Innovation Management Market Size, Share, Growth Analysis, By Offering(Solutions, Services (Professional Services (Consulting, System Integration, Training), By Function(Product Development, and Business Processes), By Innovation Management Tools(Project Management Platforms, Marketing Platforms, Design Platforms, Idea Management Platforms), By Vertical(IT & ITeS, Telecom, Banking, Financial Services), By Region - Industry Forecast 2024-2031

Drivers

Innovation Driven Corporate Workforce  

• As the competition progresses, businesses are gaining an edge with innovations. Through innovation companies can differentiate their product from the competition and gain access to a new consumer segment. With the need to change the business strategy almost all of the industry is shifting their focus from current operations to future opportunities. As a result, this leads in managing the ideas/ innovations on same platform and creates a market favorable system for innovation management.  

Growing Demand for Data Driven Decision Making  

• Demand for innovation management is anticipated to be stimulated due the potential of innovation management in providing efficient resource allocation, cost efficiency and aiding with optimum business strategies while considering return on investment (ROI) on the projects implemented by the enterprises. It is expected that the software will contribute precisely to getting compatible innovation strategies with providing data-driven insights.  

Restraints 

Low Clarity on Return of Investment  

• The foremost factor hindering adoption of these services is absence of any specific metrics for return on investment (ROI) derived from using such services, which in turn lowers objective measures against revenue growth of the market. On account of using innovation management solutions, companies only earn sporadic returns carrying their investments. Hence, this is also responsible for its low priority resulting in a lower purchase of the products and services provided by the company.  

High Initial Cost and Concerns Regarding Data Security  

• The management of unique innovation is a very secretive process where the company cannot afford to circulate it outside without a proper confidentiality agreement as that will result in huge financial loss for them. Equally, the cost of software deployment also comes to consideration while managing innovation. This might add to the R&D expense. But since the end-users most of the time do not get a good knowledge about innovation management software long-term benefit, they will not want to place a larger amount during initial setup.