The Data Governance Market is estimated to witness high growth owing to trends like Need for Identifying, Protecting, and Leveraging Data

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posted on 9 months ago — updated on 1 second ago

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The Data Governance Market is estimated to witness high growth owing to trends like Need for Identifying, Protecting, and Leveraging Data

Data governance involves ensuring that important data assets are formally managed throughout their lifecycle to ensure security, usability, integrity and quality

Data governance refers to the overall management of the availability, usability, integrity, and security of the data employed in an enterprise. It helps in applying management policies and procedures to cover the entire data lifecycle, including collection, storage, use, sharing, archival and deletion.

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 Overview:
Data governance helps in identifying, protecting, and leveraging sensitive data across multiple systems. It ensures high data quality, accessibility, usability of data and minimizes data redundancy. By implementing data governance policies and procedures, organizations can gain visibility and control over their entire data landscape, reduce compliance risks, enable data sharing, and provide more trusted data for analytics.

Market key trends:
The rising need for identifying sensitive and personal data due to stringent data privacy regulations is driving the growth of the data governance market. Regulations such as the General Data Protection Regulation (GDPR) in the European Union (EU) and the California Consumer Privacy Act (CCPA) in the U.S. are enforcing organizations to identify what data they hold, where and how it is used, shared and who has access to ensure privacy and security of sensitive data. Data governance solutions help organizations in mapping out sensitive data, understanding data flows and enable them to comply with privacy regulations. This rising need for identifying, tracking and protecting personal data is one of the major trends contributing to the growth of the data governance market.

Porter’s Analysis
Threat of new entrants: The data governance market requires high initial investment and established distribution channels. Therefore threat of new entrants is low.

Bargaining power of buyers: Buyers have high bargaining power due to availability of multiple vendors offering similar solutions. However, switching costs make buyers loyal to existing vendors.

Bargaining power of suppliers: Suppliers have moderate bargaining power due to availability of substitute components. However, dependence on few major providers increase their power.

Threat of new substitutes: Threat of substitutes is moderate as alternate but specialized solutions cater niche areas of broader data governance needs.

Competitive rivalry: Intense due to presence of global players focusing on continuous innovation.

SWOT Analysis
Strengths: End-to-end capabilities of data governance solutions and robust security features.

Weaknesses: High initial costs and complex deployment deter small organizations. Lack of skilled resources increases support costs.

Opportunities: Increasing demand due to regulatory pressures and need for centralized data management. Growth in data volumes and sources.

Threats: Integration challenges with legacy systems. Compliance risks from unmanaged data sources.

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 generation across industries. Stringent data privacy regulations are also driving adoption of data governance solutions.

North America dominates the market currently due to stringent regulatory standards and early adoption. Asia Pacific is expected to grow at the fastest pace due to growing digitalization and presence of major vendors in countries such as India and China.

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 strategic partnerships and product innovations to solidify their market positions.