[180 Pages Report] The retail cloud market size is estimated to grow from USD 11.06 billion in 2016 to USD 28.53 billion by 2021, at a Compound Annual Growth Rate (CAGR) of 20.9%. Cloud computing is on-demand, internet-based computing. In the retail cloud environment, retail organizations and retailers can move their business applications and infrastructure resources to the different service architectures of cloud such as Software as a Service (SaaS), Platform as a Service (PaaS), and Infrastructure as a Service (IaaS) to gain advantage in terms of speed and agility. Features of cloud computing are enticing and increasingly pertinent to the retail industry for activities such as Supply Chain Management (SCM), customer management, merchandising, and workforce management. The strengths and abilities of cloud are swiftly altering the retail landscape by offering a number of advantages such as cost savings, usage-based billing, and business continuity & agility.

Retail Cloud Market Dynamics

Drivers

Rapid adoption of smartphones

Need for compliance and collaboration

Shift to omni-channel experience

compliance and collaboration

Restraints

Growing concerns regarding security and privacy

Opportunities

Mobile POS (mPOS)

IoT in Retail

Click-and-collect programs

Challenges

Frequently changing consumer preferences

Reluctance of retailers to adopt cloud

The following are the major objectives of the study:

To define, describe, and forecast the global retail cloud market on the basis of types, service models, deployment models, organization sizes, and regions.

To forecast the market size of the five main regional segments, namely, North America, Europe, Asia-Pacific (APAC), Middle East & Africa (MEA), and Latin America.

To strategically analyze the sub segment, with respect to individual growth trends, future prospects, and contribution to the total market.

To provide detailed information regarding the major factors influencing the growth of the market (drivers, restraints, opportunities, and challenges)

To analyze opportunities in the market for stakeholders and provide strategic profiles of the key players in the market to comprehensively analyze the core competencies1 and to draw competitive landscape for the market.

To track and analyze competitive developments such as mergers and acquisitions, new product developments, and Research and Development (R&D) activities in the market.

During this research study, major players operating in the retail cloud market in various regions have been identified, and their offerings, regional presence, and distribution channels have been analyzed through in-depth discussions. Top-down and bottom-up approaches have been used to determine the overall market size. Sizes of the other individual markets have been estimated using the percentage splits obtained through secondary sources such as D&B Hoovers, Bloomberg BusinessWeek, and Factiva, along with primary respondents. The entire procedure includes the study of the annual and financial reports of the top market players and extensive interviews with industry experts such as CEOs, VPs, directors, and marketing executives for key insights (both qualitative and quantitative) pertaining to the market. The figure below shows the breakdown of the primaries on the basis of the company type, designation, and region considered during the research study.

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The major players in the retail cloud market include Oracle Corporation (California, U.S.), Cisco Systems, Inc. (California, U.S.), SAP SE (Wurttemberg, Germany), International Business Machines Corporation (New York, U.S.), Microsoft Corporation (Washington, U.S.), Computer Sciences Corporation (Virginia, U.S.), Fujitsu Limited (Tokyo, Japan), Infor, Inc. (New York, U.S.), Epicor Software Corporation (Texas, U.S.), JDA Software group, Inc. (Arizona, U.S.), and Syntel Inc. (Michigan, U.S.).

Major Market Developments in Retail Cloud Market

Oracle acquired LogFire, which enabled Oracle to enhance the features of its cloud supply chain management solutions offerings. LogFire adds its warehouse management capabilities to Oracle SCM that provides upgraded solutions to customers

Cisco introduced electronic Point of Sale omni-channel solution for the traditional retail sector in Germany. It also connects various manufacturers� systems with inventory systems as well as merges product and customer data, making it easy for clients to understand customer behavior and deliver better customer experience.

Accenture and SAP announced to extend SAP�s current fashion management capabilities to contribute to the digital transformation journey of the fashion and retail brands. Accenture enables vertical integration across retail, wholesale, and manufacturing channels whereas SAP provides its SAP S/4HANA technology capabilities of flexible cloud services.

Key Target Audience for Market

Consultancy firms/advisory firms

Training and education service providers

Cloud vendors

Analytics solution providers

Service providers

Platform providers

Scope of the Retail Cloud Market research report

Report Metrics Details Market size available for years 2016-2021 Estimated year considered 2016 Forecast period 2016-2021 Forecast units Value (USD) Segments covered Type, Service Model, Organization Size, Deployment Model, and Region Geographies covered North America, Europe, Asia Pacific, Middle East & Africa, Latin America Companies covered Oracle Corporation (California, US), Cisco Systems, Inc. (California, US), SAP SE (Wurttemberg, Germany), International Business Machines Corporation (New York, US), Microsoft Corporation (Washington, US), Computer Sciences Corporation (Virginia, US), Fujitsu Limited (Tokyo, Japan), Infor, Inc. (New York, US), Epicor Software Corporation (Texas, US), JDA Software group, Inc. (Arizona, US), and Syntel Inc. (Michigan, US)

The research report categorizes the market to forecast the revenues and analyze the trends in each of the following subsegments:

Retail Cloud Market By Type

Solution

Service

Market By Service Model

Software as a Service (SaaS)

Platform as a Service (PaaS)

Infrastructure as a Service (IaaS)

Market By Organization Size

Small and Medium Enterprise

Large Enterprise

Retail Cloud Market By Deployment Model

Public Cloud

Private Cloud

Hybrid Cloud

Market By Region

North America

Europe

Asia-Pacific (APAC)

Middle East and Africa (MEA)

Latin America

Available Customizations

With the given market data, MarketsandMarkets offers customizations as per the company�s specific needs. The following customization options are available for the report:

Vendor Comparison Analysis

Vendor comparison analysis provides information about major players that offer retail cloud solutions and outlines the findings and analysis on how well each market vendor performs within our criteria.

Geographic Analysis

Further breakdown of the European retail cloud market

Further breakdown of the APAC market

Further breakdown of the MEA market

Further breakdown of the Latin American market

Company Information

Detailed analysis and profiling of additional market players

The retail cloud market is expected to grow from USD 11.06 billion in 2016 to USD 28.53 billion by 2021, at a Compound Annual Growth Rate (CAGR) of 20.9% during the forecast period. The major drivers of this market include the rapid adoption of smartphones, need for compliance & collaboration, and shift to omni-channel experience.

Cloud computing is on-demand, internet-based computing. In the retail cloud market environment, retail organizations and retailers can move their business applications and infrastructure resources to the different service architectures of cloud such as Software as a Service (SaaS), Platform as a Service (PaaS), and Infrastructure as a Service (IaaS) to gain advantage in terms of speed and agility. Features of cloud computing are enticing and increasingly pertinent to the retail industry for activities such as Supply Chain Management (SCM), customer management, merchandising, and workforce management. The strengths and abilities of cloud are swiftly altering the retail landscape by offering a number of advantages such as cost savings, usage-based billing, and business continuity & agility.

The market is segmented on the basis of types, service models, deployment models, organization sizes, and regions. Some of the major players in the market include Oracle, IBM, SAP, Cisco, and Microsoft who have adopted different growth strategies, such as mergers & acquisitions, new product launches, and business expansions to increase their market shares. These players can be categorized into big players who cater to all segments and niche players that focus on specific segments only.

Solution type holds the largest market size and is expected to continue its dominance during the forecast period. These solutions are gaining huge adoption due to scalability, flexibility, and cost-efficiency delivered through cloud.

North America is expected to have the largest market share in 2016, whereas the APAC region is expected to grow at the highest CAGR from 2016 to 2021 in the market. Organizations are shifting towards cloud-based solutions and services with the increasing adoption of digital business strategies. Moreover, enterprises are shifting towards personalizing the in-store experiences of consumers to provide them with better shopping experiences which is driving the growth of the retail cloud market in North America. This has led the retailers to opt for cloud based solutions.

Rapid adoption of smartphones in Retail drives the global retail cloud market

Rapid adoption of smartphones, need for compliance & collaboration, and shift to omni-channel experience are the drivers of the market. Growing concerns regarding security & privacy and reluctant nature of retailers to adopt cloud are some of the major restraints and challenges in the market. The key vendors in the market are Oracle Corporation, Cisco Systems, Inc., SAP SE, IBM Corporation, and Microsoft Corporation. These players have adopted various strategies, such as new product developments, acquisitions, and partnerships, to serve the market. Continuous technology innovation is an area of focus for these players in order to maintain its competitive position in the market and promote customer satisfaction.

Global Market by Solution Type:

Supply Chain Management

Supply chain management is the process of coordinating & integrating the supply of materials, information, and finances from manufacturer to end-consumer, along with intermediaries, such as supplier, wholesaler & retailers, as and when required. As customers are expecting better services day-by-day, the demand for enhanced cloud supply chain solutions is also increasing. It can benefit retailers in many ways, such as improving cost efficiency, increasing data accuracy, reducing operational issues, increasing customer satisfaction, and providing diverse range of product mix. Moreover, it is essential for the smooth delivery of retail operations and customer satisfaction. Moreover, the need for the right product, at the right time, and at the right place is very essential for retailers to survive in the market, which can be easily managed by implementing better cloud supply chain solutions.

Customer Management

Customer management is a practice that enterprises implement through technologies and strategies to understand the customer behavior & expectations. This further enables retailers to analyze the data collected and deliver enhanced customer experiences, to improve business productivity & generate revenues. Enterprises provide cloud customer management solutions, such as customer relationship management, customer experience management, and next-gen customer experience. These solutions benefit retailers with the enhanced ability to target the right customer, customize products & services, as well as, provide improved customer service. The cloud plays an important role in managing customer relationship for retailers. It enables them to deliver personalized shopping experiences to customers using the data collected from these solutions, due to cloud offerings of handling large data sets and delivering it as and when required.

Merchandising

Merchandising can be simply defined as any activity that leads to the sale of the product or solution to retail consumers. The cloud enables enterprises to implement merchandise solutions, due to benefits such as analytics & insights into huge data sets, synchronization of online & offline data, improving operational agility, and improving security. These benefits enable retailers to implement cloud-based merchandising solutions and leverage it for enhanced category management, promotion planning, assortment & space planning, and merchandise analytics.

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