AI Consulting Services Market Size, Share, and Industry Analysis, By Service Type (Digital Strategy and Transformation, Analytics Consulting, Automation Consulting, Application Development, and Cognitive Integration), By Enterprise Type (Small & Medium Enterprises (SMEs) and Large Enterprises), By Industry Vertical (BFSI, Retail, Healthcare, IT & Telecom, Manufacturing, Government, Transportation & Logistics, Automotive, Energy & Utility, and Others), and Regional Forecast till 2032

The global AI consulting services market is experiencing significant growth due to the rising need for automating repetitive tasks to reduce human efforts, rising usage of predictive analytics techniques to enhance business efficiency over the forecast period boosts the growth of the market.

AI consulting services are comprehensive technical offerings that help businesses improve their operations through the implementation of analytical processing and machine learning (ML) capabilities. These services utilize big data from various Internet of Things (IoT) and IT-related tools and devices. This data is used to develop operational strategies and support commercial diligence. Additionally, AI consulting services ensure the successful execution of initiatives and strategies. AI consulting is a growing area that uses artificial intelligence (AI) to assist companies in tackling complex issues, making better decisions, and reaching their strategic goals.

AI consulting plays a crucial role in translating the potential of AI technology into its practical and effective use in business settings.

• According to a research survey, increasing usage of AI consultancy services helps to boost the product launch process by 30%, minimize the operational cost of the business by 21%, and enhance the customer retention rate by 25%. These factors boost the adoption of AI consulting services across different industrial verticals.

Similarly, the growing emergence of cutting-edge technologies such as machine learning consulting, AI, and others, rising investments in government-sponsored AI development programs, and growing adoption of AI business strategy fuel the growth of the market over the forecast period.

Impact of Generative AI on the AI Consulting Services Market

Integration of generative AI capabilities helps implement predictive analytics techniques to analyze large datasets. It automates the operational workflows to revolutionize the performance of different industry verticals. Generative AI is reshaping AI consulting services and enables consultants to develop more tailored solutions by generating predictive models, customized strategies, and automated reports as per the client's data. The gen-AI integrated consulting services help to automate routine tasks, including data analysis and report generation, and allow the consultant to focus on high-value activities, boost business productivity, and reduce downtime.

• According to an analyst report in 2023, companies using integrated gen-AI services deliver 88% more productive performance, while 74% of businesses aim to deliver more satisfied work to their clients with the help of gen-AI-based consulting services.

Thus, the integrated gen-AI consulting services led to a customized approach to align AI-driven consulting services to the customers present across the globe.

AI Consulting Services Market Driver

Increased Adoption of AI Across Different Industries Drive the Market Growth

The growing adoption of AI across different industries indicates that more companies from various sectors are beginning to incorporate AI technology. This shift is not limited to specific areas, such as technology, but now includes sectors, such as healthcare, retail, finance, manufacturing, and more. This trend suggests that businesses are recognizing the advantages of AI, including task automation, better decision-making, and improved customer experiences. AI-powered analysis of data can increase productivity by up to 40% across various sectors. In essence, it demonstrates that AI is becoming a standard tool across various business types to help them operate more efficiently and effectively.

• According to the research survey in 2023, 69% of customers expect that businesses should use AI to deliver enhanced customer experience, automate workflows, and minimize downtime.

Similarly, 60% of government investment in AI and data analytics is to make real-time data-driven decisions and aims to increase the company's efficiency and drive the growth of the market. Thus, the rising adoption of AI across different industry verticals boost the growth of the market over the forecast period.

AI Consulting Services Market Restraint

Data Privacy and Security Issues Hamper Market Growth 

Growing data security and privacy issues restrict the adoption of AI consulting services. AI systems rely heavily on data, which often contains confidential information about clients, employees, and business operations. With an increase in data breaches and privacy issues, companies are under more pressure to ensure the secure and ethical handling of data in AI projects.

Consulting firms must address these concerns by setting up robust data governance frameworks, implementing strict security measures, and advising clients on complying with data protection regulations. Furthermore, many companies may be reluctant to fully embrace AI consulting services due to these privacy and security issues, which could slow down market expansion.

AI Consulting Services Market Opportunity

Growing Emergence of New Edge Technologies to Address the Evolving Needs of the Customers Propel Market Growth

New technologies, such as edge computing, the Internet of Things (IoT), and quantum computing are on the rise. As these technologies become more common, AI consulting services are needed to integrate them into ongoing business operations.

Moreover, small and medium-sized businesses (SMEs) are an underutilized market for AI consulting services. Many SMEs see the benefits of AI but lack the necessary resources to implement it, creating a demand for consulting services that are accessible and tailored to their specific needs. This presents a significant opportunity for consulting companies to broaden their range of services and attract new clients in order to fulfill their specific business needs.

Segmentation

Key Insights

The report covers the following key insights:

• Micro Macro Economic Indicators
• Drivers, Restraints, Trends, and Opportunities
• Business Strategies Adopted by the Key Players
• Impact of Generative AI on the Global AI Consulting Services Market
• Consolidated SWOT Analysis of Key Players

Analysis by Service Type

By service type, the market is divided into digital strategy and transformation, analytics consulting, automation consulting, application development, and cognitive integration.

Among these, the digital strategy and transformation services use remote servers and computing resources for seamless communication. Achieving digital transformation requires careful planning, integration, and managing change, and an AI consultant can help in leveraging AI's capabilities to achieve objectives, thereby fueling the segment's swift growth in the market.

• For instance, in October 2023, Mastercard expanded its consulting business services portfolio by launching new consulting services integrated with AI in order to enhance Digital Labs, its business transformation service, to bring development across travel, retail, fintech, banking, restaurants, and more industries present across the globe.

The process of generating new software or applications for smartphones, computers, and many other devices to perform specific tasks or provide services.

Analysis by Enterprise Type

By enterprise type, the market is segregated into small & medium enterprises (SMEs) and large enterprises.

Among these, small & medium enterprises (SMEs) are expected to boost the adoption of AI consulting services due to the cost-effectiveness and efficiency of the solution. Increasing integration of AI consulting services among SMEs helps to provide technical expertise, support for navigating the complexities of AI adoption, and strategic guidance. These services are typically delivered by experienced AI professionals who work closely with SMEs to understand their unique challenges, goals, and requirements.

Moreover, large enterprises hold the largest market share over the forecast period to manage the complex business operations of companies.

Analysis by Industry Vertical

By industry vertical, the market is segmented into BFSI, retail, healthcare, IT & Telecom, manufacturing, government, transportation & logistics, automotive, energy & utility, and others.

Growing usage of AI consulting services across the retail sector helps to optimize various aspects of retail operations, drive sales, and deliver enhanced user experience. Consulting services also help to deliver customized user experience by initiating a digital transformation process. It significantly helps to enhance the customer retention rate and aims to deliver better deep data insights to enhance the productivity of the business operation. These factors are considered to boost drive the demand for AI consulting services in the retail sector over the forecast period.

Growing adoption of AI consulting services across the IT industry to deliver a variety of data and analytics services and bring advancement among customer communication channels drive the growth of the market.

Regional Analysis

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In terms of geography, the global market is segmented into North America, Europe, Asia Pacific, South America, and the Middle East & Africa.

North America accounted for the largest market share. Increasing adoption of AI technologies across different untapped industrial verticals present across North American countries boosts the growth of the market. Furthermore, the presence of AI consulting services providers in the U.S. and other countries drives the growth of the market over the forecast period.

Asia Pacific is set to dominate the market with the highest growing CAGR during the forecast period. Increasing growth of the IT sector in India, China, Japan, and other ASEAN countries to deliver a wide range of consulting and advisory services, including analytics consulting, automation consulting, and application development to the customers present across the region, boosting the growth of the market.

Europe experienced tremendous growth in the AI consulting services market as companies present across countries, such as Germany, France, and the U.K., focused on automating complex business processes and enabling the delivery of actionable insights from data to drive the growth of the market over the forecast period.

• For instance, in September 2024, Sopra Steria, a tech provider company in Europe, was recognized as a key Gen-AI and AI service provider for the businesses present among different industries. Sopra’s AI services help businesses overcome specific business challenges and aim to deliver better customer experience.

Key Players Covered

The global AI consulting services market is fragmented, with the presence of a large number of companies and AI consulting services providers.

The report includes the profiles of the following key players:

• IBM Corporation (U.S.)
• Itrex Group (U.S.)
• Softweb Solutions Inc. (India)
• Accenture Plc. (Ireland)
• Nexocode (Poland)
• Addepto sp. z o.o. (Poland)
• Neurond AI (Denmark)
• Rysun Labs Inc. (U.S.)
• Centric Consulting (U.S.)
• EvaCodes LLC. (U.S.)

Key Industry Developments

• In May 2024, Veritone, Inc., a human-centered AI solutions provider, deployed its new AI consulting and services group to fill the gap in the market by implementing AI technology. Veritone’s AI consulting and advisory services, in collaboration with AWS Partner Network (APN), help achieve AWS' advanced tier services partner status to drive business growth.
• In July 2023, Hexaware Technologies, an IT solutions and services provider, developed its transformational Generative AI consulting & practice unit. This unit helps businesses boost their operational performance and aims to bring rapid digital transformation across business functions and technologies to deliver significant business advantages.