Text Analytics Market Size and Forecasts (2021 - 2031), Global and Regional Share, Trends, and Growth Opportunity Analysis

The text analytics market is expected to grow from US$ 8.45 billion in 2022 to US$ 27.63 billion by 2031; it is estimated to record a CAGR of 20.4% from 2022 to 2031.

Text analytics plays an increasingly important role in several use cases across different industry verticals. For example, the insurance industry has different and distinct use cases such as claims automation, policy review, and risk engineering that require text analysis. Text analytics allows insurance companies to locate specific information within minimal time. Digital advertising is another end use of text analytics. Unlike a cookie-based approach, contextual advertising analyzes text on a webpage to understand content in an in-depth manner. Widening number of industries using text analytics would drive the overall text analytics market growth.

Owing to increasing competitiveness, companies are seeking advanced analytical solutions capable of utilizing large volumes of data, thereby aiding in better and faster decision-making. With the use of sentiment analysis and voice-of-customer (VoC) solutions, companies can improve customer intimacy and service quality, which enables them to drive customer satisfaction, loyalty, and revenue. The use of text analytics solutions in risk management and fraud detection application in the banking and financial sector helps save millions of dollars over a deal. This will further contribute towards the growth of text analytics market.

Text categorization is one of the prominent use cases of text analytics. The process is based on machine learning and models taken from current datasets, further matching the model data sets with new datasets for making predictions. In text categorization, the end user’s system is fed with a pre-built set of text examples and their relevant categories. A machine learning algorithm learns how each text is categorized and creates rules for itself. When new text is presented, it applies these rules to categorize it. This supervised learning-based approach to text categorization saves the time and effort required to set and implement new rules. Growing demand for text categorization will help in fueling the text analytics market growth.

Strategic Insights

Regional Analysis of Text Analytics Market

APAC ranked third in terms of text analytics market share in 2022. Continuous growth in the retail, banking, fast-moving consumer goods (FMCG), and healthcare sectors in emerging markets of the Philippines, China, India, and Australia have attracted several international enterprises targeting these economies for the expansion of their business. With the expansion of business into the mentioned countries, their day-to-day functions would create enormous amounts of unstructured text through. This factor is projected to develop growth opportunities for vendors operating in APAC and thus impacting text analytics market. Also, the proliferation of the healthcare sector in Australia, Japan, Taiwan, South Korea, China, Singapore, etc., is anticipated to generate significant demand for text analytics platforms owing to the generation of huge amount of unstructured textual data. ~80% of biomedical data created is unstructured text, which requires text analytics solutions to unlock insights with the use of natural language processing-based solutions.

Owing to continuous technological advancements, it is projected that the advent of different AI regulations in the US, Europe, and Asia will promote the adoption of AI solutions in Asia Pacific by 2031. This adoption will further triggering the machine learning and automated machine learning platform penetration. The use of machine learning platforms would lead to new data categories, thereby expanding the scope of text categorization.

During the COVID-19 pandemic, people’s participation on Twitter, Facebook, and other popular social media platform was tremendous. Twitter was s preferred platform to gather public opinions in the form of comments, reviews, and posts related to COVID-19. Later, different models, tools, and matrices, as well as sentimental analysis, were utilized for classifying public opinions on COVID-19, and also to know situation across the world. The pandemic has positively fueled the text analytics market.

Market Insights – Text Analytics Market

 

Industry Vertical-Based Insights

Based on industry vertical, the text analytics market size is segmented into BFSI, IT & telecom, healthcare, government & defense, education, retail, manufacturing, and others. In 2022, the BFSI segment accounted for the largest text analytics market share. It includes insurance agencies, commercial banks, mutual funds, non-banking financial companies, cooperatives, banks, and broking firms. Text analytics in the BFSI sector provides a new opportunity for fraud detection. Fraud detection in this sector is achieved through social network analysis or predictive analysis, among other methods. Using text analytics as a method for fraud detection has increased the identification of frauds by more than 50%, as these types of analysis have an accuracy of almost 90%.

The aforesaid stakeholders in the BFSI sector end up into generating and consuming massive amount of unstructured text data from various sources. Thu, the use of advanced text analytics solutions helps the BFSI sector in making data-driven decisions. Topic labeling, intent detection gender detection, semantic similarities keyword extraction, and entity extraction are few text analytics solutions used by financial service providers.

The text analytics market players are mainly focused on developing advanced and efficient products.

• In December 2022, Canvs AI unveiled translation for Canvs MRX. This will allow customers to directly analyze open-ended text available in various languages on the Canvs platform. Based on Google Cloud Translation, the translation for Canvs MRX automatically identifies language of an open-ended text on import and translates it to English for processing on Canvs platform.
• In September 2022, expert.ai and AppTek signed a strategic partnership to introduce their AI-based text analytics solution for dynamic audio content in multiple languages. Through this partnership, Automatic Speech Recognition and Neural Machine Translation technologies of AppTek, in combination with natural language understanding capabilities of expert.ai, will allow organizations to take advantages of audio content in an unstructured data set.

The text analytics market size is segmented into five major regions—North America, Europe, Asia Pacific (APAC), Middle East & Africa, and South America. In 2022, North America led the market with a substantial revenue share, followed by Europe.

Angoss Software Corporation; Averbis GmbH; Bitext Innovations S.L.; Cambridge Semantics, Inc.; Clarabridge; Clarivate Analytics; RapidMiner Inc. (Altair); Expert System Group; Linguamatics; Basis Technology; SciBite; KNIME; IBM Corporation; Quertle Right Signature LLC; Semantria (Lexalytics); OpenText Corp; Thomson Reuters; Biomax Informatics AG; Elsevier; SAP SE; and SAS Institute Inc. are among the key text analytics market players profiled in the study. The report provides detailed market insights that help text analytics market players to implement various growth strategies.

REGIONAL FRAMEWORK

Text Analytics Market Report Analysis

MARKET PLAYERS

Text Analytics Market Report Scope