MARKET OVERVIEW- GLOBAL STRATEGY CONSULTING MARKET
The strategy consulting, often referred to as strategy consultancy, strategic advisory or boardroom consulting, is regarded by the majority of consultants as the most high-end and prestigious segment within the professional services industry. This type of consulting is carried out in order to advice organizations on high-level decision in a manner that is impartial and uses in depth knowledge of the specific industry in order to be able to deliver the best results. The professional services sector’s most well-known consulting service, according to many consultants, is strategic counselling. The development of organizational functional or corporate strategies is emphasized in this type of counseling.
MARKET DRIVERS
Rapidly changing customer purchasing patterns have intensified competition in the industry. Thus, companies need professional consultants and consulting teams that provide unique solutions. Such solutions include a deep understanding of customer buying patterns and support efficient, scalable, and sustainable operations. The need for strategic planning to increase productivity and avoid high potential losses, as well as the need for developing business capabilities for meeting and exceeding the evolving requirements, are surging the growth of the market. The increasing globalization in consulting projects and the growing focus on risk sharing through strategic partnerships and merger and acquisition recommendations are driving the growth of the strategic consulting market. Moreover, the growing government initiative is expected to drive the market. The rapidly changing environment, with demands from both inhabitants and businesses, in change the local government entity set out to update its vision and strategic direction and transform its operating model. These factors are expected to drive the market growth.
MARKET OPPORTUNITY
The rapid digitalization is expected to provide an ample opportunity for the market. Rapid advances in technology and ground-breaking inventions are fueling the market growth. For instance, in March 2022, the Canada Digital Adoption program, introduced by the prime minister Justin Trudeau, will assist Canadian Small and Medium-sized businesses in expanding their online presence and updating or implementing digital technologies. Thus, the growing digitalization is expected to provide an ample opportunity for the market.
MARKET RESTRAINT
The market has a major restraint as the cost of the service as well as the lack of awareness are restraining the overall strategy consulting market growth. Further, factors such as data security and privacy may hinder the market growth.
MARKET GROWTH CHALLENGES
The COVID-19 pandemic has hampered the growth of the market to a major extent, which has created a major challenge for market growth. The presence of huge alternatives related to strategy consulting services as well as security concerns and data privacy issues associated with online consulting hinder the growth of the strategy consulting market.
CUMULATIVE GROWTH ANALYSIS
The report provides an in-depth analysis of the global strategy consulting market, market size, and compound annual growth rate (CAGR) for the forecast period of 2023-2029, considering 2022 as the base year. The growing need competitive advantage is expected to drive the market growth at a specific CAGR from 2023-2029.
GLOBAL STRATEGIC CONSULTING MARKET SEGMENTAL OVERVIEW
The strategy consulting market comprises of different market segment like services type, end-users and geography.
GLOBAL STRATEGIC CONSULTING MARKET BY SERVICE TYPE
By service type, the strategy consulting includes key segment of
- Corporate Strategy
- Business Strategy
- Merger and Acquisition
- Economy Policy
- Economy Policy
- Digital Strategy
- Business Model Transformation
The corporate strategy is expected to dominate the market over the forecast period. Corporate strategy consultants, also known as strategic management, involves developing enterprise-wide and business-unit strategies and objectives. Corporate strategy consultants will analyze business strategic alignment to formulate an actionable and clearly defined plan. Strategic consultants are regularly engaged to support the design of the vision and mission statement, the development of the strategic plan, and the development of an implementation roadmap. A well-defined corporate strategy analysis encompasses the identification, ideation and implementation of business strategies.
The digital strategy is expected to register the fastest CAGR during the forecast period. Digital strategy mainly focusses on the use of technology geared towards changing business models and creating possibilities for digital platforms. Digital strategies make use of existing technologies to improve business performance through the creation of new products, or improve current processes to position the business for a better competitive advantage. Adding to that, the technological development, the growing demand for digital strategy consulting is helping deliver a broad range of digital strategic capabilities, such as driving demand to define a new business model or renovating existing business models with new digital capabilities. The emerging digital transformation program is also expected to drive segment growth.
GLOBAL STRATEGIC CONSULTING MARKET BY END-USER
By end-user, the strategy consulting includes key segment of
- IT & Telecommunication
- Healthcare and pharma
- BFSI
- Retail
- Government
- Manufacturing
IT and telecommunications are expected to dominate the market over the forecast period. The major factors supporting the segment growth are customer competition and the convergence of mobile and fixed services. Strategic consulting can provide businesses with an external, expert perspective on business challenges. Business strategy considers each angle for making big business decisions. This has encouraged the adoption of strategic consulting in the IT and telecommunication industry and facilitated the segment’s growth in the coming years.
GLOBAL STRATEGIC CONSULTING MARKET BY GEOGRAPHY
By geography, the strategy consulting includes key segment of
- North America
- Asia Pacific
- Europe
- RoW
North America is expected to dominate the market over the forecast period. The growing phase with the adoption of new technologies and tools is required to develop a strategic plan. The need for strategic planning to increase productivity and avoid high potential losses, as well as the need for developing business capabilities for meeting and exceeding the evolving requirements, are to surging the growth of the market.
The Asia Pacific region is expected to register the second fastest CAGR during the forecast period. The increasing emphasis on technology consulting in the region is resulting in increasing automation in the manufacturing industry, which is expected to drive the market growth in the region. Further, governments of many countries support end-users to innovate new technologies in strategic consulting firms and governments seeking a consulting firm for startup projects. For instance, in March 2020, India’s department for promotion of industry and Internal Trade is looking to boost its support of the vibrant startup environment, and is seeking a consulting firm to help with the process. This factors are expected to drive the market growth in Asia Pacific region.
COVID-19 IMPACT ANALYSIS ON GLOBAL STRATEGY CONSULTING MARKET
The COVID-19 pandemic has had a negative impact on the global economy. From the travel industry to small enterprises all businesses lost significant revenue due to government-imposed lockdown restrictions. According to the consultancy org. report, COVID-19 reduced the size of the consulting industry by 19%, from $160 billion in 2019 to $130 billion in 2020. Also, consulting is a people-based business and heavy travel industry, owning to which the industry is experiencing a tumble, as the coronavirus safety model doesn’t blend well with the consulting industry requirements. The consultants spend over 80% of their working lives by living away from home a dealing with overseas clients, and the impose of the travel ban is limiting the travelling of consultants at the COVID-19 situation. However, the industry will project a considerable growth rate in the upcoming few months, post the end of the pandemic situation. After the end of this outbreak, the enterprises will definitely consult management consultants for the proper execution of tasks and management of data and workforce. This is expected to provide lucrative growth opportunities for key players in the market during the estimated time period.
COMPETITIVE LANDSCAPE ANALYSIS
The competitive landscape analysis of the strategy consulting market is primarily focused on expanding the global growth of the strategy consulting market with new product innovation, business expansion, and an increasing presence of a range of manufacturers operating in the market has led to the growing demand for the market. Adding to that, the market offers a range of products to fulfil the required demand of consumers, which further contributes to healthy growth in the market.
The key players studied in market are
- Accenture
- Bain & Company
- McKinsey & Company
- Booz Allen Hamilton Inc.
- Ernst and Yound Ltd
- CGI Group Inc.
- BCG
- The Boston Consulting Group
- KPMG
- PWc
- A.T. kearney inc.
RECENT DEVLOPMENT
March 2022: - Accenture launched a new metaverse advisory business line that supports clients encompassing from strategy to metaverse world-building.
MAY 2022: - McKinsey and Company announced a new platform to help clients transforms their sustainability functions across industries. McKinsey sustainability aims to help customers achieve net zero emissions by 2050 and halve carbon emissions by 2030.
March 2022: - Accenture launched a new metaverse advisory business line that supports clients encompassing from strategy to metaverse world-building.
MAY 2022: - McKinsey and Company announced a new platform to help clients transforms their sustainability functions across industries. McKinsey sustainability aims to help customers achieve net zero emissions by 2050 and halve carbon emissions by 2030.
June 2021: - Exton consulting, a French Consulting company that supports financial services clients across Europe with strategy and business management, has entered into an agreement to be acquired by Accenture
