Payment Security Market SWOT Analysis by 2031
The payment security market is expected to register a CAGR of 14.1% in 2023–2031. Expansion of contactless and biometric payments and cloud-based payment security solutions for scalability, flexibility, and cost-effectiveness are likely to remain key payment security market trends.
Payment Security Market Analysis
A few of the major factors driving the payment security market include the surge in number of cyberattacks, stringent government regulations such as GDPR and PCI DSS, and the shift towards online and mobile payments. Advancements in technologies such as AI, machine learning, and blockchain, and the booming e-commerce industry are expected to offer lucrative opportunities for market growth during the forecast period. Furthermore, the expansion of contactless and biometric payments and cloud-based payment security solutions for scalability, flexibility, and cost-effectiveness are likely to remain key payment security market trends in coming years.
Payment Security Market Overview
The payment security refers to safeguarding financial resources. Payment security refers to the systems, processes, and measures employed to protect financial transactions from unauthorized access, data breaches, and fraud. Ensuring payment security is crucial for both offline and online organizations to avoid financial losses, keep customers' trust, and adhere to industry norms and regulations. Businesses can use a variety of payment security technologies and procedures to safeguard consumer information and financial transactions. Among the most typical are encryption, tokenization, and fraud detection & prevention.
REGIONAL FRAMEWORK
Payment Security Market Drivers and Opportunities
Increasing Number Of Cyber Threats to Favor Market
The rise in cyber threats is fueling the growth of the payment security market as businesses prioritize protecting sensitive financial data. According to the 2021 Cyber Threat Intelligence Index by IBM Security, there was a 6% increase in cyberattacks globally compared to the previous year, highlighting the escalating threat landscape. These threats include data breaches, ransomware attacks, and phishing scams, which pose significant risks to businesses and consumers alike. With the proliferation of digital transactions, the need for robust payment security measures has never been greater. Moreover, according to the 2022 Payments Fraud and Control Report by J.P. Morgan, 71% of businesses reported that they were targeted by payment fraud in 2021. And payment fraud in the US cost ~ US$ 9.44 million. Businesses are investing in advanced payment security solutions to safeguard against cyber threats and prevent financial losses. These solutions encompass technologies such as encryption, tokenization, and fraud detection systems to protect payment data and ensure secure transactions. Thus, the increasing number of cyber threats drives the payment security market growth.
Growing E-commerce Sector- An Opportunity in the Payment Security Market
The booming e-commerce sector presents a significant opportunity for the growth of the payment security market. With the continuous expansion of online shopping, consumers are increasingly relying on digital payment methods to make purchases. As more businesses venture into e-commerce, the need to secure online transactions becomes paramount. Payment security solutions play a crucial role in building trust and confidence among online shoppers by safeguarding their sensitive financial information from cyber threats such as data breaches and fraud. To capitalize on the growing e-commerce market, businesses need to invest in advanced payment security technologies such as encryption, tokenization, and multi-factor authentication. Thus, the booming e-commerce sector is anticipated to offer opportunities for the payment security market growth during the forecast period.
Payment Security Market Report Segmentation Analysis
Key segments that contributed to the derivation of the payment security market analysis are the solution, organization size, and application.
- Based on the solution, the payment security market is bifurcated into encryption, tokenization, and fraud detection & prevention. The fraud detection & prevention segment held a larger market share in 2023.
- Based on organization size, the payment security market is bifurcated into small & medium enterprises (SMEs) and large enterprises. The large enterprises segment dominated the market in 2023.
- Based on application, the payment security market is segmented into retail & e-commerce, travel & hospitality, healthcare, telecom & IT, education, media & entertainment, and others.
Payment Security Market Share Analysis by Geography
- The payment security market is segmented into five major regions—North America, Europe, Asia Pacific (APAC), the Middle East & Africa (MEA), and South & Central America. North America dominated the market in 2023, followed by Europe, and APAC, respectively.
- The payment security market in North America has experienced substantial growth. With the region being a hub for technology innovation and home to many major financial institutions, there's an increasing focus on protecting financial transactions. Businesses across various sectors, from retail to finance, are prioritizing payment security to safeguard against cyber threats and ensure compliance with regulatory standards like PCI DSS. Moreover, the increasing adoption of digital payment methods, coupled with the rise in e-commerce transactions, has further fueled the demand for robust payment security solutions in North America.
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MARKET PLAYERS
Have a question?
Naveen
Naveen will walk you through a 15-minute call to present the report’s content and answer all queries if you have any.
Speak to Analyst
- Sample PDF showcases the content structure and the nature of the information with qualitative and quantitative analysis.
- Request discounts available for Start-Ups & Universities
Payment Security Market Drivers and Opportunities
Increasing Number Of Cyber Threats to Favor Market
The rise in cyber threats is fueling the growth of the payment security market as businesses prioritize protecting sensitive financial data. According to the 2021 Cyber Threat Intelligence Index by IBM Security, there was a 6% increase in cyberattacks globally compared to the previous year, highlighting the escalating threat landscape. These threats include data breaches, ransomware attacks, and phishing scams, which pose significant risks to businesses and consumers alike. With the proliferation of digital transactions, the need for robust payment security measures has never been greater. Moreover, according to the 2022 Payments Fraud and Control Report by J.P. Morgan, 71% of businesses reported that they were targeted by payment fraud in 2021. And payment fraud in the US cost ~ US$ 9.44 million. Businesses are investing in advanced payment security solutions to safeguard against cyber threats and prevent financial losses. These solutions encompass technologies such as encryption, tokenization, and fraud detection systems to protect payment data and ensure secure transactions. Thus, the increasing number of cyber threats drives the payment security market growth.
Growing E-commerce Sector- An Opportunity in the Payment Security Market
The booming e-commerce sector presents a significant opportunity for the growth of the payment security market. With the continuous expansion of online shopping, consumers are increasingly relying on digital payment methods to make purchases. As more businesses venture into e-commerce, the need to secure online transactions becomes paramount. Payment security solutions play a crucial role in building trust and confidence among online shoppers by safeguarding their sensitive financial information from cyber threats such as data breaches and fraud. To capitalize on the growing e-commerce market, businesses need to invest in advanced payment security technologies such as encryption, tokenization, and multi-factor authentication. Thus, the booming e-commerce sector is anticipated to offer opportunities for the payment security market growth during the forecast period.
Payment Security Market Report Segmentation Analysis
Key segments that contributed to the derivation of the payment security market analysis are the solution, organization size, and application.
- Based on the solution, the payment security market is bifurcated into encryption, tokenization, and fraud detection & prevention. The fraud detection & prevention segment held a larger market share in 2023.
- Based on organization size, the payment security market is bifurcated into small & medium enterprises (SMEs) and large enterprises. The large enterprises segment dominated the market in 2023.
- Based on application, the payment security market is segmented into retail & e-commerce, travel & hospitality, healthcare, telecom & IT, education, media & entertainment, and others.
Payment Security Market Share Analysis by Geography
- The payment security market is segmented into five major regions—North America, Europe, Asia Pacific (APAC), the Middle East & Africa (MEA), and South & Central America. North America dominated the market in 2023, followed by Europe, and APAC, respectively.
- The payment security market in North America has experienced substantial growth. With the region being a hub for technology innovation and home to many major financial institutions, there's an increasing focus on protecting financial transactions. Businesses across various sectors, from retail to finance, are prioritizing payment security to safeguard against cyber threats and ensure compliance with regulatory standards like PCI DSS. Moreover, the increasing adoption of digital payment methods, coupled with the rise in e-commerce transactions, has further fueled the demand for robust payment security solutions in North America.
MARKET PLAYERS
Payment Security Market Report Scope
Payment Security Market News and Recent Developments
The payment security market is evaluated by gathering qualitative and quantitative data post primary and secondary research, which includes important corporate publications, association data, and databases. The following is a list of developments in the payment security market:
- In April 2024, Cognizant and FICO announced plans to launch a cloud-based real-time payments fraud prevention solution for North American banks and other payment service providers. Their planned joint offering would help banks and other payment service providers protect their customers from fraud at a time when instant payments are gaining popularity,
(Source: Cognizant, Press Release)
- In August 2023, Mastercard announced the launch ALT ID solution for enhanced online payment security. ALT ID is a custom-made capability developed by Mastercard to create an alternate identifier for the real card numbers provided by cardholders during guest checkout transactions on e-commerce platforms.
(Source: Mastercard, Press Release)
Payment Security Market Report Coverage and Deliverables
The "Payment Security Market Size and Forecast (2022–2031)" provides a detailed analysis of the market covering the areas mentioned below:
- Market size and forecast at global, regional, and country levels for all the key market segments covered under the scope
- Market dynamics such as drivers, restraints, and key opportunities
- Key future trends
- Detailed PEST/Porter's Five Forces and SWOT analysis
- Global and regional market analysis covering key market trends, major players, regulations, and recent market developments
- Industry landscape and competition analysis covering market concentration, heat map analysis, prominent players, and recent developments
- Detailed company profiles
- Sample PDF showcases the content structure and the nature of the information with qualitative and quantitative analysis.
- Request discounts available for Start-Ups & Universities
Report Coverage
Revenue forecast, Company Analysis, Industry landscape, Growth factors, and Trends
Segment Covered
This text is related
to segments covered.
Regional Scope
North America, Europe, Asia Pacific, Middle East & Africa, South & Central America
Country Scope
This text is related
to country scope.
Frequently Asked Questions
The global payment security market is expected to grow at a CAGR of 14.1% during 2023 - 2031.
The surge in cyberattacks, stringent government regulations such as GDPR and PCI DSS, and the shift towards online and mobile payments are the major factors that propel the global payment security market.
The expansion of contactless and biometric payments and cloud-based payment security solutions are anticipated to play a significant role in the global payment security market in the coming years.
The key players holding majority shares in the global payment security market are Shift4 Payment Inc.; TokenEx, LLC; Paypal Holdings, Inc.; Bluefin Payment Systems; Visa Inc.; and Broadcom.
North America is anticipated to grow with a high growth rate during the forecast period.
TABLE OF CONTENTS
1. INTRODUCTION
1.1. SCOPE OF THE STUDY
1.2. THE INSIGHT PARTNERS RESEARCH REPORT GUIDANCE
1.3. MARKET SEGMENTATION
1.3.1 Payment Security Market - By Component
1.3.2 Payment Security Market - By Enterprise-Size
1.3.3 Payment Security Market - By Industry Vertical
1.3.4 Payment Security Market - By Region
1.3.4.1 By Country
2. KEY TAKEAWAYS
3. RESEARCH METHODOLOGY
4. PAYMENT SECURITY MARKET LANDSCAPE
4.1. OVERVIEW
4.2. PEST ANALYSIS
4.2.1 North America - Pest Analysis
4.2.2 Europe - Pest Analysis
4.2.3 Asia-Pacific - Pest Analysis
4.2.4 Middle East and Africa - Pest Analysis
4.2.5 South and Central America - Pest Analysis
4.3. ECOSYSTEM ANALYSIS
4.4. EXPERT OPINIONS
5. PAYMENT SECURITY MARKET - KEY MARKET DYNAMICS
5.1. KEY MARKET DRIVERS
5.2. KEY MARKET RESTRAINTS
5.3. KEY MARKET OPPORTUNITIES
5.4. FUTURE TRENDS
5.5. IMPACT ANALYSIS OF DRIVERS, RESTRAINTS & EXPECTED INFLUENCE OF COVID-19 PANDEMIC
6. PAYMENT SECURITY MARKET - GLOBAL MARKET ANALYSIS
6.1. PAYMENT SECURITY - GLOBAL MARKET OVERVIEW
6.2. PAYMENT SECURITY - GLOBAL MARKET AND FORECAST TO 2028
6.3. MARKET POSITIONING/MARKET SHARE
7. PAYMENT SECURITY MARKET - REVENUE AND FORECASTS TO 2028 - COMPONENT
7.1. OVERVIEW
7.2. COMPONENT MARKET FORECASTS AND ANALYSIS
7.3. SOLUTION
7.3.1. Overview
7.3.2. Solution Market Forecast and Analysis
7.4. SERVICE
7.4.1. Overview
7.4.2. Service Market Forecast and Analysis
8. PAYMENT SECURITY MARKET - REVENUE AND FORECASTS TO 2028 - ENTERPRISE-SIZE
8.1. OVERVIEW
8.2. ENTERPRISE-SIZE MARKET FORECASTS AND ANALYSIS
8.3. SMES
8.3.1. Overview
8.3.2. SMEs Market Forecast and Analysis
8.4. LARGE ENTERPRISE
8.4.1. Overview
8.4.2. Large Enterprise Market Forecast and Analysis
9. PAYMENT SECURITY MARKET - REVENUE AND FORECASTS TO 2028 - INDUSTRY VERTICAL
9.1. OVERVIEW
9.2. INDUSTRY VERTICAL MARKET FORECASTS AND ANALYSIS
9.3. RETAIL AND E-COMMERCE
9.3.1. Overview
9.3.2. Retail and E-commerce Market Forecast and Analysis
9.4. TRAVEL AND HOSPITALITY
9.4.1. Overview
9.4.2. Travel and Hospitality Market Forecast and Analysis
9.5. HEALTHCARE
9.5.1. Overview
9.5.2. Healthcare Market Forecast and Analysis
9.6. EDUCATION
9.6.1. Overview
9.6.2. Education Market Forecast and Analysis
9.7. MEDIA AND ENTERTAINMENT
9.7.1. Overview
9.7.2. Media and Entertainment Market Forecast and Analysis
9.8. OTHERS
9.8.1. Overview
9.8.2. Others Market Forecast and Analysis
10. PAYMENT SECURITY MARKET REVENUE AND FORECASTS TO 2028 - GEOGRAPHICAL ANALYSIS
10.1. NORTH AMERICA
10.1.1 North America Payment Security Market Overview
10.1.2 North America Payment Security Market Forecasts and Analysis
10.1.3 North America Payment Security Market Forecasts and Analysis - By Component
10.1.4 North America Payment Security Market Forecasts and Analysis - By Enterprise-Size
10.1.5 North America Payment Security Market Forecasts and Analysis - By Industry Vertical
10.1.6 North America Payment Security Market Forecasts and Analysis - By Countries
10.1.6.1 United States Payment Security Market
10.1.6.1.1 United States Payment Security Market by Component
10.1.6.1.2 United States Payment Security Market by Enterprise-Size
10.1.6.1.3 United States Payment Security Market by Industry Vertical
10.1.6.2 Canada Payment Security Market
10.1.6.2.1 Canada Payment Security Market by Component
10.1.6.2.2 Canada Payment Security Market by Enterprise-Size
10.1.6.2.3 Canada Payment Security Market by Industry Vertical
10.1.6.3 Mexico Payment Security Market
10.1.6.3.1 Mexico Payment Security Market by Component
10.1.6.3.2 Mexico Payment Security Market by Enterprise-Size
10.1.6.3.3 Mexico Payment Security Market by Industry Vertical
10.2. EUROPE
10.2.1 Europe Payment Security Market Overview
10.2.2 Europe Payment Security Market Forecasts and Analysis
10.2.3 Europe Payment Security Market Forecasts and Analysis - By Component
10.2.4 Europe Payment Security Market Forecasts and Analysis - By Enterprise-Size
10.2.5 Europe Payment Security Market Forecasts and Analysis - By Industry Vertical
10.2.6 Europe Payment Security Market Forecasts and Analysis - By Countries
10.2.6.1 Germany Payment Security Market
10.2.6.1.1 Germany Payment Security Market by Component
10.2.6.1.2 Germany Payment Security Market by Enterprise-Size
10.2.6.1.3 Germany Payment Security Market by Industry Vertical
10.2.6.2 France Payment Security Market
10.2.6.2.1 France Payment Security Market by Component
10.2.6.2.2 France Payment Security Market by Enterprise-Size
10.2.6.2.3 France Payment Security Market by Industry Vertical
10.2.6.3 Italy Payment Security Market
10.2.6.3.1 Italy Payment Security Market by Component
10.2.6.3.2 Italy Payment Security Market by Enterprise-Size
10.2.6.3.3 Italy Payment Security Market by Industry Vertical
10.2.6.4 United Kingdom Payment Security Market
10.2.6.4.1 United Kingdom Payment Security Market by Component
10.2.6.4.2 United Kingdom Payment Security Market by Enterprise-Size
10.2.6.4.3 United Kingdom Payment Security Market by Industry Vertical
10.2.6.5 Russia Payment Security Market
10.2.6.5.1 Russia Payment Security Market by Component
10.2.6.5.2 Russia Payment Security Market by Enterprise-Size
10.2.6.5.3 Russia Payment Security Market by Industry Vertical
10.2.6.6 Rest of Europe Payment Security Market
10.2.6.6.1 Rest of Europe Payment Security Market by Component
10.2.6.6.2 Rest of Europe Payment Security Market by Enterprise-Size
10.2.6.6.3 Rest of Europe Payment Security Market by Industry Vertical
10.3. ASIA-PACIFIC
10.3.1 Asia-Pacific Payment Security Market Overview
10.3.2 Asia-Pacific Payment Security Market Forecasts and Analysis
10.3.3 Asia-Pacific Payment Security Market Forecasts and Analysis - By Component
10.3.4 Asia-Pacific Payment Security Market Forecasts and Analysis - By Enterprise-Size
10.3.5 Asia-Pacific Payment Security Market Forecasts and Analysis - By Industry Vertical
10.3.6 Asia-Pacific Payment Security Market Forecasts and Analysis - By Countries
10.3.6.1 Australia Payment Security Market
10.3.6.1.1 Australia Payment Security Market by Component
10.3.6.1.2 Australia Payment Security Market by Enterprise-Size
10.3.6.1.3 Australia Payment Security Market by Industry Vertical
10.3.6.2 China Payment Security Market
10.3.6.2.1 China Payment Security Market by Component
10.3.6.2.2 China Payment Security Market by Enterprise-Size
10.3.6.2.3 China Payment Security Market by Industry Vertical
10.3.6.3 India Payment Security Market
10.3.6.3.1 India Payment Security Market by Component
10.3.6.3.2 India Payment Security Market by Enterprise-Size
10.3.6.3.3 India Payment Security Market by Industry Vertical
10.3.6.4 Japan Payment Security Market
10.3.6.4.1 Japan Payment Security Market by Component
10.3.6.4.2 Japan Payment Security Market by Enterprise-Size
10.3.6.4.3 Japan Payment Security Market by Industry Vertical
10.3.6.5 South Korea Payment Security Market
10.3.6.5.1 South Korea Payment Security Market by Component
10.3.6.5.2 South Korea Payment Security Market by Enterprise-Size
10.3.6.5.3 South Korea Payment Security Market by Industry Vertical
10.3.6.6 Rest of Asia-Pacific Payment Security Market
10.3.6.6.1 Rest of Asia-Pacific Payment Security Market by Component
10.3.6.6.2 Rest of Asia-Pacific Payment Security Market by Enterprise-Size
10.3.6.6.3 Rest of Asia-Pacific Payment Security Market by Industry Vertical
10.4. MIDDLE EAST AND AFRICA
10.4.1 Middle East and Africa Payment Security Market Overview
10.4.2 Middle East and Africa Payment Security Market Forecasts and Analysis
10.4.3 Middle East and Africa Payment Security Market Forecasts and Analysis - By Component
10.4.4 Middle East and Africa Payment Security Market Forecasts and Analysis - By Enterprise-Size
10.4.5 Middle East and Africa Payment Security Market Forecasts and Analysis - By Industry Vertical
10.4.6 Middle East and Africa Payment Security Market Forecasts and Analysis - By Countries
10.4.6.1 South Africa Payment Security Market
10.4.6.1.1 South Africa Payment Security Market by Component
10.4.6.1.2 South Africa Payment Security Market by Enterprise-Size
10.4.6.1.3 South Africa Payment Security Market by Industry Vertical
10.4.6.2 Saudi Arabia Payment Security Market
10.4.6.2.1 Saudi Arabia Payment Security Market by Component
10.4.6.2.2 Saudi Arabia Payment Security Market by Enterprise-Size
10.4.6.2.3 Saudi Arabia Payment Security Market by Industry Vertical
10.4.6.3 U.A.E Payment Security Market
10.4.6.3.1 U.A.E Payment Security Market by Component
10.4.6.3.2 U.A.E Payment Security Market by Enterprise-Size
10.4.6.3.3 U.A.E Payment Security Market by Industry Vertical
10.4.6.4 Rest of Middle East and Africa Payment Security Market
10.4.6.4.1 Rest of Middle East and Africa Payment Security Market by Component
10.4.6.4.2 Rest of Middle East and Africa Payment Security Market by Enterprise-Size
10.4.6.4.3 Rest of Middle East and Africa Payment Security Market by Industry Vertical
10.5. SOUTH AND CENTRAL AMERICA
10.5.1 South and Central America Payment Security Market Overview
10.5.2 South and Central America Payment Security Market Forecasts and Analysis
10.5.3 South and Central America Payment Security Market Forecasts and Analysis - By Component
10.5.4 South and Central America Payment Security Market Forecasts and Analysis - By Enterprise-Size
10.5.5 South and Central America Payment Security Market Forecasts and Analysis - By Industry Vertical
10.5.6 South and Central America Payment Security Market Forecasts and Analysis - By Countries
10.5.6.1 Brazil Payment Security Market
10.5.6.1.1 Brazil Payment Security Market by Component
10.5.6.1.2 Brazil Payment Security Market by Enterprise-Size
10.5.6.1.3 Brazil Payment Security Market by Industry Vertical
10.5.6.2 Argentina Payment Security Market
10.5.6.2.1 Argentina Payment Security Market by Component
10.5.6.2.2 Argentina Payment Security Market by Enterprise-Size
10.5.6.2.3 Argentina Payment Security Market by Industry Vertical
10.5.6.3 Rest of South and Central America Payment Security Market
10.5.6.3.1 Rest of South and Central America Payment Security Market by Component
10.5.6.3.2 Rest of South and Central America Payment Security Market by Enterprise-Size
10.5.6.3.3 Rest of South and Central America Payment Security Market by Industry Vertical
11. INDUSTRY LANDSCAPE
11.1. MERGERS AND ACQUISITIONS
11.2. AGREEMENTS, COLLABORATIONS AND JOIN VENTURES
11.3. NEW PRODUCT LAUNCHES
11.4. EXPANSIONS AND OTHER STRATEGIC DEVELOPMENTS
12. PAYMENT SECURITY MARKET, KEY COMPANY PROFILES
12.1. BLUEFIN PAYMENT SYSTEMS
12.1.1. Key Facts
12.1.2. Business Description
12.1.3. Products and Services
12.1.4. Financial Overview
12.1.5. SWOT Analysis
12.1.6. Key Developments
12.2. CYBERSOURCE
12.2.1. Key Facts
12.2.2. Business Description
12.2.3. Products and Services
12.2.4. Financial Overview
12.2.5. SWOT Analysis
12.2.6. Key Developments
12.3. ELAVON
12.3.1. Key Facts
12.3.2. Business Description
12.3.3. Products and Services
12.3.4. Financial Overview
12.3.5. SWOT Analysis
12.3.6. Key Developments
12.4. INDEX
12.4.1. Key Facts
12.4.2. Business Description
12.4.3. Products and Services
12.4.4. Financial Overview
12.4.5. SWOT Analysis
12.4.6. Key Developments
12.5. INTELLIGENT PAYMENTS
12.5.1. Key Facts
12.5.2. Business Description
12.5.3. Products and Services
12.5.4. Financial Overview
12.5.5. SWOT Analysis
12.5.6. Key Developments
12.6. SECURIONPAY
12.6.1. Key Facts
12.6.2. Business Description
12.6.3. Products and Services
12.6.4. Financial Overview
12.6.5. SWOT Analysis
12.6.6. Key Developments
12.7. SHIFT4 PAYMENTS, LLC
12.7.1. Key Facts
12.7.2. Business Description
12.7.3. Products and Services
12.7.4. Financial Overview
12.7.5. SWOT Analysis
12.7.6. Key Developments
12.8. SISA INFORMATION SECURITY
12.8.1. Key Facts
12.8.2. Business Description
12.8.3. Products and Services
12.8.4. Financial Overview
12.8.5. SWOT Analysis
12.8.6. Key Developments
12.9. TNS INC.
12.9.1. Key Facts
12.9.2. Business Description
12.9.3. Products and Services
12.9.4. Financial Overview
12.9.5. SWOT Analysis
12.9.6. Key Developments
12.10. TOKENEX
12.10.1. Key Facts
12.10.2. Business Description
12.10.3. Products and Services
12.10.4. Financial Overview
12.10.5. SWOT Analysis
12.10.6. Key Developments
13. APPENDIX
13.1. ABOUT THE INSIGHT PARTNERS
13.2. GLOSSARY OF TERMS
The List of Companies
The Insight Partners performs research in 4 major stages: Data Collection & Secondary Research, Primary Research, Data Analysis and Data Triangulation & Final Review.
- Data Collection and Secondary Research:
As a market research and consulting firm operating from a decade, we have published many reports and advised several clients across the globe. First step for any study will start with an assessment of currently available data and insights from existing reports. Further, historical and current market information is collected from Investor Presentations, Annual Reports, SEC Filings, etc., and other information related to company’s performance and market positioning are gathered from Paid Databases (Factiva, Hoovers, and Reuters) and various other publications available in public domain.
Several associations trade associates, technical forums, institutes, societies and organizations are accessed to gain technical as well as market related insights through their publications such as research papers, blogs and press releases related to the studies are referred to get cues about the market. Further, white papers, journals, magazines, and other news articles published in the last 3 years are scrutinized and analyzed to understand the current market trends.
- Primary Research:
The primarily interview analysis comprise of data obtained from industry participants interview and answers to survey questions gathered by in-house primary team.
For primary research, interviews are conducted with industry experts/CEOs/Marketing Managers/Sales Managers/VPs/Subject Matter Experts from both demand and supply side to get a 360-degree view of the market. The primary team conducts several interviews based on the complexity of the markets to understand the various market trends and dynamics which makes research more credible and precise.
A typical research interview fulfils the following functions:
- Provides first-hand information on the market size, market trends, growth trends, competitive landscape, and outlook
- Validates and strengthens in-house secondary research findings
- Develops the analysis team’s expertise and market understanding
Primary research involves email interactions and telephone interviews for each market, category, segment, and sub-segment across geographies. The participants who typically take part in such a process include, but are not limited to:
- Industry participants: VPs, business development managers, market intelligence managers and national sales managers
- Outside experts: Valuation experts, research analysts and key opinion leaders specializing in the electronics and semiconductor industry.
Below is the breakup of our primary respondents by company, designation, and region:
Once we receive the confirmation from primary research sources or primary respondents, we finalize the base year market estimation and forecast the data as per the macroeconomic and microeconomic factors assessed during data collection.
- Data Analysis:
Once data is validated through both secondary as well as primary respondents, we finalize the market estimations by hypothesis formulation and factor analysis at regional and country level.
- 3.1 Macro-Economic Factor Analysis:
We analyse macroeconomic indicators such the gross domestic product (GDP), increase in the demand for goods and services across industries, technological advancement, regional economic growth, governmental policies, the influence of COVID-19, PEST analysis, and other aspects. This analysis aids in setting benchmarks for various nations/regions and approximating market splits. Additionally, the general trend of the aforementioned components aid in determining the market's development possibilities.
- 3.2 Country Level Data:
Various factors that are especially aligned to the country are taken into account to determine the market size for a certain area and country, including the presence of vendors, such as headquarters and offices, the country's GDP, demand patterns, and industry growth. To comprehend the market dynamics for the nation, a number of growth variables, inhibitors, application areas, and current market trends are researched. The aforementioned elements aid in determining the country's overall market's growth potential.
- 3.3 Company Profile:
The “Table of Contents” is formulated by listing and analyzing more than 25 - 30 companies operating in the market ecosystem across geographies. However, we profile only 10 companies as a standard practice in our syndicate reports. These 10 companies comprise leading, emerging, and regional players. Nonetheless, our analysis is not restricted to the 10 listed companies, we also analyze other companies present in the market to develop a holistic view and understand the prevailing trends. The “Company Profiles” section in the report covers key facts, business description, products & services, financial information, SWOT analysis, and key developments. The financial information presented is extracted from the annual reports and official documents of the publicly listed companies. Upon collecting the information for the sections of respective companies, we verify them via various primary sources and then compile the data in respective company profiles. The company level information helps us in deriving the base number as well as in forecasting the market size.
- 3.4 Developing Base Number:
Aggregation of sales statistics (2020-2022) and macro-economic factor, and other secondary and primary research insights are utilized to arrive at base number and related market shares for 2022. The data gaps are identified in this step and relevant market data is analyzed, collected from paid primary interviews or databases. On finalizing the base year market size, forecasts are developed on the basis of macro-economic, industry and market growth factors and company level analysis.
- Data Triangulation and Final Review:
The market findings and base year market size calculations are validated from supply as well as demand side. Demand side validations are based on macro-economic factor analysis and benchmarks for respective regions and countries. In case of supply side validations, revenues of major companies are estimated (in case not available) based on industry benchmark, approximate number of employees, product portfolio, and primary interviews revenues are gathered. Further revenue from target product/service segment is assessed to avoid overshooting of market statistics. In case of heavy deviations between supply and demand side values, all thes steps are repeated to achieve synchronization.
We follow an iterative model, wherein we share our research findings with Subject Matter Experts (SME’s) and Key Opinion Leaders (KOLs) until consensus view of the market is not formulated – this model negates any drastic deviation in the opinions of experts. Only validated and universally acceptable research findings are quoted in our reports.
We have important check points that we use to validate our research findings – which we call – data triangulation, where we validate the information, we generate from secondary sources with primary interviews and then we re-validate with our internal data bases and Subject matter experts. This comprehensive model enables us to deliver high quality, reliable data in shortest possible time.
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