Retail Analytics Market: Current Analysis and Forecast (2020-2027)

Retail Analytics Market: Current Analysis and Forecast (2020-2027)

Emphasis on Component (Software, Service); Deployment Type (Cloud, On-premises); Application area (Customer Management, Merchandising Analytics, Supply Chain, In-Store Operations Analytics, Others (Strategy & Planning); End-users (E-commerce, In-store Retailers) and Region & Country

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Published: Apr-2021

Pages:270

Table:123

Figure:179

Report ID:UMAI21210

Automation, leveraging artificial intelligence and other technologies have opened ample opportunities in various industrial verticals inclusive of the retail sector. It has been estimated that in 2018, around 57% of 1300 institutions have adopted artificial intelligence while around 18% were planning to enter the respective arena in 2019. The ability to deliver faster service, increased flexibility, and scalability, improved quality coupled with greater traceability, and increased savings and productivity has enhanced the adoption of analytics in the Retail sector. The influence of the internet specifically via social networking to analyze people’s purchasing behavior has grown over the years. Retailers have started adopting social media as it extends beyond generating visibility and has become one of the major channels to generate revenues. It has been observed that retail social media strategy is essential for enhancing in-store as well as online sales, developing relationships with clients paired with establishing the brands. Furthermore, the benefits of social media for retail business are also analyzed via several users. Around 68% of the US uses Facebook, with more than 70% visit Youtube. Social media sites such as Instagram, Twitter, Pinterest, and Snapchat feature a rising number of new users each day. To add on, 6 Billion mobile subscriptions, 1.01 Billion Facebook users worldwide along with 400 Million Tweets per day with 84 million users access Twitter via mobiles have led to an explosion in smartphone use and social media addiction.

Scope of Big Data and Retailing has increased:

Retailing is already a big data industry. At the macro level, thousands of stores sell hundreds of thousands of SKUs to millions of customers through billions of transactions. For instance, Walmart operates more than 11,000 stores in more than 25 countries, serves more than 35 million customers, and sells around 140,000 items in most of its supercenters. At a micro level, individual consumers have become walking data generators that leave a data trail each time they purchase with their credit card, use a loyalty card, send a text message, or search the web.

Examples of Analytics Support in Retail Business Model Categories

Insights Presented in the Report

“Currently service segment dominates the market with 52.4% share in 2019.”

Based on the component, the Retail Analytics Market is bifurcated into software and service. Currently, the service segment dominates the market, however, the post-2022 software segment is expected to overtake the service segment, a majority of the retailer would deploy analytics solutions in-house.

“Retail analytics solution is major deployed over Cloud.”

Based on deployment type, the global Retail analytics market is bifurcated into cloud and on-premises deployment. Currently, the Cloud deployment model dominates the market, with more than 80% share. The high cost associated with on-premises is the major driver for the Cloud deployment technique. With the growing popularity of cloud computing models, organizations are producing a variety of cloud deployment strategies designed to address specific infrastructure challenges that organizations face.

“Big Retailers are using analytics or big data solutions majorly for Customer Management, followed by Merchandising Analytics.”

Based on the application area, the global Retail analytics market is segmented into Customer Management, Merchandising Analytics, Supply Chain, In-Store Operations Analytics, Others (Strategy & Planning). In 2019, the Customer Management segment dominated the market, generating revenue of US$ 1,350.3 million. Other applications include maintaining procurement levels and making crucial marketing decisions. Retail analytics also provide retailers with detailed customer insights, followed by key insights on the business and processes of the organization with scope and suggestions for improvement if needed.

“North America dominated the Retail Analytics Market, accounting for 46.9% share in 2019.”

For a better understanding of the overall adoption of retail analytics solutions among big retailers, a detailed analysis was conducted for the major region/country including North America (US, Canada); Europe (UK, Germany, France, Spain, Italy); Asia-Pacific (China, Japan, India, South Korea, Australia) and Rest of the World. Asia-Pacific is expected to witness the highest CAGR growth of 22.2% during the forecast period 2021-2027.

Top 10 Competitive Players

Some of the major players operating in the market include Cisco Systems Inc., SAP SE, Microsoft Corporation, Oracle Corporation, IBM Corporation, Tableau Software, Adobe Systems Inc., SAS Institute Inc., Domo, MicroStrategy. The industry has witnessed the emergence of several analytics solution providers who are coming up with innovative retail solutions for the retail companies.

Reasons to buy this report:

  • The study includes current, and demand forecast of Retail analytics solutions trend
  • The report presents a quick review of overall industry performance at one glance.
  • The report covers an in-depth analysis of prominent industry peers with a primary focus on key business financials, product portfolio, expansion strategies, and recent developments.
  • Detailed examination of drivers, restraints, key trends, and opportunities prevailing in the industry
  • The study comprehensively covers the retail analytics demand and stakeholders’ approach in limiting its gap
  • Deep dive regional level analysis of retail analytics market

Customization Options:

The Global Retail Analytics Market can further be customized as per the requirements. Besides this, UMI understands that you may have your own business needs, hence feel free to connect with us to get a report that completely suits your requirements.

    1 MARKET INTRODUCTION
      1.1 Market Definitions
      1.2 Objective of the Study
      1.3 Limitation
      1.4 Stakeholders
      1.5 Currency Used in Report
      1.6 Scope of the Global Retail Analytics Market Study
    2 RESEARCH METHODOLOGY OR ASSUMPTION
      2.1 Research Methodology for the Global Retail Analytics Market
        2.1.1 Main Objective of the Global Retail Analytics Market
    3 MARKET SYNOPSIS  
    4 EXECUTIVE SUMMARY 
    5 RETAIL ANALYTICS MARKET DYNAMICS
      5.1 Market Drivers
      5.2 Market Challenges
      5.3 Market Opportunities
    6 DEMAND AND SUPPLY SIDE ANALYSIS
      6.1 Demand Side Analysis
      6.2 Supply Side Analysis
        6.2.1 Top Product Launches
        6.2.2  Top Business Partnership Expansions & Investments
        6.2.3  Top Mergers and Acquisitions
    7 VALUE CHAIN ANALYSIS
      7.1 Key Facts on Adoption rate of Retail Analytics Solutions
      7.2 Value Chain of Big Data Technology
      7.3 Supply Chain Analysis of Amazon
      7.4 Way to enhance the Retail-Consumer Goods Value Chain
    8 MARKET INSIGHTS BY COMPONENT
      8.1 Software  
      8.2 Services  
    9 MARKET INSIGHTS BY DEPLOYMENT TYPE
      9.1 Cloud Deployment
      9.2 On-premise Deployment
    10 MARKET INSIGHTS BY APPLICATION AREA
      10.1 Customer Management
      10.2 Merchandising Analytics
      10.3 Supply Chain Analysis
      10.4 In-Store Operation 
      10.5 Others (Strategy & Planning)
    11 MARKET INSIGHTS BY END-USER
      11.1 E-Commerce
      11.2 Store Based Retailing
    12 MARKET INSIGHTS BY REGION 
      12.1 Global Retail Analytics Market, By Region
        12.1.1 Market Attractiveness Index, By Region
      12.2 North America Retail Analytics Market 
        12.1 United States
        12.2 Canada
        12.3 Rest of North America
      12.3 Europe Retail Analytics Market
        12.3.1 Germany
        12.3.2 United Kingdom
        12.3.3 France
        12.3.4 Spain
        12.3.5 Italy
        12.3.6 Rest of Europe
      12.4 Asia Pacific Retail Analytics Market
        12.4.1 China
        12.4.2 Japan
        12.4.3 India
        12.4.4 South Korea
        12.4.5 Australia
        12.4.6 Rest of Asia Pacific
      12.5 Rest of World Retail Analytics Market 
    13 COMPETITIVE SCENARIO
      13.1 Retail Analytics Landscape, by Business Model
      13.2 List of Emerging Retail Analytics company Globally
      13.3 Global AI Software Vendors Market Share, by Company 2019
      13.4 Global Retail Application Software Vendors Market Share, by Company 2019
      13.5 Global Big Data and Analytics Software Vendors Market Share, by Company 2018
      13.6 Recent Developments of Top Retail Application Company, 2019
    14 COMPANY PROFILED
      14.1 Cisco Systems Inc
      14.2 SAP SE   
      14.3 Microsoft Corporation
      14.4 Oracle Corporation 
      14.5 Tableau Software
      14.6 MicroStrategy Incorporated
      14.7 Domo Inc  
      14.8 SAS Institute Inc
    15 DISCLAIMER  

Analyzing historical availability, estimation of the current, and forecasting the future demand for retail analytics techniques across the globe have been performed in the three major steps undertaken to create and analyze the availability and demand of analytics or big data in the retail sector. Exhaustive secondary research was conducted to collect the historical numbers and estimate the current demand. Secondly, to validate these insights, numerous findings and assumptions were taken into consideration. Moreover, exhaustive primary interviews were also conducted, with industry experts across the value chain. Post assumption and validation of the numbers through primary interviews, we employed a bottom-up approach to forecast the complete market size of the retail analytics market. Detailed methodology is explained below:

Analysis of Historical Market Size

Step 1: In-Depth Study of Secondary Sources:

Detail secondary study was conducted to obtain the availability and adoption of retail analytics technique among the retailers across the major regions through various sources such as government statements, press releases, journals, news & articles, government publications, competitor publications, research surveys, third-party databases, and other credible publications. For economic data collection, sources such as Trading Economics, Trade Map, World Bank, IMF, and FAO were used.

Step 2: Countries Segmentation:

Segmentation of countries has been done based on the penetration and adoption of analytics or big data among big retailers and internet connectivity in a particular country. Further, a detailed secondary analysis was conducted to gather information on data creation, consumer buying behavior, connectivity penetration, adoption of smartphones, and the scope of big data in the retail sector.

Step 3: Factor Analysis:

After acquiring the information on the influence and benefits of big data in the retail sector. Detailed factor analysis was conducted to estimate the current scope of analytics and big data in the retail sector. Further, we conducted factor analysis using dependent and independent variables such as the growing number of consumer data, the rapid emergence of the e-commerce industry, increasing application and benefit of big data in the retail sector, surging in smartphone penetration, etc. A thorough analysis was conducted for demand and supply-side scenarios considering top partnerships, merger and acquisition, business expansion, product launches, and analyzing the list of start-ups in the industry.

Current Market Size Estimate & Forecast

Current Demand Sizing: Based on actionable insights from the above steps, we arrived at the penetration of retail analytics technique across the retail sector, globally, key players in the Retail Analytics Market, and market shares of these players. All the required percentage shares split was determined using the above-mentioned secondary approach and were verified through primary interviews.

Estimation & Forecasting: For demand estimation and forecast, weights were assigned to different factors including drivers & trends, restraints, and opportunities available for the stakeholders. After analyzing these factors, relevant forecasting techniques i.e., the Bottom-up approach were applied to arrive at the demand estimation forecast to 2027 for the retail analytics market across the globe. The research methodology adopted to estimate the market size encompasses:

  • Analyze the current and demand forecast of Retail analytics solutions
  • Analyze the value chain involved with the presence of various intermediaries.
  • Define and analyze the competitive landscape of the Retail Analytics Market and the growth strategies adopted by the market players to sustain in the growing market!

Market Size and Share Validation

Primary Research: In-depth interviews were conducted with the Key Opinion Leaders (KOLs) including Top Level Executives (CXO/VPs, Sales Head, Marketing Head, Operational Head, and Countries Head, Country Head, etc.) across major countries. Primary research findings were then summarized, and statistical analysis was performed to prove the stated hypothesis. Inputs from primary research were consolidated with secondary findings, hence turning information into actionable insights.

Split of Primary Participants in Different Countries

Market Engineering

Data triangulation technique was employed to complete the overall demand estimation and to arrive at precise statistical numbers for each studied segment and region/country.

Main objective of the Retail Analytics Market Study

The current & future trends in the retail analytics market are pinpointed in the study. Investors can gain strategic insights to base their discretion for investments from the qualitative and quantitative analysis performed in the study. Current and future demand trends were determined by the overall attractiveness of the market at a country level, providing a platform for the industrial participant to exploit the untapped market to benefit as a first-mover advantage. Other quantitative goals of the studies include:

  • Analyze the current and demand forecast of Retail analytics industry trend
  • Analyze the value chain involved with the presence of various intermediaries, along with analyzing customer and competitor behaviors about the industry
  • Major regions studied in the report include North America, Europe, Asia Pacific, and the Rest of the World
  • Define and analyze the competitive landscape of the Retail Analytics Market and the growth strategies adopted by the market players to sustain in the growing market
  • Deep dive country-level analysis on the penetration of retail analytics technique among retailers

Analyzing historical availability, estimation of the current, and forecasting the future demand for retail analytics techniques across the globe have been performed in the three major steps undertaken to create and analyze the availability and demand of analytics or big data in the retail sector. Exhaustive secondary research was conducted to collect the historical numbers and estimate the current demand. Secondly, to validate these insights, numerous findings and assumptions were taken into consideration. Moreover, exhaustive primary interviews were also conducted, with industry experts across the value chain. Post assumption and validation of the numbers through primary interviews, we employed a bottom-up approach to forecast the complete market size of the retail analytics market. Detailed methodology is explained below:

Analysis of Historical Market Size

Step 1: In-Depth Study of Secondary Sources:

Detail secondary study was conducted to obtain the availability and adoption of retail analytics technique among the retailers across the major regions through various sources such as government statements, press releases, journals, news & articles, government publications, competitor publications, research surveys, third-party databases, and other credible publications. For economic data collection, sources such as Trading Economics, Trade Map, World Bank, IMF, and FAO were used.

Step 2: Countries Segmentation:

Segmentation of countries has been done based on the penetration and adoption of analytics or big data among big retailers and internet connectivity in a particular country. Further, a detailed secondary analysis was conducted to gather information on data creation, consumer buying behavior, connectivity penetration, adoption of smartphones, and the scope of big data in the retail sector.

Step 3: Factor Analysis:

After acquiring the information on the influence and benefits of big data in the retail sector. Detailed factor analysis was conducted to estimate the current scope of analytics and big data in the retail sector. Further, we conducted factor analysis using dependent and independent variables such as the growing number of consumer data, the rapid emergence of the e-commerce industry, increasing application and benefit of big data in the retail sector, surging in smartphone penetration, etc. A thorough analysis was conducted for demand and supply-side scenarios considering top partnerships, merger and acquisition, business expansion, product launches, and analyzing the list of start-ups in the industry.

Current Market Size Estimate & Forecast

Current Demand Sizing: Based on actionable insights from the above steps, we arrived at the penetration of retail analytics technique across the retail sector, globally, key players in the Retail Analytics Market, and market shares of these players. All the required percentage shares split was determined using the above-mentioned secondary approach and were verified through primary interviews.

Estimation & Forecasting: For demand estimation and forecast, weights were assigned to different factors including drivers & trends, restraints, and opportunities available for the stakeholders. After analyzing these factors, relevant forecasting techniques i.e., the Bottom-up approach were applied to arrive at the demand estimation forecast to 2027 for the retail analytics market across the globe. The research methodology adopted to estimate the market size encompasses:

  • Analyze the current and demand forecast of Retail analytics solutions
  • Analyze the value chain involved with the presence of various intermediaries.
  • Define and analyze the competitive landscape of the Retail Analytics Market and the growth strategies adopted by the market players to sustain in the growing market!

Market Size and Share Validation

Primary Research: In-depth interviews were conducted with the Key Opinion Leaders (KOLs) including Top Level Executives (CXO/VPs, Sales Head, Marketing Head, Operational Head, and Countries Head, Country Head, etc.) across major countries. Primary research findings were then summarized, and statistical analysis was performed to prove the stated hypothesis. Inputs from primary research were consolidated with secondary findings, hence turning information into actionable insights.

Split of Primary Participants in Different Countries

Market Engineering

Data triangulation technique was employed to complete the overall demand estimation and to arrive at precise statistical numbers for each studied segment and region/country.

Main objective of the Retail Analytics Market Study

The current & future trends in the retail analytics market are pinpointed in the study. Investors can gain strategic insights to base their discretion for investments from the qualitative and quantitative analysis performed in the study. Current and future demand trends were determined by the overall attractiveness of the market at a country level, providing a platform for the industrial participant to exploit the untapped market to benefit as a first-mover advantage. Other quantitative goals of the studies include:

  • Analyze the current and demand forecast of Retail analytics industry trend
  • Analyze the value chain involved with the presence of various intermediaries, along with analyzing customer and competitor behaviors about the industry
  • Major regions studied in the report include North America, Europe, Asia Pacific, and the Rest of the World
  • Define and analyze the competitive landscape of the Retail Analytics Market and the growth strategies adopted by the market players to sustain in the growing market
  • Deep dive country-level analysis on the penetration of retail analytics technique among retailers

Retail Analytics Market: Current Analysis and Forecast (2020-2027)