10 charts that will change your perspective of big data’s growth

Worldwide big data market revenues for software and services are projected to increase from $42bn in 2018 to $103bn in 2027, attaining a Compound Annual Growth Rate (CAGR) of 10.48% according to Wikibon
Forrester predicts the global big data software market will be worth $31bn this year, growing 14% from the previous year. The entire global software market is forecast to be worth $628bn in revenue, with $302bn from applications
According to an Accenture study, 79% of enterprise executives agree that companies that do not embrace big data will lose their competitive position and could face extinction. Even more, 83%, have pursued big data projects to seize a competitive edge
59% of executives say big data at their company would be improved through the use of AI according to PwC

Sales and marketing, research & development (R&D), supply chain management (SCM) including distribution, workplace management and operations are where advanced analytics including big data are making the greatest contributions to revenue growth today. McKinsey Analytics’ study Analytics Comes of Age, published in January 2018 (PDF, 100 pp., no opt-in) is a comprehensive overview of how analytics technologies and big data are enabling entirely new ecosystems, serving as a foundational technology for artificial intelligence (AI).

McKinsey finds that analytics and big data are making the most valuable contributions in the basic materials and high tech industries. The first chart in the following series of ten is from the McKinsey Analytics study, highlighting how analytics and big data are revolutionizing many of the foundational business processes of sales and marketing.

The following ten charts provide insights into big data’s growth:

Nearly 50% of respondents to a recent McKinsey Analytics survey say analytics and Big Data have fundamentally changed business practices in their sales and marketing functions

Also, more than 30% say the same about R&D across industries, with respondents in High Tech and Basic Materials & Energy report the greatest number of functions being transformed by analytics and big data. Source: Analytics Comes of Age, published in January 2018 (PDF, 100 pp., no opt-in).

Worldwide big data market revenues for software and services are projected to increase from $42bn in 2018 to $103bn in 2027, attaining a Compound Annual Growth Rate (CAGR) of 10.48%

As part of this forecast, Wikibon estimates the worldwide big data market is growing at an 11.4% CAGR between 2017 and 2027, growing from $35bn to $103bn. Source: Wikibon and reported by Statista.

According to NewVantage Venture Partners, big data is delivering the most value to enterprises by decreasing expenses (49.2%) and creating new avenues for innovation and disruption (44.3%)

Discovering new opportunities to reduce costs by combining advanced analytics and big data delivers the most measurable results, further leading to this category being the most prevalent in the study. 69.4% have started using big data to create a data-driven culture, with 27.9% reporting results. Source: NewVantage Venture Partners, Big Data Executive Survey 2017 (PDF, 16 pp.)

The Hadoop and big data markets are projected to grow from $17.1bn in 2017 to $99.31bn in 2022 attaining a 28.5% CAGR

The greatest period of projected growth is in 2021 and 2022 when the market is projected to jump $30bn in value in one year. Source: StrategyMRC and reported by Statista.

Big data applications and analytics is projected to grow from $5.3bn in 2018 to $19.4bn in 2026, attaining a CAGR of 15.49%

Big data market worldwide includes Professional Services is projected to grow from $16.5B in 2018 to $21.3B in 2026. Source: Wikibon and reported by Statista.

Comparing the worldwide demand for advanced analytics and big data-related hardware, services and software, the latter category’s dominance becomes clear

The software segment is projected to increase the fastest of all categories, increasing from $14B in 2018 to $46B in 2027 attaining a CAGR of 12.6%. Sources: Wikibon; SiliconANGLE; Statista estimates and reported by Statista.

Advanced analytics and big data revenue in China are projected to be worth ¥57.8bn ($9bn) by 2020

The Chinese market is predicted to be one of the fastest growing globally, growing at a CAGR of 31.72% in the forecast period. Sources: Social Sciences Academic Press (China) and Statista.

Non-relational analytic data stores are projected to be the fastest growing technology category in big data, growing at a CAGR of 38.6% between 2015 and 2020

Cognitive software platforms (23.3% CAGR) and Content Analytics (17.3%) round out the top three fastest growing technologies between 2015 and 2020. Source: Statista.

A decentralized general-merchandise retailer that used big data to create performance group clusters saw sales grow 3% to 4%

Big data is the catalyst of a retailing industry makeover, bringing greater precision to localization than has been possible before. Big data is being used today to increase the ROI of endcap promotions, optimize planograms, help to improve upsell and cross-sell sales performance and optimize prices on items that drive the greatest amount of foot traffic. Source: Use Big Data to Give Local Shoppers What They Want, Boston Consulting Group, February 8, 2018.

84% of enterprises have launched advanced analytics and big data initiatives to bring greater accuracy and accelerate their decision-making

Big data initiatives focused on this area also have the greatest success rate (69%) according to the most recent NewVantage Venture Partners Survey. Over a third of enterprises, 36%, say this area is their top priority for advanced analytics and Big Data investment. Sources: NewVantage Venture Partners Survey and Statista.