ABSTRACT Speech Analytics Product and Market Report
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1 ABSTRACT Speech Analytics Product and Market Report 1
2 The Speech Analytics Product and Market Report, DMG Consulting s twelfth annual edition, provides the most comprehensive and thorough review and analysis of the competitors, products, features, pricing, payback, and trends and challenges in the speech analytics market. DMG s coverage of this sector is unparalleled, and the Report is designed to enable end-user organizations to understand this complex market and make the right choice of product and partner for their unique environment. The Report focuses on applications of speech analytics in contact centers, but it also explores the broader use of this technology in a growing number of enterprise-wide activities. Please contact Deborah Navarra at deborah.navarra@dmgconsult.com or with any questions. To order your copy of the report, visit 2
3 The speech analytics market has reached maturity. These solutions are being used by contact centers to convert unstructured phone conversations into structured data that yields a wealth of information about customer needs and expectations. Speech analytics also uncovers enterprise-wide trends and challenges, providing tactical and strategic information that can be used to enhance all aspects of an organization, beyond the contact center. Currently, there are two categories of speech analytics vendors in the market: a large group of competitors who sell basic applications that focus on identifying key words and phrases, and a smaller set of feature-rich solution providers who offer extensive business intelligence platforms that provide enterprise-level data. The future of speech analytics is positive. Adoption remains strong, and there is still a significant unpenetrated market for the stand-alone solutions. An even greater opportunity exists for vendors to deliver solutions that are cloud-based and address both speech and text interactions. These solutions make major contributions to enterprises when combined within other applications for sales, marketing, collections and the customer journey. Analytics-enabled quality assurance (AQA) is another area where speech analytics can make valuable contributions. Using automation to evaluate and track agents activities in voice interactions is an effective way to improve contact center QA programs. Having visibility into these transactions enables a company to monitor agents, understand why customers are contacting the company, and improve service quality and agent satisfaction. Traditional QA is people-intensive, subjective and expensive. Speech analytics has the ability to evaluate all voice contacts and provide statistically relevant results that can be used to identify and address customer and agent issues. The next step for speech analytics is to enter the world of data science. DMG expects leading vendors to design new algorithms targeted at a variety of enterprise issues. In the future, artificial intelligence (AI) will be used to enhance the ability of speech analytics to identify issues and recommend ways to address them. Machine learning is starting to be used to enable these solutions to quantify the impact of new trends and issues with minimal human intervention. The opportunities and benefits are substantial for vendors and end users. Companies that take speech analytics seriously, and invest in the resources and best practices to build an effective program are realizing significant benefits. The speech and text analytics offerings in the market are not all equal. Prospects must carefully evaluate the speech and text analytics solutions to be sure that they have all of the features and capabilities that are necessary for their specific environment. The Speech Analytics Product and Market Report is intended to help contact center, IT and enterprise leaders and managers select the right partner to meet their organization s current and future speech analytics needs. The edition covers 5 leading and contending vendors indepth: Calabrio, CallMiner, NICE, SESTEK, and Verint; ZOOM International is also covered at a higher level. 3
4 Key Elements Of This Report Explanation of how speech analytics works, and a review of the functional building blocks that comprise speech analytics solutions Overview of the core functional and technical capabilities of the 5 featured speech analytics solutions Service delivery models and deployment options for speech analytics solutions Analysis of the business trends and challenges that are driving vendor investments and innovation Insights into new product features and a preview of enhancements that the vendors plan to deliver in the next months Discussion of how findings from interaction (speech and text) analytics are essential contributors to customer journey analytics solutions Explanation of how interaction analytics-enabled quality assurance (AQA) is automating quality management processes and providing broader visibility into the omni-channel customer experience A look at how real-time speech analytics is being leveraged to provide actionable insights to improve the customer experience, enhance agent performance and quality, reduce risk, and deliver quantifiable benefits to companies bottom line Speech analytics market activity and market share analysis, adoption rate, and 5-year projections Review and assessment of the speech analytics competitive landscape Overview of the 6 leading and contending speech analytics vendors, including company snapshots, product overviews, packaged solutions and other analytics offerings Detailed comparative analyses of the key functional capabilities of the 5 featured speech analytics solutions Speech analytics uses, benefits, and return on investment (ROI) analysis Implementation analysis, including vendor methodology, best practices, maintenance and support, workshops, training and professional services Comprehensive vendor satisfaction survey results that measure and rank vendor approval ratings across 15 product components and 10 vendor categories Detailed pricing comparison and analysis for on-premise, cloud and managed service speech analytics solutions Detailed product reports for all 6 speech analytics solution providers covered in the Report, analyzing their products, functionality and future product development plans Speech Analytics Vendor Directory 4
5 Report Highlights The speech analytics market is mature: After 14 years in the commercial market, speech analytics has reached maturity, but the solutions have not become commoditized. Some solutions are business intelligence platforms that are feature-rich, while many others deliver basic functionality that concentrates on identifying key words and phrases and finding rudimentary patterns. There is still substantial opportunity for growth in the speech analytics market and an untapped market for text analytics: Although adoption of speech analytics solutions continues to be strong, the addressable market is still large. It s time for a technology refresh cycle, and to open up the opportunity for solutions that address speech and text analytics. The contributions of speech analytics will increase as these capabilities are incorporated into other applications: Speech analytics applications are highly valuable on a stand-alone basis, and their benefits increase as findings are incorporated into third-party applications and processes. This is particularly true for customer journey and interaction analytics solutions, where speech analytics can contribute great insights and provide context about customer needs and wants. The next step for speech analytics is to enter the world of data science: Some speech analytics solutions have already begun to incorporate machine learning techniques to enhance their ability to identify and analyze findings with minimal human intervention. A new round of investments in artificial intelligence will also make significant contributions and improvements to speech and text analytics solutions. 5
6 SAMPLE FIGURE What is Speech Analytics Source: DMG Consulting LLC, September
7 TABLE OF CONTENTS 1 of 2 1. Executive Summary 2. Introduction 3. DMG Consulting Research Methodology 3.1 Report Participation Criteria 4. Speech Analytics Defined 4.1 How it Works 4.2 Post-Call vs. Real-Time 4.3 Application Building Blocks 5. Speech Analytics High-Level Functional Summary 6. Speech Analytics High-Level Technical Summary 6.1 Speech Engines 6.2 Storage 6.3 System Administration 6.4 System Security 7. Service Delivery Models 7.1 DMG Service Delivery Definitions 7.2 Vendor Service Delivery Options 8. Interaction Analytics Market Trends and Challenges 8.1 Interaction Analytics Trends 8.2 Interaction Analytics Challenges 9. Speech Analytics Market Innovation 9.1 New Product Features 9.2 Emerging Capabilities 10. Interaction Analytics is Essential for Charting the Customer Journey 10.1 What is Customer Journey Analytics? 10.2 Best Practices for Applying Findings from CJA Solutions 11. Analytics-Enabled Quality Management Automates the QM Process and Provides Omni-Channel Visibility 11.1 Best Practices for Building an AQM Program 12. Real-Time Speech Analytics Drives Real-Time Benefits 13. Market Activity Analysis 13.1 Validating Market Activity Numbers 13.2 Market Growth Rate 13.3 Speech Analytics Market Activity 14. Adoption Rate of Speech Analytics 15. Speech Analytics Market Projections 16. Speech Analytics Competitive Landscape 16.1 Speech Analytics Vendor Categories 16.2 Market Competitors 17. Speech Analytics Vendors and Solutions 17.1 Company Snapshots 17.2 Speech Analytics Go-To-Market Strategies 17.3 Vendor Offerings and Products 17.4 Packaged Offerings 7
8 TABLE OF CONTENTS 2 of Speech Analytics Detailed Functional Analysis 18.1 Accuracy/Tuning 18.2 Speech Recognition Capabilities 18.3 Indexing, Searches and Queries 18.4 Recording, Retrieval and Replay 18.5 Emotion Detection/Sentiment Analysis 18.6 Compliance 18.7 Reporting, Dashboards and Alerts 19. Speech Analytics Uses, Benefits and Return on Investment 20. Implementation Analysis 20.1 Implementation Process 20.2 Implementation Best Practices 20.3 Training and Professional Services 20.4 Maintenance and Support 21. Speech Analytics Vendor Satisfaction Analysis 21.1 Summary of Survey Findings and Analysis 21.2 Product Satisfaction by Category 21.3 Customer Insights Business Units Using Speech Analytics Applying Speech Analytics Findings Strengths of Speech Analytics Solutions Speech Analytics Desired Enhancements/Additional Capabilities Most Important Benefit Delivered by Speech Analytics Additional Comments 22. Pricing 22.1 Premise-Based 22.2 Cloud-Based 22.3 Managed Service 23. Company Reports 23.1 Calabrio 23.2 CallMiner, Inc NICE 23.4 SESTEK 23.5 Verint Systems 23.6 ZOOM International Appendix: Speech Analytics Vendor Directory 8
9 TABLE OF FIGURES 1 of 2 Figure 1: What is Speech Analytics? Figure 2: Historical vs. Real-Time Speech Analytics Use Cases Figure 3: Speech Analytics Technology Building Blocks Figure 4: Speech Analytics High-Level Functional Summary Figure 5: High-Level Technical Summary Figure 6: Speech Engines Figure 7: Storage Figure 8: System Administration Figure 9: System Security Figure 10: Service Delivery Models, Advantages and Disadvantages Figure 11: DMG s Service Delivery Definitions Figure 12: Speech Analytics Vendor Service Delivery Options Figure 13: 2017 Interaction Analytics Trends Figure 14: 2017 Interaction Analytics Challenges Figure 15: New Product Features, by Vendor Figure 16: New Product Features, by Category Figure 17: Future Application Enhancements Figure 18: CJA Defined Figure 19: Incorporating Findings from Other Analytics Solutions with Speech Analytics Figure 20: Analytics-Enabled QA Figure 21: Analytics-Enabled Quality Assurance (AQA) Figure 22: Top Uses of Real-Time Speech Analytics Figure 23: Real-Time Speech Analytics Capabilities Figure 24: Contact Center Speech Analytics Seats and Percent Growth (end of March 2017), in Thousands Figure 25: Speech Analytics Seat Trend Detail by Geography, Figure 26: Speech Analytics Activity, as of March 31, 2017 Figure 27: Speech Analytics Market Share Based on Seats, as of March 2017 Figure 28: Speech Analytics Customers and Seats by Vendor, 2015 vs Figure 29: Speech Analytics Customer Trends by Vendor, Figure 30: Speech Analytics Customer Trends by Vendor, Figure 31: Speech Analytics Seat Trends by Vendor, Figure 32: Speech Analytics Seat Trends by Vendor, Figure 33: Speech Analytics Contact Center Adoption Rate, Figure 34: Speech Analytics Market Growth Rate Projections Based on Seats, Figure 35: Speech Analytics Competitive Landscape Figure 36: Company Information as of June 30, 2017 Figure 37: Speech Analytics Go-To-Market-Strategy Figure 38: Product Overview Figure 39: Packaged Offerings Figure 40: Tuning and Accuracy Figure 41: Speech Recognition Capabilities Figure 42: Indexing, Search and Queries Figure 43: Recording, Retrieval and Replay Figure 44: Emotion Detection/Sentiment Analysis 9
10 TABLE OF FIGURES 2 of 2 Figure 45: Figure 46: Figure 47: Figure 48: Figure 49: Figure 50: Figure 51: Figure 52: Figure 53: Figure 54: Figure 55: Figure 56: Figure 57: Figure 58: Figure 59: Figure 60: Figure 61: Figure 62: Figure 63: Figure 64: Figure 65: Figure 66: Figure 67: Figure 68: Figure 69: Figure 70: Figure 71: Figure 72: Figure 73: Figure 74: Figure 75: Figure 76: Figure 77: Figure 78: Figure 79: Figure 80: Figure 81: Figure 82: Figure 83: Figure 84: Figure 85: Figure 86: Figure 87: Figure 88: Compliance Dashboards, Reporting and Analytics Speech Analytics Uses, Benefits and ROI Implementation Process Implementation Best Practices Training, Workshops and Professional Services Maintenance and On-Going Support Customer Survey Rating Categories Average Satisfaction Ratings, by Category Current Product Satisfaction Ratings, by Customer Implementation Satisfaction Ratings, by Customer Training/Workshops Satisfaction Ratings, by Customer Ongoing Service and Support Satisfaction Ratings, by Customer Professional Services Satisfaction Ratings, by Customer Innovation Satisfaction Ratings, by Customer Responsiveness to Product Enhancement Requests Satisfaction Ratings, by Customer Communication Satisfaction Ratings, by Customer Pricing Satisfaction Ratings, by Customer Overall Vendor Satisfaction Ratings, by Customer Product Satisfaction Ratings, by Category Ease of Creating Searches and Queries Satisfaction Ratings, by Customer Accuracy and Business Relevancy of Results Satisfaction Ratings, by Customer Call Categorization and Analysis Capabilities Satisfaction Ratings, by Customer Emotion Detection/Sentiment Analysis Satisfaction Ratings, by Customer Ability to Conduct Discovery to identify Unknown Issues and Breaking Trends Satisfaction Ratings, by Customer Ability to Perform Automated Root Cause Analysis Satisfaction Ratings, by Customer Ability to Improve Regulatory Compliance Satisfaction Ratings, by Customer Ability to Leverage Speech Analytics Findings to Augment Surveying and Other VoC Initiatives Satisfaction Ratings, by Customer Ability to Leverage Speech Analytics Findings to Reduce Customer Effort and Improve the Customer Journey Satisfaction Ratings, by Customer Ability to Leverage Speech Analytics Findings to Engage Agents and Improve Their Performance Satisfaction Ratings, by Customer Analytics-Enabled QA Capabilities Satisfaction Ratings, by Customer Real-Time Speech Analytics Capabilities Satisfaction Ratings, by Customer Dashboards, Reporting and Analytics Satisfaction Ratings,by Customer Ease of Use/Configuration/Maintenance Satisfaction Ratings, by Customer Ease of Integration with Third-Party Applications Satisfaction Ratings, by Customer What business units are using speech analytics information? What are the top 5 ways you are applying speech analytics findings? Please tell us the top 3-5 strengths of your speech analytics solution What enhancements/additional capabilities would you like to see in your speech analytics solution? What is the most important benefit that speech analytics has delivered for your company? Additional comments about your experience with the vendor and/or product Pricing for a Premise-Based Speech Analytics Solution Pricing for a Cloud-Based Speech Analytics Solution Pricing for a Managed Service Speech Analytics Solution 10
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