Dublin, April 26, 2019 (GLOBE NEWSWIRE) -- The "Procurement Analytics Market by Component, Application Area (Supply Chain Analytics, Risk Analytics, Spend Analytics, Demand Forecasting, and Contract Management), Deployment Type, Organization Size, Vertical, and Region - Global Forecast to 2023" report has been added to ResearchAndMarkets.com's offering.
The global procurement analytics market size is expected to grow from USD 1.6 billion in 2018 to USD 4.1 billion by 2023, at a Compound Annual Growth Rate (CAGR) of 20.4% during the forecast period.
Growth factors for the market include organizations' increasing focus on enhancing the operational efficiencies of their procurement channels and their imminent need to handle compliance policies and contracts. However, lack of analytical expertise and employees' reluctance to adopt advanced analytical technologies may affect the market growth.
The report includes the study of key players, such as SAP (Germany), Oracle (US), SAS (US), IBM (US, Coupa Software (US), Zycus(US), BRIDGEi2i Analytics (India), JAGGAER (US), Rosslyn Data Technologies (England), Genpact (UK), Tamr (US), Simfoni (US), BirchStreet (US), Proactis (UK), and Sievo (Finland).
Services segment to grow at a higher CAGR during the forecast period
The procurement analytics market by service includes professional and managed services. Further, professional services have been classified into consulting, training and education, integration and deployment and support and maintenance services. These services help clients understand their procurement-related processes effectively.
The solution segment is expected to hold a larger market size during the forecast period. The procurement analytics solutions are being deployed by many Small and Medium-sized Enterprises (SMEs) for supplier and market intelligence, and to keep company expenditures to a minimum without affecting operations.
Increasing deployment of cloud-based procurement analytics solutions in SMEs to drive the market during the forecast period
The SMEs segment is expected to grow at a higher CAGR, owing to the increasing adoption of pay-as-you-go model to manage IT infrastructure as per their requirements. SMEs are concerned about the expenditures of deploying on-premises procurement analytics solutions and contracting skilled staff, and IT teams for their maintenance and hence are leaning towards cloud-based analytical solutions for improving their profit margins and efficiencies.
Though SMEs are small in terms of their size, they cater to a large number of customers globally. Limited budgets make the SMEs more susceptible to revenue losses due to high spending, irregular procurement channels, and improper supply chain management.
However, organizations' struggle to sustain their position in the competitive environment and their increasing focus on enhancing procurement channels' operational efficiencies will drive the demand for procurement analytics solutions among SMEs. These solutions not only enhance the procurement channels of SMEs but also enable them to make strategic decisions regarding their inventory, spend, and supply chain and to comply with regulations by ensuring customer data protection as well as organization data protection from data thefts.
Asia Pacific (APAC) to grow at the highest CAGR during the forecast period
APAC includes major economies, such as India, China, Australia, Hong Kong, and Japan, which are rapidly deploying the procurement analytics solution. APAC is expected to grow at the highest CAGR during the forecast period.
The APAC procurement analytics market is gaining traction, as the region is witnessing an increasing demand for cloud-driven analytical solutions, resulting in higher investments and technological advancements in various industry verticals. SMEs as well as large organizations in the APAC region have become more aware of procurement analytics solutions and services and started adopting them to enhance their supply chain, organization spend, reporting and other procurement processes.
Furthermore, North America is estimated to hold the largest market size in 2018 owing to the presence of a large number of vendors and initial adoption of procurement analytics solutions and services due to stringent laws and policies for safeguarding data in the procurement channels and to thrive in the market by increasing productivity.
Key Topics Covered
1 Introduction
1.1 Objectives of the Study
1.2 Market Definition
1.3 Market Scope
1.3.1 Market Segmentation
1.3.2 Regions Covered
1.4 Years Considered for the Study
1.5 Currency Considered
1.6 Stakeholders
2 Research Methodology
2.1 Research Data
2.1.1 Secondary Data
2.1.2 Primary Data
2.1.2.1 Breakup of Primaries
2.1.2.2 Key Industry Insights
2.2 Market Breakup and Data Triangulation
2.3 Market Size Estimation
2.3.1 Bottom-Up Approach
2.3.2 Top-Down Approach
2.4 Market Forecast
2.5 Assumptions for the Study
2.6 Limitations of the Study
3 Executive Summary
4 Premium Insights
4.1 Attractive Market Opportunities in the Procurement Analytics Market
4.2 Market By Component, 2018-2023
4.3 Market By Service, 2018-2023
4.4 Market Market Share of Top 3 Professional Services and Regions, 2018
4.5 Market By Organization Size, 2018
4.6 Market Top 3 Verticals
4.7 Market Investment Scenario
5 Premium Insights
5.1 Introduction
5.2 Market Dynamics
5.2.1 Drivers
5.2.1.1 Increasing Focus on Enhancing Procurement Channels' Operational Efficiencies
5.2.1.2 Imminent Need to Handle Compliance Policies and Contracts
5.2.1.3 Organizations' Struggle to Sustain Their Position in the Competitive Environment
5.2.2 Restraints
5.2.2.1 Growing Concerns Over Data Security Across Enterprises
5.2.2.2 Complexities in Streamlining the Processes and Concerns Regarding Data Privacy
5.2.3 Opportunities
5.2.3.1 Advent of ML and AI in the Procurement Process
5.2.3.2 Growing Demand for Cloud-Based Analytical Solutions
5.2.4 Challenges
5.2.4.1 Lack of Analytical Expertise
5.2.4.2 Reluctance to Adopt Advanced Analytical Technologies
5.3 Regulatory Implications
5.3.1 Sarbanes-Oxley Act of 2002
5.3.2 General Data Protection Regulation
5.3.3 Government Procurement Agreement
5.4 Use Cases
5.4.1 Adoption of Procurement Analytics Solutions for Improving the Productivity and Optimizing Issues
5.4.2 Leading Chemical Firm Adopted Procurement Analytics Solution for Improved Reporting and Efficiency of the Process
5.4.3 Implementation of Procurement Analytics Solutions By A Packaging Manufacturer Firm to Handle ITs Procurement and Spend Portfolios
5.5 Innovation Spotlight
5.5.1 Latest Innovations in Procurement Analytics
5.6 Analytics Types
6 Procurement Analytics Market By Component
6.1 Introduction
6.2 Solutions
6.2.1 Advancements in ML and AI to Accelerate the Adoption of Procurement Analytics
6.3 Services
6.3.1 Professional Services
6.3.1.1 Training and Education
6.3.1.1.1 Need for Skilled Employees Among Enterprises to Boost the Demand for Training and Education Services
6.3.1.2 Consulting
6.3.1.2.1 Need for Enhancing the Strategic Outlook of Organizations to Drive the Growth of Consulting Services Segment
6.3.1.3 Support and Maintenance
6.3.1.3.1 Initial Need for Support and Maintenance During Pre-Installation and Post-Installation to Trigger the Growth of Support and Maintenance Services
6.3.1.4 Integration and Deployment
6.3.1.4.1 Need for Integrating Advanced Analytical Solutions With Existing/Traditional Services to Drive the Growth of Deployment and Integration Services
7 Procurement Analytics Market, By Application Area
7.1 Introduction
7.2 Supply Chain Analytics
7.2.1 Increasing Need for Supplier and Market Intelligence to Drive the Growth of Supply Chain Analytics Segment
7.3 Risk Analytics
7.3.1 Need to Mitigate Risk and Reduce Associated Cost to Drive the Growth of Risk Analytics Segment
7.4 Spend Analytics
7.4.1 Need for Analyzing Expenditure Data and Reducing Procurement Cost to Drive the Growth of Spend Analytics Segment
7.5 Demand Forecasting
7.5.1 Need for Analysis of Demand Signals From Forecasts, Consumption Data, and Syndicated Industry Information to Drive the Growth of Demand Forecasting Segment
7.6 Contract Management
7.6.1 Need for Stronger Relationships With Customers and Suppliers to Drive the Demand for Contract Management
7.7 Vendor Management
7.7.1 Need for Vendor Management to Aid in Cost Control, Risk Reduction, and Excellent Service Delivery
8 Procurement Analytics Market, By Deployment Type
8.1 Introduction
8.2 Cloud
8.2.1 Focus on Improved Agility and Return on Investment to Drive the Adoption of Cloud Deployment Type
8.3 On-Premises
8.3.1 Need for Better Control Over Confidential Data to Propel the Adoption of On-Premises Solutions
9 Procurement Analytics Market, By Organization Size
9.1 Introduction
9.2 Small and Medium-Sized Enterprises
9.2.1 Small and Medium-Sized Enterprises to Adopt Pay-As-You-Go Model to Manage IT Infrastructure as Per Their Requirements
9.3 Large Enterprises
9.3.1 Procurement Analytics Helps Large Organizations Increase Savings, Improve Business Functioning, and Sustain Intense Competition
10 Procurement Analytics Market, By Vertical
10.1 Introduction
10.2 Retail and eCommerce
10.2.1 Need for Procurement Analytics to Enhance Business Productivity, Lower Costs, and Optimize Business Networks in Retail and eCommerce
10.3 Manufacturing
10.3.1 Demand for Procurement Analytics to Improve Operational Efficiency and Financial Performance in Manufacturing
10.4 Government and Defense
10.4.1 High Adoption of Spend Analytics Tools in Government and Defense Sector to Improve Spend Visibility and Track Opportunities for Savings
10.5 Healthcare and Life Sciences
10.5.1 High Adoption of Procurement Analytics in Healthcare and Life Sciences Vertical for Contract Management and Spend Analytics
10.6 Telecom and IT
10.6.1 Telecom and IT to Account for the Largest Market Size in the Procurement Analytics Market
10.7 Energy and Utilities
10.7.1 Organizations Catering to Energy and Utilities Industry Vertical to Deal With Government Policies, Tax Initiatives, and Subsidies to Promote Energy Conservation and Demand Reduction
10.8 Banking, Financial Services, and Insurance
10.8.1 High Adoption of Procurement Analytics in BFSI for Contract Management, Spend Analytics, and Risk Analytics
10.9 Others
11 Procurement Analytics Market, By Region
11.1 Introduction
11.2 North America
11.2.1 United States
11.2.1.1 The US to Hold A Larger Market Size in the Market in North America
11.2.2 Canada
11.2.2.1 Canada to Witness A Higher Growth Rate in the Market in North America
11.3 Europe
11.3.1 United Kingdom
11.3.1.1 The Growth of the Manufacturing Industry in the Region to Drive the Market
11.3.2 Germany
11.3.2.1 Germany to Witness the Highest Growth Rate in the Market in Europe
11.3.3 France
11.3.3.1 France to Witness Significant Adoption of Procurement Analytics Solutions in the Coming Years
11.3.4 Rest of Europe
11.4 Asia Pacific
11.4.1 China
11.4.1.1 The Emergence of Mobile Technologies, Cloud Computing, and Increased Automation to Bolster Procurement Analytics Penetration in China
11.4.2 Japan
11.4.2.1 Investments in Ai-Based Analytics Technology to Grow in Japan
11.4.3 India
11.4.3.1 Increase in Investments Among Startups and Growth of the Manufacturing Industry Vertical in the Region to Trigger Supply Chain Analytics Adoption in the Region
11.4.4 Rest of Asia Pacific
11.5 Middle East and Africa
11.5.1 Middle East
11.5.1.1 Procurement to Be the Next Step of Advancement for Improving Operations and Services in the Middle East
11.5.2 Africa
11.5.2.1 The Growth of the Manufacturing Industry Vertical, Coupled With the Retail and Consumer Goods Industry Vertical, to Boost Procurement Analytics Adoption
11.6 Latin America
11.6.1 Brazil
11.6.1.1 Brazil to Witness the Highest Growth Rate in the Market in Latin America
11.6.2 Mexico
11.6.2.1 Mexico to Account for the Largest Market Size in the Procurement Analytics Market in Latin America
11.6.3 Rest of Latin America
12 Competitive Landscape
12.1 Competitive Leadership Mapping
12.1.1 Visionary Leaders
12.1.2 Innovators
12.1.3 Dynamic Differentiators
12.1.4 Emerging Companies
12.2 Strength of Product Portfolio
12.3 Business Strategy Excellence
12.4 Competitive Scenario
12.4.1 Partnerships, Agreements and Collaborations
12.4.2 New Product Launches/Product Enhancements
12.4.3 Mergers and Acquisitions
13 Company Profiles
13.1 Introduction
13.2 SAP
13.3 Oracle
13.4 SAS
13.5 Coupa Software
13.6 BRIDGEi2i
13.7 Rosslyn Data Technologies
13.8 JAGGAER
13.9 Zycus
13.10 Genpact
13.11 Proactis
13.12 BirchStreet
13.13 Tamr
13.14 Simfoni
13.15 Sievo
For more information about this report visit https://www.researchandmarkets.com/r/k34xm9