Customer Experience Analytics Market Trends

Customer Experience Analytics Market Overview

Rising spending on customer analytics research and development, growing focus on customer experience and satisfaction and rising demand for streamlining business operations are the key market drivers enhancing the market growth.

Customer Experience Analytics Market Trends

The rising Adoption of Artificial Intelligence is driving market growth.

Market CAGR for customer experience analytics is being driven by the rapid adoption of Augmented Reality (AR) and Artificial Intelligence (AI) across industries, including retail, BFSI, IT & telecom, among others, which has played a huge role in enhancing customer experience. Integrating Al and machine learning across customer experience analytics solutions assists in predicting future customer behavior. Predictive analytics and Al-enabled solutions aid the extraction of meaningful insights from customer data. Thus, firms focus on implementing advanced technologies to enhance customer experience. For instance, in December 2021, TPG launched Anna, an Al-based customer experience platform that estimates 15,000% more interactions at increased accuracy. The Anna chatbot can consider 100% of the customers' interactions and deliver a sample-based evaluation of chat and voice communication with the consumers.

Additionally, the rising proliferation of social media channels, including Instagram, YouTube, Facebook, Twitter, and Pinterest, has enhanced brand awareness, marketing campaigns, and direct shopping trends. Various brands set up social media shops to ease customers' buying process. For instance, Facebook and Instagram shops assist retailers in acquiring new consumers and buying directly from social media platforms. Customer experience solutions assist retailers in reducing customer churn rates, enhancing their lifetime value, and retaining customers. Such changing customer buying behaviors are predicted to boost the market.

Rising consumer expectations from brands and stores are considered to be major driving factors for the growth of the customer experience management market. The rising focus on personalized solutions for clients and consumers is another factor to propel the growth of the customer experience analytics market during the forecast period. Personalized solutions give customers a tailored experience that meets their needs and preferences. Customer experience management solutions can provide a competitive advantage for brands. By offering customized solutions, brands can differentiate themselves from their competitors and develop a unique selling proposition that attracts customers, which drives the customer experience analytics market revenue.

The customer experience analytics software captures feedback from every customer interaction, analyzes them, and aids several organization teams in comprehending emerging trends and customer issues. It allows companies to monitor, respond, and improve every key moment along the consumer journey. The increasing utilization of artificial intelligence, Cloud, advanced analytics, and automation in industries including retail, IT and telecom, transportation, BFSI, and health, among others, improves customer experience solutions and assists in forecasting future consumer behavior. AI-enabled predictive analytics and solutions help extract useful insights from consumer data. As a result, organizations focus on using advanced technology to improve the customer experience.

Customer Experience Analytics Market Segment Insights

Customer Experience Analytics Touch Point Insights

The global customer experience analytics market segmentation, based on touchpoint, includes the company website, branch, call center, and web. The call center segment dominated the market, accounting for 35% of market revenue (3.87 Billion). In developing economies, category growth is driven by the increasing use of smartphones, encouraging enterprises to develop mobile marketing and communication strategies. However, the web is the fastest-growing category as web services offer easy interference for consumers through mobile apps or websites.

Customer Experience Analytics Solution Insights

The global customer experience analytics market segmentation, based on solution, includes data management, social media analytical tools, voice of customer, web analytical tools, and dashboard & reporting. The social media analytical tools category generated the most income (70.4%) due to the rising proliferation of social media channels, including Youtube, Facebook, Instagram, Twitter, and Pinterest. However, data management is the fastest-growing category due to the increasing usage of artificial intelligence, Cloud, advanced analytics, and automation in industries.

Customer Experience Analytics Vertical Insights

The global customer experience analytics market segmentation, based on vertical, includes BFSI, healthcare, manufacturing, IT communication service provider, and travel & hospitality. The BFSI category generated the most income due to rising customer interactions with several touchpoints, such as call centers, online banking systems, emails, and social media. However, manufacturing is the fastest-growing category as the manufacturing sector invests heavily in marketing and promoting products to attract customers and increase sales.

Customer Experience Analytics Regional Insights

By region, the study provides market insights into North America, Europe, Asia-Pacific and the Rest of the World. The North American customer experience analytics market will dominate this market due to its growing investment in R&D activities and a vibrant start-up ecosystem. Early adopters of advanced technologies such as Al, Big Data analytics, and cloud computing will boost the market growth in this region. Further, the German customer experience analytics market held the largest market share, and the UK customer experience analytics market was the fastest-growing market in the North American region.

Further, the major countries studied in the market report are The US, Canada, German, France, the UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil.

Europe's customer experience analytics market accounts for the second-largest market share due to increasing demand for digital payments, leading e-commerce companies to adopt a unified data platform to target new consumers in this region. Further, the German customer experience analytics market held the largest market share, and the UK customer experience analytics market was the fastest-growing market in the European region.

The Asia-Pacific customer experience analytics market is expected to grow at the fastest CAGR from 2023 to 2032. This is due to advances in the latest technologies and the resumed development of AI-based devices and self-service abilities. Moreover, China’s customer experience analytics market held the largest market share, and the Indian customer experience analytics market was the fastest-growing market in the Asia-Pacific region.

Customer Experience Analytics Key Market Players & Competitive Insights

Leading market players are investing heavily in research and development to expand their product lines, which will help the customer experience analytics market grow even more. Market participants are also undertaking various strategic activities to expand their global footprint, with important market developments including new product launches, contractual agreements, mergers and acquisitions, higher investments, and collaboration with other organizations. To expand and survive in a more competitive and rising market climate, the customer experience analytics industry must offer cost-effective items.

Manufacturing locally to minimize operational costs is one of the key business tactics manufacturers use in the global customer experience analytics industry to benefit clients and increase the market sector. Major players in the customer experience analytics market, including Dell Inc. (U.S.), Cognizant (U.S.), Google LLC (U.S.), Siemens (Germany), IBM Corporation (U.S.), Microsoft (U.S.), and others, are attempting to increase market demand by investing in research and development operations.

Oracle Corp is a provider of cloud-based solutions for enterprises. The company offers database and middleware software, application software, cloud infrastructure software and hardware systems. It also offers integrated cloud solutions, including Infrastructure-as-a-Service (IaaS) and Software-as-a-Service (SaaS). Oracle provides licenses for on-premises new software, updates licenses and offers related support solutions. The company markets solutions through independent software and hardware vendors, system integrators and resellers. Its on-premises offerings include hardware, servers, storage, networking, industry-specific products, and related support and services. In February 2021, Oracle Corporation rolled out new updates to its CEM platform. The latest update included new B2B selling capabilities, new B2C service capabilities, and new loyalty and marketing features. These new characteristics were expected to help organizations create a memorable and dynamic customer experience.

Conduent Inc is a provider of business process services. The company offers business process solutions, payment and eligibility solutions, healthcare and transportation solutions, customer experience, finance and accounting, human resource and learning solution, legal, compliance and analytics, and procurement services. The company serves diverse industries, including automotive, aerospace and defense, banking and capital markets, communications and media, healthcare, high tech, industrials and energy, insurance, public sector, public transportation and mobility, retail and consumer, travel, and hospitality industries. In February 2023, Conduent Incorporated announced that Virgin Atlantic had chosen to offer a long-term customer experience management service. Conduent’s customer experience management team will manage rebooking and customer support, which includes flight cancellations and changes.

Key Companies in the Customer Experience Analytics market include

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  Dell Inc. (U.S.)

  
  


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  Google LLC (U.S.)

  
  


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  Siemens (Germany)

  
  


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  Cognizant (U.S.)

  
  


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  IBM Corporation (U.S.)

  
  


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  Microsoft (U.S.)

  
  


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  Hewlett Packard Enterprise Development LP (U.S.)

  
  


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  SAP SE (Germany)

  
  


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  Oracle (U.S.)

  
  


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  Adobe. (U.S.)

  
  


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  Axis Communications AB (Sweden)

  
  


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  Puretech Systems (U.S.)

  
  


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  NEC Corporation (Japan)

  
  


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  Huawei Technologies Co., Ltd. (China)

  
  

Customer Experience Analytics Industry Developments

• In May 2024, the predictive people-based data service provider AnalyticsIQ released a predictive solution known as ChannelIQ, which has been designed to unlock consumer marketing preferences. This innovation employs advanced predictive modeling techniques to analyze large sets of data and detect the most critical elements that describe consumers’ action patterns, hence making it possible for marketers to roll out appropriate campaigns, enhance their models, and expand their businesses.


• In February 2024, Accenture contacted GemSeek, a customer experience analytics service company, with the intention to purchase it, in a bid to expand its customer analytics services. The acquisition demonstrates that Accenture continues to invest in AI and data capabilities with the most pressing objectives of helping their clients to grow their businesses and be relevant to their customers.


• February 2024: Accenture agreed to purchase GemSeek, GemSeek is an analytics provider focused on customer experience. GemSeek helps multinational companies grasp who their customers are through insights and AI-driven predictive models. The purchase serves to reinforce Accenture Song's continued focus on data and AI. Accenture Song is one of the largest creative groups in the world enhanced with technology. They claim to use these capacities to assist their clients in developing their businesses and relevance to their customers.


• January 2024: MX Technologies, Inc. unveiled their customer analytics tool for financial service providers. The said analytic tool retrieves extensive transaction data combined with exhibits of the consumer. Using the said tools, the financial institutions assist in increasing deposits and practice engagement while identifying cross-sell opportunities, optimizing marketing ROI, and predicting consumer churn.


• May 2023- Cloud-based retail solutions of the Oracle Company have been launched at the Prada Group, according to the announcement. The Premium deception has a blend of offline products and online products with the main aim of improving engagement with the clients and use of data to enhance their products.


• April 2023: In a bid to improve the development of customers for cloud computing solutions, OpenText announced the new update of OpenText Cloud Editions (CE) 23.2, which has 75 thousand new features compared to the previous editions.


• May 2022 – Zendesk held its flagship conference and unveiled new products developed to make interactions the core theme of CRM. In addition, the organization launched its novel service aimed at improving the employee experience and helping businesses upgrade internal processes and the hybrid workplace.

Customer Experience Analytics Market Segmentation

Customer Experience Analytics Touch Point Outlook

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  Company Website

  
  


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  Branch

  
  


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  Call Center

  
  


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  Web

  
  

Customer Experience Analytics Solution Outlook

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  Data Management

  
  


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  Social Media Analytical Tools

  
  


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  Voice Of Customer

  
  


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  Web Analytical Tools

  
  


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  Dashboard & Reporting

  
  

Customer Experience Analytics Vertical Outlook

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  BFSI

  
  


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  Healthcare

  
  


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  Manufacturing

  
  


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  IT Communication Service Provider

  
  


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  Travel & Hospitality

  
  

Customer Experience Analytics Regional Outlook

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  North America

  
  

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  US

  
  


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  Canada

  
  

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  Europe

  
  

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  Germany

  
  


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  France

  
  


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  UK

  
  


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  Italy

  
  


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  Spain

  
  


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  Rest of Europe

  
  

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  Asia-Pacific

  
  
  
  
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    China

    
    
  
  
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    Japan

    
    
  
  
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    India

    
    
  
  
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    Australia

    
    
  
  
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    South Korea

    
    
  
  
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    Australia

    
    
  
  
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    Rest of Asia-Pacific

    
    
  
  
  
  


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  Rest of the World

  
  
  
  
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    Middle East

    
    
  
  
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    Africa

    
    
  
  
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    Latin America