Speech Analytics Market by Component (Solutions and Services), Application (Risk & Compliance Management, Sentiment Analysis), Organization Size, Deployment Mode (Cloud, On-premises), Vertical and Region - Global Forecast to 2026

Speech Analytics Market by Component (Solutions and Services), Application (Risk & Compliance Management, Sentiment Analysis), Organization Size, Deployment Mode (Cloud, On-premises), Vertical and Region - Global Forecast to 2026

The global Speech Analytics market size to grow from USD 1.8 billion in 2021 to USD 4.5 billion by 2026, at a Compound Annual Growth Rate (CAGR) of 20.5% during the forecast period. Various factors such as the growing demand for monitoring and improving agent performance and the increasing demand for voice authentication in mobile banking applications during COVID-19. The use of AI and ML-based technologies to facilitate real-time actionable customer insights and the rise in the need to predict customer intent are expected to drive the growth of Speech Analytics market.

During the pandemic, various companies experienced a significant increase in pressure from customers, while their number of available employees decreased. Various contact centers could not cope with the demand or closed because of lockdown restrictions leading to long delays in customer service queries, which significantly affected the customer experience. As businesses develop a more strategic approach that delivers resilience into operations through flexibility and scalability while at the same time working to improve operational efficiencies; hence, speech analytics is rising to the forefront of technology enablers. Data analytics application builders seek medical speech recognition capabilities that help them efficiently and accurately transcribe video and audio containing the COVID-19 terminology into text for downstream analytics. For instance, Verint offers a free COVID-19 category and 12 additional business impact categories for speech analytics.

The speech analytics market is expected to witness a slowdown in 2020 due to the global lockdown, which is impacting global manufacturing, and supply chains and logistics. The manufacturing, transportation and logistics, and retail and consumer goods sectors have been most severely affected. The availability of essential items has also been impacted due to the lack of manpower to work on production lines, supply chains, and transportation, even though essential items are exempted from the lockdown. The situation is expected to come under control by early 2021. Meanwhile, the demand for speech analytics solutions and services is expected to increase due to the rising demand for call monitoring, customer experience management, agent performance management, sentiment analysis, and risk and compliance management applications. Several verticals are already planning to deploy a diverse array of speech analytics solutions and services to enable digital transformation initiatives, which address mission-critical processes, improve operations, and differentiate customer relationships. The reduction in operational costs, better customer experiences, improved network security and privacy capabilities, enhanced visibility into processes and operations, and improved real-time decision-making are the key business and operational priorities expected to drive the speech analytics market.

The services segment is projected to grow at a higher CAGR during the forecast period

The global speech analytics market, by component, has been segmented into solutions and services. The services segment is projected to grow at a higher CAGR during the forecast period. The services segment plays a vital role in the functionality of speech analytics solutions. These services are an integral step in deploying technology solutions and are taken care of by solution and service providers. The demand for speech analytics solutions increases globally due to the rising demand for enhanced customer support across major key verticals.

The customer experience management segment will hold the largest market size during the forecast period

The speech analytics market is segmented by applications into customer experience management, call monitoring and summarization, agent performance monitoring, sales and marketing management, risk and compliance management, sentiment analysis, and other applications (competitive intelligence, business process management, and predictive analysis). The customer experience management segment will hold the largest market size in 2021. This growth is attributed to the need for identifying agents that need the most training and support, and reducing the risk of bottlenecks in business. Business leaders can use workforce optimization strategies to automatically track trends and performance in the contact center.

The Cloud segment is estimated to hold a higher growth rate during the forecast period

Speech Analytics market is segmented on the basis of deployment mode which include on-premises and cloud. The cloud segment is estimated to hold a higher growth rate than the on-premises segment during the forecast period. The cloud technology benefits of easy deployment and minimal capital requirement facilitate the adoption of the cloud deployment model. The adoption of cloud-based speech analytics solutions is expected to be supported by the COVID-19 pandemic, as lockdowns and social distancing practices are encouraging companies to move to cloud solutions that can be managed remotely. The increasing demand for scalable, easy-to-use, and cost-effective speech analytics solutions is expected to accelerate the growth of the cloud segment in the market.

The large enterprises segment is estimated to hold a larger market share

On the basis of organization size the Speech Analytics market has been segmented into large enterprises and SMEs. The large enterprises segment is estimated to hold a larger market share in 2021. The segment's growth is due to increased competition in large enterprises from budding SMEs. Owing to the availability of cost-effective cloud solutions, speech analytics solutions and services are expected to witness a prominent growth rate among SMEs during the forecast period.

The healthcare and life sciences vertical is projected to grow at the highest CAGR during the forecast period

On the basis of Vertical the speech analytics market has been segmented into BFSI, retail and eCommerce, IT and telecom, healthcare and life sciences, government and defense, travel and hospitality, media and entertainment, and other verticals (education, transportation and logistics, and manufacturing). The healthcare and life sciences vertical is projected to grow at the highest CAGR during the forecast period. This growth can be attributed to the increasing patient data resulting from the COVID-19 pandemic and the need to handle patient queries for better medical treatment. The need for rapid diagnosis, healthcare data analysis, and better patient care is expected to drive the growth of the healthcare and life sciences vertical in APAC

Among regions, APAC to hold higher CAGR during the forecast period

APAC is expected to hold the fastest CAGR during the forecast period. This growth can be attributed to the increasing penetration of smartphones and the need to resolve customer queries in the region. The speech analytics market is expected to witness considerable developments and adoption of solutions across APAC during the forecast period. The increasing number of players across different regions is further expected to drive the speech analytics market.

Breakdown of primaries

In-depth interviews were conducted with Chief Executive Officers (CEOs), innovation and technology directors, system integrators, and executives from various key organizations operating in the Speech Analytics market.
By Company: Tier I: 35%, Tier II: 45%, and Tier III: 20%
By Designation: C-Level Executives: 35%, D-Level Executives: 25%, and others: 40%
By Region: APAC:30 %, Europe: 20%, North America: 45%, others: 5%

The report includes the study of key players offering Speech Analytics market. The major vendors covered are NICE (US), Micro Focus (UK), Verint (US), Avaya (US), OpenText (Canada), Google (US), Vonage (US), Geneys (US), Calabrio (US), CallMiner (US), AWS (US), Clarabridge (US), Almawave (Italy), Talkdesk (US), Alvaria (US), Castel (US), VoiceBase (US), Intelligent Voice (US), CallTrackingMetrics (US), Five9 (US), 3CLogic (US), CloudTalk (US), Deepgram (US), Gnani.ai (India), Observe.AI (US), SpeechTech (US), Speech-i Ltd (England), Batvoice (France), Kwantics (India), Speech Village (UK), and Salesken (US).

Research Coverage

The research study for the Speech Analytics market involved extensive secondary sources, directories, and several journals, including the Journal of Intelligent Learning Systems and Applications, International Journal of Advanced Science and Technology, and International Research Journal of Engineering and Technology (IRJET). Primary sources were mainly industry experts from the core and related industries, preferred Speech Analytics providers, third-party service providers, consulting service providers, end users, and other commercial enterprises. In-depth interviews were conducted with various primary respondents, including key industry participants and subject matter experts, to obtain and verify critical qualitative and quantitative information, and assess the market’s prospects

Key Benefits of Buying the Report

The report would provide the market leaders/new entrants in this market with information on the closest approximations of the revenue numbers for the overall Speech Analytics market and its subsegments. It would help stakeholders understand the competitive landscape and gain more insights better to position their business and plan suitable go-to-market strategies. It also helps stakeholders understand the pulse of the market and provides them with information on key market drivers, restraints, challenges, and opportunities.