously recognized as well as new market players are approaching the market with advanced and new strategic services and solutions and to remain competitive in the global market.