USD 14.23 billion
Data Analytics Outsourcing Market Size, Share, Growth Analysis, By Type(Descriptive, Predictive, Prescriptive), By Application(Sales analytics, Marketing Analytics, Finance and Risk Analytics, Supply Chain Analytics), By End user(Healthcare, BFSI (Banking, Financial Services, And Insurance)), By Region - Industry Forecast 2024-2031
Report ID:
SQMIG45B2062 |
Region:
Global |
Published Date: August, 2024
Pages:
197
|Tables:
62
|Figures:
75
Data Analytics Outsourcing Market Insights
Data Analytics Outsourcing Market size was valued at USD 14.23 billion in 2022 and is poised to grow from USD 19.08 billion in 2023 to USD 199.56 billion by 2031, at a CAGR of 34.1% during the forecast period (2024-2031).
The increasing demand for quicker interpretation of data, the growing adoption of cloud-based analytical tools, and the shortage of competent data scrutinizing personnel within representatives are among the key factors accelerating the growth of the data analytics outsourcing industry. In addition to that, the rapid development of AI-oriented and machine learning technologies that can eliminate tedious tasks and analyze complex datasets have also contributed towards the growth of this market. Moreover, smaller organizations, as well as larger ones, are also able to order data analytics services due to the possibility of introducing rationally priced options such as per usage pricing. A few of the significant drivers for the market include the growing growth of businesses creating huge volumes of more complex data, the increasing importance of making business decisions based on data, and the need to enhance efficiency and reduce costs.
Exciting features such as the implementation of advanced tools and technology in artificial intelligence (AI) and machine learning are the application of data to excite innovations and also the provision of data analytics outsourcing services to new industries are some of the areas that needs exploration. Innovative self-service analysis software, cloud-based data analysis services, and new types of companies that only provided data analysis on demand are a few new developments. In modern times, when the competition in business is extremely great, enterprises are relying more and more on the power of data to make rational business decisions. Data analytics outsourcing companies enable enterprises to collect, process and analyze data for the purpose of extracting useful information concerning customers, operational processes and the performance of the market as a whole.
US Data Analytics Outsourcing Market is poised to grow at sustainable CAGR for the next forecast year
Market Snapshot - 2024-2031
Global Market Size
Largest Segment
Data Management
Fastest Growth
Predictive Analytics
Growth Rate
34.1% CAGR
Global Data Analytics Outsourcing Market ($ Bn)
Country Share for North America Region (%)
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Data Analytics Outsourcing Market Segmental Analysis
Global Data Analytics Outsourcing Market Forecast is segmented based on Type, application, end user, and region. By type, the market is segmented into descriptive predictive and prescriptive. By application, the market is segmented into Sales analytics, marketing analytics, finance and risk analytics, supply chain analytics and others. By end user, the market is segmented into healthcare, BFSI (banking, financial services, and insurance), retail and e-commerce, manufacturing, telecommunications, and others. By region, the market is segmented into North America, Europe, Asia Pacific, Middle East and Africa, and Latin America.
Data Analytics Outsourcing Market Analysis by Service Type
As per categorization by service type, the market is classified as descriptive analytics, predictive analytics, and prescriptive analytics. Among these, descriptive analytics earned the largest share and continues to dominate the global data analytics outsourcing market share. A healthy growth of innovation is observed in the global data analytics outsourcing market along the increasing use of descriptive analytics, owing to the capacity of this technology to unravel complex data into simple insights. Companies incorporate descriptive analytics to facilitate decision making, meet operational efficiency objectives and compare data analysis trends over time with the past. The reason as to why it is the most used in the market, due to the basic aspect of data analysis, giving companies much understanding of performance indicators and customers enabling crafting of strategies that utilizes data that provides essences of competition across different sectors.
Predictive analytics is poised to become the fastest-growing segment of the global data analytics outsourcing market due to its ability to forecast future trends and behaviors through advanced algorithms and statistical techniques. With the advancement of technology, more and more companies are looking to improve their ability to make decisions and reduce the risks that come with those decisions at the same time, and it is in this regard that predictive analytics comes in handy, as it allows firms to forecast shifts in the market, streamline their operations, and engage their customers better. Furthermore, this trend is enhanced by big data and the need for timely information. In addition, sectors like banking, healthcare, and retail are quickly using predictive analytics which can be used for more efficient better marketing targeted services, inventory control, and customized services respectively, hence the growth of the market.
Data Analytics Outsourcing Market Analysis by Data Source
The global data analytics outsourcing market is currently experiencing innovation in the utilization of structured data, which refers to highly organized information easily searchable and analyzable within databases. The reason for its superiority can be attributed to the ease of finding structured data in many applications, such as customer relationship management and transaction data processing, allowing firms to make realizable decisions easily. Businesses use structured data for better reporting and operational efficiencies, and for improved data quality. In addition, the evolution of data extraction technologies and analytical devices has enhanced the utilization of structured data, thus, making it an essential part of strategies in many sector economies that rely on data.
Unstructured data is set to become the fastest-growing segment of the global data analytics outsourcing market due to the exponential increase in unstructured information generated from sources like social media, emails, videos, and IoT devices. Over 80% of the world's information is comprised of this data type and therefore it provides a substantial opportunity for businesses to understand their customers and the markets better. Businesses are beginning to appreciate the need to be able to use unstructured data for competitive advantage and as a result, there is an increasing appetite for advanced tools and services designed to process and analyse such data. Therefore, more and more companies are developing third party providers of these analytic capabilities leading to explosive growth of the market.
Global Data Analytics Outsourcing Market By Type
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Data Analytics Outsourcing Market Regional Insights
North America is dominating the global data analytics outsourcing market due to its advanced technological infrastructure, a robust pool of skilled professionals, and high levels of investment in data-driven initiatives. The companies in this region are also rapidly embracing analytics, for operational efficiency and innovation, and elevation of customer experience. Also, the fact that there are several large technology companies, and many new firms creates an ideal environment for data analytics solutions, hence stimulating interaction and creation. In addition, as the need for data protection compliance grows within North America, many organizations are driven to look for focused outsourcing solutions that would manage and analyze data within very strict governance requirements.
Europe is emerging as the fastest-growing region in the global data analytics outsourcing market, fueled by increasing digital transformation initiatives across various sectors. The region is experiencing a major turn towards a data driven decision making process as companies are using analytics to improve processes, engage better with customers and adhere to tough laws like the GDPR. Furthermore, Europe has a cosmopolitan population that is highly skilled which helps in coming up with new data analytical products and services. Also, the proliferation of cloud computing and more complex analytical tool has bolstered the global data analytical outsourcing market size, as companies are able to make use of data in a more effective manner without necessarily carrying out the analytics themselves.
Global Data Analytics Outsourcing Market By Region
- Largest
- Fastest
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Data Analytics Outsourcing Market Dynamics
Data Analytics Outsourcing Market Drivers
Increased Demand for Data-Driven Insights
- Given that businesses in different sectors realize how beneficial data is in making organizational strategies, there is an increasing need for data analytics outsourcing. Companies want to make use of analytics to improve their operations, service delivery, and to maintain an edge in the market. It is this expansion that has escalated the growth of this market.
Advancements in Data Analytics Outsourcing Technology
- The capabilities provided by data analytics are being transformed by changes in technology such as, artificial intelligence, machine learning and cloud computing among others. These advancements allow companies to handle more data in a more effective manner and work out actionable conclusions. As a result, more and more organizations seek outsourcing partners proficient in these technologies to optimize their data analytics processes in order to foster growth.
Restraints
Talent Shortage in Specialized Skills
- A general problem that the outsourcing market faces is the demand for advanced analytics and data science specialists, which cannot be met by the available skilled professionals. Since there is a growing need for professionals with skills in machine learning, artificial intelligence, and big data analytics, companies find it difficult to hire such professionals, which dampens the effectiveness and the scope of the outsourcing activities.
Cultural and Communication Barriers
- Different cultures and difficulties in transferring knowledge within or around organizations and outsourcing service providers may affect the ability to work together and complete the project on time. There can be misunderstandings regarding expectations, timelines, and deliverables which can result to delays and underperformance. This may pose a challenge to companies embracing outsourcing to address their data analytics requirements since they tend to seek communication and integration.
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Data Analytics Outsourcing Market Competitive Landscape
The competitive landscape of the global data analytics outsourcing market is characterized by a diverse array of players offering innovative solutions. The market for analytics services is dominated by global companies like Accenture, IBM and Deloitte offering a full range of services while Tableau, SAS and other companies offer very advanced and specialized tools for data visualization and forecasting. Along with these, there are technology corporations such as Microsoft and Google who have also started venturing into this space and are intensifying competition by offering analytical services on cloud infrastructure, addressing the needs of diverse industries and enhancing the global data analytics outsourcing market outlook.
Data Analytics Outsourcing Market Top Player’s Company Profile
- Accenture (Ireland)
- IBM Corporation (US)
- Capgemini (France)
- Tata Consultancy Services (India)
- Cognizant (US)
- Infosys Limited (India)
- Wipro Limited (India)
- Genpact (US)
- HCL Technologies (India)
- DXC Technology (US)
- Ernst & Young (UK)
- Deloitte (US)
- PricewaterhouseCoopers (UK)
- KPMG (Netherlands)
- NTT DATA Corporation (Japan)
- Tech Mahindra (India)
- Atos (France)
- WNS Global Services (India)
- L&T Infotech (India)
- Mu Sigma (US)
Data Analytics Outsourcing Market Recent Developments
- In October 2023, Accenture gave an insight into the expansion of data analytics services with the launch of the level ai analytics platform to help the businesses use the data in a better way. The platform incorporates machine learning capabilities into it in order to offer insights as they are needed to improve the decision-making processes in the respective industries.
- In September 2023, IBM announced the revised version of its Watson Analytics, cloud based service and integrated new natural language processing capabilities. This upgrade enables users to easily search through voluminous data and find meanings out of them. By easing data understanding, the goal of IBM is to help organizations make fast decisions and improve the general performance of the operations in the organization.
- In August 2023, as per the latest reports, ‘Deloitte Insights Hub’ is the top analytics solution launched by Deloitte for its clients seeking personalized dashboards as well as predictive analytics tools. Such development helps the organizations to monitor the data in real-time and use the information to formulate strategies which keeps the clients winning in a highly volatile market landscape.
Data Analytics Outsourcing Key Market Trends
- Rise of AI and Machine Learning Integration: The incorporation of artificial intelligence (AI) and machine learning into the data analytics outsourcing processes has sophisticated the way organizations handle and analyze data. These technologies enable better forecasting, simplify the performance of advanced work processes, and enhance the quality of the decision-making process, increasing the need for the provision of outsourcing services that involve advanced analytics in order to obtain a competitive edge.
- Increased Focus on Real-Time Analytics: More and more, organizations that seek to take able decisions within the shortest time possible are gravitating towards real time analytics. Companies are quitting in house analytics in favor of tools and capabilities that provide real time feedback on the market and weighed opinion about consumers so as to manage the change responsive and streamline their operations.
Data Analytics Outsourcing Market SkyQuest Analysis
SkyQuest’s ABIRAW (Advanced Business Intelligence, Research & Analysis Wing) is our Business Information Services team that Collects, Collates, Correlates, and Analyses the Data collected by means of Primary Exploratory Research backed by robust Secondary Desk research.
As per SkyQuest analysis, in conclusion, the global data analytics outsourcing market is poised for substantial growth, driven by the increasing demand for data-driven insights and technological advancements in analytics capabilities. Organizations are recognizing the critical role of data in strategic decision-making, leading to a greater reliance on specialized outsourcing services.
Even though there are still issues like lack of manpower and language problems, the global data analytics outsourcing market outlook is bright. As innovations and a lot of opportunities for technological improvements are being made, especially with the use of artificial Intelligence and machine learning. As organizations keep shifting towards a more data-driven model, outsourcing analytics will remain a very important aspect for achieving better business performance and effectiveness in various industries.
| Report Metric | Details |
|---|---|
| Market size value in 2022 | USD 14.23 billion |
| Market size value in 2031 | USD 199.56 billion |
| Growth Rate | 34.1% |
| Base year | 2023 |
| Forecast period | 2024-2031 |
| Forecast Unit (Value) | USD Billion |
| Segments covered |
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| Regions covered | North America (US, Canada), Europe (Germany, France, United Kingdom, Italy, Spain, Rest of Europe), Asia Pacific (China, India, Japan, Rest of Asia-Pacific), Latin America (Brazil, Rest of Latin America), Middle East & Africa (South Africa, GCC Countries, Rest of MEA) |
| Companies covered |
|
| Customization scope | Free report customization with purchase. Customization includes:-
|
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Table Of Content
Executive Summary
Market overview
- Exhibit: Executive Summary – Chart on Market Overview
- Exhibit: Executive Summary – Data Table on Market Overview
- Exhibit: Executive Summary – Chart on Data Analytics Outsourcing Market Characteristics
- Exhibit: Executive Summary – Chart on Market by Geography
- Exhibit: Executive Summary – Chart on Market Segmentation
- Exhibit: Executive Summary – Chart on Incremental Growth
- Exhibit: Executive Summary – Data Table on Incremental Growth
- Exhibit: Executive Summary – Chart on Vendor Market Positioning
Parent Market Analysis
Market overview
Market size
- Market Dynamics
- Exhibit: Impact analysis of DROC, 2021
- Drivers
- Opportunities
- Restraints
- Challenges
- Exhibit: Impact analysis of DROC, 2021
- SWOT Analysis
KEY MARKET INSIGHTS
- Technology Analysis
- (Exhibit: Data Table: Name of technology and details)
- Pricing Analysis
- (Exhibit: Data Table: Name of technology and pricing details)
- Supply Chain Analysis
- (Exhibit: Detailed Supply Chain Presentation)
- Value Chain Analysis
- (Exhibit: Detailed Value Chain Presentation)
- Ecosystem Of the Market
- Exhibit: Parent Market Ecosystem Market Analysis
- Exhibit: Market Characteristics of Parent Market
- IP Analysis
- (Exhibit: Data Table: Name of product/technology, patents filed, inventor/company name, acquiring firm)
- Trade Analysis
- (Exhibit: Data Table: Import and Export data details)
- Startup Analysis
- (Exhibit: Data Table: Emerging startups details)
- Raw Material Analysis
- (Exhibit: Data Table: Mapping of key raw materials)
- Innovation Matrix
- (Exhibit: Positioning Matrix: Mapping of new and existing technologies)
- Pipeline product Analysis
- (Exhibit: Data Table: Name of companies and pipeline products, regional mapping)
- Macroeconomic Indicators
COVID IMPACT
- Introduction
- Impact On Economy—scenario Assessment
- Exhibit: Data on GDP - Year-over-year growth 2016-2022 (%)
- Revised Market Size
- Exhibit: Data Table on Data Analytics Outsourcing Market size and forecast 2021-2027 ($ million)
- Impact Of COVID On Key Segments
- Exhibit: Data Table on Segment Market size and forecast 2021-2027 ($ million)
- COVID Strategies By Company
- Exhibit: Analysis on key strategies adopted by companies
MARKET DYNAMICS & OUTLOOK
- Market Dynamics
- Exhibit: Impact analysis of DROC, 2021
- Drivers
- Opportunities
- Restraints
- Challenges
- Exhibit: Impact analysis of DROC, 2021
- Regulatory Landscape
- Exhibit: Data Table on regulation from different region
- SWOT Analysis
- Porters Analysis
- Competitive rivalry
- Exhibit: Competitive rivalry Impact of key factors, 2021
- Threat of substitute products
- Exhibit: Threat of Substitute Products Impact of key factors, 2021
- Bargaining power of buyers
- Exhibit: buyers bargaining power Impact of key factors, 2021
- Threat of new entrants
- Exhibit: Threat of new entrants Impact of key factors, 2021
- Bargaining power of suppliers
- Exhibit: Threat of suppliers bargaining power Impact of key factors, 2021
- Competitive rivalry
- Skyquest special insights on future disruptions
- Political Impact
- Economic impact
- Social Impact
- Technical Impact
- Environmental Impact
- Legal Impact
Market Size by Region
- Chart on Market share by geography 2021-2027 (%)
- Data Table on Market share by geography 2021-2027(%)
- North America
- Chart on Market share by country 2021-2027 (%)
- Data Table on Market share by country 2021-2027(%)
- USA
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Canada
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Europe
- Chart on Market share by country 2021-2027 (%)
- Data Table on Market share by country 2021-2027(%)
- Germany
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Spain
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- France
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- UK
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Rest of Europe
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Asia Pacific
- Chart on Market share by country 2021-2027 (%)
- Data Table on Market share by country 2021-2027(%)
- China
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- India
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Japan
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- South Korea
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Rest of Asia Pacific
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Latin America
- Chart on Market share by country 2021-2027 (%)
- Data Table on Market share by country 2021-2027(%)
- Brazil
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Rest of South America
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Middle East & Africa (MEA)
- Chart on Market share by country 2021-2027 (%)
- Data Table on Market share by country 2021-2027(%)
- GCC Countries
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- South Africa
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Rest of MEA
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
KEY COMPANY PROFILES
- Competitive Landscape
- Total number of companies covered
- Exhibit: companies covered in the report, 2021
- Top companies market positioning
- Exhibit: company positioning matrix, 2021
- Top companies market Share
- Exhibit: Pie chart analysis on company market share, 2021(%)
- Total number of companies covered
Methodology
For the Data Analytics Outsourcing Market, our research methodology involved a mixture of primary and secondary data sources. Key steps involved in the research process are listed below:
1. Information Procurement: This stage involved the procurement of Market data or related information via primary and secondary sources. The various secondary sources used included various company websites, annual reports, trade databases, and paid databases such as Hoover's, Bloomberg Business, Factiva, and Avention. Our team did 45 primary interactions Globally which included several stakeholders such as manufacturers, customers, key opinion leaders, etc. Overall, information procurement was one of the most extensive stages in our research process.
2. Information Analysis: This step involved triangulation of data through bottom-up and top-down approaches to estimate and validate the total size and future estimate of the Data Analytics Outsourcing Market.
3. Report Formulation: The final step entailed the placement of data points in appropriate Market spaces in an attempt to deduce viable conclusions.
4. Validation & Publishing: Validation is the most important step in the process. Validation & re-validation via an intricately designed process helped us finalize data points to be used for final calculations. The final Market estimates and forecasts were then aligned and sent to our panel of industry experts for validation of data. Once the validation was done the report was sent to our Quality Assurance team to ensure adherence to style guides, consistency & design.
Analyst Support
Customization Options
With the given market data, our dedicated team of analysts can offer you the following customization options are available for the Data Analytics Outsourcing Market:
Product Analysis: Product matrix, which offers a detailed comparison of the product portfolio of companies.
Regional Analysis: Further analysis of the Data Analytics Outsourcing Market for additional countries.
Competitive Analysis: Detailed analysis and profiling of additional Market players & comparative analysis of competitive products.
Go to Market Strategy: Find the high-growth channels to invest your marketing efforts and increase your customer base.
Innovation Mapping: Identify racial solutions and innovation, connected to deep ecosystems of innovators, start-ups, academics, and strategic partners.
Category Intelligence: Customized intelligence that is relevant to their supply Markets will enable them to make smarter sourcing decisions and improve their category management.
Public Company Transcript Analysis: To improve the investment performance by generating new alpha and making better-informed decisions.
Social Media Listening: To analyze the conversations and trends happening not just around your brand, but around your industry as a whole, and use those insights to make better Marketing decisions.
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