Worldwide SMB Big Data spend will reach US$3.5 billion in 2016
San Jose, CA, August 11, 2013: The global SMB spend on big-data related deployments will cross US$1.0 billion in 2013, a 32 percent increase from 2012 and by 2016 it will reach US$3.5 billion. SMBs are moving from "whack-a-mole" analytics to "business perspectives" to get newer insights into their operations and better knowledge about their customers. It is still very early days for small and mid-market businesses to fully embrace big data but they are planting the seeds and planning for the future. Techaisle believes that while small and medium businesses start out exhibiting similar growth rates but by 2015 mid-market businesses will race ahead with their deployments as technology becomes simpler and consultants become experienced. Potential skill-set shortage will begin to settle as experienced deployment consultants and developers will increasingly enter into the market. At the same time an increasing number of rapid deployment platforms will appear and mature that will enable easy data ingestion, data cataloging, metadata management and data retention.
In terms of actual deployment activity, the market grows in relation to the size of the companies. Additionally, business attitude towards Big Data transitions from "Over-Hype" to must-have technology with increase in employee size. Big data is not only within the radar of enterprises, the same problems exist across all sizes of businesses; only the volume of data, available budget and the required simplicity varies. For example, a small-to-mid-sized bank is developing a Proof of Concept for fraud analytics. Another example is of a small advertising agency that is trying to deploy digital advertising analytics.
North America North America has both the largest market and the highest level of adoption in Big Data overall as compared to other regions such as Europe, Asia/Pacific and Rest of World including Japan. Spending on big data deployments by mid-market businesses will be twice as high as small businesses and will have better growth rates from 2015 onwards. By 2015 there would also be several successful use cases of deployments within businesses of similar sizes creating a ripple-effect for the SMBs to give big data a serious thought.
Europe Although European SMB big data market will lag the US market there will be a continuous interest and spend on big data related projects. Techaisle believes that the SMBs in Europe, especially, mid-market businesses will spend more on hardware and software as a percent share as compared to the SMBs in the US. This is because big data project deployments will require better and updated storage, servers and other analytical solutions. The channels in Europe have been taken by surprise as they were surprised by the onset of cloud computing. It will take them some time to learn the deployment strategies and even more time to acquire skill sets. In the meanwhile IT Vendors will try to establish a leadership role by lowering their consulting pricing and developing free-of-charge Proof of Concepts.
Asia/Pacific SMBs in Asia/Pacific interested in deploying big data projects will spend more on hardware than on software to ensure that their infrastructure stands up to the needs of such projects. However, small businesses will also be interested in big data projects, and although they will be spending less than half of mid-market businesses, their interest will lie in deploying such projects in the cloud or using some sort of federated, aggregated third-party service. In Asia/Pacific there will be a sudden surge in growth rate in 2014 due to a low starting base but thereafter the growth will remain steady for the next several years as SMBs learn about big data both in terms of insights to be derived and project implementation challenges.
Techaisle's Global Mid-Market Big Data Adoption & Trends Report, based on a survey of 3,360 businesses is available for purchase for US$5,500 by emailing to firstname.lastname@example.org. Coverage details for the report can be found here.
About Techaisle Techaisle is a global SMB ICT Market Research and Industry Analyst organization. Techaisle was founded on the premise that Go-to-Market strategies require insightful research, flexible data, and deeper analysis. Understanding the value of data consistency across markets to inform strategic planning, Techaisle has remained holistic in its approach to Insights and provides globally consistent SMB and Channels analysis across geographies. To achieve its objectives Techaisle conducts surveys with SMBs and channels to understand market trends, opportunities, buying behavior, purchase intent, and IT priorities. Besides covering emerging technologies such as SMB cloud computing, managed services, mobility, social media usage, virtualization, business intelligence, big data, networking its channel research coverage provides in-depth understanding of resellers and channel partners globally. Techaisle's insights are built on a strong data-driven foundation and its analysts are conversant with both primary research and industry knowledge, which is a rare combination. Techaisle offers its clients: Syndicated Research, Custom Consulting, Market Forecast, Competitive Intelligence, Segmentation and Predictive Analytics services. For more information on Techaisle or its global products/services, please visit www.techaisle.com, and our analysts' blogs at www.techaisle.com/blog