/sench-market — Market Definition & Opportunity Mapping

regulatory_reporting_opportunity_map.md

# Regulatory Report Automation - Opportunity Map

*2025-02-02*

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## Executive Summary

The regulatory report automation market encompasses software and services that help organizations automate the creation, validation, submission, and management of mandatory regulatory reports across financial services, healthcare, energy, and other regulated industries. Global market estimated at $8-12B with 15-20% CAGR.

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## Market Definition

| Attribute | Detail |

|-----------|--------|

| Definition | Technology solutions automating mandatory regulatory report creation, validation, submission |

| TAM | $12B globally (regulatory compliance software) |

| SAM | $4.5B (regulatory reporting automation) |

| SOM | €800M (Europe, financial services focus) |

| Growth Rate | 15-18% CAGR |

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## Value Chain

┌──────────┐    ┌──────────┐    ┌──────────┐    ┌──────────┐    ┌──────────┐
│  Data    │───▶│ Transform│───▶│ Validate │───▶│ Generate │───▶│  Submit  │
│ Sources  │    │ & Map    │    │ & Enrich │    │ Report   │    │ & Track  │
└──────────┘    └──────────┘    └──────────┘    └──────────┘    └──────────┘
    10%             20%             25%             30%             15%

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## Opportunity Map

┌─────────────────────────────────────────────────────────────────────────────────┐
│                           OPPORTUNITY MAP                                        │
├─────────────────┬─────────────────┬─────────────────┬─────────────────┬─────────┤
│  Financial Svcs │   Healthcare    │     Energy      │      ESG        │  Cross  │
├─────────────────┼─────────────────┼─────────────────┼─────────────────┼─────────┤
│ EMIR/SFTR auto  │ Clinical trial  │ REMIT reporting │ CSRD automation │ Multi-  │
│ COREP/FINREP    │ Adverse events  │ Energy balance  │ Taxonomy mapping│ jurisd. │
│ MiFID II trans  │ Device vigilance│ Grid compliance │ Double material.│ Reg     │
│ Basel IV capital│ Pharma pricing  │ Carbon reporting│ Supply chain    │ change  │
│ AML/KYC reports │ FDA submissions │ ACER submissions│ GHG Protocol    │ mgmt    │
│ Solvency II     │ MDR/IVDR        │ EU ETS          │ TCFD/TNFD      │ AI      │
│ DORA compliance │                 │                 │ Scope 3 calc    │ assist  │
└─────────────────┴─────────────────┴─────────────────┴─────────────────┴─────────┘

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## Key Opportunities

### Financial Services

| Opportunity | White Space |

|-------------|-------------|

| DORA compliance | Very High |

| AML narrative reports (AI) | Very High |

| MiFID II for SMEs | High |

### ESG & Sustainability

| Opportunity | White Space |

|-------------|-------------|

| CSRD automation | High |

| EU Taxonomy alignment | Very High |

| Scope 3 calculation | High |

| Double materiality | Very High |

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## Adjacent Markets

                    ┌─────────────────┐
                    │   UPSTREAM      │
                    │ • Core banking  │
                    │ • ERP platforms │
                    └────────┬────────┘
                             │
┌─────────────┐    ┌────────▼────────┐    ┌─────────────┐
│ SUBSTITUTES │◀───│  REGULATORY     │───▶│ COMPLEMENTS │
│ • Consulting│    │  REPORT AUTO    │    │ • GRC       │
│ • Outsource │    │                 │    │ • Audit sw  │
└─────────────┘    └────────┬────────┘    └─────────────┘
                             │
                    ┌────────▼────────┐
                    │  DOWNSTREAM     │
                    │ • Regulator API │
                    │ • Audit firms   │
                    └─────────────────┘

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## Competitive Landscape

| Category | Players | Funding |

|----------|---------|---------|

| Incumbents | Wolters Kluwer, Moody's, SAS | Public |

| Challengers | Regnology, Workiva, Vermeg | €100M+ |

| ESG Pure-plays | Persefoni, Watershed, Clarity AI | $100-200M |

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## Trends & Drivers

| Trend | Impact |

|-------|--------|

| Regulatory proliferation (DORA, CSRD) | Strong tailwind |

| ESG mandatory reporting | Very strong tailwind |

| AI/ML adoption | Strong tailwind |

| Digital transformation | Tailwind |

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## Unmet Needs

| Need | Opportunity Size |

|------|------------------|

| Affordable SME solution | €500M+ |

| AI-powered report drafting | €1B+ |

| Cross-jurisdictional reporting | €800M |

| Scope 3 supplier data collection | €500M+ |

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## Sources

- Gartner: RegTech market analysis

- MarketsandMarkets: Market forecast

- European Commission: CSRD, DORA

- Company websites: Workiva, Regnology