Financial Analytics Market

Financial Analytics Market Outlook for (2023 to 2033)

The financial analytics market is expected to be worth USD 8,462.6 million in 2023. The market has jumped in value from USD 7,700.3 million in 2022. For the period from 2023 to 2033, the CAGR of the market is forecasted to be a robust 11.5%. By 2033, the size of the market is projected to have ballooned to USD 25,208.4 million.

Consumption Analysis in the Financial Analytics Market

• Businesses have started relying on data to make sound financial decisions. The help of financial analytics is being sought by businesses to make sense of the data at hand and help in decision-making.
• Enterprises on a large scale are often saddled with big data that cannot be handled by in-house software. Thus, to handle large volumes of data, businesses are relying on financial analytics.
• The scope of the financial analytics market is ever-widening. Financial analytics are provided to businesses big and small, as well as consumers and employees. Thus, there is plenty of room for the market to grow.
• Adoption of technology is fast in the business sector. Enterprises are increasingly relying on advanced technologies in all the elements of working. The positive attitude towards technology is set to help the financial analytics market.
• Many organizations look towards financial analytics as a way to get an edge over competitors. In the increasingly competitive business world, small advantages are sought constantly. Financial analytics are helping businesses get hold of data and analysis that could result in an advantage.

Attributes	Details
Financial Analytics Market Value for 2023	USD 8,462.6 million
Projected Market Value for 2033	USD 25,208.4 million
Value-based CAGR of Market for 2023 to 2033	11.5%

Historical Analysis of Financial Analytics Market

The financial analytics market was tipped to be USD 5,017.96 million. The market likely progressed at an impressive CAGR of 11.3% during the historical period.

The continued growth of businesses aided the market. As economies expanded around the world, but particularly strongly in Europe, the need for business analytics was felt by enterprises. The pandemic presented unique challenges to businesses. To tackle the challenges, as well as to take advantage of opportunities, the help of financial analytics was sought. By the end of the historical period in 2022, the market valuation had reached USD 7,700.3 million.

Market Valuation (2018)	USD 5,017.96 million
Historical CAGR (2018 to 2022)	13.3%
Historical Valuation (2022)	USD 7,700.3 million

Long-term Analysis of Financial Analytics Market from 2023 to 2033

For 2023, the value of the financial analytics market is anticipated to be USD 8,462.6 million. The market is predicted to grow at a remarkable pace over the period from 2023 to 2033, with a CAGR of 11.5%.

Businesses are predicted to flourish even more impressively in the forecast period than in the historical period. The rise in the number of enterprises is resulting in the financial analytics market receiving a boost. Companies are using financial analytics to gain a competitive edge over the competition.

As the number of enterprises increases, so does the data required to be handled. Instead of getting bogged down in the data, companies are taking the help of financial analytics service providers. The professionalism of the service providers not only helps businesses come up with analyses that can be used for decision-making but also saves time.

The financial analytics industry is further set to be bolstered by new avenues. Apart from business, consumers and employees are also taking the help of financial analytics to make sound financial decisions. At the end of the forecast period in 2033, the market is predicted to have jumped to USD 25,208.4 million.

Market Trends in Financial Analytics

• The adoption of financial analytics in the banking and insurance sector is happening at a rapid pace. Businesses in the banking and insurance sectors are seeking the help of financial analytics to manage concerns like asset and liability, general ledger, and budgetary control.
• The use of cloud computing is seeing the market reach new heights. Cloud computing is increasing the capabilities of financial analytics as the amount of data that can be stored and processed is enormous.
• Risks related to data breaches are set to act as a barrier for the market. Businesses are reluctant to entrust data to parties outside of the organization for fear the data can be stolen. Financial analytics vendors can improve data security measures to combat problems related to hackers.
• The development of new technologies in financial analytics services is set to bolster the market. Further, the focus on data transparency is also helpful to the financial analytics market.
• Financial analytics are incorporating AI, in line with other technological fields. AI-assisted financial analytics have the potential to drastically improve insights as well as the time taken.
• Financial analytics that caters to individual problems, also known as prescriptive analysis, is gaining steam. Businesses are seeking personalized and customized solutions that help enterprises decide the best course of action. Therefore, by catering to the particular needs of businesses, financial analytics vendors can grow sales.
• Help of financial analytics is being taken to predict and anticipate future outcomes. Financial analytics are helping businesses prepare for worst-case outcomes and emerging opportunities.

Category-wise Outlook

The financial analytics market can be separated into two segments: type and application. By looking at the segments, the need of businesses for the type of financial analytics becomes clear. The category for which financial analytics are majorly sought by businesses is also seen.

Database Management Systems (DBMS) are the Need of the Hour for Many Enterprises

Database management systems (DBMS) have captured a sizable chunk of the market. For 2023, database management systems are predicted to contribute to 18.4% of the market share by type.

The huge influx of data in modern business necessitates the use of a system that can keep track of it. Database management systems provide an interface for users to store, retrieve, and process data. Thus, the adoption of database management systems (DBMS) is happening at an impressive rate in commercial spaces.

Attributes	Details
Top Type	Database Management Systems
Market Share in 2023	18.4%

Need to Manage and Analyse Assets and Liabilities Driving Businesses to Take Help of Financial Analytics

Management of assets and liabilities is given importance by businesses. In 2023, assets and liabilities are expected to account for 20.5% of the market share by application.

Businesses are becoming aware of keeping a close eye on assets and liabilities. Mismanagement of assets and liabilities can lead to problems like lack of liquidity and increasing debt. Thus, businesses are resorting to taking the help of financial analytics to manage and analyze trends in assets and liabilities.

Attributes	Details
Top Application	Assets and Liabilities
Market Share in 2023	20.5%

Country-wise Analysis

Due to a major boom in the number of businesses in the region, the financial analytics market is expected to show exceptional growth in the Asia Pacific. The expanding economies in the countries of the region are conducive to the growth of the market. China, India, Japan, and South Korea are the major countries in the region for the market.

North America and Europe are the other regions where the market thrives. However, the growth in the Asia Pacific is set to outshine the growth of any other region.

Countries	CAGR (2023 to 2033)
United States	6.3%
India	18.5%
South Korea	12.2%
Japan	14.3%
China	15.2%

The High Number of Experts in the Financial Analytics Field Lead to Progress in India

The ongoing rise of the Indian economy is fueling the market in India. For the period from 2023 to 2033, the CAGR of the market in India is estimated at an extraordinary 18.5%.

The rise of financial analytics in the country can be greatly attributed to the number of experts operating in the field. India is claimed to have the 2nd biggest talent pool of data analytics in the world. Combined with the rapidly progressing economy, India thus has sizable potential in the financial analytics market.

New Developments in the Financial Analytics Field Lead to Promising Prospects in China

The significant Chinese economy is expected to aid rapid growth in the market. For the forecast period, the Chinese market is predicted to grow at a staggering CAGR of 15.2%.

Financial analytics companies in China are keeping the market fresh by introducing new products. Established players in the country are thus seeing a rise in demand for financial analytics. For example, in September 2022, industry giant Alibaba launched the Alibaba Cloud for Financial Services. The versatile solutions are designed to help businesses in several fields like banking, insurance, and securities.

Exceptional Growth of the Japanese Economy Leads to Surging Demand for Financial Analytics

Japan is another Asian country where the market is expected to flourish. During the forecast period, the market in Japan is estimated to progress at a significant CAGR of 14.3%.

The pace of progress in the Japanese economy is turning out to be even greater than predicted by experts. To keep up with the rapidly rising business sector, financial analytics services are also developing fast. Thus, Japan presents a significant opportunity for the market.

AI-powered Financial Analytics Creating a Wave in the Korean Market

Korea’s openness to technology is seeing the financial analysis market thrive in the country. For the forecast period, the CAGR for Korea is an impressive 12.2%.

Advanced technology is being used by financial analytics companies in Korea to appeal to consumers. For example, established player LG CNS, in October 2023, launched a data analytics platform called Data Analytics & AI Platform Generative AI, or DAP GenAI for short. The platform is built for the clients of the company and uses AI to allow the clients faster data solutions.

Competitive Landscape in the Financial Analytics Market

Several reputable names have earned the trust of businesses in the market. However, there is scope for medium-sized and small-scale enterprises in the market too.

Technology is playing a crucial part in the market. Through the use of advanced technologies, competitors are trying to get an edge over the competition.

Recent Developments in the Financial Analytics Market

• In July 2023, Singapore-based player Bunker acquired significant funding. Using the funding, Bunker intends to further improve its platform and strive towards expansion.
• In May 2023, IBM announced the launch of IBM watsonx. data. It is an open AI-based platform that helps give structured data analysis to businesses.
• In October 2022, Oracle enhanced the functionalities of its platform. The financial analytics platform offered improved capabilities to customers.
• In June 2022, South African company Ipoxcap launched FinanceGPT. The financial analytics model uses AI technology and was initially aimed at startups that do not have finance teams. The model also has capabilities in African languages.

Key Companies in the Financial Analytics Market

• SAP A.G.
• International Business Machines Corporation (IBM)
• Oracle Corporation
• TIBCO Software Inc.
• MicroStrategy Inc.
• Deloitte Touche Tohmatsu Limited
• Hitachi Consulting Corporation
• Information Builders
• Fair Isaac Corporation (FICO)
• Microsoft Corporation
• Symphony Teleca Corp.
• Teradata Corp.
• Tableau Software Inc.
• Rosslyn Analytics Ltd.
• SAS Institute Inc.

Table of Content

• 1. Executive Summary
• 2. Market Overview
• 3. Market Background
• 4. Global Market Analysis 2018 to 2022 and Forecast, 2023 to 2033
• 5. Global Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Type
  • 5.1. Data integration tool
  • 5.2. Database Management System (DBMS)
  • 5.3. Query
  • 5.4. OLAP and visualization tools
  • 5.5. Reporting and analysis
  • 5.6. Analytical solutions
  • 5.7. Consulting and support services
  • 5.8. Others
• 6. Global Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Application
  • 6.1. Assets and liability management
  • 6.2. Payables management
  • 6.3. Budgetary control management
  • 6.4. Profitability management
  • 6.5. Receivables management
  • 6.6. Governance and Risk and Compliance (GRC) management
• 7. Global Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Deployment Type
  • 7.1. On-premise
  • 7.2. Cloud-based
• 8. Global Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By End Use
  • 8.1. Banking, Financial Services & Insurance (BFSI)
  • 8.2. Food & Beverages
  • 8.3. Transportation & Logistics
  • 8.4. Consumer Goods & Retail
  • 8.5. Healthcare and Life Sciences
  • 8.6. Government
  • 8.7. Manufacturing
  • 8.8. Travel and Hospitality
  • 8.9. Media and Entertainment
  • 8.10. Telecommunication and IT
  • 8.11. Public Sector
  • 8.12. Energy and Utilities
• 9. Global Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Region
  • 9.1. North America
  • 9.2. Latin America
  • 9.3. Western Europe
  • 9.4. Eastern Europe
  • 9.5. South Asia and Pacific
  • 9.6. East Asia
  • 9.7. Middle East and Africa
• 10. North America Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Country
• 11. Latin America Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Country
• 12. Western Europe Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Country
• 13. Eastern Europe Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Country
• 14. South Asia and Pacific Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Country
• 15. East Asia Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Country
• 16. Middle East and Africa Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Country
• 17. Key Countries Market Analysis
• 18. Market Structure Analysis
• 19. Competition Analysis
  • 19.1. SAP A.G.
  • 19.2. International Business Machines Corporation (IBM)
  • 19.3. Oracle Corporation
  • 19.4. TIBCO Software Inc.
  • 19.5. MicroStrategy Inc.
  • 19.6. Deloitte Touche Tohmatsu Limited
  • 19.7. Hitachi Consulting Corporation
  • 19.8. Information Builders
  • 19.9. Fair Isaac Corporation (FICO)
  • 19.10. Microsoft Corporation
  • 19.11. Symphony Teleca Corp.
  • 19.12. Teradata Corp.
  • 19.13. Tableau Software Inc.
  • 19.14. Rosslyn Analytics Ltd.
  • 19.15. SAS Institute Inc.
• 20. Assumptions & Acronyms Used
• 21. Research Methodology