Master Data Management Market by Component, Organization Size (SMEs & Large Enterprises), Deployment Mode (Cloud & On-premises), Vertical (BFSI & Healthcare), and Region (North America, Europe, APAC, MEA, Latin America) - Global Forecast to 2027

Master Data Management Market by Component, Organization Size (SMEs & Large Enterprises), Deployment Mode (Cloud & On-premises), Vertical (BFSI & Healthcare), and Region (North America, Europe, APAC, MEA, Latin America) - Global Forecast to 2027

The master data management market size to grow from USD 16.7 billion in 2022 to USD 34.5 billion by 2027, at a Compound Annual Growth Rate (CAGR) of 15.7% during the forecast period. Various factors such as rising need for compliance, increase in the use of data quality tools for data management, and rising trend towards multi-domain master data management are expected to drive the adoption of master data management technologies and services.

According to IBM, Master Data Management (MDM) is a comprehensive method to define and manage an organization’s critical data. It provides a single, trusted view of data across enterprises, agile self-service access, analytical graph-based exploration, governance, and a user-friendly dashboard. Moreover, MDM provides a 360-degree view of data and enables users to deliver better business insights through self-service analytics.

The master data management market is expected to grow owing to several factors, such as rising need for compliance and rising trend towards multi-domain master data management. The increasing availability and accessibility to view master data records within and beyond organizations are leading to the need for authorized processes to maintain the authenticity and accuracy of this data. Therefore, organizations are implementing integrated data governance models with their MDM solutions. Presently, users prefer integrated multi-domain MDM solutions assist them in the observance of various kinds of information policies and help them resolve technical data management issues. Hence, data governance is widely being standardized to increase the adoption of MDM solutions in the market.

The COVID-19 pandemic has affected the master data management market. However, companies are still leveraging MDM software to analyze real-time demand, manage network traffic, and ensure a balanced approach in upstream, midstream, and downstream processes across verticals. Companies would look out for real-time MDM solutions with data visualization, simulation and scenario developments, capabilities to analyze data in different business processes, regression analysis, historical trend analysis and forecasting, clustering and segmentation, and standardized reporting. Most solution providers have realized this and started implementing their solutions with these features to help their clients.

The Services segment to grow at higher CAGR during the forecast period

Based on component, the MDM market is segmented into solutions and services. The CAGR of the Services segment is estimated to be the largest during the forecast period. Services play a very important part in the MDM market, and are considered as the core components for the effective functioning of any software. The growing demand for cloud-based services and the rising adoption of MDM solutions are driving the growth of the services segment. The efficient delivery of services helps in improving system reliability, operational efficiency, and cost management.

The On-Premises segment to have the largest market size during the forecast period

Based on deployment type, the MDM market is segmented into cloud and on-premises. In on-premises deployment, software is installed on the customers’ server, whereas in cloud deployment, the software is hosted on dedicated equipment situated off-premises. On-premises deployment runs on customer data centers and allows them to control and manage all aspects of the MDM. On-premises deployment of MDM is a traditional deployment model and is presently the preferred method.

Asia Pacific to hold highest CAGR during the forecast period

The Asia Pacific MDM market is expected to grow at the highest CAGR of 24.0% from 2018 to 2023, due to growing industrialization in this region. This market is also expected to account for the significant adoption of MDM solutions. Initially, data management in this region followed an immature discipline. However, with the rising awareness about the increase in business productivity, supplemented with competently designed MDM solutions offered by vendors present in this region, is leading to Asia Pacific becoming a highly potential market.

Breakdown of primaries

In-depth interviews were conducted with Chief Executive Officers (CEOs), innovation and technology directors, system integrators, and executives from various key organizations operating in the master data management market.

By Company: Tier I: 35%, Tier II: 45%, and Tier III: 20%

By Designation: C-Level Executives: 35%, D-Level Executives: 25%, and Managers: 40%

By Region: APAC: 25%, Europe: 30%, North America: 30%, MEA: 10%, Latin America: 5%

The report includes the study of key players offering master data management solutions and services. It profiles major vendors in the master data management market. The major players in the master data management market include IBM (US), Oracle (US), SAP (Germany), SAS (US), TIBCO Software (US), Informatica (US), Talend (US), Cloudera (US), Riversand (US), SyncForce (US), and Stibo Systems (Denmark).

Research Coverage

The market study covers the master data management market across segments. It aims at estimating the market size and the growth potential of this market across different segments, such as components, mapping type, application, vertical, and region. It includes an in-depth competitive analysis of the key players in the market, along with their company profiles, key observations related to product and business offerings, recent developments, and key market strategies.

Key Benefits of Buying the Report

The report would provide the market leaders/new entrants in this market with information on the closest approximations of the revenue numbers for the overall master data management market and its subsegments. It would help stakeholders understand the competitive landscape and gain more insights better to position their business and plan suitable go-to-market strategies. It also helps stakeholders understand the pulse of the market and provides them with information on key market drivers, restraints, challenges, and opportunities.