Data is delivering value to today’s organizations in myriad ways, from fueling fact-based decision-making to expanding data-focused product offerings. The data analytics industry is seeing skyrocketing growth, with several trends quickly gaining traction. In this post, we’re sharing five key developments that we expect to come to the forefront in 2022 as well as several new data analytics statistics we’ve recently uncovered.
5 Data Analytics Trends for 2022
1. AI will continue to improve, but humans will remain crucial
Earlier this year, Gartner® stated “Smarter, more responsible, scalable AI[1] will enable better learning algorithms, interpretable systems and shorter time to value. Organizations will begin to require a lot more from AI systems, and they’ll need to figure out how to scale the technologies — something that up to this point has been challenging.”[2] While AI is likely to continue to develop, we aren’t yet near the point where it can do what humans can. Organizations will still need data analytics tools that empower their people to spot anomalies and threats in an efficient manner.
2. Business intelligence adoption will grow in Technology, Business Services, Consumer Services, and Manufacturing
According to Dresner’s Business Intelligence Market Study 2021, organizations in the technology, business services, consumer services, and manufacturing industries are reporting the highest increases in planned adoption of business intelligence tools in 2022.
3. Predictive analytics is on the rise
Organizations are using predictive data analytics to forecast potential future trends. According to a report published by Facts & Factors, the global predictive analytics market is growing at a CAGR of around 24.5% and is expected to reach $22.1 billion by the end of 2026.
4. Cloud-native analytics solutions will be necessary
As legacy analytics solutions fall even further behind cloud-native solutions that are continually being innovated, companies seeking to get the most from business intelligence will shift to cloud-native data solutions.
Gartner recommends that organizations “include innovative cloud analytics solutions in their portfolio, renovating components or complementing their on-premises platform if organizations want to gain competitive advantage through Analytics and BI. Completely disregarding cloud analytics solutions means risk for many organizations, as most vendors don’t focus their R&D efforts on legacy products.”[3]
5. Self-service analytics will become even more critical to business intelligence
The demand for more fact-based daily decision-making is driving companies to seek self-service data analytics solutions. Jim Ericson, research director at Dresner Advisory Services, recently observed, “ Organizations that are more successful with BI are universally more likely to use self-service BI capabilities including collaboration and governance features included in BI tools.” Based on current trend it's expected that in 2022, more companies will adopt truly self-service tools that allow non-technical business users to securely access and glean insights from data.
5 Data Analytics Statistics to know for 2022
1. The global business intelligence market will be valued at $30.9 billion by 2022
According to research by Beroe, Inc., a leading provider of procurement intelligence, the global business intelligence market is estimated to reach $30.9 billion by 2022. The key drivers behind this forecasted trend include big data analytics, demand for data-as-a-service, demand for personalized, self-servicing BI capabilities.
2. 60% of organizations report company culture as being their biggest obstacle to success with business intelligence.
Dresner’s Business Intelligence Market Study 2021 revealed that the most significant obstacle to success with business intelligence is “a culture that doesn't fully understand or value fact-based decision-making.” 60% of respondents reported this factor as most damaging.
3. Retail/Wholesale, Financial Services, and Technology organizations are increasing their BI budgets by over 50% in 2022
Retail/Wholesale, Financial Services, and Technology organizations are the top industries increasing their investment in business intelligence. Each of these industries is planning to increase budgets for business intelligence by over 50%, according to Dresner’s Business Intelligence Market Study 2021.
4. 63% of companies say that improved efficiency is the top benefit of data analytics, while 57% say more effective decision-making
Finances Online reports that organizations identify improved efficiency and more effective decision-making as the top two benefits of using data analytics.
5. The global big data analytics in retail market generated $4.85 billion in 2020, and based on current trends, is estimated to increase to $25.56 billion by 2028, with a CAGR of 23.1% from 2021 to 2028.
Retail is investinvesting heavily in data, according to a report by Allied Market Research. The rise in expenditure on big data analytics tools, the need to deliver personalized customer experience to increase sales, and the growth of e-commerce are all contributing to this growth.
Data Analytics Becoming an Essential Business Function in 2022
The primary takeaway from the trends and statistics we discovered is that data analytics is no longer merely an option for business success. In 2022 and beyond, companies will be prioritizing data analytics as an essential business function, correctly identifying it as a must-have for business intelligence, product development, and customer happiness.
[1] Smarter with Gartner, “Build 3 Operations Management Skills for AI Success” February 3, 2021
[2] Smarter with Gartner, “Gartner Top 10 Data and Analytics Trends for 2021”, February 22, 2021
[3] Gartner, “Hype Cycle for Analytics and Business Intelligence, 2021”, Austin Kronz, Peter Krensky, July 29, 2021.
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