The market for text analytics in 2021
Text analytics is one of the fastest-growing areas of AI-enhanced analysis. A strategy used to convert large volumes of unstructured information into quantitative data and business insights, text analytics can give companies incredible opportunities for growth.
As the sheer volume of unstructured data in the modern landscape continues to increase, text analysis is growing. The new demand for this technology comes from an increase in live chat and self-service technology, as well social media, and SMS customer service. In the past, companies have only been able to leverage up to 30% of the massive amounts of unstructured data they generate.
Text analytics gives us the power to unlock the benefits behind more of the information companies collect every day.
The market for text analytics was globally valued at $5.46 billion in 2020. By 2026, this sector is expected to reach a value of around $14.84 billion, with a CAGR of 17.35%. So, what’s making text analytics so appealing today? On the one hand, we have the evolving technology of natural language processing tools, machine learning, and advanced speech analytics to thank. As tools become better at understanding customer interactions, we can analyse more data.
Text analytics tools are increasingly appearing in various parts of the business landscape too. For instance, contact centres can use text analytics to analyse the sentiment in client interactions or track trends from blogs, emails, product reviews, and self-service logs. Some cloud-based applications intended to further improve the customer experience also use text analytics for fraud and risk management, business intelligence, and cybercrime prevention.
Today, we have more unstructured data available to access than ever before. Companies are constantly dealing with streams of data from customer social media posts, emails, live chat interactions, SMS messaging, and even transcriptions of spoken text. Now that we have the machine learning capabilities and insights to leverage this data correctly, the benefits could be astronomical.
With access to the right text analytics, companies can effectively track the customer journey, evaluate business performance, and keep their finger on the pulse of customer sentiment.
Text analytics plays a crucial role in various parts of analysing and responding to customer behaviour. Companies can use text analytics in real-time to determine the intent and needs of a customer in a text-based service scenario. Text analytics can also enable self-service operations with a chatbot, or support agents in accessing information quickly in response to keywords.
Long-term strategies for text analytics also make it easier to understand clients on a deeper level and predict future trends. Companies can examine trends and keywords in various streams of text to discover where new customer preferences and concerns are emerging. It’s also possible to read between the lines of these analytics, to get a better insight into brand perception among loyal and potentially churning clients.
In an age where customer experience is the key to success, text analytics is just one part of a comprehensive strategy for understanding customers.