Indian Research Industry Hits $3.2 Billion, Driving Insights Growth

The Indian Research and Insights Industry has reached a significant milestone, achieving a market size of USD 3.2 billion in FY2024. This represents a robust 12.6% growth from USD 2.9 billion in FY2023, as revealed by the Market Research Society of India (MRSI) in its latest report, “The Indian Research and Insights Industry 2024 Update”. The industry is poised for further growth, with projections indicating a rise to USD 3.4 billion in FY2025.

The report highlights the critical role of analytics in driving this growth, accounting for 58% of the market and expanding at an impressive 17%. This segment benefits from advancements in big data, AI, and machine learning, especially in sectors such as:

• Retail
• Finance
• Media

In contrast, Custom Market Research, which focuses on addressing specific business challenges, has grown by 9% and now constitutes 29% of the industry. This trend underscores the rising demand for sector-specific insights to navigate challenges like rural FMCG slowdowns and short-term market volatility.

Sectors like e-commerce, automotive, and BFSI are driving the need for personalised insights, while the manufacturing industry offers untapped opportunities for research firms to expand.

India’s Research and Insights Industry derives 80% of its revenue from international clients. This is driven by a growing emphasis on ESG, sustainability, and the circular economy. Indian firms are leading the way in innovation and scalability, leveraging the country’s lower costs and skilled workforce to attract global businesses.

Analytics remains a significant contributor to international demand, showcasing India’s strength in delivering high-quality, actionable insights.

Nitin Kamat, president of the MRSI, stated, “The industry’s growth reflects the integration of big data and AI with traditional analytics, particularly in fast-digitalising sectors like retail, e-commerce, finance, and media. Organisations are increasingly investing in internal capabilities, with a shift towards flexible and localised research relying on client data, social media, and behavioural panels.”

Adding to this, Mitali Chowhan, director general at the MRSI, said, “India’s research and insights industry is a testament to its resilience and adaptability. Businesses today depend on data-driven decision-making, and India is uniquely positioned to deliver precise, actionable insights.”

The sector employed approximately 145,000 full-time professionals in FY2024, with growing demand for AI, machine learning, and data science skills. The analytics segment has become a key employer for early-career talent, reflecting its pivotal role in the industry.

Looking ahead, FY2025 is expected to be transformative, with projected growth of 11% to 14%. Key factors driving this include:

• Advancements in AI and analytics capabilities
• Deeper penetration into emerging markets
• Sustained demand for hyper-personalised insights

The future of India’s research and insights industry appears promising, as it continues to evolve and solidify its position as a global leader.