Burlingame, Calif. -- The quest to create and monetize human data, combined with the proliferation of machine intelligence and devices that sense, track and measure, is presenting unprecedented opportunities and threats to the $738 billion information industry, according to Outsell, Inc. The research and advisory firm released its 2015 Information Industry Outlook Report, "Sensored World, Sensible Choices," to help companies lead in a volatile environment that's changing with the force of a tsunami.
The report highlights ten overarching trends that matter for information industry executives, and calls out the leaders and disruptors who are capitalizing on them.
"We are living in a data-driven planet, where tracking and analytics sense and evaluate everything we do," said Leigh Watson Healy, Chief Analyst, Outsell. "Our challenge is to use this extraordinary convergence of technology and human insight to create productive and meaningful growth."
Outsell underscores this theme with analysis of the segments that will shape the industry's future. The company projects that Marketing Automation, Analytics & CRM will unseat Search & Aggregation (now in second place) as the number-one growth driver, with a compound annual growth rate (CAGR) of 10.9 percent from 2013-16. Other growth leaders will include information/technology providers in the Governance, Risk & Compliance; Education & Human Capital Management; and Scientific, Technology & Medical areas.
Companies monetizing in this data-driven ecosystem include Alibaba and HubSpot in Marketing, Media and Analytics, while Climate Corporation (Monsanto) is changing the face of agriculture with "sensored seeds" that support "designer farms." Knode and Clever are redesigning research and education outcomes, while firms like Panaroma Software and Datameer are capitalizing on data-driven analytics in the financial services and compliance areas.
To be leaders in these segments, companies must be proactive in an environment that is changing before they blink, as technology supersedes them. This is leading to increased disintermediation and resulting in the need for organizations to add value in new ways. Among other trends that Outsell highlights:
The future of work: Machine-driven intelligence and algorithms, which threaten analyst-intensive industries such as market research and highly curated information services, have already disrupted advertising/marketing/lead generation. These could eliminate entire occupations.
The clash between privacy, predictive analytics and security knows no bounds, requiring "hackproof" systems.
Bitcoin, or what will be its offspring, exemplifies the future of money, driven in part by many people going back to cash for privacy. Financial information and data providers are investing in virtual currency, with the prospect that a single, global currency could one day be a possibility.
"These dramatic changes are being led by innovative organizations," said Anthea Stratigos, Outsell's Co-Founder and CEO. "This is just the beginning: as our industry capitalizes on these paradigm shifts, companies will also be well-positioned to address global issues like sustainability, equal access to education, and better outcomes in health care."
Outsell's report identifies 30 disruptive companies to watch, along with essential actions for succeeding in today's "sensored world." The analysis is based on Outsell's tracking of 15 information industry segments and over 7,000 firms, along with their customers and advertisers. For a complimentary copy, visit: http://www.outsellinc.com/store/products/1272.