The Global Market For Predictive And Prescriptive Analytics
Today’s world has become highly data-driven. The amount of data available nowadays is huge and running into thousands of peta-bytes. Harnessing this data to make better informed decisions is what business analytics is. Traditionally Business Analytics involved mainly Descriptive Analytics, but with the development of much more complex software, mathematical and statistical tools, two new fields have emerged- Predictive Analytics and Prescriptive Analytics.
The Global Predictive Analytics market currently is around $ 1.9 Billion, and estimated to rise to about $ 4.4 Billion by 2018. The rapid growth of Big Data is seen as one of the main drivers of this market. Also organizations have now realized the high ROI potential these tools provide, this has led to deployment of predictive and prescriptive analytics in newer segments. Over the years predictive analytics were predominantly used in the banking, finance, credit, insurance, retail and marketing segments, but our recent analysis has revealed the trend of utilization of these tools in wide-ranging sectors such as manufacturing, gaming, travel and hospitality, logistics, industrial chemistry, social media etc., Prescriptive Analytics currently forms only a minor part of this segment but, is expected to see substantial growth in the coming years due to growing awareness and technology.
These newer avenues are all data-rich fields; hence the use of predictive and prescriptive analytics tools will provide an effective way to get more value from the available data. Manufacturing for instance generates almost one-third of the data globally, this can be harnessed to provide better fault detections to improve design modeling, better pricing, enhancing warranty planning, demand planning etc., Gaming sector which is a huge market all over the world is turning to predictive analytics to get better insights into what the gamer actually wants, by analyzing the huge data generated. All the major game designers such as Electronic Arts, Microsoft etc., have started to used these tools for cost-cutting and to realize better investment opportunities.
Some of the enterprises which provide predictive analytics tools for the logistics industry are Skytree Ltd, Dupree Logistics etc., a lot of commercial taxi fleet management enterprises are taking to predictive analytics to target potential customers rather than the traditional hit-and trial techniques. All these newer avenues have opened up a plethora of opportunities for new players to enter this segment to cater to the needs of such emerging markets.
The major market players for this segment are SAP, SAS, IBM, Microsoft, TIBCO (http://www.tibco.com/
The IndustryARC report on the Global Predictive and Prescriptive Analytics Market (http://industryarc.com/