North America Predictive Analytics Market Forecast to 2028 - COVID-19 Impact and Regional Analysis - by Component, Deployment Mode, Organization Size, and Industry Vertical

The predictive analytics market in North America is expected to grow from US$ 4,943.46 million in 2022 to US$ 15,219.34 million by 2028. It is estimated to grow at a CAGR of 20.6% from 2022 to 2028.

Big Data is a technology-driven movement. Its strategic importance requires careful consideration when it comes to adoption. While the 3 Vs, i.e., volume, velocity, and variety, are frequently used to define Big Data, the use of big data-enabled technologies is not limited to how the 3 Vs are defined. Their use has a much broader scope when properly analyzed from an organizational perspective. Using big data effectively requires changing mindsets about how it is used. While other technologies help solve problems, such as streamlining the inventory management processes or providing online systems to track order shipments in real-time, big data helps find issues that need special attention. A key factor in the success of any new program is how it is approached since its inception phase. Any big data program that requires data integration into strategic planning will be critical and will be heavily penalized in case of failure. The appropriate framework to implement predictive analytics within the organization must be adopted. Data flow, governance, and data need to be further integrated into big data platforms to find a more comprehensive solution to manage compliance tasks and upgrade existing legacy systems to newer and faster software-based services. For instance, Hexanika is a FinTech Big Data software company that has developed an end-to-end solution for financial institutions to address regulatory compliance reporting and data sourcing. Hexanika’s innovative solutions improve data quality, keep regulatory reporting in line with the dynamic regulatory requirements, and keep pace with the new developments and latest regulatory updates. This is leading to the high growth of the predictive analytics market.

Market Overview

The predictive analytics market in North America is sub segmented into the US, Canada, and Mexico. Predictive analytics software is increasingly being adopted in multiple organizations, and cloud-based predictive analytics software solutions are gaining significance in SMEs in North America. Predictive analytics is gaining momentum in the highly competitive retail sector in this region; this technique has the potential to transform store layouts and enhance the customer experience in various businesses. In a few North American countries, retailers use smart carts with locator beacons, pin-sized cameras installed near shelves, or the store's Wi-Fi network to determine the footfall in the store, provide directions to a specific product section, and check key areas visited by customers. This process can also provide basic demographic data for parameters such as gender and age. Wal-Mart, Costco, Kroger, The Home Depot, and Target have their origin in North America. The amount of data generated by stores surges with the rise in sales. Without implementing analytics solutions, it becomes difficult to manage such vast data that include records, behaviours, etc., of all customers. Players such as Euclid Analytics offer spatial analytics platforms for retailers operating offline to help them track customer traffic, loyalty, and other indicators associated with customer visits. Euclid's solutions include preconfigured sensors connected to switches that are linked through a network. These sensors can detect customer calls from the devices that have Wi-Fi turned on. Additionally, IBM's Sterling Store Engagement solution provides a real-time view of store inventory, and order data through an intuitive user interface that can be accessed by store owners from counters and mobile devices. Heavy investments in healthcare sectors, advancements in technologies to help manage a large number of medical records, and the use of Big Data analytics to efficiently predict at-risk patients and create effective treatment plans are further contributing to the growth of the predictive analytics market in North America. Predictive analytics helps assess patterns in a patients’ medical records, thereby allowing healthcare professionals to develop effective treatment plans to improve outcomes. During the COVID-19 pandemic, healthcare predictive analytics solutions helped provide hospitals with insightful predictions of the number of hospitalizations for various treatments, which significantly helped hospitals to deal with the influx of a large number of patients. However, the high costs of installation and a shortage of skilled workers may limit the use of predictive analytics solutions in, both, the retail and healthcare sectors.

North America Predictive Analytics Market Segmentation

The North America predictive analytics market is segmented into component, deployment mode, organization size, industry vertical, and country.

• Based on component, the market is segmented into solution and service. By solution, the market is sub segmented into risk analytics, marketing analytics, sales analytics, customer analytics, and others. The solution segment registered the largest market share in 2022.
• Based on deployment mode, the market is segmented into on-premise and cloud-based. The cloud - based segment held a larger market share in 2022.
• Based on organization size, the market is segmented into small and medium enterprises (SMEs) and large enterprises. The large enterprises segment held the larger market share in 2022.
• Based on industry vertical, the market is segmented into IT & Telecom, BFSI, energy & utilities, government and defence, retail and e-commerce, manufacturing, and others. The BFSI segment held the largest market share in 2022.
• Based on country, the market is segmented into US, Canada, Mexico. US dominated the market share in 2022.

IBM Corporation; Microsoft Corporation ; Oracle Corporation; SAP SE; Google LLC; SAS Institute Inc.; Salesforce.com, inc.; Amazon Web Services; Hewlett Packard Enterprise Development LP (HPE) ; and NTT DATA Corporation are the leading companies operating in the predictive analytics market in the region.