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Marketing Analytics Software Market Size Projected for Rapid Expansion, Fueled by Growing Demand for Measurement and ROI Optimization
The marketing analytics software market was valued at $3.9 billion in 2021, and is estimated to reach $14.3 billion by 2031, growing at a CAGR of 13.9% from 2022 to 2031.Marketing analytics software encompasses tools and processes that enable an organization to manage, evaluate, and control its marketing efforts by measuring marketing performance. In short, these solutions simplify and optimize a business's marketing strategies and activities. Furthermore, the increasing use of social media channels and the rising use of big data analytics boost the growth of the global marketing analytics software market. In addition, the incremental need to gauge customer behavior positively impacts the growth of the market. However, the high cost of deployment hampers the marketing analytics software market growth. On the contrary, growth in advanced technology such as 5G is expected to offer remunerative opportunities for expansion during the marketing analytics software market forecast.
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Depending on enterprise size, the large enterprise segment holds the largest marketing analytics software market share as it helps to manage, evaluate, and control marketing efforts by measuring marketing performance. However, the SME segment is expected to grow at the highest rate during the forecast period, owing to continuous innovation and the cost-effectiveness of services.
Region-wise, the marketing analytics software market size was dominated by North America in 2021 and is expected to retain its position during the forecast period owing to, high social media usage and the availability of high-speed internet services in the region. However, Asia-Pacific is expected to witness significant growth during the forecast period, owing to the rapid implementation of digital government initiatives in countries such as Singapore and China.
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The COVID-19 outbreak negatively impacts the growth of the market, the industry is expected to recover by the third quarter of 2022. This is attributed to significant investment in advanced technologies such as IoT and smart technologies and various government initiatives, such as smart cities, across Asia-Pacific countries, including China and India. Furthermore, adopting technologies such as cloud, Artificial Intelligence (AI), and IoT.
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With the considerable control achieved over the pandemic, various sectors such as retail, manufacturing, and automotive, are expected to witness rising investments as deception technology solutions grow in prominence across different business functions offering several opportunities to digitize and expand the business across regions. Moreover, various public and private entities are expected to come together to create ecosystems to share data for multiple use cases under a common regulatory and cybersecurity framework, which, in turn, is expected to provide lucrative opportunities for the growth of the global market.
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