BI platforms are expected to comprise the largest chunk of the market at $74.1 million in 2013, growing over 13 per cent from $65.3 million in 2012. This segment is forecast to touch $107.4 million by 2016.

Analytic Applications and Performance Management segment is expected to see the fastest growth at close to 19 per cent to touch $16.8 million in 2013 from $14.2 million in 2012.

The segment's revenues are forecast to grow to $27.8 million by 2016.

CPM Suites revenues are expected to grow from $18.6 million in 2012 to $22 million in 2013 and further to $36.1 million by 2016.

"We see signs of the emerging importance of BI in India as senior executives are increasingly exploring the different styles of analytics to resolve their business imperatives," Gartner Managing Vice President Ian Bertram said.

There is an increased emphasis on the metrics management and growing use of performance management and software and service providers are increasing marketing spend on BI, thus leading to higher visibility, he added.

"In many industries, especially the regulated ones, such as telecom and financial services, clients are setting up dedicated competency centers focused on the use of information," Bertram said.

However, a general lack of talent across all fields of information management in organizations will continue to be the critical barrier to successful adoption of business analytics initiatives.

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