Global Social Media Analytics Market - Segmentation By Component (Monitoring, Measurements, Analytics and Insights), Mode of Deployment (On-premise, On-demand), End-User (Retail, Media & Entertainment, Banking & Financial Services) and Geography - Growth, Trends, and Forecasts (2018 - 2023)
The global social media analytics market was valued at USD 3.07 billion in 2017 and is projected to reach a value of USD 16.37 billion by the end of 2023, at a CAGR of 28.20% over the forecast period, 2018-2023.
Social media analytics is widely considered to be a major business and marketing tool in the present day business scenario. It is being used by businesses across the globe to gain actionable insights on consumer perceptions for improving their services and products. Social media analytics combines monitoring, measurement, and analysis tools to uncover user sentiments, and identify key trends in the study market. The deployment of social media analytics allows users to mine and decipher vast amounts of data from various social media platforms, such as Facebook, Twitter, and Instagram among others, to discover customer sentiment about brands, trends, customers concerns, the efficacy of the organization’s marketing campaigns, as well as competitor intelligence. The increasing number of social media users and increase in spending on analytics is influencing the market growth.
Increased Emphasis on Targeted Marketing and Competitive Intelligence
A steady decline in the effectiveness of traditional advertising campaigns, coupled with rising social media usage, have prompted businesses to adopt a more data-oriented approach for their marketing strategies. Social networks such as Facebook have realized the importance of targeted advertising they are offering through paid solutions to businesses, wherein location, demographics, and end-device information of consumers are made available for businesses to reach out to targeted section of consumers.
Retail Sector accounts a dominant market share
Businesses engage with customers through social media platforms by associating their product list with e-commerce sites, which helps in monitoring people and fostering relationships. Rising number of companies are using the collected information to understand their customers better. Retail businesses are attempting to make sense of the vast amounts of data generated through societal, personal, and industrial interactions, such as social media, geolocation, mobile devices, digital sensors, point of sale and automation.
North America occupied major market share
Social media is one of the most popular means of communication in the United States. About 89% of the population from the age group of 18-28 is active on social media, generating a significant amount of content. Furthermore, about 80% of the population lies within the age group of 30-49, and 64% in the 50-64 age group are also found to be active across different social media platforms. Owing to such high participation of population in different social media, companies, such as Amazon, IBM, and Oracle, have been deploying social media analytics to generate insights and gain a better understanding of the consumer behavior, which further guides their business and strategic decision making.
Major Players in the market include IBM Corporation, SAS Institute Inc., Clarabridge Inc., Gooddata, Crimson Hexagon Inc., Adobe Systems Incorporated, Oracle Corporation, Salesforce.com, Netbase Solutions Inc., Simply Measured, SAP SE, Tableau Software Inc.
Key Developments in the market