Australian BI market set to grow 13.4% this year

The Australian business intelligence (BI) and analytics market is on track to grow 13.4% in 2017 to $889.1 million, as data and analytics enters the mainstream, according to Gartner.

The New Zealand market is meanwhile forecast to grow 8.1% to NZ$113.5 million ($106.2 million), while globally the market is predicted to grow 7.3% to US$18.3 billion ($23.76 billion).

Globally, robust demand for what Gartner classifies as modern BI and analytics is more than compensating for declines in traditional BI spending.

The modern BI and analytics platform is capable of greater accessibility, agility and deeper analytical insight, and is characterised by a shift from IT-led, system-of-record reporting to a more business-led, agile analytics environment capable of self-service.

But Gartner expects the modern BI and analytics market will decelerate from 63.6% growth in 2015 to 19% by 2020 as the continued mainstreaming of data and analytics creates competitive pricing pressures.

Another significant trend in the BI and analytics market is continued growth in interest in cloud-based deployments. Gartner projects that by 2020, the majority of new licensing buying in the segment will be for cloud deployments.

As the market develops, the research firm is also anticipating the emergence of active marketplaces where organisations will be able to buy and sell analytics capabilities.

“Organisations will benefit from the many new and innovative vendors continuing to emerge, as well as significant investment in innovation from large vendors and venture capital-funded start-ups,” Gartner Research Vice President Rita Sallam said.

“They do, however, need to be careful to limit their technical debt that can occur when multiple standalone solutions that demonstrate business value quickly, turn into production deployments without adequate attention being paid to design, implementation and support.”

Image courtesy of Joe The Goat Farmer under CC

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