Risk Analytics Market Size

Risk Analytics Market Size

Risk Analytics Market size was valued at USD 36.6 billion in 2023 and is estimated to register a CAGR of over 13% between 2024 and 2032, owing to the emphasis on enhancing operational efficiency and cost-effectiveness. In addition, advancements in technology, such as AI and big data analytics, enable the development of sophisticated risk assessment tools. This drives market growth as organizations seek innovative solutions to effectively manage and mitigate risks while maximizing efficiency and leveraging technological capabilities.

To get key market trends

  Download Free Sample

For instance, in September 2022, Verisk extended its geospatial ESG risk capabilities with Industry Risk Analytics from Verisk Maplecroft. This new solution identifies 80 sectors' exposure to 52 ESG and political risks across 198 countries, benefiting companies, insurers, and financial institutions.

The globalization of businesses and expansion into new markets propel the demand for risk analytics solutions that can address cross-border risks and regulatory complexities. Besides, the rising adoption of environmental, social, and governance (ESG) factors in decision-making necessitates comprehensive risk assessments. This synergy drives the growth of the risk analytics industry, with organizations seeking robust solutions to navigate the multifaceted risks inherent in global operations and ESG considerations.

For instance, in April 2022, TCS unveiled a risk-based monitoring solution for clinical trials, facilitating smart decision-making, bolstering compliance, and enhancing study effectiveness through agility and user-friendliness.

Though the risk analytics market is thriving, it faces challenges such as data privacy concerns and high implementation costs. However, they highlight a commitment to safeguarding sensitive information and fostering trust and confidence among stakeholders. Addressing these concerns enhances data integrity and promotes responsible data governance practices, laying a solid foundation for sustainable growth. Similarly, initial implementation costs signify an investment in robust risk management infrastructure, ultimately yielding long-term cost savings and operational efficiencies.