Global Master Data Management Market Size By Type (Customer Data, Product Data), By Application (IT and Telecommunication, Government and Health Care), By Geographic Scope And Forecast

Master Data Management Market Size And Forecast

Master Data Management Market size was valued at USD 7.42 Billion in 2022 and is projected to reach USD 22.73 Billion by 2030, growing at a CAGR of 17.25% from 2023 to 2030.

Owing to rising demand of data quality tools for data management among businesses through data consolidation, and the rising need for accurate and faster decision making in regards to compliance, is also expected to drive the Master Data Management Market growth. The Global Master Data Management Market report provides a holistic evaluation of the market. The report offers a comprehensive analysis of key segments, trends, drivers, restraints, competitive landscape, and factors that are playing a substantial role in the market.

Global Master Data Management Market Definition

Master data management (MDM) is primarily a method used by businesses or enterprises in the form of different solutions, services and different standards, to link all of their critical data to a common point of reference. Master data usually includes confidential and critical business data regarding custormers, financial transactions, suppliers, products and various other sensitive categories. Thus, MDM has been aiding in improving operational efficiency of organizations along with enhanced decision making capabilities, by managing all the master data in a convenient and organized manner. When properly done, MDM improves data quality while streamlining data sharing across personnel & departments. Master Data Management helps an organization to improve business processes, facilitate privacy management, manage threats and risks, reduce labor costs, and optimize the process. Master data management (or MDM) in business consists of different solutions, services, and standards that help enterprises manage their master data. Master data comprises confidential and critical business data regarding customers, products, financial transactions, suppliers, and others.

The emergence of MDM has enabled enterprises to collate and manage master data and utilize it for data analytics and effective decision making. MDM enhances the operational efficiency of organizations along with improved decision-making capabilities. MDM makes it convenient to use data for different business operations to boost operational as well as business performance and offer enhanced customer services. Cloud deployment of MDM helps cut down the total cost of ownership and increase data storage capabilities for organizations. Organizations use cloud-based MDM since it is easy to deploy, offers agility, and provides more scalability than on-premises software at an affordable cost. These factors are supporting the growth of cloud-based MDM solutions.

Global Master Data Management Market Overview

A Master Data Management solution facilitates government and corporate enterprises in tracing information flow and record data transformation along with enabling the automatic updating of redundant data and records. Moreover, it provides for efficient storage, maintenance, and retrieval of reliable data records. The significant volumes of data gathered across an organization are channelized through MDM solutions and services to store data at a single location and provide data security. Likewise, compliance demands are met by data governance. The increase in data churn requires robust data quality tools to enhance operational excellence. Data quality is the first step toward the implementation of MDM which is a powerful tool that allows organizations to map the phases of information flow and document data transformation. MDM solutions automatically update records and cleanse redundant data, whereas data quality tools ensure data accuracy.

This has enabled organizations to consolidate the implementation of MDM solutions along with data quality tools. For instance, data quality maintenance is of the highest importance for organizations in the BFSI sector. According to BI-SURVEY.com in 2017, Northern Europe and IT users rated master data and data quality management as very important. Data quality tools help reduce data duplication, reduce rework, and maintain accurate data records. Consolidation of data is becoming an important aspect for organizations, which have started to realize the importance of data quality. This factor is leading to high demand for MDM solutions and is thus driving the Master Data Management Market.

In addition, the indispensable need to install centrally located or managed data, growing requirements for verification and compliance, and multiplying needs for excellent business performance and data quality are some of the many factors driving the MDM Market. Furthermore, automation and AI will help an organization to perform predictable master data tasks without error, identify duplicate records, assure data quality, and enable new kinds of master data applications to create more modern customer value. The demand for multi-domain MDM, machine learning, and AI in MDM will boost the growth of the market.

However, data security concerns are one of the factors hindering industry growth. The growth of this market is restricted due to the prevailing concerns regarding the security of data among users. Currently, organizations operate in data-driven business environments, increasing the risk of advanced data breaches, cyber-attacks, and phishing attacks. Several problems are encountered due to data being present in disparate systems which increases the security threats to the data. However, isolated data systems are a restraint for many organizations where the threat of security breaches and dispersed data is high.

Global Master Data Management Market Segmentation Analysis

The Global Master Data Management Market is segmented on the basis of Type, Application, And Geography.

Master Data Management Market, By Type

• Customer Data
• Product Data
• Others

Based on Type, the market is segmented into Customer Data, Product Data, and Others. Product Data segment dominates the major market share in 2019 owing to the increased demand for data integration & migration and data governance solutions from enterprises to achieve competitive advantage and streamline their business operations. The deployment of MDM solutions in organizations helps in monitoring and managing master data and extracting valuable business insights from the data generated.

Master Data Management Market, By Application

• Banking, Finance and Insurance
• IT and Telecommunication
• Government and Health Care
• Manufacturing
• Others

Based on Application, the market is segmented into Banking, Finance and Insurance, IT and Telecommunication, Government and Health Care, Manufacturing, and Others. Healthcare is expected to grow at the highest CAGR during the forecast period as the industry is undergoing extensive developments due to advancements in technologies that are enhancing the overall industry. It is a comprehensive sector that has to deal with diverse clinical, administrative, and financial data on a daily basis. The industry is highly regulated and needs channelized data insights, improved data quality, and accurate clinical information which is consolidated through the deployment of MDM solutions.

Master Data Management Market, By Geography

• North America
• Europe
• Asia Pacific
• Rest of the world

Based on Geography, The Global Master Data Management Market is classified into North America, Europe, Asia Pacific, and the Rest of the world. The Asia Pacific is expected to have the highest market growth rate during the forecast period. The rising awareness about the increase in business productivity, supplemented with competently designed MDM solutions offered by vendors present in this region, is leading to the Asia Pacific becoming a highly potential market. Additionally, extensive facilities for the deployment and management of master data applications at economical costs are enhancing growth in this region.

Key Players

The “Global Master Data Management Market” study report will provide valuable insight with an emphasis on the global market. The major players in the market are IBM Corporation, Tibco Software Inc, Oracle Corporation, Teradata Corporation, Riversand, SAS Institute, Informatica, Talend, Stibo System, SAP. The competitive landscape section also includes key development strategies, market share, and market ranking analysis of the above-mentioned players globally.

Our market analysis also entails a section solely dedicated to such major players wherein our analysts provide an insight into the financial statements of all the major players, along with its product benchmarking and SWOT analysis.

Key Developments

• In March 2022, Oracle rolled out an update for its enterprise data management solution. The cloud solution for Enterprise Data Management (EDM) improves the solution’s capabilities in a variety of areas. These additions address critical concerns such as data integrity, data transfer, and request tracking. When information from non-EDM users is required, efficiently resolving data integrity problems found by EDM validations might be difficult. Validation errors can now be downloaded to an MS Excel file as of the March update. This allows EDM users to get help/feedback from others.
• In March 2021, InfoSphere, a master data management solution developed by IBM, for enterprises with important master data performance, size, and accuracy requirements. InfoSphere Master Data Management helps assist clients in achieving a more robust and accurate 360-degree picture of their most critical domains, such as people, companies, accounts, and so on. With machine-learning aided stewardship, the upgrade improves compliance support and the ability to quicken task resolution decisions.

Ace Matrix Analysis

The Ace Matrix provided in the report would help to understand how the major key players involved in this industry are performing as we provide a ranking for these companies based on various factors such as service features & innovations, scalability, innovation of services, industry coverage, industry reach, and growth roadmap. Based on these factors, we rank the companies into four categories as Active, Cutting Edge, Emerging, and Innovators.

Market Attractiveness

The image of market attractiveness provided would further help to get information about the region that is majorly leading in the global Master Data Managementmarket. We cover the major impacting factors that are responsible for driving the industry growth in the given region.

Porter’s Five Forces

The image provided would further help to get information about Porter’s five forces framework providing a blueprint for understanding the behavior of competitors and a player’s strategic positioning in the respective industry. The porter’s five forces model can be used to assess the competitive landscape in global Master Data Managementmarket, gauge the attractiveness of a certain sector, and assess investment possibilities.

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