Business intelligence market gets commoditized
There is a fundamental shift in the rapidly growing market for technology tools that allow businesses to search and analyse data. Business intelligence (BI) tools empower corporate users to take control of their data. This will precipitate a major expansion in adoption amongst new user groups and lead to the creation of a mass market for BI tools.
Pringle & Company, a technology market research firm, define this next generation of data tools as business-led BI: low-cost, self-serve–requiring limited IT support, highly-visual user interfaces and analytical output, universality—useful to a wide range of user types, and native mobility allowing access from any location or device.
Although it is currently a relatively modest part of the global market for business intelligence, accounting for some $ 4 billion in 2013 or just over 4 percent of a $91.6 billion market, business-led BI has a growth trajectory of 35.7 percent—double that of the wider BI market—which will see it nearly quadruple in size by 2017.
Tom Pringle, author of the report said that BI tools have been available for years but the barriers to adoption—technical complexity, high cost and lengthy timescales for delivery—have limited uptake to a relatively small group of users predominantly within large corporations. Three IT market super trends: a growing appreciation of the value of data, evolution of technology capability and the consumerization of business IT are now merging. Together, they provide the right environment for data analysis tools which are explicitly defined by the needs of average business users to flourish.
In time, business-led BI will become the market for BI as an ever-greater proportion of BI solutions are updated to meet the needs of the average business user. Pringle & Company estimate the overall market for business intelligence, combining software and services to be $ 91.6 billion in 2013 growing year-on-year at around 16 percent to reach $143.3 billion in 2016.
In the India context, IT advisory firm Gartner Inc., predicted that the BI software revenue in India is forecast to reach $113 million in 2013. “Pressures from consumers, environmental policies, government and industry regulations, international standards of quality, and internal operational efficiency are forcing enterprises to improve their operations and processes to become both agile and efficient in a volatile marketplace. These internal and external pressures are driving increased adoption of analytics solutions across the country,” said Bhavish Sood, Research Director, Gartner.
The reason for its rapid adoption is because Indian organizations are not bound by the traditions that hold back the established markets and are more open to innovations. This is stemming from the organizational realization that information is changing the world and every business user is contributing to that transformation, said Phillip Beniac, Regional Vice President-APAC, QlikTech.
Sudesh Prabhu, Senior Director, Sales, EPM/BI & Exalytics, Oracle India, said the general trend is that organizations are adopting a mix of cloud and non-cloud BI deployments. “With rapidly evolving technology trends like big data, mobility and cloud computing, companies are looking at fast, interactive and insightful analytics or BI to remain ahead of competition. Mobile BI equips them to do this and there is growing interest among Indian organisations to deploy mobile BI,” he said.
“We see particular traction in the BFSI, manufacturing, automotive, retail, and pharmaceuticals sectors, with customers such as HDFC Standard Life, Fullerton, Flipkart, Canon, Godrej Consumer Products, and Wanbury. According to Gartner, only 22 percent of employees of an organization use BI; we want to tap into the other 78 percent employees and make BI available to everyone,” said Beniac.
- Cloud Is Critical For Driving Semicon Industry's Growth
- How Tech Is Helping Rethink Customer Engagement
- Key Technologies Redefining Human Resources
- Study Shows Digital Trust Gap Between Companies And Consumers
- Oracle To Showcase Its SaaS Innovation With AI In India
- Research Reveals AI Is Creating More 'Human Friendly' Workplaces
- Businesses Should Educate Consumers On AI For Smarter Outcome: Study
- Humanizing User Experience through AI
- IT Veteran Shyam Ramamurthy Joins Goals101 As Chief Product Officer
- 6 Key Trends For Artificial Intelligence Powering The Investment Sector