COMPETITIVE INTELLIGENCE SOFTWARE MARKET SIZE AND SHARE ANALYSIS - GROWTH TRENDS AND FORECASTS (2024-2031)

Competitive Intelligence Software Market Size and Trends

Global competitive intelligence software market is estimated to be valued at US$ 24.2 Mn in 2024 and is expected to reach US$ 46.3 Mn by 2031, growing at a compound annual growth rate (CAGR) of 9.7% from 2024 to 2031.

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Growing need to streamline competition analysis & strategy development process and increase in applications of artificial intelligence & machine learning in competitive intelligence can boost demand for competitive intelligence software. Key market players are focusing on enhancing their product capabilities by leveraging emerging technologies like AI & ML to offer advanced analytics and insights. Integration of competitive intelligence software with other business applications can also increase its adoption rate across organizations. However, data privacy & security concerns and high costs associated can hamper the competitive intelligence software market growth during the forecast period.

Rising demand for actionable insights

Due to globalization, businesses are facing intense competitive intelligence software market. Competitive intelligence software helps companies to analyze their competitors' product portfolios, promotions, pricing strategies and customer preferences to better understand the market dynamics. Such real-time data-driven insights help companies to identify new growth avenues while spotting potential threats from competitors in advance.

Rather than spending huge amounts on hiring researchers, companies are leveraging competitive intelligence software to easily track competition across multiple parameters. Key aspects like competitor profiling, technology monitoring, market monitoring and analysis of partnerships & collaborations can now be done efficiently using these software solutions. Moreover, these empower sales and marketing teams with insights to push for better lead conversions and drive sales growth. Enterprises realize that reacting to competitors moves in a proactive manner using predictive analytics capabilities of these tools can help gain significant competitive advantage over others. The demand for actionable strategies backed by continuous competitor monitoring can boost adoption of competitive intelligence software at a global scale.

For instance, in October 2023, IBM signed three MoUs with entities under India's Ministry of Electronics and Information Technology (MeitY) to drive innovation in AI, semiconductors, and quantum computing. This aims to accelerate India's national AI strategy, bolster the country's semiconductor self-reliance efforts, and advance its National Quantum Mission.

Market Concentration and Competitive Landscape

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Adoption of AI and automation features

Due to rising advanced technologies, competitive intelligence software providers are now integrating capabilities of AI, machine learning and automation in their offerings. This is luring more businesses towards these next-gen solutions at a rapid pace. AI-powered features allow analyzing huge volumes of both structured and unstructured publicly available data on competitors to surface patterns. Automated alert systems keep businesses updated about competitors’ activities on an ongoing basis without human intervention. Integration of AI capabilities have made competitive intelligence software a lot more precise in tracking competitors, predictive in nature and super-efficient in terms of time and cost savings for organizations.

Adoption of automation features is beneficial for companies with limited budgets and analysts. Automated data collection, analysis and report generation save man-hours while providing comparable quality of insights as manual research. Companies now rely more on AI-empowered software as a strategic partner in competitor tracking rather than depending totally on in-house human resources, which are expensive and scarce. Integration of advanced AI and automation solutions have positioned competitive intelligence software as an essential competitive strategy tool for businesses even in tough macroeconomic conditions.

Key Takeaways from Analyst:

Growing adoption of competitive intelligence software by large enterprises to gain insights about their competitors and stay ahead in the market can drive the competitive intelligence software. The ability of competitive intelligence software to provide early warning about potential threats, monitor pricing trends, and identify new market opportunities boosts its adoption. However, data privacy and security concerns can hamper the market growth.

North America dominates the market due to presence of majority of key players in countries like U.S. However, Asia Pacific is likely to be the fastest growing market, owing to growing competition in industries like retail, automotive and manufacturing in countries such as China, India and Japan.

Strategic partnerships and mergers and acquisitions are expected to rise among competitive intelligence software vendors to expand their offerings and global footprint. Many software companies are also focusing on developing industry-specific competitive intelligence modules to better cater to the needs of customers. The increased demand for insightful and real-time competitor data from small and medium enterprises can offer market growth opportunities.

Market Challenges: High setup and maintenance cost

The high setup and maintenance cost associated with competitive intelligence software can hamper the global competitive intelligence software market growth. Setting up competitive intelligence software requires heavy investments as these platforms offer advanced features and capabilities for collecting, analyzing and distributing intelligence. Businesses need to invest in skilled resources to install, configure and optimize the use of these complex software. These also require data scientists and analysts to feed reliable external sources into the platform and interpret gathered intelligence. This leads to increased initial licensing fees and personnel costs.

Once setup, the maintenance and support costs of these solutions are also significantly high. Software upgrades, technical support subscriptions, additional storage space for handling growing volumes of intelligence data, and training of employees to leverage advanced analytics tools entail continuous financial obligations. As competitive intelligence needs to be refreshed on a real-time basis due to dynamic nature of business environments, the operating expenses add up substantially over the long-run use of these platforms. This makes competitive intelligence software unaffordable for many small and medium enterprises with limited budgets for technology investments.

Market Opportunities: Untapped potential of SMEs

Small and medium-sized enterprises (SMEs) form the backbone of economies worldwide. However, in many countries these have not fully leveraged competitive intelligence software to optimize business strategies and gain competitive advantage. If SMEs adopt such tools effectively, it can offer market growth opportunities.

Competitive intelligence software provides vital insights into customer behavior, industry trends, competitor strategies and future disruptions. It analyzes large amounts of internal and external data through advanced analytics. For SMEs with limited R&D resources, these tools can help gain a comprehensive understanding of the business environment at a minimal cost. Particularly during uncertain economic times like the ongoing COVID-19 pandemic, timely insights into demand patterns, supply chain dynamics can help SMEs mitigate risks and pivot business models quickly.

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Insights, By Deployment - Cloud Adoption and Cost Savings Drive Cloud-based Deployment

In terms of deployment, cloud-based segment is estimated to contribute the highest market share of 58.7% in 2024, owing to its growing adoption among organizations and the significant cost savings it provides compared to on-premises deployment. Cloud-based deployment allows organizations to avoid large upfront capital expenditures required for hardware, software, facility and support infrastructure of an on-premise solution. It offers a flexible “pay-as-you-go” model where companies only pay for what this use, eliminating unnecessary spending. This has increased the appeal of cloud among both large and small businesses. Cloud also provides instant scalability, higher collaboration and allows easy access to data from anywhere, empowering organizations to be more productive and agile. The COVID-19 pandemic has further accelerated the digital transformation of enterprises and their migration to cloud-based platforms.

Insights, By Enterprise Size - Preference for Actionable Insights Drives Adoption Among Large Enterprises

In terms of enterprise size, large enterprises segment is estimated to contribute the highest market share of 52.1% in 2024 as these are more focused on gaining actionable insights from collected data. Large corporations operate in highly competitive environments and collect large volumes of both structured and unstructured data from various external and internal sources on a daily basis. These rely heavily on competitive intelligence software to analyses this big data in a timely, cost-effective manner to identify new opportunities and threats, monitor competitors, and support strategic decision making. These enterprises have both higher budgets and complex analytics needs, which compel them to invest more in sophisticated competitive intelligence solutions.

Insights, By Application - Growing Importance of Competitive Edge Drives Adoption in Industrial Sector

In terms of application, industrial segment is estimated to contribute the highest market share of 33.2% e in 2024 due to increasing focus on gaining and maintaining competitive advantage. The industrial manufacturing sector operates in a fiercely competitive global environment. Companies rely on competitive intelligence to stay ahead of challenges like price wars, new product developments and market trends. It helps them benchmark against industry leaders, understand customer requirements, identify new geographic opportunities and disruptive technologies in their domain. Advanced solutions provide industrial firms with granular competitor insights to support strategic planning, R&D initiatives and response measures. The ability to rapidly react to competition through data-backed insights has become critical for long term success in this evolving sector.

Regional Insights

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North America has established itself as the dominant region in the global competitive intelligence software market with an estimated market share of 34.3% in 2024. The region is home to major tech giants and established software companies that offer competitive intelligence solutions. Companies in industries such as IT & telecom, BFSI, healthcare, and automotive are some of the biggest adopters of competitive intelligence software in the region due to their focus on research & development.

The region also has a highly skilled workforce with strong technical expertise in areas such as data analytics, data science and artificial intelligence (AI). This enables companies to develop cutting-edge competitive intelligence solutions tailored for regional as well as global clients. High spending capability of enterprises along with early adoption of emerging technologies provide a strong market potential for vendors.

The competitive landscape remains diverse with presence of international as well as domestic players. Vendors are continually enhancing their offerings with new features to leverage latest technologies and gain market share. These are also investing in partnerships to expand regional presence and provide end-to-end intelligence services to customers.

Asia Pacific region is emerging as the fastest growing market globally. Countries like China, India, Japan and South Korea are undergoing rapid digitization that leads to increased adoption of competitive intelligence solutions across industries. The region houses manufacturing powerhouses and new age technology companies with growing R&D expenditure. This boosts demand for informed decision making using competitive data and insights.

Furthermore, local players in Asia Pacific are investing in development of cost-effective custom solutions to cater specific intelligence needs of price-sensitive small and mid-sized enterprises prevalent in developing markets. This attracts new customers and help vendors establish strong foothold. Many international vendors are strengthening regional presence through partnerships to leverage lucrative market expansion opportunities in Asia Pacific.

Market Report Scope

Key Developments

• In November 2023, Mytonomy, a provider of healthcare cloud solutions for patient education and engagement, launched Mytonomy Analytics Cloud powered by Sisense. This integration brings powerful new analytics and engagement capabilities to Mytonomy's Cloud for Healthcare platform. By leveraging Sisense's HIPAA-compliant advanced analytics tools, healthcare providers can now track, predict, and more efficiently allocate resources in real-time. This helps healthcare organizations save time and improve patient care by directing resources to where they are most needed.
• In March 2022, Crunchbase, a market intelligence startup, launched a new Chrome browser extension designed to make it easier for users to leverage data to identify new business opportunities. The Crunchbase Chrome extension allows users to access the company's data and features directly within the web pages and sales tools it already use, such as LinkedIn, Salesforce, and Outreach. This helps users quickly qualify accounts, access verified contact information, and take action on qualified prospects without having to switch between multiple tools and tabs. The extension aims to streamline the sales prospecting workflow by delivering Crunchbase's company and contact data where users need it most, saving time on research and enabling them to connect with the right decision-makers.
• In September 2020, Crayon, a competitive intelligence platform, announced a partnership with G2, a leading peer-to-peer review site. This integration allows Crayon's customers to directly access verified user reviews, providing them with a comprehensive 360-degree view of their own products as well as those of their competitors. The partnership enables Crayon's clients to leverage the wealth of real-world insights from G2's extensive review database to enhance their competitive analysis and decision-making.
• In October 2020, Archintel launched a member-based roundtable series called "Competitive Intelligence (CI) Event Membership" targeted at executives in the competitive intelligence field. The goal of this initiative is to foster greater collaboration among organizations in the competitive intelligence space.

*Definition: Global Competitive Intelligence Software Market refers to software solutions that enable organizations to gather, analyze and disseminate internal and external information crucial for effective competitive decision making. Such software monitors competitors and the business environment, tracks industry trends, analyzes demand and supply patterns, evaluates new technologies and grasps opportunities. It helps collect big data from publicly available sources and interprets it to gain valuable strategic insights. These insights enable organizations to make prudent business decisions, devise effective marketing strategies and gain an edge over rivals.

Market Segmentation

• Deployment Insights (Revenue, US$ Mn, 2019 - 2031)
  • Cloud-based
  • On-premises
•  Enterprise Size Insights (Revenue, US$ Mn, 2019 - 2031)
  • Large Enterprises
  • Small and Medium Enterprises
•  Application Insights (Revenue, US$ Mn, 2019 - 2031)
  • BFSI
  • IT & Telecom
  • Automotive
  • Retail
  • Health Care
  • Energy
  • Industrial
  • Education
  • Others
• Regional Insights (Revenue, US$ Mn, 2019 - 2031)
  • North America
    • U.S.
    • Canada
  • Latin America
    • Brazil
    • Argentina
    • Mexico
    • Rest of Latin America
  • Europe
    • Germany
    • U.K.
    • Spain
    • France
    • Italy
    • Russia
    • Rest of Europe
  • Asia Pacific
    • China
    • India
    • Japan
    • Australia
    • South Korea
    • ASEAN
    • Rest of Asia Pacific
  • Middle East & Africa
    • GCC Countries
    • Israel
    • South Africa
    • Rest of Middle East & Africa
• Key Players Insights
  • Accenture PLC
  • Aetna Inc.
  • Anthem Inc.
  • Cognizant Technology Solutions Corporation
  • CVS Health Corporation
  • Deloitte Touche Tohmatsu Limited
  • Humana Inc.
  • International Business Machines Corporation (IBM)
  • Johnson & Johnson
  • McKesson Corporation
  • Optum Inc. (UnitedHealth Group)
  • PricewaterhouseCoopers LLP
  • UnitedHealth Group Incorporated
  • Unitedhealth Group Inc.
  • Walgreens Boots Alliance, Inc.