The global product analytics market generated a revenue of $7,309.3 million in 2018, and it is predicted to reach a value of $16,804.8 million by 2024, exhibiting a CAGR of 15.3% from 2019 to 2024 (forecast period). The market is being driven by various factors, such as the increasing number of mobile application users, growing digitalization, emergence of predictive analytics and artificial intelligence (AI), and mushrooming use of social media platforms across the globe.

With rising digitization and digital engagement, the consumer pool of retail, e-commerce, banking, e-gaming, and various other digital service providing organizations is soaring. Moreover, the expectation of customers for on-demand, reliable, and fast services during digital transactions and interactions is also surging. This is subsequently pushing up the requirement for product analytics solutions, as these solutions assist in tracking the behavior of customers and improving the offerings of companies. Furthermore, with rapid digitalization, many enterprises are increasingly developing digital intelligence to adapt quickly to the changing behavior of customers and provide personalized services with increased interaction.

Besides the aforementioned factor, the rising internet penetration in developing nations, such as China and India, and developed economies, such as Singapore, Australia, and the U.S., is also propelling the growth rate of the product analytics market. According to the World Bank, around 57.0% of the global population had access to the internet in 2019. Furthermore, according to the Office for National Statistics, out of all households in Great Britain, 90% had access to the internet in 2018.

Additionally, the organization also reported that the share of daily internet users in the island’s population surged from 35% in 2006 to 86% in 2018. Depending on service type, the market is divided into professional and managed services. Between these, the professional services category contributed higher revenue to the market in 2018, because of the high requirement for expert insights into the use and adoption of advanced analytics solutions along with the need for consultancy.

When deployment type is taken into consideration, the product analytics market is classified into cloud-based and on-premises. Between the two, the cloud-based category dominated the market in the years gone by, and it is predicted to exhibit faster growth throughout the forecast period. This will be because the cloud-based deployment mode provides flexible storage and fast data access to product teams, which, in turn, enables better tracking of customer behavior.

The product analytics market is also categorized, based on industry, into banking, financial services, and insurance (BFSI), manufacturing, media and entertainment, automotive, healthcare, government, energy and utilities, and retail. Out of these, the BFSI category will generate the highest revenue in the market in the coming years, according to the market research firm, PS Intelligence. This will be because of the rapid shift from conventional banking to digital banking, burgeoning requirement for personalized banking services, growing need for providing improved customer services, and surging customer preference for digital channels.

Thus, the market will boom in the upcoming years, mainly because of the rapid digitalization, surging number of mobile application users, and growing use of social media platforms across the world.