Retail Analytics Market Size, Share, Opportunities, And Trends By Type (Software, Services), By Deployment (Cloud, On-premise), By End-User (Merchandising, Supply Chain, Strategy & Planning, Store Operations, Marketing), And By Geography - Forecasts From 2023 To 2028

  • Published : Jul 2023
  • Report Code : KSI061615238
  • Pages : 148

The retail analytics market is estimated to grow at a CAGR of 21.56% to reach US$32.808 billion in 2028 from US$8.364 billion in 2021.

Retail analytics uses cutting-edge technology like big data and data mining to analyze enormous databases and derive actionable business insights. It helps companies create efficient strategies for their operations based on the behaviour of their customers. The need to increase sales performance, generate more income, and pinpoint consumer trends and preferences will drive market expansion. Artificial intelligence (AI)-enhanced retail systems provide insightful data to boost sales and improve customer experience. E-commerce companies can use big data analytics to comprehend and take action on critical data insights by understanding the purchasing habits of their customers. To meet the increased demand for digital solutions, tech companies are releasing sophisticated retail analysis tools.

Increasing Demand for In-Store Operations

Analytics based on in-store operations have become an essential component of any brick-and-mortar retailer's operational strategy. Further understanding of devoted customers results in the creation of strategies to raise client stickiness, with advantages ranging from providing the right product to the right customer. Further, retailers achieve digital transformation in stores when they offer their customers personalized experiences using various technologies, such as assessing client preferences, recognizing client locations in-store, targeted advertisements, and purchasing behaviors. Additionally, this has also increased the demand for consumer electronics technology. For instance, as per the 2022 report by Consumer Technology Association, the retail revenue from consumer electronics technology sales increased from US$461 billion in 2021 to US$505 billion in 2022 in the United States.

Advantage in Boosting Profits

According to NewGenApps, businesses that decide to take advantage of big data analytics to the fullest extent could see a 60% increase in operating earnings. Additionally, the omnichannel retailer may maintain track of consumer activity in-store and offer customers timely discounts to encourage in-store purchases or later online sales, keeping the transaction within the retailer's control. Through micro-targeting, Quantzig, a data analytics and advising company helped a German fashion retailer boost in-store sales and profitability by 12%.

North America is Expected to Grow Considerably

North America is expected to hold a significant share of the retail analytics market during the forecast period. Growth in the region is due to factors such as the continuous digital transformation in the retail sector, the increasing importance of customer data analysis, and the growing adoption of artificial intelligence and machine learning technologies to improve retail operations and customer experiences. The rise of omnichannel retailing, where customers expect a seamless experience across various channels (e.g., online, mobile, in-store), has driven the demand for retail analytics. For instance, In March 2023, KPMG launched Dash, an AI-powered platform providing predictive analytics and insights to retailers, using vast commercial data and AI algorithms to enhance decision-making, customer analysis, forecasting, and competition evaluation.

Key Market Developments

  • Walmart used the RetailAl solution in May 2021 to reduce operating expenses and improve the self-service shopping experience.
  • Amazon debuted its new Store Analytics service in June 2022. The massive e-commerce company is currently striving to make money from its physical locations by giving advertisers information on what customers purchase.
  • Kepler Analytics unveiled a Prescriptive Analytics System in January 2023. This system uses proprietary in-store sensors to collect data and identify possible sales possibilities at the zone-by-zone level, providing real-time recommendations to merchants.

Retail Analytics Market Scope:

 

Report Metric Details
Market Size Value in 2021 US$8.364 billion
Market Size Value in 2028 US$32.808 billion
Growth Rate CAGR of 21.56% from 2021 to 2028
Base Year 2021
Forecast Period 2023 – 2028
Forecast Unit (Value) USD Billion
Segments Covered Type, Deployment, End-User, and Geography
Regions Covered North America, South America, Europe, Middle East and Africa, Asia Pacific
Companies Covered SAP SE, Salesforce, Oracle, Microsoft Corporation, HCL Technologies Limited, IBM, Qlik, Cloud Software Group, Inc., Sisense Inc., Wipro, Zoho Corporation, ALTERYX
Customization Scope Free report customization with purchase

 

Segmentation:

  • By Type
    • Software
    • Services
  • By Deployment
    • Cloud
    • On-premise
  • By End-User
    • Merchandising
    • Supply Chain
    • Strategy & Planning
    • Store Operations
    • Marketing
  • By Geography
    • North America
      • United States
      • Canada
      • Mexico
    • South America
      • Brazil
      • Argentina
      • Others
    • Europe
      • Germany
      • France
      • United Kingdom
      • Spain
      • Others
    • Middle East and Africa
      • Saudi Arabia
      • UAE
      • Israel
      • Others
    • Asia Pacific
      • China
      • Japan
      • India
      • South Korea
      • Indonesia
      • Thailand
      • Others

Frequently Asked Questions (FAQs)

The global retail analytics market is estimated to grow at a CAGR of 21.56% during the forecast period.
The retail analytics market is estimated to reach a market size of US$32.808 billion by 2028.
Retail Analytics Market was valued at US$8.364 billion in 2021.
The need to increase sales performance, generate more income, and pinpoint consumer trends and preferences will drive the retail analytics market growth.
North America accounted for a significant share of the retail analytics market.

1. INTRODUCTION

1.1. Market Overview

1.2. Market Definition

1.3. Scope of the Study

1.4. Market Segmentation

1.5. Currency

1.6. Assumptions

1.7. Base, and Forecast Years Timeline

2. RESEARCH METHODOLOGY  

2.1. Research Data

2.2. Sources

2.3. Research Design

3. EXECUTIVE SUMMARY

3.1. Research Highlights

4. MARKET DYNAMICS

4.1. Market Drivers

4.2. Market Restraints

4.3. Porter’s Five Forces Analysis

4.3.1. Bargaining Power of Suppliers

4.3.2. Bargaining Power of Buyers

4.3.3. Threat of New Entrants

4.3.4. Threat of Substitutes

4.3.5. Competitive Rivalry in the Industry

4.4. Industry Value Chain Analysis

5. RETAIL ANALYTICS MARKET ANALYSIS, BY TYPE

5.1. Introduction

5.2. Software

5.3. Services

6. RETAIL ANALYTICS MARKET ANALYSIS, BY DEPLOYMENT

6.1. Introduction

6.2. Cloud

6.3. On-premise

7. RETAIL ANALYTICS MARKET ANALYSIS, BY END-USER

7.1. Introduction

7.2. Merchandising

7.3. Supply Chain

7.4. Strategy & Planning

7.5. Store Operations

7.6. Marketing

8. RETAIL ANALYTICS MARKET ANALYSIS, BY GEOGRAPHY

8.1. Introduction

8.2. North America

8.2.1. United States

8.2.2. Canada

8.2.3. Mexico

8.3. South America

8.3.1. Brazil

8.3.2. Argentina 

8.3.3. Others

8.4. Europe

8.4.1. Germany

8.4.2. France

8.4.3. United Kingdom

8.4.4. Spain

8.4.5. Others

8.5. Middle East and Africa

8.5.1. Saudi Arabia

8.5.2. UAE

8.5.3. Israel

8.5.4. Others

8.6. Asia Pacific

8.6.1. China

8.6.2. Japan

8.6.3. India

8.6.4. South Korea

8.6.5. Indonesia

8.6.6. Thailand

8.6.7. Others

9. COMPETITIVE ENVIRONMENT AND ANALYSIS

9.1. Major Players and Strategy Analysis

9.2. Market Share Analysis

9.3. Mergers, Acquisitions, Agreements, and Collaborations

9.4. Vendor Competitiveness Matrix

10. COMPANY PROFILES

10.1. SAP SE

10.2. Salesforce

10.3. Oracle

10.4. Microsoft Corporation

10.5. HCL Technologies Limited

10.6. IBM

10.7. Qlik

10.8. Cloud Software Group, Inc.

10.9. Sisense Inc.

10.10. Wipro

10.11. Zoho Corporation

10.12. ALTERYX


SAP SE

Salesforce

Oracle

Microsoft Corporation

HCL Technologies Limited

IBM

Qlik

Cloud Software Group, Inc.

Sisense Inc.

Wipro

Zoho Corporation

ALTERYX