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Dan Sommer
Business Analytic Trends – 2020 Vision
© 2013 Gartner, Inc. and/or its affiliates. All rights reserved.
From Bits to Bytes — Reimaginationof Nearly Everything
Business Models, Politics, The Economy, Trade, Computing Devices, Operating Systems, Connectivity, News, Information Flow, Storage, Magazines, Money, Payments, Knowledge, Note-taking, Transportation, Funding & Lending, Recruiting, Production, Education, Thermostats, Music, Shopping…
© 2013 Gartner, Inc. and/or its affiliates. All rights reserved.
#GartnerSYM
”Big Data” Confusion - Hurting BI Spend
2
© 2013 Gartner, Inc. and/or its affiliates. All rights reserved.
Analytics Will Be Central For Business Model Reinvention
2016$85 Billion7% CAGR
2020$112 Billion?
• AnalyticsEverywhere
• Based on All Data
• At the Point of Decision or Action
2012$65B+8%*
*estimate
BI/DW Services;
32,0
BI Platforms,
CPM, Analytic
Apps; 13,1
Data Integration,
Data Quality; 3,7
CRM Analytics;
1,3
Data Warehouse
; 12,3
BAM, CEP; 0,5
Other; 2,4
BI/DW Services; 40,2
BI Platforms, CPM, Analytic
Apps; 17,1
Data Integration,
Data Quality; 5,5
CRM Analytics; 1,9
Data Warehouse;
16,9
BAM, CEP; 0,8
Other; 2,9
© 2013 Gartner, Inc. and/or its affiliates. All rights reserved.
Analytics Everywhere: IT Must Lay the Foundation
Percentage of Potential Users That Analytics Will Reach
100%
75%
50%
25% (driven by IT)
Today 30%+
2014
2020
© 2013 Gartner, Inc. and/or its affiliates. All rights reserved.
IT Budgets Are Constrained
2003
0.0%
$100
2004
+ 1.2%$101.20
2005
+ 2.5%$103.73
2006
+ 2.7%
$106.53
2007
+ 3.1%
$109.83
2008
+ 3.3%
$113.45
2009
- 8.1%
$104.27
2010
- 1.1%
$103.12
2011
+ 1.0%
$104.15
2012
+ 0.5%
$104.67
2013
- 0.5%
$104.14
n = >2000, CIO Survey
© 2013 Gartner, Inc. and/or its affiliates. All rights reserved.
Traditional ways of doing BI going out of fashion
(Poor) Usability (Lack of) Speed (Limited) Relevance
© 2013 Gartner, Inc. and/or its affiliates. All rights reserved.
(Poor) Usability (Lack of) Speed (Limited) Relevance
The Disruption of Data Discovery
"An intuitive interface, enabling users to
explore data without much training."
"A built-in performance layer that obviates the need for aggregates,
summaries and precalculations."
"A proprietary data structure to store and model data gathered
from disparate sources."
© 2013 Gartner, Inc. and/or its affiliates. All rights reserved.
Analytics Everywhere: Reaching the 50% Point by 2014
100%
75%
50% (departmental)
25%
30%+ today
2014
2020
Percentage of Potential Users That Analytics Will Reach
© 2013 Gartner, Inc. and/or its affiliates. All rights reserved.
"If There Were a Single Market Theme in 2012, It Would Be That Data Discovery Became a Mainstream Architecture"
From "Magic Quadrant for Business Intelligence and Analytics Platforms," 5 February 2013 (G00239854)
Board International
challengers leaders
niche players visionaries
completeness of vision
abili
ty to e
xecute
As of February 2013
MicrosoftTableau Software
QlikTechOracle IBM
SASMicroStrategy
Tibco SpotfireInformation Builders
SAP
LogiXMLBirst
PrognozActuate
AlteryxSalient Management Company
JaspersoftPentaho
Targitarcplan
GoodData
Bitam
Panorama Software
© 2013 Gartner, Inc. and/or its affiliates. All rights reserved.
2013: The Worlds Collide
Integration
= Analytical Capabilities
Ch
an
ge
/Ag
ility
high
high low
low
Desktop/Small Workgroup
Business Unit
Enterprise/IT
© 2013 Gartner, Inc. and/or its affiliates. All rights reserved.
Pick Your Analytic Flavor
By 2017 Analytic Applications offered by software vendors will be indistinguishable from Analytic Applications offered by service providers.
System Integrators:
IBM, Deloitte, Accenture, Cognizant
Independents: Claim Insights,
Innovation Group, Insurity,
MSB
SaaS and Data as a
Service: Visier, IMS, Reuters,
Nielsen
Megavendors: SAS, Oracle,
FICO
FraudSustainabilitySustainability
Warranty AnalyticsPrice OptimizationPrice Optimization
CPMMarket Basket
ChurnChurn
Profitability
ClaimsClaims
Procurement Workforce
Credit Risk
© 2013 Gartner, Inc. and/or its affiliates. All rights reserved.
A Whole New Set of Users Will Be Tapped, 2014-2020
100%
75% Person
50%
25%
Today
2014
2020
Percentage of Potential Users That Analytics Will Reach
© 2013 Gartner, Inc. and/or its affiliates. All rights reserved.
2014 and Beyond: So far, limited uptake at the enterprise
• 1:16 software:servicesratio. Less than 3% of BI software spend was driven by "Big Data"
• Only 3% of BI revenue. 67% have no intention to deploy in the cloud
• Only 11% actively using, but another 50% piloting or planning to deploy
• 80 Percent of Social Business Efforts Will Not Achieve Intended Benefits Through 2015
© 2013 Gartner, Inc. and/or its affiliates. All rights reserved.
The Nexus of Forces Enable Personal Analytics
Quantified Self
Peer Influence
Pervasive Access
Easy Adoption
© 2013 Gartner, Inc. and/or its affiliates. All rights reserved.
Is Your Company Tapping Into Quantified Self?
© 2013 Gartner, Inc. and/or its affiliates. All rights reserved.
Microsegmenting the Customer Will Bring the Next Billion
The CMO will spend more on IT than the CIO.
Every budget will be an IT budget.
© 2013 Gartner, Inc. and/or its affiliates. All rights reserved.
• Only 11% of organizations today do advanced analytics
• Emergence of the CDO and Data Science is a reaction to consumerization of analytics
• New vendors emerge to challenge the hegemony of SAS
The Era of Predictive
© 2013 Gartner, Inc. and/or its affiliates. All rights reserved.
Analytics Will Reach the Pervasive Point After 2020
100%
75%
50%
25%
Today
2014
2020
Percentage of Potential Users That Analytics Will Reach
© 2013 Gartner, Inc. and/or its affiliates. All rights reserved.
2020: Internet of Everything
Courtesy of Intel
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2020: Your Future Decision Support Team?
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2020: Crowdsource Your Analytic Problem and Innovation
Source: IBMSource: Apple
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A Great Deal of Money Is ChasingThis Space
© 2013 Gartner, Inc. and/or its affiliates. All rights reserved.
A Great Deal of Money Is ChasingThis Space
Despite ongoing consolidation and acquisitions by megavendors,new categories of analytic applications will continue to emerge,
resulting in more, not less, market fragmentation.
© 2013 Gartner, Inc. and/or its affiliates. All rights reserved.
Conclusion: All Working Together Creates the Transformational Analytic Enterprise
Device/Language/Algorithm:Prescriptive/Optimization —
100%
Consumer/Individual:Predictive —75% of Usage
Business:
Diagnostic —50% of Usage
IT:Descriptive —25% of Usage
Today
2014
2020
Optimization: Analytics everywhere, on all data, at the point of decision/action.
Consumer/Customer: Cloud/social/mobile/information becomes mainstream.
Business: Analytics broadens and becomes widespread acceptance with new usage paradigms, such as data discovery/packaged apps/operational BI
IT: BI projects remain shielded from cuts; further embedability.
© 2013 Gartner, Inc. and/or its affiliates. All rights reserved.
Business analytics-centered tomorrow
Analytic Capabilities
Business Applications
Business Applications
Business Applications
Business Applications
Analytic Capabilities
Analytic Capabilities
Analytic Capabilities
Applications-centered today
2020: Analytics at the centre