IDC Finds A Third of U.S. Organizations Unsure How to Measure Benefits of Business Analytics Projects
FRAMINGHAM, MA. – March 30, 2010 – Based on the most recent U.S. Vertical Market Research Group survey of more than 6,400 end-users, International Data Corporation (IDC) has found that a third of organizations are unsure how to measure the benefits of business analytics projects and solutions. This rate is significantly higher in industries such as education, process manufacturing, and utilities and significantly lower in industries such as communications & media, securities & investments, and insurance.
Although business analytics and data management investments are expected to remain a high priority in 2010, research results suggest the potential to gain competitive advantage from an increased investment in business analytics is being hampered by a lack of effective measurement methodologies for the expected benefits of improved decision making processes. "There are substantial opportunities across company size segments for more pervasive deployment of business analytics solutions within most companies," said Monika Kumar, program director, IDC Vertical Markets.
The irony of this conclusion is clear. Technology vendors and consultants need to focus on applying business intelligence and analytics on the business analytics projects to ensure that BI groups are able to clearly articulate the benefits to their constituents and ensure ongoing funding of projects.
Spending intentions for 2010 investments in business analytics solutions are highest in the life sciences and securities and investment industries. The financial services sector as well as the manufacturing and resources sector also indicate above average budgets for business analytics in 2010.
The IDC study, 2010 State of the U.S. Business Analytics Market: and End-User Perspective by Vertical and Company Size, (Doc # 222573) examines business analytics technology purchasing and adoption trends across 18 industries and 5 organizational size categories. Conducted in late 2009, the study is based on an ongoing IDC Vertical Research Group survey of 6,483 end-users in the U.S.
The full report along with IDC Business Analytics software market segmentation by industry and company size is available immediately at www.idc.com [http://www.idc.com].
About IDC's Vertical Markets Research Group
IDC's Vertical Markets research group assists IT suppliers in understanding the business issues associated with 18 industries and provides strategies for segmenting and discovering key opportunities. Staffed by senior analysts with significant technology experience and industry expertise, IDC's Vertical Markets research group provides a portfolio of offerings that are relevant to both IT and business needs.
IDC's cross vertical research services support IT vendors' vertical-focused planning and selling strategies:
* Which industries present the best opportunity for my technology in North America?
* What is driving adoption of my technology in each industry in Western Europe?
* What are the main differences in Asian Vertical Markets' IT Spending Patterns?
* Who should I partner/compete with in each industry to enter emerging markets?
IDC is the premier global provider of market intelligence, advisory services, and events for the information technology, telecommunications, and consumer technology markets. IDC helps business executives, IT professionals, and the investment community to make fact-based decisions on business strategy and technology purchases. More than 1,000 IDC analysts provide global, regional, and local expertise on technology and industry opportunities and trends in over 110 countries. For more than 46 years, IDC has provided strategic insights to help our clients achieve their key business objectives. IDC is a subsidiary of IDG, the world's leading technology media, research, and events Company. You can learn more about IDC by visiting www.idc.com [http://www.idc.com].