Trusted Business Insights answers what are the scenarios for growth and recovery and whether there will be any lasting structural impact from the unfolding crisis for the Business Intelligence Software market.
Trusted Business Insights presents an updated and Latest Study on Business Intelligence Software Market 2019-2026. The report contains market predictions related to market size, revenue, production, CAGR, Consumption, gross margin, price, and other substantial factors. While emphasizing the key driving and restraining forces for this market, the report also offers a complete study of the future trends and developments of the market. The report further elaborates on the micro and macroeconomic aspects including the socio-political landscape that is anticipated to shape the demand of the Business Intelligence Software market during the forecast period (2019-2029).
It also examines the role of the leading market players involved in the industry including their corporate overview, financial summary, and SWOT analysis.
Industry Insights, Market Size, CAGR, High-Level Analysis: Business Intelligence Software Market
The global business intelligence software market size was valued at USD 24.9 billion in 2018 and is expected to witness a CAGR of 10.1% from 2019 to 2025. Large organizations have adopted the Big Data approach to organize internal and external datasets. Owing to technological proliferation, and growing usage of IoT and analytics, companies can now track and compile behavioral data with a clear purpose.
Business intelligence software enables businesses to make informed decisions based on logical facts involving market trends and consumer buying patterns. For instance, data exists in a number of systems across the large organization as they own CRM and ERP applications. Hence, the primary step to utilize BI is to prepare an inventory of the data produced by the business. Furthermore, the increasing adoption of data analytics in end use industries to analyze the data and make more informed business decisions is expected to drive demand for the BI software.
The market is majorly driven by extensive use of e-commerce and increase in adoption of data-oriented business models by small, medium, and large organizations. For instance, restaurant chains such as Wendys and Ruby Tuesday in the U.S. are significantly using BI software to enhance customer relationship. The BI approach enables the companies to implement strategic decisions in a way such that it brings out a positive transformation resulting in a high quality customer service. Moreover, increasing use of data and business analytics software backed by continuous investments in business intelligence and tools is generating a high revenue growth.
Growing demand for cloud-based business solutions in the SME sector is driving the market. Rising awareness for several benefits offered by BI software enables a high scope for organizations to target their customers and enhance user experience. Data scalability is a prominent feature of BI software and applications. For instance, options such as subscription, pay-per-use, and pay-as-you-go are some of the prominent techniques that helps an organization to scale their data. In addition, a BI software also helps in tracking the KPIs, which consists an umbrella of tools that uses big data and develops highly useful metrics for evaluation of feedback.
On the contrary, significant cost incurred in licensing and installing a BI software is expected to pose as a challenge to the market growth. The licensing prices of BI software are not entirely based on software development costs but are largely influenced by the market conditions at the time of purchase. Furthermore, the organizations are already benefitting from the traditional BI tools and are skeptical in adopting the advanced BI software. In spite of the fact that the advantages of adopting BI software are plenty, the initial investment of buying a suitable BI platform or software, implementing it in the organization, and training the employees on utilizing it is high.
Technology Insights of Business Intelligence Software Market
Based on technology, the BI software market is segmented into cloud business intelligence, mobile business intelligence, social business intelligence, and traditional business intelligence. The cloud business intelligence segment accounted for a significant market share as cloud solutions offer predictive maintenance for clients, which covers the expenses for hardware and software problems. Furthermore cloud business intelligence software is easy to install in the existing business operations and allow enterprises to focus on their core business. The software allows user to access data from mobile, tablet, laptop, desktop, and other devices connected to the network. This is further expected to drive demand for the cloud business intelligence software over the forecast period.
Social business intelligence is an important aspect of the BI industry, wherein the growing number of individuals within a domain produce massive amounts of information for future access. For instance, in healthcare, social business intelligence can provide key insights that can enhance outcome for patients treatment, analysis of treatment plans, and minimizing the hospitalization expenses. Rising usage of social media sites such as Twitter, Facebook, LinkedIn, YouTube, and Instagram is also expected to drive the demand for the social business intelligence segment to manage the rapidly growing user data.
Function Insights of Business Intelligence Software Market
Based on function, the market is segmented into executive management, finance, information and deployment, and sales and marketing. The finance function segment dominated the market in terms of revenue in 2018 and was valued at USD 7.6 billion. The extensive use of financial tools for collecting, processing, and analyzing financial data in real-time environments that help in making in better business decisions, is expected to drive growth of the finance segment. BI tools enable finance department within an organization with key insights pertaining to future trends, subsequently allowing the company to calculate risk.
Executive management is anticipated to witness remarkable growth over the forecast period. The rise in adoption of BI software for strategical decision making by organizations is expected to drive demand for the executive management segment. The necessity of BI for organizations stems from decision support systems wherein managers use computer applications to test their decisions. In the recent years, digital applications such as online analytical processing (OLAP), executive information systems (EIS), predictive analysis, and data mining have gained a traction in the information industry.
On the basis of tool, the market is segmented into dashboards and scorecards, OLAP and visualization tool, predictive analytics, and query reporting and search tools. The query reporting and search tools segment dominated the market in 2018. Transporting raw data and conducting an in-depth analysis enables consumers to gain insights for their business by employing the information assets as and when needed. Therefore, the search tools can help consumers to impart significant learning about the product/service they wish to opt for.
The dashboards and scorecards segment is expected to witness remarkable growth over the forecast period. BI enabled dashboards and scoreboards allow businesses to analyze the data to enable corporate staff and end users with more informed business decisions. Dashboards and analytical tools relay a significant level of focus on measurements that are important for business decisions. It provides visual representation of key performance indicators (KPI) in the form of charts, graphs, and maps, which allow businesses to take more informed decisions.
Deployment Insights of Business Intelligence Software Market
On the basis of deployment, the business intelligence (BI) software market is segmented into hosted and on-premise. On-premise deployment is easy to configure and easily integrated with existing IT and operational systems. This is expected to drive demand for on-premise deployment segment over the forecast period. Although, cloud hosting being a preferred strategy, many vendors opt for on-premise BI strategy. Major advantages of on-premise implementation include a high degree of customization and resultantly incurs lower costs if there are any additional resources.
Cloud deployment enable business applications to be scaled quickly, can be easily integrated with third-party applications, and provides security at all levels of the enterprise IT architecture so that these applications can be monitored remotely. Furthermore, deploying cloud based BI software allows businesses to concentrate on their core activities rather than managing their IT environment. The small and medium enterprises are increasingly adopting cloud BI software owing to its cost effectiveness. These factors are further expected to boost growth of the cloud deployment segment over the forecast period.
Enterprise Size Insights
On the basis of enterprise size, the market is segmented into large enterprises and small and medium enterprises. Both large and small and medium enterprises are increasingly adopting BI software to strengthen the internal as well as external business processes. The use of real-time data compilation tools and advanced analytical engines are driving the demand for BI software in large enterprises. The high emphasis on resource allocation and strategic decision-making is further expected to drive the growth of large enterprises segment.
BI software allows small and medium enterprises to analyze their corporate data and to make decisions to drive profitability and growth in the market. BI software also gathers customer data from various online channels and allow small and medium enterprises to identify buyers and bring their products and services to their target market. These factors are expected to further drive demand for BI software in small and medium enterprises segment.
On the basis of end use, the market is segmented into BFSI, government, healthcare, IT and telecom, manufacturing, media and entertainment, and others. BFSI is the leading end-use segment in 2018 accounting for a high revenue share. This dominance can be attributed to increased deployment of BI software to enable constant access to client database, secure transactions, and enhanced client experience. The BI software allows financial institutions to analyze large amounts of customer data to gain insights about their customers, which can be used to improve products and services.
Manufacturing is the leading segment that has witnessed significant changes in the recent years due to rise in global competition, which results in eradicating traditional approach and creating data-oriented structure. As manufacturing costs are growing rapidly following a decline in profit margins, government regulations are also thickening for the manufacturing sector all across the globe. On this background, the manufacturing industry is subject to demand for a data-driven business model. Growing adoption of Internet of Things (IoT) in production process and Industry 4.0 initiative are making the conditions ideal for the manufacturing industry to opt for BI software.
Regional Insights of Business Intelligence Software Market
North America dominated the market in 2018 and was valued at USD 8.2 billion. This dominance can be attributed to the rise in adoption of BI applications and digitalization across various domains. High adoption of cloud strategy has doubled the rate of usage for business intelligence. Presence of major players in cloud BI software in North America is expected to propel the regional growth of the market.
Asia Pacific is expected to emerge as the fastest growing region owing to the rise in demand in emerging economies such as China and India. Significant adoption of BI software and tools, outsourcing activities for cloud deployment, and demand for customer insights are some of the major highlights for the growth of the Asia Pacific regional market. Organizations in the region are focusing to enhance their management system and increase overall efficiency to stay competitive in the market. This is expected to provide lucrative business opportunities for BI software industry participants over the forecast period.
Market Share Insights of Business Intelligence Software Market
The key players in the market are Cloud9 Analytics; Google, Inc.; IBM Corporation; Informatica; Microsoft Corporation; Oracle Corporation; SAP SE; SAS Institute, Inc.; and Tableau Software. High penetration of e-commerce mainly in the emerging economies such as India, China, and Brazil is anticipated to create lucrative opportunities for business intelligence software industry participants during the forecast period.
The market players are increasingly undertaking initiatives such as new product launches and product updates, to stay competitive in the market. The companies are also heavily investing in research and development activities to develop advanced BI software. For instance, in 2018 Microsoft Corporation invested USD 14.7 billion in research and development to develop advanced products and services, which helped the company to maintain a competitive advantage over its competitors.
Segmentations, Sub Segmentations, CAGR, & High-Level Analysis overview of Business Intelligence Software Market Research Report
This report forecasts revenue growth at global, regional, and country levels and provides an analysis on the latest industry trends in each of the sub-segments from 2014 to 2025. For the purpose of this study, this market research report has segmented the global business intelligence (BI) software market report based on technology, function, tool, deployment, enterprise size, end use, and region.
Technology Outlook (Revenue, USD Billion, 2019 – 2030)
Cloud Business Intelligence
Mobile Business Intelligence
Social Business Intelligence
Traditional Business Intelligence
Function Outlook (Revenue, USD Billion, 2019 – 2030)
Information and Deployment
Sales and Marketing
Tool Outlook (Revenue, USD Billion, 2019 – 2030)
Dashboards & Scoreboards
OLAP & Visualization Tools
Query, Reporting & Search Tools
Deployment Outlook (Revenue, USD Billion, 2019 – 2030)
Enterprise Size Outlook (Revenue, USD Billion, 2019 – 2030)
Small & Medium Enterprises
End-use Outlook (Revenue, USD Billion, 2019 – 2030)
IT & Telecom
Media & Entertainment
Quick Read Table of Contents of this Report @ Business Intelligence Software Market Size, Market Research and Industry Forecast Report, 2019-2025 (Includes Business Impact of COVID-19)
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