by The global data governance market is estimated to be valued at US$ 2.5 Mn in 2024 and is expected to exhibit a CAGR of 18% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights. Data governance refers to the overall management of the availability, usability, integrity and security of the data employed in an enterprise. It establishes guidelines and frameworks for securing data usage rights while also setting mechanisms to measure and monitor data. With increasing digitization across industries, large volumes of data is being generated on a daily basis. However, organizations are struggling to leverage this data to its full potential due to lack of proper data governance standards and policies. Growing need to drive data-driven decision making and derive valuable insights from this large pool of data is expected to drive the demand for data governance solutions over the forecast period.
Market Dynamics:
Growing need to derive valuable insights from data: As mentioned earlier, large volumes of data is now being generated by organizations on a daily basis. However, lack of proper data governance standards makes it difficult for organizations to leverage this data effectively for purposes like analytics and driving insights. Implementing data governance solutions allows organizations to bring structure and organization to their data environment. This makes data easily accessible, consistent and reliable for analytical uses. It further enables organizations to gain meaningful insights by analyzing both structured and unstructured data sources, thus driving better business outcomes. Growing need among companies to make data-driven decisions will drive increased adoption of data governance solutions over the coming years.
Availability of advanced analytics and machine learning tools: Analytics and machine learning have emerged as powerful technologies for extracting hidden patterns and valuable insights from data. Advanced analytics coupled with machine learning can analyze both structured and unstructured data from multiple sources and generate predictive models. However, for these tools to work effectively, the underlying data needs to be well-organized, consistent, integrated and accessible. Data governance establishes mechanisms and policies to achieve this. It brings discipline to the data environment and ensures data is ready for advanced analytics. Growing capabilities of analytics and machine learning are thus driving increased focus on data governance.
Segment Analysis
The Data Governance Market Growth is dominated by the software segment which accounts for more than 50% share. This is because software tools are essential for organizations to manage and govern large volumes of data in a systematic manner across different departments. They help in achieving security, privacy and other governance objectives. The services segment is the fastest growing segment and is expected to witness a CAGR of 20% during the forecast period. This is owing to the increasing need for professional and managed services for implementation, integration and maintenance of data governance solutions in organizations.
PEST Analysis
Political: Data privacy and security regulations like European Union’s General Data Protection Regulation (GDPR) have increased the need for data governance. Non-compliance can lead to heavy financial penalties.
Economic: Rising volumes of structured and unstructured data across industries is driving the need to optimize data usage. Data governance helps organizations utilize data as a strategic asset and gain valuable insights.
Social: Increased consumer awareness about data privacy and digital rights has led organizations to tightly govern and secure personal data. This is boosting adoption of data governance tools and services.
Technological: Emerging technologies like AI, big data analytics, IoT and cloud computing are generating massive amounts of data. Data governance ensures quality, consistency and usability of such data for analytical insights.
Key Takeaways
The global data governance market size is expected to grow from US$ 2.5 billion in 2024 to US$ 5 billion by 2030, expanding at a CAGR of 18%.
Region dominating the market currently is North America with over 35% share in 2024. This is attributed to stringent data regulations and early adopter nature of organizations in the region. However, Asia Pacific region is expected to be the fastest growing region during the forecast period exhibiting a CAGR of 20% owing to rapidly growing digitization and presence of key players like Sino Biological, Takara Bio capitalizing on the opportunities.
Key players operating in the data governance market are Thermo Fisher Scientific Inc., Sirion-Biotech GmbH (Revvity), Vector Biolabs, OriGene Technologies, Inc., SignaGen Laboratories, Sino Biological, Inc., Takara Bio Inc., Cell Biolabs, Inc., GenTarget Inc., GENEMEDI, bluebird bio, Inc., Cellomics Technology, LLC., Virica Biotech, Oxford Biomedica, and ANDELYN BIOSCIENCES. Thermo Fisher Scientific leads the market owing to its wide range of innovative software and consulting services for diverse industry sectors. Sino Biological and Takara Bio are emerging as major players in the Asia Pacific region.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
