The embedded analytics market has shown significant traction and is projected to grow with a high Compound Annual Growth Rate (CAGR) of 13.6%, and is expected to reach USD 46.19 billion by 2021. Advent of big data and Internet of Things (IoT), increasing dependence on mobile and cloud technologies and increasing demand for infused analytics in business applications are driving the embedded analytics market growth. The embedded analytics market is projected to have an increasing growth owing to the rapid increase the demand of advanced analytics by large companies.
The embedded analytics market is gaining traction and is a profitable market for embedded analytics solution and service providers as various organizations are looking for advanced solutions to perform data management and data analytics so as to get actionable insights out of the huge chunks of organizational data. Additionally, the advent of cloud-based technologies has provided cost-effective analytical solutions to various organizations.
Analytical tools such as self-service and reporting have shown higher growth rate during forecast period. Self-service tools enable business users to create personalized reports and conduct analysis without the involvement of IT teams. Along with self-service, the reporting tool has also gained traction among the enterprises. The reporting tool is widely used by organizations to capture data from various sources, such as mobile devices, social media, media files, and much more, to get actionable insights out and take strategic business decisions.
Human Resource (HR) and sales business applications will have a higher growth rate during the forecast period. HR application enables organizations to generate meaningful insights from workforce data to better predict the need for resources. HR application includes the planning for talent acquisition, attrition risk management, and employee sentiment analysis and capacity planning. The sales business application will see growing demand as the application enables enterprises to understand the trends and create actual forecasts. Analytics infusion into basic system software such as Customer Relationship Management (CRM) or Enterprise Resource Planning (ERP) alibrates analysis leading to better and quick actionable decisions.
On-cloud deployment of embedded analytics tools is expected to grow at the highest CAGR during the forecast period. The scalability and agility of cloud-based technologies and ease in integration, installation, configuration, optimization, maintenance, and support will play a vital role in the growth of on-cloud deployment. Lower maintenance cost and less workforce requirement are the factors driving the cloud-based embedded analytics market space across various verticals.
The manufacturing sector is expected to grow at the highest CAGR during the forecast period in the embedded analytics market. The growth of embedded analytics in manufacturing is evident as the industry is benefitting by improved process efficiency, centralized production monitoring, and real-time data to improve performance metrics. Infusing analytical tools within the business applications in the manufacturing industry has helped in optimizing cost, which ultimately has increased the agility of managers to take business decisions effectively.
Asia-Pacific (APAC) is estimated to grow at the highest CAGR during the forecast period. In the APAC region, there is tremendous demand for embedded analytics technologies with advanced analytics tools that provide comprehensive support and specialty in real-time access of data facilitating enterprises to comprehend business scenario and take quicker and faster decisions.
