Consulting (Global Market)

IT consulting

White Paper: IT Consulting

Chronicle

2023: Global consulting market rises 6.4% to $362.5 billion thanks to digital business transformation

In 2023, costs in the global consulting services market reached $362.5 billion. This is 6.4% more than in the previous year, when expenses in this area were estimated at $340.7 billion. One of the main drivers of the industry is the digital transformation of the business, as discussed in the Gartner review, which TAdviser got acquainted with in early November 2024.

The growth of the consulting market is due to several factors. Increasing the complexity of business operations, the development of technological landscapes and the growing attention to strategic decision-making stimulate demand in the relevant area. Companies are looking for external expertise to optimize operations, implement digital products and improve efficiency. Globalization, changes in regulation and the need for innovative solutions also contribute to the expansion of the industry. In addition, awareness of the benefits of consulting services among small and medium-sized enterprises is increasing.

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Freepik

Another important factor providing sustained positive dynamics is technological progress involving the use of advanced tools such as artificial intelligence, machine learning and data analytics. These technologies help customers solve complex business problems. This type of consulting enables organizations to make data-driven decisions, automate manual processes, and improve overall performance. Consulting firms are also using advanced tools to improve their own services. For example, they can use virtual and augmented reality technologies to help customers visualize complex concepts, or use cloud platforms to collaborate with customers in real time.

Consulting firms are leveraging AI technology to empower businesses with advanced analytical tools to extract valuable information from huge datasets. This approach improves strategic planning and promotes competitive advantage in the market. As organizations become more aware of the key role of data, consulting services become an integral part of operations. In addition, there is an increasing need for specialized consulting in areas such as cybersecurity and governance. Gartner estimates that 35% of consulting IT projects will include security features by 2027 (up from 20% in 2022), which will increase organizations' reliance on external service providers to develop information protection and risk mitigation strategies.

Leading consulting companies are investing heavily in R&D to expand their service areas. Among the significant market players named:

• Deloitte;
• Ernst & Young (EY);
• KPMG;
• PricewaterhouseCoopers (PwC);
• Fujitsu;
• HCL Technologies Limited;
• Hexaware Technologies Limited (HTL);
• Infosys Limited;
• Accenture;
• Avanade;
• Cognizant Technology Solutions.

North America leads the consulting services sector, which is explained by the active digital transformation of local organizations. In second place is Europe, where the importance of data in decision-making processes in various industries increases. The Asia-Pacific region is experiencing the fastest growth rate. Gartner notes that the emergence of practical industry options for using generative AI will increase the demand for consulting services designed to help buyers improve the flexibility and performance of operations on a large scale.^[1]

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