Procurement Analytics Market by Component (Solution and Services), Deployment Mode (On-premise and Cloud), Enterprise Size (Large Enterprises and Small & Medium-sized Enterprises) Application (Supply Chain Analytics, Risk Analytics, Spend Analytics, Contract Management, and Others), Industry Vertical (BFSI, Retail & E-commerce, IT & Telecom, Manufacturing, Healthcare, Energy & Utilities, and Others): Global Market Size Estimates and Forecast (2022-2030)
The procurement analytics market crossed US$ 3.00 billion mark in 2022 and is expected to hit US$ 18.81 billion by 2030, recording a CAGR of 25.8% during the forecast period.
Procurement analytics market has been significantly growing with the high adoption of Solutions in the market.
The solution segment dominated the market in 2021 with a revenue share of above 70%. With the growing number of procurement analytics software offered by key players in the market, demand for these analytics solutions continue to rise during the forecast period. Moreover, due to massive awareness of technologies across several industry verticals is becoming a primary driver for the adoption of procurement analytics solutions. Oracle and SAP became prominent players in providing procurement analytics solution such as supply chain management, spend analytics, risk analytics, contract management, among others. These factors, as a result propelling the growth of solutions segment in the procurement analytics market.
Within the report, the market is segmented into offering, application, and geography. By component, the market is bifurcated into solution and services. The deployment mode segment is divided into on-premise and cloud. By enterprise the procurement analytics market is segmented into large enterprises and small & medium-sized enterprises. Based on application, the market is segmented into supply chain analytics, risk analytics, spend analytics, contract management, and others. On the basis of industry verticals, the procurement analytics market is segregated into BFSI, retail & e-commerce, IT & telecom, manufacturing, healthcare, energy & utilities, and others. Geographically, the market is subsegmented into North America, Europe, Asia Pacific, South & Central America, and Middle East & Africa.
Increased focus towards enhancing procurement channels’ operational efficiencies accelerates the growth of procurement analytics market.
There is an increased adoption of analytics tools which enhances & improves the procurement processes across several business operations in terms of production, design, delivery, planning, and others. Moreover, factors such as improve productivity, minimize operational costs, anticipating losses and risks, and achieve stable business growth are mainly accelerating the procurement channel’s operation efficiencies in the procurement analytics market. Furthermore, by enhancing procurement channel’s operation efficiencies enable enterprises to make prior & informed decisions which further helps them with capabilities, such as spending analytics, plan compliance analytics, inventory optimization, contract management, price optimization, vendor management, among others. Thus, development of operation efficiencies and increased focused towards an implementation of procurement analytics offerings is boosting the market growth during the forecast period.
Data analytics and cloud-based procurement software.
The adoption of data analytics has increased tremendously which aims at reducing uncertain decision-making and inefficient use of resources in order to demonstrate the value of procurement and further drive organizational changes. A survey conducted by Deloitte’s Global Chief Procurement Office projected that 50 percent of the organizations has planned to use data analytics for cost optimization, 45 percent for management reporting, and 48 percent for process improvement which will have the greatest impact on the procurement process. Furthermore, cloud-based platforms are allowing organizations to reduce overhead, lower upfront investment, and enhance real-time information sharing. In addition, this further helps organizations in terms of improving productivity and to compete in the challenging business environment.
Recent strategic developments in procurement analytics market
The procurement analytics market has undergone several significant developments, and a few of these have been mentioned below:
- In August 2021, Oracle, which is one of the leading players in the procurement analytics market, has launched Oracle Fusion Cloud Enterprise Resource Planning and Oracle Fusion Cloud Supply Chain & Manufacturing, which is the updated version of cloud procurement.
- In April 2020, SAS Institute, which is an American multinational developer of analytics-based software launched free offerings on the existing online learning platform. In addition, SAS Learning Subscription, SAS Academy for Data Science, and customer intelligence resources are the examples of free offerings on the online learning platform.
- In May 2021, IBM launched Watson AIOps, which is an AI-based product designed for automating self-detection, diagnose, and respond to IT anomalies in real-time and can be performed on any hybrid cloud environment across several size of enterprises.
The procurement analytics market is driven by several players by implementing strategic activities such as investments, new launches, mergers & acquisitions, and partnerships. SAP, Oracle, SAS Institute, Coupa Software, Genpact, Microsoft, IBM, Cisco, Zycus, and others, are among the prominent players operating in the market.
Target audience for the report:
- Suppliers of raw materials, components and services
- Procurement analytics solution providers
- Governments imposing international and national regulations
- Customers and consumers
- Technology-related associations, organizations, forums, and alliances
- Government bodies, such as regulating authorities and policy makers
- Venture capitalists, private equity firms, and start-up companies
- End users of procurement analytics
- Research institutes, organizations, and consulting companies
Scope of the report:
In this report, the market has been segmented on the basis of:
- Deployment Mode
- Enterprises Size
- Large Enterprises
- Small & Medium-sized Enterprises
- Supply Chain Analytics
- Risk Analytics
- Spend Analytics
- Contract Management
- Industry Vertical
- Retail & E-commerce
- IT & Telecom
- Energy & Utilities
- North America
- Asia Pacific (APAC)
- South & Central America
- Middle East & Africa
- Companies profiled
- SAS Institute
The List of Companies
- SAS Institute