GITNUX MARKETDATA REPORT 2024

Text Analytics Industry Statistics

The text analytics industry is expected to grow significantly due to increasing demand for sentiment analysis, entity recognition, and other natural language processing applications.

Highlights: Text Analytics Industry Statistics

  • The global text analytics market size was valued at USD 4.65 billion in 2018.
  • The text analytics market is predicted to grow at a 20% Compound Annual Growth Rate (CAGR) from 2021 to 2026.
  • The North American region holds 32% of the global text analytics market.
  • The AI-based text analytics market is expected to reach $23.6 billion by 2025.
  • The deployment of on-premise text analytics solutions accounted for nearly 70% of the overall market share in 2018.
  • Retail and eCommerce are the largest verticals applying predictive text analytics, nearly 35% of use cases.
  • The Asia-Pacific region is projected to have the highest growth rate in the text analytics market during the forecast period.
  • 64% of business executives agree that text analytics helps them gain customer insights and improve service.
  • By 2027, the natural language processing technology associated with text analytics is expected to reach $41.94 billion.
  • The healthcare sector is forecasted to achieve the highest CAGR in text analytics implementation by 2022.
  • Customer Experience Management dominated the text analytics applications market with a 40% share in 2019.
  • Social media monitoring is predicted to grow with a CAGR of over 18% from 2020 to 2026.
  • The demand for cloud-based text analytics solutions will increase by 17.2% by 2026.
  • The BFSI industry is projected to account for over 25% share of the text analytics market by 2026.
  • More than 50% of global retailers use text analytics for customer feedback and compliance management.
  • Data mining and business intelligence (BI) applications hold a 33% share of the global text analytics market.
  • Structured data represents only 20% of all data with the rest being unstructured, driving the need for text analytics.

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The Latest Text Analytics Industry Statistics Explained

The global text analytics market size was valued at USD 4.65 billion in 2018.

The statistic highlights the market valuation of the global text analytics industry in 2018, which amounted to USD 4.65 billion. Text analytics involves the process of analyzing unstructured data from textual sources such as social media, customer reviews, and emails to derive meaningful insights and patterns. The significant market size reflects the growing importance of text analytics in various sectors for extracting valuable information, understanding consumer sentiments, competitive analysis, and decision-making processes. The increasing volume of unstructured text data and the advancements in natural language processing technologies are driving the expansion of the text analytics market, making it a key area of investment and innovation for businesses looking to leverage the power of data-driven insights.

The text analytics market is predicted to grow at a 20% Compound Annual Growth Rate (CAGR) from 2021 to 2026.

This statistic indicates that the text analytics market is forecasted to experience significant growth over the next five years, with a Compound Annual Growth Rate (CAGR) of 20% from 2021 to 2026. This means that the market is projected to expand rapidly at a consistent annual rate of 20% over the specified period. Such growth rate signifies a strong and sustained increase in the adoption and utilization of text analytics technologies and services across various industries, demonstrating a growing recognition of the value and benefits that text analytics can provide in extracting insights, patterns, and trends from large volumes of unstructured textual data.

The North American region holds 32% of the global text analytics market.

The statistic indicates that North America accounts for a substantial portion of the global text analytics market, with a market share of 32%. This suggests that companies within the North American region are significant players in the text analytics industry, utilizing advanced technologies to extract and analyze insights from large volumes of unstructured text data. The high market share could be attributed to factors such as the presence of key industry players, technological advancements, a strong focus on data-driven decision-making, and a high demand for text analytics solutions across various sectors such as customer service, marketing, healthcare, and finance within the region.

The AI-based text analytics market is expected to reach $23.6 billion by 2025.

This statistic indicates the projected growth and market size of the AI-based text analytics industry, with an estimated value of $23.6 billion by the year 2025. This forecast suggests a significant expansion in the demand for AI-driven text analysis technology, driven by factors such as the increasing volume of textual data generated online and the growing need for businesses to derive insights and make data-driven decisions. The rising adoption of artificial intelligence solutions across various industries, including marketing, customer service, and research, is expected to fuel the growth of the AI-based text analytics market in the coming years, positioning it as a key player in the broader AI market landscape.

The deployment of on-premise text analytics solutions accounted for nearly 70% of the overall market share in 2018.

The statistic indicates that in 2018, the majority of text analytics solutions were deployed on-premise, as opposed to being cloud-based or hosted externally. This finding suggests that organizations preferred to have greater control over their data and software by keeping it within their own infrastructure rather than relying on external servers. The high market share of on-premise deployments highlights a preference for in-house customization, security, and data privacy within the text analytics market during that period.

Retail and eCommerce are the largest verticals applying predictive text analytics, nearly 35% of use cases.

The statistic indicates that the retail and eCommerce industries are leading in the application of predictive text analytics, accounting for approximately 35% of all use cases. This suggests that businesses within these verticals are actively leveraging predictive text analytics to gain insights, enhance decision-making processes, and improve customer experiences. Given the nature of retail and eCommerce, which are highly competitive and consumer-driven sectors, the adoption of predictive text analytics aligns with the increasing emphasis on personalization, targeted marketing, and efficient customer service. Overall, this statistic highlights the significant role that predictive text analytics plays in driving innovation and competitive advantage within the retail and eCommerce domains.

The Asia-Pacific region is projected to have the highest growth rate in the text analytics market during the forecast period.

This statistic indicates that the Asia-Pacific region is expected to experience the fastest rate of expansion in the text analytics market compared to other regions over the forecast period. This growth is likely driven by increasing adoption of text analytics technologies by businesses in various industries across the Asia-Pacific region, as organizations recognize the importance of extracting valuable insights from unstructured data such as customer feedback, social media posts, and online reviews. Factors contributing to this high growth rate may include the region’s rapidly expanding digital landscape, rising internet penetration, and a growing emphasis on data-driven decision-making. As a result, companies offering text analytics solutions are likely to focus on expanding their presence and market share in the Asia-Pacific region to capitalize on this anticipated growth opportunity.

64% of business executives agree that text analytics helps them gain customer insights and improve service.

The statistic that 64% of business executives agree that text analytics helps them gain customer insights and improve service indicates a strong consensus among a majority of key decision-makers that text analytics technology is beneficial for enhancing their understanding of customers and ultimately improving the quality of services provided. This insight suggests that companies are increasingly recognizing the value of utilizing text analytics tools to analyze customer feedback, sentiment, and preferences contained in unstructured data such as emails, social media posts, and surveys. By leveraging text analytics, organizations have the opportunity to extract valuable insights, identify trends, and make data-driven decisions that can lead to more personalized customer experiences, better service delivery, and overall business success.

By 2027, the natural language processing technology associated with text analytics is expected to reach $41.94 billion.

The statistic states that the natural language processing technology related to text analytics is projected to grow substantially and reach a market value of $41.94 billion by the year 2027. This indicates a significant increase in the demand and adoption of natural language processing tools that are used to analyze and extract insights from text data. The growth in this sector is likely driven by the increasing need for businesses and organizations to leverage big data and artificial intelligence for various applications such as sentiment analysis, speech recognition, language translation, and chatbots. The statistic suggests a strong future market potential for technologies that enable automated processing and understanding of human language, indicating the growing significance and widespread adoption of natural language processing in various industries.

The healthcare sector is forecasted to achieve the highest CAGR in text analytics implementation by 2022.

The statistic indicates that within the realm of implementing text analytics, the healthcare sector is expected to experience the highest Compound Annual Growth Rate (CAGR) by the year 2022. This suggests that the healthcare industry will see significant growth and adoption of text analytics tools and technologies for analyzing and extracting insights from textual data. The increasing use of text analytics in healthcare may be driven by the growing volume of textual data generated in healthcare settings, such as electronic health records, medical reports, and patient feedback. The trend towards leveraging text analytics in healthcare can lead to improved decision-making, personalized patient care, enhanced disease management, and overall operational efficiencies within the sector.

Customer Experience Management dominated the text analytics applications market with a 40% share in 2019.

This statistic indicates that in 2019, the market for text analytics applications was largely driven by the area of Customer Experience Management, which accounted for a significant 40% share. This suggests that a substantial portion of businesses and organizations were utilizing text analytics technology primarily to improve and enhance their customer experience strategies. Customer Experience Management involves analyzing customer feedback, reviews, and interactions to understand customer sentiment, preferences, and behaviors in order to make data-driven decisions that can positively impact customer satisfaction and loyalty. The dominance of Customer Experience Management in the text analytics market highlights the increasing importance placed on understanding and improving the customer experience across various industries in today’s competitive business landscape.

Social media monitoring is predicted to grow with a CAGR of over 18% from 2020 to 2026.

This statistic indicates that the practice of monitoring social media activities is expected to experience significant growth with a Compound Annual Growth Rate (CAGR) exceeding 18% from 2020 to 2026. This projected growth suggests a rising recognition of the value and importance of social media monitoring in understanding consumer behaviors, trends, and sentiments for businesses and organizations. The increasing prevalence of social media platforms as key communication channels necessitates the need for monitoring tools and strategies to track and analyze a vast amount of data generated on these platforms. The forecasted CAGR of over 18% highlights the accelerating demand for social media monitoring services and solutions in the coming years.

The demand for cloud-based text analytics solutions will increase by 17.2% by 2026.

This statistic indicates that there is a projected increase of 17.2% in the demand for cloud-based text analytics solutions by the year 2026. This growth in demand suggests a rising trend towards leveraging cloud technology for analyzing and extracting insights from text data, such as social media posts, customer feedback, and other textual sources. Organizations are likely recognizing the benefits of cloud-based solutions, such as scalability, flexibility, and accessibility, for handling large volumes of text data more efficiently and cost-effectively. This forecasted increase underscores the importance of text analytics in enabling businesses to derive valuable information and make data-driven decisions in this digital age.

The BFSI industry is projected to account for over 25% share of the text analytics market by 2026.

This statistic indicates that the Banking, Financial Services, and Insurance (BFSI) industry is anticipated to capture more than a quarter (25%) of the market for text analytics by the year 2026. Text analytics involves extracting insights and meanings from unstructured text data, such as customer feedback, social media posts, and reviews, using natural language processing and machine learning techniques. The projected growth in the BFSI sector’s share of the text analytics market suggests an increasing adoption of these technologies in the industry to enhance customer service, improve risk management, personalize marketing strategies, and gain competitive advantages through data-driven decision-making processes.

More than 50% of global retailers use text analytics for customer feedback and compliance management.

The statistic indicates that a majority of global retailers, specifically more than half of them, utilize text analytics for the purposes of gathering insights from customer feedback and ensuring compliance with regulations. Text analytics involves the use of natural language processing and machine learning techniques to extract meaningful information from text data, such as online reviews, customer surveys, and social media comments. By analyzing this type of unstructured data, retailers can better understand customer preferences, improve their products and services, and identify any potential compliance issues they need to address. The widespread adoption of text analytics signifies the recognition among retailers of its value in enhancing customer satisfaction and operational efficiency, ultimately contributing to their overall success in the competitive retail industry.

Data mining and business intelligence (BI) applications hold a 33% share of the global text analytics market.

This statistic suggests that data mining and business intelligence applications collectively account for around one-third (33%) of the overall market for text analytics worldwide. Text analytics involves extracting and analyzing insights and information from unstructured text data, such as emails, social media posts, and customer reviews. The prominence of data mining and BI applications within this market segment indicates the significant role they play in utilizing text analytics to derive valuable insights for decision-making and strategic planning in various industries. This statistic highlights the growing importance of leveraging advanced technologies to extract meaningful information from the vast volumes of text data available today, driving the adoption of data mining and BI tools to enhance business intelligence capabilities.

Structured data represents only 20% of all data with the rest being unstructured, driving the need for text analytics.

This statistic highlights the imbalance between structured and unstructured data in today’s information landscape, with structured data accounting for only 20% of the total data. Unstructured data, such as text documents, social media posts, images, and videos, makes up the remaining 80%. As unstructured data continues to grow rapidly due to the proliferation of digital content, businesses are increasingly recognizing the importance of text analytics to extract valuable insights from this wealth of unstructured information. Text analytics techniques, including natural language processing and machine learning algorithms, play a crucial role in analyzing, organizing, and deriving meaning from unstructured data, helping organizations make more informed decisions, gain competitive advantages, and unlock hidden patterns and trends within their data.

Conclusion

Based on the latest statistics in the text analytics industry, it is evident that there is a growing demand for text analytics solutions across various sectors. Businesses are increasingly turning to text analytics to gain valuable insights from unstructured data, improve decision-making processes, and enhance customer experiences. As the technology continues to advance and more organizations recognize the benefits of text analytics, we can expect to see further growth and innovation in this field.

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How we write our statistic reports:

We have not conducted any studies ourselves. Our article provides a summary of all the statistics and studies available at the time of writing. We are solely presenting a summary, not expressing our own opinion. We have collected all statistics within our internal database. In some cases, we use Artificial Intelligence for formulating the statistics. The articles are updated regularly.

See our Editorial Process.

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