Retail Analytics Market by Component (Services, Software), Business Function (Finance, Human Resources, Marketing & Sales), Deployment Model, Retail Store Type, Application, End User - Global Forecast 2024-2030

Retail Analytics Market by Component (Services, Software), Business Function (Finance, Human Resources, Marketing & Sales), Deployment Model, Retail Store Type, Application, End User - Global Forecast 2024-2030

The Retail Analytics Market size was estimated at USD 8.01 billion in 2023 and expected to reach USD 9.37 billion in 2024, at a CAGR 17.69% to reach USD 25.06 billion by 2030.

Retail analytics involves the process of providing analytical data on inventory levels, supply chain movement, consumer demand, and sales, which is crucial for making critical decisions within the retail sector. It uses a mix of statistical analysis, predictive modeling, and data-mining tools to understand and enhance retail operations significantly, aiming to maximize sales and minimize costs. Increased E-commerce adoption with the surge in online shopping that produces vast amounts of data is creating a platform for the retail analytics market. The blending of online and offline sales channels necessitates a more integrated approach to data analysis to ensure consistent and effective customer engagement across all platforms. Data privacy and security concerns with the usage of retail analytics solutions hampers the market growth. The integration of advanced analytics, AI, and machine learning technologies that enable more sophisticated data analysis and provide deeper insights for retailers are expected to create opportunities for market growth.

Regional Insights

In the Americas, retail analytics solutions have a significant adoption with a strong emphasis on enhancing customer experience, streamlining operations, and employing advanced technologies, including AI and ML, to understand consumer behavior better. Retailers in these countries are investing in analytics tools to forecast trends, manage inventory more effectively, and personalize marketing strategies. South America, with countries including Brazil and Mexico, is increasingly leveraging these solutions and is propelled by digital transformation initiatives. The APAC region is witnessing rapid growth in retail analytics, fueled by its vast population and the rising middle class, especially in countries such as China, India, and Southeast Asia. The surge in online shopping, mobile penetration, and digital payments pushes retailers to adopt analytics solutions to optimize their online and offline strategies. The focus here is on understanding consumer patterns, optimizing supply chains, and enhancing customer engagement through data. The diversity of the APAC market, with its varied consumer preferences and behaviors, makes analytics an essential tool for retailers operating in this region. In Europe, there's a strong focus on compliance and data protection and the need to enhance customer satisfaction and operational efficiency. Retailers are leveraging analytics to gain insights into customer preferences and streamline their operations, aligning with GDPR (General Data Protection Regulation) guidelines. The Middle East is witnessing a digital transformation, with countries including the UAE and Saudi Arabia leading the adoption of retail analytics to enhance customer experiences and integrate online and offline retail channels. Africa shows promise, particularly in South Africa and Nigeria, driven by increasing internet and smartphone penetration.

Market Insights

Market Dynamics

The market dynamics represent an ever-changing landscape of the Retail Analytics Market by providing actionable insights into factors, including supply and demand levels. Accounting for these factors helps design strategies, make investments, and formulate developments to capitalize on future opportunities. In addition, these factors assist in avoiding potential pitfalls related to political, geographical, technical, social, and economic conditions, highlighting consumer behaviors and influencing manufacturing costs and purchasing decisions.

Market Drivers

Growing consumer demand for quick and streamlined retail services
Government initiatives to digitize retail infrastructure across the world
Increasing eCommerce adoption among retailers

Market Restraints

Complexities of integration of retail analytics technologies and performance issues

Market Opportunities

Ongoing advancements to improve the functionality and efficiency of retail analytics technologies
Rising investments to expand smart city and smart store operations

Market Challenges

Data privacy and cybersecurity issues with retail analytics

Market Segmentation Analysis

Component: Rising usage of retail analytics that enables the collection, processing, and analysis of data generated in the retail sector
Deployment Model: High potential for on-cloud deployment due to its flexibility, scalability, and ease of access

Market Disruption Analysis

Porter’s Five Forces Analysis
Value Chain & Critical Path Analysis
Pricing Analysis
Technology Analysis
Patent Analysis
Trade Analysis
Regulatory Framework Analysis

FPNV Positioning Matrix

The FPNV positioning matrix is essential in evaluating the market positioning of the vendors in the Retail Analytics Market. This matrix offers a comprehensive assessment of vendors, examining critical metrics related to business strategy and product satisfaction. This in-depth assessment empowers users to make well-informed decisions aligned with their requirements. Based on the evaluation, the vendors are then categorized into four distinct quadrants representing varying levels of success, namely Forefront (F), Pathfinder (P), Niche (N), or Vital (V).

Market Share Analysis

The market share analysis is a comprehensive tool that provides an insightful and in-depth assessment of the current state of vendors in the Retail Analytics Market. By meticulously comparing and analyzing vendor contributions, companies are offered a greater understanding of their performance and the challenges they face when competing for market share. These contributions include overall revenue, customer base, and other vital metrics. Additionally, this analysis provides valuable insights into the competitive nature of the sector, including factors such as accumulation, fragmentation dominance, and amalgamation traits observed over the base year period studied. With these illustrative details, vendors can make more informed decisions and devise effective strategies to gain a competitive edge in the market.

Recent Developments

Standard AI Elevates Retail with Vision Analytics and Strategic Leadership Transition

Standard AI announced significant advancements, including a new suite of products and leadership changes aimed at enhancing the retail experience. The introduction of Vision Analytics marks a significant step forward, offering deep insights into shopper interactions, product performance, and store operations by capturing detailed data on people, products, and their interactions within physical retail spaces.

RetailNext's Strategic Innovations in In-Store Analytics

RetailNext unveiled a significant array of product enhancements aimed at refining in-store analytics for retailers on a global scale. Acknowledging the myriad of challenges faced by retailers, such as increased theft and shifting consumer preferences towards online shopping, RetailNext's mission has been to equip physical stores with sophisticated analytics tools akin to those used by online counterparts, thereby enabling them to enhance efficiency and the shopping experience.

Intelligence Node’s Partnership with Kroger Marketplace

Intelligence Node is broadening its scope to support retail clients and third-party sellers. This initiative is set to revolutionize the shopper's journey by providing enriched product insights and decision-making tools. Specifically targeting improvements in product visibility on search engines and detail pages, this venture equips sellers with advanced content management tools.

Strategy Analysis & Recommendation

The strategic analysis is essential for organizations seeking a solid foothold in the global marketplace. Companies are better positioned to make informed decisions that align with their long-term aspirations by thoroughly evaluating their current standing in the Retail Analytics Market. This critical assessment involves a thorough analysis of the organization’s resources, capabilities, and overall performance to identify its core strengths and areas for improvement.

Key Company Profiles

The report delves into recent significant developments in the Retail Analytics Market, highlighting leading vendors and their innovative profiles. These include 1010data, Inc. by SymphonyAI LLC, Amazon Web Services, Inc., Amazon.com, Inc., Analytics8, LLC, CARTO, DataWeave Software Private Limited, Domo, Inc., Fractal Analytics Inc., Fujitsu Limited, Google, LLC by Alphabet Inc., HCL Technologies Ltd., Intelligence Node, International Business Machines Corporation, LatentView Analytics, Microsoft Corporation, MicroStrategy Incorporated, Oracle Corporation, QlikTech International AB, RetailNext Inc., Salesforce, Inc., SAP SE, Sisense Ltd., Standard Cognition, Corp., Teledyne FLIR LLC, and Teradata Corporation.

Market Segmentation & Coverage

This research report categorizes the Retail Analytics Market to forecast the revenues and analyze trends in each of the following sub-markets:

Component
Services
Managed Services
Professional Services
Software
Business Function
Finance
Human Resources
Marketing & Sales
Operations
Deployment Model
On-Cloud
On-Premise
Retail Store Type
Convenience Stores
Department Stores
Supermarkets & Grocery Stores
Application
Customer Management
Inventory Analysis
Merchandising Analysis
Performance Analysis
Pricing Analysis
Promotional Analysis & Planning
End User
Offline
Online
Region
Americas
Argentina
Brazil
Canada
Mexico
United States
California
Florida
Illinois
New York
Ohio
Pennsylvania
Texas
Asia-Pacific
Australia
China
India
Indonesia
Japan
Malaysia
Philippines
Singapore
South Korea
Taiwan
Thailand
Vietnam
Europe, Middle East & Africa
Denmark
Egypt
Finland
France
Germany
Israel
Italy
Netherlands
Nigeria
Norway
Poland
Qatar
Russia
Saudi Arabia
South Africa
Spain
Sweden
Switzerland
Turkey
United Arab Emirates
United Kingdom

Please Note: PDF & Excel + Online Access - 1 Year