North America In-Store Analytics Market Size
| Study Period | 2018 - 2028 |
| Base Year For Estimation | 2022 |
| Market Size (2023) | USD 1.13 Billion |
| Market Size (2028) | USD 3.05 Billion |
| CAGR (2023 - 2028) | 22.00 % |
| Market Concentration | Low |
Major Players
*Disclaimer: Major Players sorted in no particular order |
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North America In-Store Analytics Market Analysis
The North America In-Store Analytics Market size is estimated at USD 1.13 billion in 2023, and is expected to reach USD 3.05 billion by 2028, growing at a CAGR of 22% during the forecast period (2023-2028).
Factors such as increasing data volume in in-store operation and the need For better customer service and enhanced shopping experience are expected to drive the market.
- In the hyper-competitive retail market, in-store analytics is gaining traction. In-store analytics has the potential to transform the store layout and improve customer experience across different business segments. In the North American region, retailers use smart carts with location beacons, pin-sized cameras installed near shelves, or the store's wi-fi network to see how many shoppers entered the store, how they moved around once inside, and what key areas they visited. This process can provide basic demographic data, such as gender and age group.
- The retail market in North America is one of the biggest. Wal-Mart, Costco, Kroger, The Home Depot, and Target have origins in this region. The rapidly growing data volume across in-store operations drives the market's growth. With increasing sales value, the volume of data is increasing. With growing data volume, it has become difficult to track every customer's record, behaviors, footfall, etc., without implementing analytics.
- When retailers give customised experiences to their consumers using several technologies such as evaluating customer preferences, recognizing customer location in-store, targeted promotions, and purchase habits, they accomplish digitalization in shops. The business monitoring technology analyzes these trends to offer valuable insights that assist merchants in increasing sales, revenue, and footfalls. For example, Amazon announced the debut of their new Store Analytics service in June 2022. The e-commerce behemoth is attempting to profit on its physical storefronts by providing marketers with data on what customers buy.
- The United States Bureau of Labour Statistics estimated the demand for skilled and knowledgeable data scientists to boost by 2026, leading to a 27.9% rise in employment. However, this huge demand would also bring a significant shortage of qualified professionals. Further, another challenge to the market growth is that marketers might need to find new ways of executing their strategies in 2022 and beyond to satisfy the consumer thirst for convenience. New data privacy regulations like the California Consumer Privacy Act and Virginia's Consumer Data Privacy Act set a chain of events in motion that will heavily impact retail marketers. The third-party data that once enabled specific user targeting will no longer be available on ad platforms such as Google and Facebook. Retailers are trying to explore new ways to use first-party data in their digital marketing strategies.
- Due to the COVID-19 pandemic, the retail industry has seen significant technology adoption to manage store occupancy and screen temperatures, maintain social distancing and streamline the use of facilities. Some of these adoptions are mandated by law, and others were made to ensure customer safety and limit store closures. Many of these technologies provided retailers with significant advantages for in-store analytics, and a much better return on investment is seen as long-term strategic investments rather than temporary protective measures.
North America In-Store Analytics Market Trends
Store Operation Management to Exhibit Good Growth Over the Forecast Period
- Store operation management entails a set of activities for running and monitoring all the operations inside a store. Some of the significant responsibilities of store management include working closely with staff, creating work schedules, communicating with suppliers to ensure the availability of products, and dealing with customer complaints.
- There are several companies within the North American region, especially in the United States, with many stores in the country. For instance, according to National Retail Federation, Walmart expanded in 2022. According to latest fiscal figures, the biggest US retailer made revenue of USD 141.6 billion in the Q1 of 2022, a 2.4 rise year on year. The majority of this revenue increase came from the United States market, where net sales increased by 4% to $96.9 billion in Q1 2022.
- The favourable market scenario has attracted several local and global software providers to develop analytics software to cater to the growing demand. For instance, IBM’s Sterling Store Engagement solution provides a real-time view of the store inventory and customer and order data through an intuitive user interface that a store operator can access from sales counters and mobile devices.
- Similarly, SCOPIX Store Operations Analytics, which offers a cost-effective foundation for continuous monitoring of store operations, uses network-based IP video surveillance technology. The solution captures and analyzes live in-store conditions against specific benchmarks. Furthermore, it transforms video footage into actionable business intelligence that benefits store management, marketing teams, operations managers, and merchandisers.
- Furthermore, according to US Labor Department, grocery retailers around the United States are suffering from a labor crunch. As this shortage is not expected to go away soon, there is a growing interest in digital technology and automation among retail.
United States is Expected to Hold a Significant Market Share
- The United States is one of the top retail markets globally and was impacted by covid-19. However, returning on track with increasing numbers and bolstering the growth to maintain the boost requires advanced technology to analyze data at that scale. As per the National Retail Federation (NRF), Retail is the nation's largest private-sector employer, contributing USD 3.9 trillion to annual GDP and supporting one in four United States jobs – 52 million working Americans.
- According to the US Census Bureau, total retail sales in March 2022 was up 0.5% seasonally adjusted from February and increased 6.9% Y-O-Y. In February, the rise was 0.8% month over month and 18.2% Y-O-Y.
- The post-pandemic United States retail market has been trying to overcome obstacles using Data Analytics technology as a solution that will be shaped by several factors contributing significantly to how retailers function. Retail analytics solutions for the United States retail industry will focus on dealing with challenges that arise from heightened complexities and help to improve the market share. Their ability to offer actionable insights by analyzing multiple data sets will help their retail clients identify the right strategies for recovering lost sales and boost market share by addressing the dynamic needs of their customers.
- With the market reopening and letting go of lockdown, consumers are shifting to a Hybrid shopping structure, for this omnichannel data is of great significance. A smart omnichannel data and tracking strategy are essential to understanding customers' behavior. Brands with a robust omnichannel business rely on analytics to know how to take advantage of the opportunity possible by customers' behaviors toward the market.
- Furthermore, the country's e-commerce retail and in-store retail sales are likely to propel the industry. According to the US Department of Commerce and the US Census Bureau, e-commerce total U.S. retail sales climbed from 14.5% in the fourth quarter of 2021 to 14.8% in the third quarter of 2022.
North America In-Store Analytics Industry Overview
North America In-Store Analytics Market is highly competitive owing to numerous software systems providers and technological innovation in the industry for retail. Some of the major players operating in the market include Capgemini, RetailNext, Happiest Minds Technologies Limited, Capillary Technologies, and ThinkIN, among others. The players in the market are regularly involved in altering their pricing schemes, which creates pricing pressure on other companies, thereby augmenting the competition in the market.
- January 2023 - Microsoft released a preview of a cloud storage service known as Smart Store Analytics in collaboration with AiFi, a company that seeks to allow retailers to adopt autonomous shopping technology at a low cost. Smart Store Information, which is part of Microsoft's Clouds for Retail suite of products, offers retailers employing AiFi's technologies with operational analytics and shopper for their fleets of smart shops.
- March 2022 - Cogniac Corporation and Cisco Meraki partnered to deliver AI-powered vision applications. The strategic alliance with Cogniac supports the new custom computer vision capabilities and provides customers with the tools, data, and insights to optimize their business operations.
- January 2022 - RetailNext Inc. announced the release of several potential platform innovations to solve various retail issues in 2022 and beyond. The features included are growing tech sophistication, deeper analysis and shopper behaviors, more than just video, privacy, driving store performance, safer in-store experiences, data on the go, and cloud migration.
North America In-Store Analytics Market Leaders
Capgemini
RetailNext
Happiest Minds Technologies Limited
Capillary Technologies
ThinkIN
*Disclaimer: Major Players sorted in no particular order
North America In-Store Analytics Market News
- March 2022 - SAP SE acquired a majority stake of Taulia, a provider of working capital management solutions. J.P. Morgan will continue to maintain its equity stake in fintech. With Taulia now an official part of the company's solution portfolio, the acquisition further expands SAP's business network and strengthens SAP's solutions. Taulia's solutions will be tightly integrated into SAP software and remain available standalone. Taulia will operate as an independent company within the SAP Group.
- June 2022 - Amazon launched an analytics solution that enables CPGs to measure customer interest in items sold in Amazon Go and Amazon Fresh shops integrated with frictionless payment technology. According to the business, the new Store Analytics platform provide suppliers with aggregated and anonymized information.
- April 2022 - Unilever teamed up with retail marketing channel pioneer Perch to release a next-generation in-store product interaction platform in Washington, DC region at Giant Food supermarkets in the. The smart end caps in the cosmetics department seamlessly include a digital screen that detects which goods consumers touch and responds with videos and data about that specific product - without the need to read a QR code, contact a device, install an app, or perform any other action. Customers can discover more about Unilever skincare items by merely contacting them, due to Perch's "lift-and-learn" innovation.
North America In-Store Analytics Market Report - Table of Contents
1. INTRODUCTION
1.1 Study Assumptions and Market Definition
1.2 Scope of the Study
2. RESEARCH METHODOLOGY
3. EXECUTIVE SUMMARY
4. MARKET INSIGHTS
4.1 Market Overview
4.2 Industry Attractiveness - Porter's Five Forces Analysis
4.2.1 Threat of New Entrants
4.2.2 Bargaining Power of Buyers
4.2.3 Bargaining Power of Suppliers
4.2.4 Threat of Substitutes
4.2.5 Intensity of Competitive Rivalry
4.3 Industry Value Chain Analysis
4.4 Assessment of the Impact of COVID -19 on the Industry
5. MARKET DYNAMICS
5.1 Market Drivers
5.1.1 Increasing Data Volume In In-store Operations
5.1.2 Need For Better Customer Service And Enhanced Shopping Experience
5.2 Market Challenges
5.2.1 Lack of Skilled Personnel
5.3 Use Cases
5.3.1 Footfall Analytics
5.3.2 Customer Behavior Analytics
5.3.3 Loyalty Management
5.3.4 Video Analytics
5.3.5 Smart Checkouts
6. MARKET SEGMENTATION
6.1 By Component
6.1.1 Software
6.1.2 Services
6.2 By Deployment
6.2.1 Cloud
6.2.2 On-premise
6.3 By Organization Size
6.3.1 Large Enterprises
6.3.2 Small and Medium Enterprises
6.4 By Application
6.4.1 Customer Management
6.4.2 Risk and Compliance Management
6.4.3 Store Operation Management
6.4.4 Marketing and Merchandizing
6.4.5 Other Applications
6.5 By Country
6.5.1 United States
6.5.2 Canada
7. COMPETITIVE LANDSCAPE
7.1 Company Profiles
7.1.1 Capgemini Se
7.1.2 Retailnext Inc.
7.1.3 Happiest Minds Technologies
7.1.4 Capillary Technologies
7.1.5 Thinkin Srl
7.1.6 Trax Image Recognition
7.1.7 Cloud4wi Inc.
7.1.8 Amoobi
7.1.9 SAP SE
7.1.10 Shoppertrak(sensormatic Solutions)
7.1.11 Analytiks AI
7.1.12 Cisco Meraki (Cisco Systems Inc.)
7.1.13 C2ro
- *List Not Exhaustive
8. INVESTMENT ANALYSIS
9. MARKET OPPORTUNITIES AND FUTURE TRENDS
North America In-Store Analytics Industry Segmentation
In-store analytics refers to the solutions and processes retailers use to measure different metrics such as foot traffic, dwell time, and conversion rate, among others, within a retail store. Therefore, these solutions enable retailers to address key issues and increase workforce productivity, operations, and better consumer experience through merchandising, among other use-cases. North America In-Store Analytics Market is segmented by Component (Software, Services), By Deployment (Cloud, On-premise), By Organization Size (Large Enterprises, Small and Medium Enterprises), By Application (Customer Management, Risk & Compliance Management, Operation Management, Merchandise Management), and Country (US and Canada). The market sizes and forecasts are provided in terms of value (USD million) for all the above segments.
| By Component | |
| Software | |
| Services |
| By Deployment | |
| Cloud | |
| On-premise |
| By Organization Size | |
| Large Enterprises | |
| Small and Medium Enterprises |
| By Application | |
| Customer Management | |
| Risk and Compliance Management | |
| Store Operation Management | |
| Marketing and Merchandizing | |
| Other Applications |
| By Country | |
| United States | |
| Canada |
North America In-Store Analytics Market Research FAQs
How big is the NA In-Store Analytics Market?
The NA In-Store Analytics Market size is expected to reach USD 1.13 billion in 2023 and grow at a CAGR of 22% to reach USD 3.05 billion by 2028.
What is the current NA In-Store Analytics Market size?
In 2023, the NA In-Store Analytics Market size is expected to reach USD 1.13 billion.
Who are the key players in NA In-Store Analytics Market?
Capgemini, RetailNext, Happiest Minds Technologies Limited, Capillary Technologies and ThinkIN are the major companies operating in the NA In-Store Analytics Market.
NA In-Store Analytics Industry Report
Statistics for the 2023 NA In-Store Analytics market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. NA In-Store Analytics analysis includes a market forecast outlook to 2028 and historical overview. Get a sample of this industry analysis as a free report PDF download.
