Disaster recovery as a service or DRaaS is a set of processes that assist the enterprise to develop and implement a strong disaster recovery plan. These processes are offered by third party vendors and are known to be one of the fastest growing segments in the market for cloud based services. Global DR as a service market has strong potential for delivering cloud based recovery solutions or plans that take care of business continuity at affordable costs. Increasing demand for disaster recovery plans and failure of preexisting solutions are driving the global market at an impressive rate. The industry is currently claimed to be ideal for short and long term investments in terms of revenue and business prospects. Rising demand from emerging markets is also a strong reason for the market to maintain the current pace.
Major Drivers for DRaaS Market
Constant changes in global economy and generalized use of information technology in day-to-day life have major influence on financial growth, business development, enterprise productivity, customer loyalty and such crucial factors. Conventional disaster recovery plans take away substantial part of annual expenses of the organizations and fail to provide complete backups. Solutions available in the DR as a service market work with pay as you go models, which are becoming highly convenient for organizations across the world. Reduced money and downtime in DRaaS and such cloud based solutions is attracting more and more customers. Small and medium businesses or SMBs are the main target for the industry. In order to meet rising customer demands the industry is coming up with innovative solutions, which is driving the market ahead. Immense growth in demand from emerging markets like APAC, LA and MEA also play a crucial role in the growth of this industry.
DR as a service market is segmented based on the types of Raas, storage, service providers, business verticals, size of the businesses and geographic demand. Following are the details:
- Types: Hardware to cloud (H2C), self disaster recovery and cloud to cloud (C2C)
- Storage: 10TB and above, 1TB to 10TB and 1TB and below
- Services: Cloud service providers, disaster recovery service providers, telecom and IT service providers, technology partners, suppliers and other service providers
- Organizations: Small and medium businesses or SMBs, large enterprises, small offices and home offices
- Verticals: BFSI, manufacturing, healthcare, academia and government, web, ecommerce, manufacturing and other business verticals
- Geography: North America (NA), Latin America (LA), Asia Pacific (APAC) and Middle East and Africa (MEA)
Based on latest market research reports, DR as a service market is poised to witness explosive growth in CAGR worth over 55% from 2013 to 2018. During the forecasting period of over five years, the market is expected to become worth $5.77 billion by 2018, which was worth $640.8 million in 2013. During the forecasting period, emerging markets like Latin America and Middle East and Africa are expected to record exceptional growth. These regions will be followed by Europe and Asia Pacific regions. Improved awareness and growing computerization are the strongest driving factors for the industry in this region.