How App Analytics Market Can Drive High Growth Revenue In Coming Years
The global app analytics market was pegged at $920 million in 2017 and is expected to reach $3,798 million by 2025, registering a CAGR of 19.5% from 2018 to 2025.
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Increasing trend of using mobile-based advertising by enterprises and growing penetration of smartphones and other smart devices drive the growth of the global app analytics market. Moreover, increasing inclination toward personalized and customer-focused marketing supplements the market growth. However, availability of open source alternatives and concerns about data privacy in mobile apps hamper the market growth. On the contrary, increase in focus on higher ROI and emergence of bring-your-own-device (BYOD) and bring-your-own-apps (BYOA) are expected to create lucrative opportunities for the market players in the near future.
The key market players analyzed in the report include Adobe, IBM Corporation, Mixpanel, App Annie, AppsFlyer, Appsee, Countly, Localytics, AppDynamics, and CleverTap.
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North America region dominated the global app analytics market in 2017, contributing more than two-fifths share of the market, owing to technological advancements and recent developments pertaining to app analytics. However, Asia-Pacific region is projected to manifest CAGR of 24.1% during the forecast period, owing to massive amount of data and major shift toward digitization. Moreover, rise in the number of people equipped with tablets and smartphones in countries including China, India, and Indonesia has supplemented the growth of the market. The other regions analyzed in the report include Europe and Latin America, Middle East and Africa (LAMEA).
The mobile app analytics held the largest share in 2017, contributing nearly three-fourths of the total market revenue, as the data collected using mobile app analytics offer valuable insights about users' behavior and large customer base of mobile apps. Moreover, the segment is expected to register the fastest CAGR of 20.7% during the forecast period, owing to increase in penetration of smartphones and minimalistic requirement of hardware for its integration. Furthermore, the web app analytics segment is expected to witness steady growth during the forecast period.
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The software segment dominated the market in terms of revenue in 2017, contributing more than half of the market, owing to increase in deployment of app analytics software by major organizations into their applications to monitor app performance, user's behavior, and ad monitoring. However, the services segment is projected to register the fastest CAGR of 20.8% during the forecast period, owing to increase in adoption of services among end users, as it ensures efficient functioning of software and platforms throughout the process and release updates periodically.
The cloud deployment mode is projected to register the fastest CAGR of 21.4% during the forecast period, owing to requirement for low initial investment, rise in awareness about cloud-based app analytics software among end users, and increase in focus on reducing ownership cost. However, the on-premise segment held the largest share, contributing about 57% of the global market in 2017, as it has the ability to provide total control and ownership of the company's data.
The user analytics segment accounted for the largest share in 2017, contributing nearly two-fifths of total revenue, as it provides information about users to developers to help them improve user experience and increase conversion ratio. However, the advertising and marketing analytics segment is projected to manifest the fastest CAGR of 23.0% during the forecast period, owing to the increase in spending by companies on marketing analytics. The other segments analyzed in the report include app performance analytics and revenue analytics.
The retail & e-commerce segment is estimated to register the fastest CAGR of 25.9% during the forecast period, as these platforms help improve promotions, marketing, and customer experience. However, the gaming segment held the largest share in 2017, contributing about one-fourth of the total market share, as it helps developers and publishers to better understand their players, refine gameplay, and compare the performance of their titles to the general trends in the market. The report analyzes entertainment, social media, IT & telecom, health & fitness, travel & hospitality, education & learning, BFSI, and others segments.
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