US Alternative Data Market Research Report: By Type (Web Scraping Data, Geolocation Data, Social Media Data, Transaction Data), By Application (Investment Research, Risk Management, Marketing Analytics, Corporate Strategy), By Data Source (Publicly Available Data, Private Data, User-Generated Data, Third-Party Data) and By End User (Financial Institutions, Consulting Firms, Retail Enterprises, Technology Companies) - Forecast to 2035

US Alternative Data Market Overview:

As per MRFR analysis, the US Alternative Data Market Size was estimated at 1.81 (USD Billion) in 2023. The US Alternative Data Market Industry is expected to grow from 2.5(USD Billion) in 2024 to 9 (USD Billion) by 2035. The US Alternative Data Market CAGR (growth rate) is expected to be around 12.35% during the forecast period (2025 - 2035).

Key US Alternative Data Market Trends Highlighted

The US Alternative Data Market is experiencing significant transformation driven by the increasing integration of non-traditional data sources into various sectors, particularly finance and retail. Businesses are actively seeking innovative ways to acquire actionable insights from diverse datasets, such as social media activity, satellite imagery, web traffic, and consumer behavior patterns. As organizations aim to enhance decision-making processes and risk assessment, the demand for alternative data is rising. The proliferation of advanced analytics and machine learning tools is empowering companies to extract meaningful insights from large datasets, making alternative data an invaluable resource.

There are numerous opportunities to be explored within the US, especially as regulatory frameworks continue to evolve in favor of data usage. Industries are turning to alternative data to gain a competitive edge, particularly in investment strategies and market trend analysis. For instance, the financial sector is increasingly using credit card transaction data and geo-location analytics to refine their investment decisions and trading strategies. Moreover, small and medium enterprises are also beginning to adopt alternative data, creating avenues for nimble startups to deliver tailored data solutions to meet their unique needs. Recent trends indicate a growing interest in ethics and transparency concerning data usage.

Data provenance, privacy concerns, and compliance with regulations are becoming priorities as organizations recognize the importance of maintaining consumer trust. The US, already a hub for tech innovation, is seeing increased investment in robust data governance measures, ensuring that alternative data applications align with ethical standards. As organizations adapt to these trends, the US Alternative Data Market is set to expand, positioning itself at the forefront of data-driven decision-making in various sectors.

Source: Primary Research, Secondary Research, MRFR Database and Analyst Review

US Alternative Data Market Drivers

Increasing Demand for Data-Driven Decision Making

The growing emphasis on data-driven decision making among businesses is significantly driving the US Alternative Data Market Industry. As organizations are realizing the importance of data in gaining a competitive edge, they are investing heavily in alternative data sources for better insights. According to the U.S. Bureau of Economic Analysis, firms leveraging data analytics to make decisions showed an increase in productivity by approximately 10% over the last decade.Prominent companies like IBM and Microsoft have made significant advancements in integrating alternative data into their business strategies, thereby enhancing their operations and financial outcomes. This trend is expected to further fuel the demand for alternative data solutions in the US, as evidenced by major corporations seeking strategic partnerships with data providers.

Regulatory Changes Promoting Innovation

Recent regulatory changes in the United States are fostering an environment that encourages innovation in the Alternative Data Market Industry. For instance, the Federal Trade Commission has emphasized the importance of fair data collection practices while often promoting the use of data to enhance transparency in market operations. Such regulations spur innovation as companies are compelled to adopt new data strategies to remain compliant, leading to an increased demand for alternative data services. Additionally, the rapid digitization initiatives by the government are pushing for the adoption of alternative data, ensuring sustained growth in the market.

Advancements in Technology and Data Analytics

Technological advancements, particularly in artificial intelligence and machine learning, are significantly enhancing the capabilities of the US Alternative Data Market Industry. The National Institute of Standards and Technology has reported that AI is projected to contribute approximately $13 trillion to the global economy by 2030. Businesses in the US are increasingly adopting these technologies to process and analyze alternative data efficiently, leading to valuable insights and quicker decision-making. Organizations such as Amazon Web Services and Google Cloud are continuously innovating to provide robust solutions that facilitate the integration and analysis of alternative data, further propelling market growth.

US Alternative Data Market Segment Insights:

Alternative Data Market Type Insights

The US Alternative Data Market has seen notable growth in its various types, especially as businesses increasingly rely on diverse data sources to make informed decisions. With a strong move towards digital transformation, Web Scraping Data has emerged as a powerful tool, enabling organizations to gather insights from numerous online sources effectively. This type of data captures a broad range of information, including competitive pricing, product trends, and consumer reviews, thus providing companies with a competitive edge in fast-paced industries.

 Meanwhile, Geolocation Data plays a crucial role in the current market landscape, mainly because it allows businesses to gain insights about consumer behavior based on their physical location. This data is extensively utilized in retail and marketing strategies to enhance customer engagement and improve targeting efforts. As location-based services continue to evolve, the relevance of Geolocation Data in practical applications only heightens, influencing decisions on everything from site selection for new stores to tailored advertising campaigns.

Social Media Data has also become a significant aspect of the US Alternative Data Market due to the volume of consumer interaction and opinions available on social platforms. Organizations leverage this data to understand public sentiment, track brand reputation, and gather insights into emerging trends. The importance of Social Media Data cannot be overstated, as it enables companies to respond swiftly to consumer needs and preferences in an increasingly connected world.

Transaction Data is yet another vital segment, offering insights into consumer spending and purchasing behavior. As a more granular type of data, it helps businesses understand which products are performing well and what factors drive consumer decisions. Companies can optimize their inventory management and refine their marketing strategies based on trends observed from Transaction Data. In summary, the US Alternative Data Market thrives on the diversity of its types, with each contributing unique insights that drive innovation, operational efficiency, and better decision-making within organizations. The convergence of these data types not only empowers businesses but also shapes the industry as a whole, reflecting a broader shift towards data-driven strategies in the US economy. As organizations increasingly incorporate these alternative data types into their workflows, the overall landscape continues to evolve, presenting new opportunities and challenges that participants must navigate.

Source: Primary Research, Secondary Research, MRFR Database and Analyst Review

Alternative Data Market Application Insights

The Application segment of the US Alternative Data Market plays a crucial role in facilitating data-driven decision-making across various industries. With the overall market projected to reach significant valuations by 2024 and continuing to grow, the significance of this segment is increasingly evident. Within this domain, Investment Research leverages alternative data to enhance portfolio management and identify lucrative opportunities, thereby increasing market efficiency. Risk Management relies on such data to better predict and mitigate financial risks, implementing strategies that protect assets in unpredictable conditions.

Marketing Analytics utilizes alternative data for targeted campaigns and understanding consumer behavior, providing businesses with a competitive edge in engaging their audience effectively. Lastly, Corporate Strategy benefits from these insights by informing strategic initiatives and operational efficiencies, ensuring that companies can adapt to changing market dynamics. These applications demonstrate the growing importance of alternative data in enhancing decision-making processes across industries, showcasing the segment's potential for substantial impact within the broader market landscape.The ongoing trends towards digitalization and data-driven strategies further amplify the relevance of this segment in the US economy.

Alternative Data Market Data Source Insights

The US Alternative Data Market has shown significant growth, particularly within the Data Source segment. Publicly Available Data has emerged as a vital component, facilitating access to a wealth of information that businesses can use to drive decision-making. Additionally, Private Data plays a crucial role by offering exclusive insights that organizations can leverage to gain competitive advantages. User-Generated Data is increasingly important, as it reflects real-time consumer behavior and sentiments, allowing companies to align their strategies with changing market dynamics.

Third-Party Data is essential as it enhances the depth and breadth of insights available to companies by integrating diverse data streams. This variety in data sources underlines the flexibility and adaptability of the market, empowering businesses to navigate challenges and explore opportunities within the evolving landscape. Robust growth in the US Alternative Data Market is supported by advancements in technology and analytics, driving demand for comprehensive and actionable insights derived from these diverse Data Source segments. The combination of these data streams is enabling organizations across various industries to optimize their operations and enhance their market strategies.

Alternative Data Market End User Insights

The End User segment of the US Alternative Data Market plays a critical role in shaping the overall dynamics of the industry. Financial Institutions are leveraging alternative data for enhanced risk management and investment strategies, while Consulting Firms utilize these insights to better advise clients in various sectors. Retail Enterprises benefit from alternative data by gaining a deeper understanding of consumer behavior, allowing for more targeted marketing efforts. Technology Companies, on the other hand, are increasingly integrating alternative data into their analytics solutions to drive innovation.

The significance of this segment is underscored by its ability to provide actionable insights that enhance decision-making processes across industries. As these end users harness the power of alternative data, they contribute to the market's growth and development, highlighting the importance of this segment in the broader landscape of the US Alternative Data Market. Additionally, emerging trends such as the increasing reliance on AI and machine learning technologies will likely further propel the demand for alternative data, creating new opportunities within this segment while also addressing challenges related to data quality and standardization.

US Alternative Data Market Key Players and Competitive Insights:

The US Alternative Data Market has seen considerable evolution in recent years, driven by an increasing need for sophisticated analytics to gain actionable insights from diverse data sources. As businesses recognize the value of alternative data, especially in financial services, consumer behavior analysis, and risk management, there has emerged a competitive landscape populated by numerous players vying for market share. These companies leverage data from unconventional sources, including social media, web scraping, and satellite imagery, offering clients unique perspectives that traditional data methodologies cannot provide. The combination of advanced analytical techniques and machine learning capabilities plays a vital role in distinguishing these companies and delivering tailored solutions that meet the specific demands of various industries, ultimately reshaping decision-making processes across sectors.

In the context of the US Alternative Data Market, Predata has built a solid reputation for its pioneering capabilities in predictive analytics. The company specializes in transforming signals from social media and other online activities into quantitative insights that help clients navigate market dynamics more effectively. Predata's strengths lie in its advanced technology that harnesses machine learning algorithms, allowing for real-time data processing and analysis. This not only enhances the accuracy of predictions but also positions Predata as a trusted partner for organizations seeking to mitigate risk and maximize opportunities. The company’s focus on developing user-friendly dashboards and visualizations adds another dimension to its value proposition, helping clients digest complex data into actionable strategies.

Mu Sigma stands out in the US Alternative Data Market with its robust suite of analytics solutions that address various business challenges. The company offers services ranging from data analytics and consulting to decision sciences, catering to sectors like finance, healthcare, and retail. Mu Sigma’s unique strength lies in its emphasis on a combined approach of human expertise and machine intelligence, enabling it to provide comprehensive insights derived from alternative data sources. The firm has made strategic moves through several mergers and acquisitions, enhancing its capabilities and expanding its presence in the market. Notable advancements in their key offerings revolve around cloud-based analytics and full-service data science support, solidifying Mu Sigma's position as a leader in navigating the complexities of alternative data analysis in the US market. Their commitment to innovation and a client-centric focus further differentiate them in an increasingly competitive landscape, positioning them to leverage future growth opportunities effectively.

Key Companies in the US Alternative Data Market Include:

• Predata


• Mu Sigma


• Cell OS


• CrowdTangle


• DataMiner


• S and P Global


• Bloomberg


• YipitData


• Alternative Data Group


• FactSet


• Plexus


• Berkshire Hathaway


• Quandl


• Thomson Reuters


• Zywave

US Alternative Data Market Industry Developments

The US Alternative Data Market has seen significant developments recently, particularly with companies like S and P Global and Bloomberg scaling their data analytics capabilities. In September 2023, YipitData announced a strategic partnership with Alternative Data Group to enhance its data offerings, focusing on providing actionable insights in real-time. The market valuation for firms like Mu Sigma and FactSet has grown substantially, with analysts citing an increasing demand for data-driven decision-making across industries. In August 2023, Plexus acquired a niche data provider that specializes in retail analytics, further solidifying its position in the market. There have been notable mergers, including Berkshire Hathaway's investment in CrowdTangle in July 2023, which is considered a move to enhance its digital analytics portfolio. The rising importance of ethical sourcing and consumer data transparency has prompted firms, including Thomson Reuters and Quandl, to innovate their data collection processes. The US government's focus on regulating data usage has also influenced these developments, ensuring a more structured approach to data privacy and compliance within the alternative data landscape. Overall, these trends indicate an evolving market with various companies expanding their influence through collaborative efforts and strategic acquisitions.

US Alternative Data Market Segmentation Insights

Alternative Data Market Type Outlook

• Web Scraping Data


• Geolocation Data


• Social Media Data


• Transaction Data

Alternative Data Market Application Outlook

• Investment Research


• Risk Management


• Marketing Analytics


• Corporate Strategy

Alternative Data Market Data Source Outlook

• Publicly Available Data


• Private Data


• User-Generated Data


• Third-Party Data

Alternative Data Market End User Outlook

• Financial Institutions


• Consulting Firms


• Retail Enterprises


• Technology Companies

Report Scope:

Report Attribute/Metric Source:	Details
MARKET SIZE 2018	1.81(USD Billion)
MARKET SIZE 2024	2.5(USD Billion)
MARKET SIZE 2035	9.0(USD Billion)
COMPOUND ANNUAL GROWTH RATE (CAGR)	12.35% (2025 - 2035)
REPORT COVERAGE	Revenue Forecast, Competitive Landscape, Growth Factors, and Trends
BASE YEAR	2024
MARKET FORECAST PERIOD	2025 - 2035
HISTORICAL DATA	2019 - 2024
MARKET FORECAST UNITS	USD Billion
KEY COMPANIES PROFILED	Predata, Mu Sigma, Cell OS, CrowdTangle, DataMiner, S and P Global, Bloomberg, YipitData, Alternative Data Group, FactSet, Plexus, Berkshire Hathaway, Quandl, Thomson Reuters, Zywave
SEGMENTS COVERED	Type, Application, Data Source, End User
KEY MARKET OPPORTUNITIES	Fintech partnerships expansion, Enhanced predictive analytics capabilities, Real-time data integration services, ESG data demand growth, Increased regulatory compliance solutions
KEY MARKET DYNAMICS	data proliferation, regulatory scrutiny, competitive differentiation, technological advancements, evolving consumer behaviors
COUNTRIES COVERED	US