by Market Overview:
Data governance refers to the overall management of the availability, usability, integrity, and security of the data employed in an enterprise. It establishes rules to guide data management activities, including how data is collected, stored, shared and used. Data governance solutions help organizations systematically control and manage their data assets throughout the entire lifecycle to address various business challenges like regulatory compliance, data quality and security. Some of the major data governance solutions include data cataloging, data lineage, metadata management and data quality solutions.
The data governance market is estimated to be valued at US$ 2.5 Mn or Bn in 2023 and is expected to exhibit a CAGR of 21.2% over the forecast period 2023-2030, as highlighted in a new report published by Coherent Market Insights.
Market Dynamics:
Growing volume of data and rising regulatory compliances are some of the key factors fueling the demand for data governance solutions across industries. With the growing digital transformation initiatives, organizations are generating massive volumes of data daily from various sources including web, social media, business applications, machines and sensors. This has created the need for managing this data in an efficient manner through data governance solutions. Moreover, strict data privacy regulations like General Data Protection Regulation (GDPR) have made it mandatory for organizations to maintain transparency in data management activities, driving adoption of data governance platforms.
Additionally, the growing focus on customer experience is also propelling the data governance market growth. Organizations are leveraging customer data to gain insightful analytics and improve customer experience. However, to ensure effective utilization of customer data, data governance plays an important role in addressing issues like data quality, security and privacy. This is encouraging more enterprises to adopt data governance practices and platforms.
Segment Analysis
The data governance market is segmented into components, deployment, organization size and verticals. The component segment is further divided into solutions and services. The solutions segment dominated the market in 2022 with a share of around 65%, as organizations are increasingly adopting data governance solutions to get better visibility and control over their data assets.
PEST Analysis
Political: Data privacy regulations like GDPR in Europe and CCPA in the US are driving organizations to implement strong data governance practices to comply with these laws.
Economic: Rapid data growth is causing organizations huge storage and processing costs. Data governance helps optimize these costs by enabling better data quality and management.
Social: Increased concerns around data privacy and security are making customers and citizens demand stronger governance of personal data by organizations holding it.
Technological: Emerging technologies like AI, ML, IoT are generating huge volumes of data. Data governance provides the framework to effectively leverage insights from this data.
Key Takeaways
The Global Data Governance Market Size is expected to witness high growth, exhibiting CAGR of 21% over the forecast period, due to increasing data volumes globally as more enterprises digitally transform their operations. By 2030, the market size is projected to reach US$ 12.5 Bn.
North America captured the largest share of over 35% in the global data governance market in 2022 owing to stringent data privacy regulations and early adoption of advanced data governance solutions by organizations in the region. Europe is another major regional market supported by GDPR norms.
Key players operating in the data governance market are Collibra NV, SAP SE, SAS Institute Inc., Symantec Corporation (Norton Lifelock), TIBCO Software Inc., Informatica Inc., Alation Inc., IBM Corporation, Varonis Systems Inc., Alfresco Software Inc., Oracle Corporation, Talend SA and Microsoft Corporation. Major players are focusing on partnerships and acquisitions to expand their data governance offerings and geographic footprint.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
