In our previous blog on key elements of AI, we saw how these elements are transforming Industries. And to follow that blog, we will be discussing NLP as our topic.
As well known in recent years, Natural Language Processing (NLP) has emerged as a groundbreaking technology, revolutionizing various industries and transforming the way businesses interact with data and customers.
For sure, NLP is a subfield of Artificial Intelligence (AI) that focuses on the interaction between humans and computers using natural language. But it is a key element as well, And by analyzing and understanding human language, NLP enables machines to derive meaning, extract valuable insights, and generate human-like responses.
According to the report shared by MarketsandMarkets, in 2022, the market for natural language processing (NLP) was expected to be worth $15.7 billion. At a compound annual growth rate (CAGR) of 25.7%, it is anticipated to increase to $49.4 billion by 2027.
So now you know how much potential growth this key element of AI have. Now, moving forward, we will be discussing which Industries NLP is impacting and the factors that contributed to this growth.
Not only that, I will be sharing market reports and predictions of each industry. It will help you decide why you need NLP-based AI Development Services for your Industry. You need innovative NLP solutions and that is a fact. Natural Language Processing and your specific industry both are booming and robust in the global market.
The NLP industry is developing across numerous industries and is anticipated to keep doing so. To take advantage of NLP's potential, major technology firms, start-ups, and research institutions made significant investments in its study and development. Let’s see how several Industries are utilizing this key element of AI.
The field of customer service is one of NLP's most important applications. Businesses use chatbots and virtual assistants that are NLP-powered to offer clients immediate service. These sophisticated chatbots are capable of comprehending client inquiries, offering pertinent data, and even handling straightforward problems.
According to recent industry research, companies that use NLP-based customer care solutions see a considerable increase in customer satisfaction and a decrease in response times, which strengthens brand loyalty and increases customer retention.
GlobeNewswire research shows, in 2021, the market for customer services software market share stood at $10.5 billion. At a compound annual growth rate (CAGR) of 21.1%, it is anticipated to increase to $58.1 billion by 2030.
The figure surely states the growth of the Customer Services Industry is robust.
Another sector experiencing a paradigm shift as a result of NLP breakthroughs is the healthcare sector. Analysis of medical records, disease diagnosis, and medication discovery all greatly benefit from NLP.
According to recent studies, systems that use natural language processing (NLP) may reliably extract crucial data from electronic health records, empowering healthcare providers to make better decisions and enhance patient outcomes. By evaluating a sizable volume of medical literature, NLP is also assisting in drug discovery by speeding up the identification of prospective cures and treatments.
As per the reports of Statista, in 2023 itself, the healthcare industry is anticipated to generate US$57.86 billion in revenue. Market volume is anticipated to reach US$85.95 billion by 2027, with revenue predicted to expand at a 10.40% annual rate (CAGR 2023–2027).
The finance industry has embraced NLP to automate numerous procedures and derive insightful knowledge from unstructured data. NLP-based sentiment analysis is becoming more and more popular among traders and investors as a way to assess market sentiment and forecast trends.
Customers now have easier access to financial services thanks to chatbots that use natural language processing (NLP) to help with account queries, transaction histories, and individualized financial advice. Recent market research shows that financial institutions using NLP have enhanced operational effectiveness and raised consumer engagement.
A report from Research And Market states, since 2016, the financial services industry has risen at a compound annual growth rate (CAGR) of 3.5%, reaching a value of about $23,328.73 billion in 2021. Market size is anticipated to increase by 7.4% from $23,328.73 billion in 2021 to $33,313.50 billion in 2026. From 2026 to 2031, the market is projected to increase at a CAGR of 6.3%, reaching $45,149.00 billion.
NLP has altered marketing and advertising tactics for the digital age. Companies can learn more about consumer preferences and attitudes by examining customer feedback, social media posts, and online reviews. They may better target their advertising and marketing campaigns to particular target audiences thanks to this knowledge.
According to recent market research, companies using NLP in their marketing initiatives have seen increased conversion rates and improved return on investment (ROI).
As per Research And Market, with a projected value of USD 355.07 billion in 2023 and growth estimated at a CAGR of 8.32%, the global advertising and marketing market is expected to increase dramatically, reaching a startling USD 624.15 billion by 2030.
NLP is changing how students learn from and engage with instructional content in the field of education. NLP-powered intelligent tutoring systems can evaluate students' progress and provide tailored suggestions for development.
Additionally, NLP-driven language learning apps have improved the effectiveness and interest of language learning for students of all ages. Recent research shows how NLP improves learning outcomes and increases student involvement in the classroom.
The reports of Research And Markets state the market for colleges, universities, and professional institutions grew at a compound annual growth rate (CAGR) of 3.1% from 2016 to 2021 when its value was close to $1,094.86 billion.
The market is anticipated to expand at a 6.7% annual pace from $1,094.86 billion in 2021 to $1,510.92 billion in 2026. From 2026 to 2031, the market is projected to increase at a CAGR of 5.4%, reaching $1,961.13 billion.
The revolutionary potential of NLP has not gone unnoticed in the legal sector. Legal experts are using NLP to process copious volumes of contracts and legal documents quickly. Lawyers can save time and concentrate on more important activities by automating document inspection and analysis.
NLP-based solutions are also helping to monitor compliance, identify potential hazards, and ensure that requirements are followed. NLP has lowered legal expenses and sped up case settlements, according to recent industry figures.
According to Research And Markets analysis, the size of the worldwide legal technology market is anticipated to reach USD 45.73 billion by 2030, growing at a CAGR of 9.1% between 2023 and 2030.
Several important reasons have influenced the use of key element of AI Natural Language Processing in industrial advancements. Each reason has had a substantial impact on the technology's acceptance across numerous industries. These reasons are:
A large amount of data is produced every day as a result of the internet's widespread use and the industries' quick industrial digitalization. Unstructured data makes up a substantial amount of this data and is hidden within texts, emails, social media posts, and other types of content.
By analyzing and extracting useful information from this unstructured data, businesses can make decisions based on data and increase productivity.
Chatbots and virtual assistants powered by natural language processing (NLP) have completely changed how businesses communicate with their customers in sectors including customer service, retail, and hospitality.
These intelligent systems can comprehend natural language inquiries and provide prompt, individualized assistance. Customer satisfaction and loyalty have increased as a result of the enhanced customer experience and shortened response times.
NLP analyzes and comprehends human language patterns to assist enterprises in deriving deeper insights from their data. Sentiment analysis utilizing natural language processing (NLP) is used in finance to assess market sentiments and forecast trends, supporting traders and investors in making wise decisions.
NLP supports illness diagnosis, medication discovery, and medical record analysis in the healthcare industry, resulting in improved patient care and cutting-edge treatment choices.
Industrial procedures frequently require a significant amount of paperwork and documentation. NLP automates the extraction of data from documents, improving processes and reducing error-proneness. For contract analysis and compliance monitoring, legal industries employ NLP, which decreases manual labor and boosts productivity.
By examining user reviews, social media posts, and consumer feedback, NLP is essential in creating individualized marketing efforts. Businesses can better target their marketing efforts to certain target populations and boost engagement and conversion rates by understanding customer sentiment and preferences.
Through the provision of more precise and contextually appropriate translations, This key element of AI has revolutionized the translation and localization industry. With the help of this development, firms may now efficiently access new markets around the world.
The success of voice assistants like Siri, Google Assistant, and Alexa illustrates how widely NLP has been incorporated into consumer products. To enable hands-free interactions and improve accessibility, these assistants use NLP to recognize and react to voice requests.
NLP gains from enhanced algorithms and models that expand its capabilities as AI and machine learning technology develop. This interplay has cleared the way for more complex NLP applications in a variety of fields.
Natural Language Processing has become a game-changer and proved why it is a key element of AI. It has completely altered a variety of businesses. NLP has cleared the way for unheard-of breakthroughs in a variety of industries. It includes customer service, healthcare, finance, marketing, and legal services. Recent market data shows the real advantages of using NLP-powered products, such as increased productivity, improved customer experiences, and data-driven decision-making.
Therefore, the potential of it is to make sense of enormous amounts of unstructured data, give improved customer experiences, and automate processes. It must provide crucial insights for data-driven decision-making is what motivates its acceptance in industrial advancement. NLP is anticipated to progressively permeate numerous industries. It must promote innovation and efficiency, as the technology develops and becomes more widely available.
We may anticipate that it will become more and more important as technology advances, presenting fresh opportunities and fostering innovation. Businesses and organizations that want to remain competitive and make use of the enormous amounts of valuable information concealed inside the world of natural language must embrace this key element of AI.
Infiniticube is a cutting-edge artificial intelligence (AI) development company at the forefront of providing advanced Natural Language Processing (NLP)-based services to businesses seeking rapid growth and increased customer experiences. We, with our professional and skilled team, and our cutting-edge technology can produce creative solutions tailored to each client's specific needs.
Our NLP-based services are designed to help organizations realize the full potential of linguistic data, allowing them to acquire important insights, streamline operations, and make better decisions. To get to know more or discuss your project, contact us right away!
Hey! I'm Balbir Singh, seasoned digital marketer at Infiniticube Services with 5 years of industry expertise in driving online growth and engagement. I specialize in creating strategic and ROI-driven campaigns across SEO, SEM, social media, PPC, and content marketing. Passionate about staying ahead of trends and algorithms, I'm dedicated to maximizing brand visibility and conversions.
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