Business Intelligence Software Market Outlook 2031
The global business intelligence software market size was valued at USD 21.50 Billion in 2022 and is anticipated to reach USD 46.77 Billion by 2031, expanding at a CAGR of 9.02% during the forecast period, 2023-2031. The growth of the market is attributed to the growing usage of internet of things technology, analytics, technological proliferation, and with the use of software organizations can now track and collect behavioral data for business growth.
Business intelligence (BI) refers to the combination of technologies and different strategies used for the analysis of the data to deliver business information to the enterprise. BI accumulates current as well as past data for analysis.
BI software is type of application software used by business to collect, analyze and transform data into key business insights. BI software helps organizations to make informed decisions based on consumer buying pattern and logical facts involving market trends.
The COVID-19 pandemic outbreak had a considerable impact on market. During pandemic, lockdown and social distancing norms were imposed by government bodies resulted in business shutdown which hindered the market.
However, introduction of work from policy by various organization lead to adoption of BI software for responding new challengers raised in pandemic. Additionally, healthcare sector is adopting BI software for remote health monitoring of patients.
Business Intelligence Software Market Trends, Drivers, Restraints, and Opportunities
- Rising implementation of data analytics by industry verticals to analyze the data for making more informed business decisions is one of the key factor driving the market growth.
- Increasing implementation of data-oriented business models by large and small & medium enterprises is projected to drive the market expansion during the forecast period.
- Escalating cost of installing and licensing BI software acts as a major challenge that can restrict the market growth in the coming years.
- Decreasing adoption of BI software due to high cost of training the employees on utilizing it can hamper the market growth during the projected timeline.
- Developing BI software applications which are compatible with smartphones is projected to create significant growth opportunities for the market.
Scope of Business Intelligence Software Market Report
The report on the global business intelligence software market includes an assessment of the market, trends, segments, and regional markets. Overview and dynamics have also been included in the report.
Business Intelligence Software Market - Global Industry Analysis, Growth, Share, Size, Trends, and Forecast
Deployments (On-premise and Hosted), End-users (Media & Entertainment, Healthcare, IT & Telecom, BFSI, Government, Manufacturing, and Others), Functions (Finance, Sales & Marketing, Executive Management, and Information & Deployment), Enterprise Sizes (Small & Medium Enterprises and Large Enterprises), Technologies (Mobile Business Intelligence, Traditional Business Intelligence, Cloud Business Intelligence, and Social Business Intelligence), and Tools (OLAP & Visualization Tools, Query, Reporting & Search Tools, Dashboards & Scoreboards, and Predictive analysis)
Asia Pacific, North America, Latin America, Europe, and Middle East & Africa
Company Share, Market Analysis and Size, Competitive Landscape, Growth Factors, and Trends, and Revenue Forecast
Key Players Covered in the Report
Google, Inc.; Informatica; Oracle Corp.; SAS Institute, Inc.; Cloud9 Analytics; IBM Corp.; Microsoft Corp.; Tableau Software; and SAP SE Corp.
Business Intelligence Software Market Segment Insights
Deployments Segment Analysis
Based on deployments, the global business intelligence software market is bifurcated into on-premise and hosted. The on-premise segment is expected to grow at a rapid pace during the forecast period attributed to easy integration with existing operational and IT systems and easy to configure as well as high degree of customization with lower costs.
However, the hosted segment is anticipated to expand at a substantial CAGR in the coming years due to its cost effectiveness nature and it allows businesses to concentrate on their core activities.
End-users Segment Analysis
In terms of end-users, the market is divided into media & entertainment, healthcare, IT & telecom, BFSI, government, manufacturing, and others. The BFSI segment is expected to account for a major market share during the projected timeline owing to rising use of BI software by banking and financial institutes.
Moreover, it also provides continuous access to buyer database, better customer experience, unified communication with buyers, and segmentation of costumers, which presents a major factor driving the segment.
On the other hand, the manufacturing segment is projected to expand at a considerable CAGR during the forecast period due to increasing competition across the globe, which lead to eliminate the traditional approach and implementation of technologically advanced BI tools.
Functions Segment Analysis
On the basis of functions, the global business intelligence software market is segregated into finance, sales & marketing, executive management, and information & deployment.
The finance segment is estimated to account for a significant market share during the forecast period attributed to escalated use of financial tools for gathering, processing, and studying financial data in real-time which helps in making better business decisions.
However, the executive management segment is anticipated to grow at a high CAGR during the projected period due to the boost in the implementation of BI software for strategical decision making by enterprises.
Enterprise Sizes Segment Analysis
Based on enterprise sizes, the market is bifurcated into small & medium enterprises and large enterprises. The large enterprises segment is estimated to expand at robust growth rate during the forecast period owing to increase in use of advanced analytical tools and real-time data compilation solutions by large enterprises.
On the other hand, the small & medium enterprises segment is projected to expand a considerable CAGR during the forecast period attributed to the use of BI software for gathering customer data from digital platforms, helping small & medium enterprises to categorize buyers, and fetch their services and products to their target market.
Technologies Segment Analysis
In terms of technologies, the global business intelligence software market is fragmented into mobile business intelligence, traditional business intelligence, cloud business intelligence, and social business intelligence.
The cloud business intelligence segment is estimated to account for a major market share during the forecast period owing to cloud solutions offer predictive maintenance for customers, which covers the expenditures for software and hardware problems.
Furthermore, cloud business intelligence software is easy to implement in the present business operations as well as, helps enterprises to focus on their core business, which is projected to accelerate the segment growth further.
On the other hand, the social business intelligence segment is expected to expand at a robust CAGR in the coming years due to growing use of social medial platforms gathers large volume of data so, this software helps to manage the rapidly growing user data.
Tools Segment Analysis
On the basis of tools, the market is segmented into OLAP & visualization tools, query, reporting & search tools, dashboards & scoreboards, and predictive analysis.
The query, reporting & search segment is projected to expand at high growth rate in the projected timeline attributed to analysis of raw data and carrying an in-depth analysis helps customers to gain insights for their enterprises by using the information.
However, the dashboards & scoreboards segment is anticipated to register a substantial CAGR during the forecast period owing to its help to businesses for analyzing the data which helps end-users and corporate staff with more informed business decisions.
Additionally, dashboards & scoreboards tools gives a graphic representation in the form of maps, charts and graphs which enables businesses to make more informed decisions is major driver of the segment
In terms of region, the global business intelligence software market is classified as Asia Pacific, North America, Latin America, Europe, and Middle East & Africa.
North America is anticipated to constitute a key share of the market during the projected period owing to installation of BI software by key market players in the region and rapid digitalization across industries.
However, the Asia Pacific market is anticipated to grow at a rapid pace during the forecast period due to the rise in demand for customer insights implementation of BI tools and software, and outsourcing activities for cloud deployment in the region.
The global business intelligence software market has been segmented on the basis of
- Media & Entertainment
- IT & Telecom
- Sales & Marketing
- Executive Management
- Information & Deployment
- Small & Medium Enterprises
- Large Enterprises
- Mobile Business Intelligence
- Traditional Business Intelligence
- Cloud Business Intelligence
- Social Business Intelligence
- OLAP & Visualization Tools
- Query, Reporting & Search Tools
- Dashboards & Scoreboards
- Predictive analysis
- Asia Pacific
- North America
- Latin America
- Middle East & Africa
Key players competing in the global business intelligence software market are Google, Inc.; Informatica; Oracle Corp.; SAS Institute, Inc.; Cloud9 Analytics; IBM Corp.; Microsoft Corp.; Tableau Software; and SAP SE Corp.
Companies are focusing on investment in R&D for development of technological advanced BI software for the market. Furthermore, companies are widely engaging in strategic partnership, merger & acquisition, new product launch, and collaborations to boost their market share and acquiring new buyers. For instance,
- In 2018, Microsoft Corp. invested USD 14.7 billion in R&D to develop technological advanced services and products. This investment helped the company to maintain a competitive advantage over its competitors.
- In June 2019, Looker Data Sciences, Inc. the U.S. based computer software company was acquired by Google, Inc. This acquisition was aimed to develop comprehensive analytics solution that visualizes and integrates data insights at every step of business.