"Smart Strategies, Giving Speed to your Growth Trajectory"

Product Analytics Market Size, Share & Industry Analysis, By Component (Software/Tools and Services), By End-user (Consumer Tech, Fintech, Media, and E-Commerce), and Regional Forecast, 2024-2032

Last Updated: May 22, 2024 | Format: PDF | Report ID: FBI106685

 

KEY MARKET INSIGHTS

Play Audio Listen to Audio Version

The global product analytics market size was valued at USD 7.86 billion in 2023. The market is projected to be worth USD 9.09 billion in 2024 and reach USD 27.01 billion by 2032, exhibiting a CAGR of 14.6% during the forecast period.


Product analytics allows enterprises to carry out a thorough analysis and gain a holistic understanding of their users' needs. To ensure that these needs are met, updates are made as organizations are better equipped to understand user needs. According to Forbes 2023, data-driven businesses are 23 times more likely than competitors to acquire new customers, almost 19 times more likely to remain profitable, and nearly 7 times more possibly to retain existing customers.


The growing demand for product analytics software from end-users, such as e-commerce, customer tech, and media is anticipated to drive the market demand. The increased use of product analytics across all digital platforms helps leverage insights into customer experience, which are a few major factors that are expected to create market opportunities in the coming years. For instance,



  • In March 2023, Adobe launched the Adobe Product Analytics offering in its Adobe Experience Cloud. By merging customer journey insights between marketing and products, the new application recasts the category of product analysis.


The impact of COVID-19 on the market has been exceptional and surprising, with components witnessing a diverse demand across the globe during the pandemic.


Product Analytics Market Trends


Advanced Analytics and Artificial Intelligence (AI) Integration with Product Analytics to be an Emerging Market Trend


Through BI and product analytics solutions, organizations may discover business drivers and Key Performance Indicators (KPIs) through data visualization. It assists in the elimination of redundant data to uncover patterns, insights, trends, and use plans, all of which aid in the product analytics market growth. Artificial Intelligence (AI) has changed the way digital solutions work. Hence, while choosing product analytics, key vendors look for advanced analytics and artificial intelligence (AI) capabilities. Most businesses are now using a streamlined procedure that entails identifying, collecting, preserving, and exchanging a huge quantity of data. For this data, BI solutions are utilized to have a quick and simple business decision-making process.


Artificial intelligence and advanced analytics-based software help organizations that enable product teams to analyze, visualize, and track customer behavior and engagement data. Also, it allows product managers and teams to evaluate the effectiveness of the digital experiences they create and provides crucial data for optimizing performance, diagnosing issues, and correlating customer behavior with long-term value.


• In March 2024, Accenture completed the acquisition of GemSeek, a customer experience analytics provider that helps global enterprises understand customers through insights, analytics, and AI-powered predictive models. This acquisition aims to improve the customer experience and to improve the performance of the product.


Request a Free sample to learn more about this report.


Product Analytics Market Growth Factors


Increasing Need to Improve Customer Behavior Management to Aid the Market Growth


The increasing need for product recommendation engines that provide personalized service to end users is increasing day by day. These recommendation tools help organizations increase the potential of their marketing efforts by optimizing customer behavior and service efforts. According to the Harvard Business Review report, personalization of products can help deliver an eight times higher rate of investment in marketing and help improve sales by more than 10%.


Further, predictive recommendation enables end users or retailers to deliver the right offers at the right time resulting in the conversion of money spent per transaction. The end user’s interest is demonstrated through their history and behavior, which allows the product recommendation tool to automatically pair that behavior with the right suggestions. Hence, product analytics plays a very important role in analyzing customer behavior.


Increased Demand for Cloud-Based Analytics Solutions to Fuel the Market Growth


Cloud-based analytics helps in analyzing the data using cloud computing with the assistance of a wide range of analytics techniques and tools. Cloud analytics helps organizations extract massive data and present it readily available via the web browser.


The innovation benefits provided by product analytics providers directly impact the enterprise business value, particularly for key market players. Also, cloud analytics platforms allow agile customization to the enterprise's unique aspects. For instance,



  • In August 2023, Tellius, the AI-powered decision intelligence platform, expanded its partnership with Google Cloud to launch an upgraded version for data-driven decision-making and product analytics. This integration enables enterprises to analyze Google Cloud data products directly without moving information.


RESTRAINING FACTORS


Privacy and Security Issues to Hamper Market Growth


Technologies including artificial intelligence and machine learning are among the best technologies in an organization’s cyber security resource. Also, these technologies are more likely to malicious attacks, as cyber hackers are adopting AI and ML much faster than security leaders. The use of such technologies by attackers impacts business data and assets; this is considered to be the restraining factor for the market. Organizations using this service are concerned about the data leak over the internet that unauthorized users can easily access.


Product Analytics Market Segmentation Analysis


By Component Analysis


Software/Tools to Lead Market Owing to the Rising Demand from E-Commerce and Fintech


The market is divided into software/tools and services based on the component. The software/tools held the largest product analytics market share in 2023. The demand for tools, such as Google Analytics, Amplitude Analytics, and others is driving this expansion. Key players are expediting their efforts on creating and delivering advanced product analytics solutions for various industries, including e-commerce, financial & banking, consumer technology, and others. For Instance,



  • In November 2022, IBM announced new software that helps them break down the storage systems for information and analytical applications. This launch aims to cope with unforeseen disruptions and to help companies quickly and effectively make data-driven decisions.


The services segment is predicted to rise at the highest CAGR throughout the projection period due to the increased usage of digital devices such as mobiles, tablets, laptops, and others. 


To know how our report can help streamline your business, Speak to Analyst


By End-user Analysis


Increasing Popularity of Product Analytics among E-Commerce to Gain Traction


The market is classified into e-commerce, fintech, consumer tech, and media, based on the end-user. The e-commerce industry dominated the market in 2023. This is primarily due to the increased adoption of mobile technologies and soaring internet usage with rising disposable income. Customers are also becoming stronger and more aware of their requirements and potential solutions. They are investing their money in online retail networks to propel e-commerce forward.


The fintech industry is expected to rise at the highest CAGR during the forecast period. Increased demand for improved customer interaction and business analytics in the banking and finance sectors will aid market growth. Additionally, the growing adoption of automated virtual financial assistants in fintech organizations will also help boost the market. Furthermore, consumer tech and media industries are expected to grow at a steady rate owing to rising internet penetration and digitization.


REGIONAL INSIGHTS


Geographically, the market is segmented across five major regions, namely, North America, Europe, Asia Pacific, the Middle East & Africa, and South America.


North America Product Analytics Market Size, 2023 (USD Billion)

To get more information on the regional analysis of this market, Request a Free sample


North America held the largest market share in 2023 owing to the early implementation of modern technologies, robust economic landscape, and digital usage. Additionally, major firms, such as Amplitude, Inc., Heap, Inc., Mixpanel, Pendo.io, Indicative Inc. and others, have contributed to the region's success. Furthermore, increased investment by key companies to extend their global footprint is likely to drive market growth in North America. For Instance,



  • In June 2021, Amplitude Inc., headquartered in California, United States, introduced "Amplitude Experiment," the first experimentation solution based on consumer behavior and product analytics in the industry. This system provides organizations with end-to-end experimentation and delivery workflow that leverages consumer data at every process level, from hypothesis development to customer targeting and reporting.


 


Key Players in Europe are increasingly embracing the concept of product analytics software that is boosting the growth of the product in the region. Investments by key players, government projects, and increasing funding in research and development activities are driving factors for the region’s growth.


To know how our report can help streamline your business, Speak to Analyst


Asia Pacific is predicted to grow at the highest CAGR during the forecast period. The focus of major companies in India, Japan, China, Australia, and other countries is on digitized applications. These countries have a considerable number of small and medium businesses (SMEs) in the e-commerce industry. The countries in the APAC region, including Australia, China, and others are adopting product analytics tools, and implementing business intelligence in their banking, financial services, and e-commerce sector. These factors will contribute to the product analytics market growth shortly.


In particular, South America and the Middle East and Africa regions are likely to rise significantly. Owing to increased investment in digital projects and government initiatives in Iran, Brazil, Israel, Turkey, and other nations are primarily contributing to the growth. For instance, in June 2021, the International Financial Corporation (IFC) launched the DigiLab program in the Middle East and Africa. This launch will help financial institutions in improving digital services. Similarly, in November 2021, Virgin Mobile launched a digital carbon offsetting app. This app will be soon launched in Kuwait, Oman, and Saudi Arabia. Further, the launch of all such digital projects is anticipated to drive the growth of the market in the region.


List of Key Companies in Product Analytics Market


Key Players to Develop Effective Analytics Solutions to Satisfy Rising Demand of Consumers


Companies operating in the market such as Amplitude Inc., Heap, Inc., Mixpanel, Pendo.io, Gainsight, Hevo Data, Inc., Fullstory, Inc., Looker Data Science, Inc., PostHog, Inc., Indicative Inc., Woopra, Inc., and others, are focused on developing and offering efficient product analytics solutions. Also, the high competition in the market is forcing service providers to focus on acquisition strategies to strengthen their positions.


List of Key Companies Profiled:



KEY INDUSTRY DEVELOPMENTS:



  • September 2023 – Contentsquare, a provider of digital experience analytics, acquired Heap, a product analytics platform. The financial terms of the agreement have not been disclosed. With deeper and broader insight, the acquisition of Heap expands Contentsquare's platform capabilities.

  • June 2023 – ThoughtSpot, an AI-powered analytics platform valued at USD 4.5 billion, announced that it agreed to acquire Mode Analytics, a BI startup, for USD 200.0 million in stock and cash.

  • February 2023 – Whatfix, the global market player in digital adoption platforms, launched a new product line called Product Analytics. It enables organizations to visualize, track, and analyze user behavior and engagement data with a unified dashboard, ensuring data consistency and no-code event tracking.

  • May 2022 – Amplitude launched the customer data platform with integrated product analytics. The Amplitude CDP enables it to collect and analyze data from its product analytics platform without having to connect with third-party analytical services.

  • April 2021 – Gainsight launched Horizon Analytics to provide analytics and reporting offerings to the customer success software platform. This launch will further assist end users in relevant reporting, enhance retention, make better decisions, and uncover faster insights.


REPORT COVERAGE


The global product analytics market research report provides an in-depth analysis of the market. It focuses on key aspects such as leading companies, product Industry, and leading product applications. Besides this, the report offers insights into the market trends and highlights key industry developments. In addition to the factors mentioned above, the report encompasses several key factors that have contributed to the market's growth over recent years.


To gain extensive insights into the market, Request for Customization


REPORT SCOPE & SEGMENTATION










































ATTRIBUTE



DETAILS



Study Period



2019-2032



Base Year



2023



Estimated Year



2024



Forecast Period



2024-2032



Historical Period



2019-2022



Unit



Value (USD billion)



Growth Rate



Growth Rate of 14.6% from 2024 to 2032



Segmentation



By Component



  • Software/Tools

  • Services


By End-user



  • Consumer Tech

  • Fintech

  • Media

  • E-Commerce


By Region



  • North America (Component; End-user and Country)

    • U.S. (By Component)

    • Canada (By Component)



  • South America (Component; End-user and Country)

    • Brazil (By Component)

    • Argentina (By Component)

    • Rest of South America



  • Europe (Component; End-user and Country)

    • U.K. (By Component)

    • Germany (By Component)

    • France (By Component)

    • Italy (By Component)

    • Spain (By Component)

    • Russia (By Component)

    • Benelux (By Component)

    • Rest of Europe



  • Middle East & Africa (Component; End-user and Country)

    • Turkey (By Component)

    • Israel (By Component)

    • GCC (By Component)

    • South Africa (By Component)

    • North Africa (By Component)

    • Rest of the Middle East & Africa



  • Asia Pacific (Component; End-user and Country)

    • China (By Component)

    • India (By Component)

    • Japan (By Component)

    • South Korea (By Component)

    • ASEAN (By Component)

    • Oceania (By Component)



  • Rest of Asia Pacific






Frequently Asked Questions

The market is projected to reach USD 27.01 billion by 2032.

In 2023, the market stood at USD 7.86 billion.

The market is projected to grow at a CAGR of 14.6% over the forecast period (2024-2032).

By end-user, the E-commerce segment led the market in 2023.

Increasing need to improve customer behavior management to aid market growth.

The top players in the market are Amplitude Inc., Heap, Inc., Mixpanel, Pendo.io, Gainsight, Hevo Data, Inc., Fullstory, Inc., Looker Data Science, Inc., PostHog, Inc., Indicative Inc., and Woopra, Inc.

In 2023, North America held the largest market share.

Asia Pacific is expected to grow with the highest CAGR over the forecast period.

Seeking Comprehensive Intelligence on Different Markets?
Get in Touch with Our Experts

Speak to an Expert
  • 2019-2032
  • 2023
  • 2019-2022
  • 150

Personalize this Research

  • Granular Research on Specified Regions or Segments
  • Companies Profiled based on User Requirement
  • Broader Insights Pertaining to a Specific Segment or Region
  • Breaking Down Competitive Landscape as per Your Requirement
  • Other Specific Requirement on Customization
Request Customization Banner

Client Testimonials

“We are quite happy with the methodology you outlined. We really appreciate the time your team has spent on this project, and the efforts of your team to answer our questions.”

- One of the largest & renowned medical research centers based in the U.S. on a report on the U.S. NIPT Market.

“Thanks a million. The report looks great!”

- Feedback from a consultant on a report on the U.S. Beef Market.

“Thanks for the excellent report and the insights regarding the lactose market.”

- Brazil based company specializing in production of protein ingredients.

“I liked the report; would it be possible to send me the PPT version as I want to use a few slides in an internal presentation that I am preparing.”

- Global Digital Services Agency on a report on the Global Luxury Goods Market.

“This report is really well done and we really appreciate it! Again, I may have questions as we dig in deeper. Thanks again for some really good work.”

- U.S.-based biotechnology company focussing on treatment of chronic pain.

“Kudos to your team. Thank you very much for your support and agility to answer our questions.”

- Europe-based provider of solutions to automate data centre operations.

“We appreciate you and your team taking out time to share the report and data file with us, and we are grateful for the flexibility provided to modify the document as per request. This does help us in our business decision making. We would be pleased to work with you again, and hope to continue our business relationship long into the future.”

- India-based manufacturer of industrial and specialty intermediates with a strong global presence.

“I want to first congratulate you on the great work done on the Medical Platforms project. Thank you so much for all your efforts.”

- One of the largest cosmetics company in the world.

“Thank you very much. I really appreciate the work your team has done. I feel very comfortable recommending your services to some of the other startups that I’m working with, and will likely establish a good long partnership with you.”

- U.S. based startup operating in the cultivated meat market.

“We received the below report on the U.S. market from you. We were very satisfied with the report.”

- Global hearing aids manufacturer.

“I just finished my first pass-through of the report. Great work! Thank you!”

- U.S. based solar racking solutions provider.

“Thanks again for the great work on our last partnership. We are ramping up a new project to understand the imaging and imaging service and distribution market in the U.S.”

- World’s leading advisory firm.

“We feel positive about the results. Based on the presented results, we will do strategic review of this new information and might commission a detailed study on some of the modules included in the report after end of the year. Overall we are very satisfied and please pass on the praise to the team. Thank you for the co-operation!”

- Germany based machine construction company.

“Thank you very much for the very good report. I have another requirement on cutting tools, paper crafts and decorative items.”

- Japanese manufacturing company of stationery products.

“We are happy with the professionalism of your in-house research team as well as the quality of your research reports. Looking forward to work together on similar projects”

- One of the Leading Food Companies in Germany

“We appreciate the teamwork and efficiency for such an exhaustive and comprehensive report. The data offered to us was exactly what we were looking for. Thank you!”

- Intuitive Surgical

“I recommend Fortune Business Insights for their honesty and flexibility. Not only that they were very responsive and dealt with all my questions very quickly but they also responded honestly and flexibly to the detailed requests from us in preparing the research report. We value them as a research company worthy of building long-term relationships.”

- Major Food Company in Japan

“Well done Fortune Business Insights! The report covered all the points and was very detailed. Looking forward to work together in the future”

- Ziering Medical

“It has been a delightful experience working with you guys. Thank you Fortune Business Insights for your efforts and prompt response”

- Major Manufacturer of Precision Machine Parts in India

“I had a great experience working with Fortune Business Insights. The report was very accurate and as per my requirements. Very satisfied with the overall report as it has helped me to build strategies for my business”

- Hewlett-Packard

“This is regarding the recent report I bought from Fortune Business insights. Remarkable job and great efforts by your research team. I would also like to thank the back end team for offering a continuous support and stitching together a report that is so comprehensive and exhaustive”

- Global Management Consulting Firm

“Please pass on our sincere thanks to the whole team at Fortune Business Insights. This is a very good piece of work and will be very helpful to us going forward. We know where we will be getting business intelligence from in the future.”

- UK-based Start-up in the Medical Devices Sector

“Thank you for sending the market report and data. It looks quite comprehensive and the data is exactly what I was looking for. I appreciate the timeliness and responsiveness of you and your team.”

- One of the Largest Companies in the Defence Industry
We use cookies to enhance your experience. By continuing to visit this site you agree to our use of cookies . Privacy.
X