Global Facility Management Market Overview
The key driver impacting the facility management market is the increase in the adoption of cloud-based solutions globally. For instance, The BSA Global Cloud Computing Scorecard report estimations, In 2018 globally there were over half of the enterprises had adopted cloud computing. During the time period 2012 and 2015, cloud computing demand had reached 70% and is likely to stand for 60% of growth during 2020. Moreover, a growing inclination to use advanced technologies to maintain sustainability at workplaces is estimated to be a significant factor contributing to market growth.
According to Value Market Research, the global facility management market size was valued at around USD 39,000 million in 2020 and is projected to grow at a CAGR of about 10.5% during the forecast period of 2021 to 2027.
The increasing adoption of IoT and AI in facility management solutions due to its benefits is estimated to augment facility management demand in the forecast period. The benefits include improving occupant experiences, reducing operational costs, and enhancing preventive maintenance planning using real-time and historical data with AI capabilities. Moreover, the massive adoption of IoT by enterprises is also positively impacting market growth. As per the Federation of American Scientists (FAS), worldwide IoT is expected to grow approximately 37% from 2017 to $1,567B by 2025. Also, active IoT devices number is estimated to grow from 9.9 billion in 2019 to 21.5 billion or more in 2025. However, the shortage of awareness about facility management solutions & their benefits may hamper the global facility management market in the long run. Also, the increase in demand for service outsourcing is negatively impacting the market. The current industry trends, such as the growing trend of outsourcing facility management operations, and Increasing focus on integrating BIM with facility management solutions, are expected to provide market players with new market opportunities.
The facility management market is vast, with many local and global players. The key leaders follow different strategies to advance their market position, such as contracts, amalgamation, extending product portfolio, acquisitions, and product upgrades to raise their market share across the globe. The major players in the report are IBM, SAP, Oracle, Trimble, MRI Software, Accruent, ServiceChannel, Planon, FMX, Service Works Global, FM: Systems, Causeway Technologies, iOFFICE, Spacewell, FSI, ARCHIBUS, JadeTrack, Archidata, Apleona, UpKeep Maintenance Management, FacilityONE Technologies, Facilio, OfficeSpace Software, eMaint, eFACiLiTY, and Axxerion USA.
In this research report, the facility management market is segmented by deployment model, industry vertical, and region.
Analysis Deployment Model:
By deployment model, the report is segmented into cloud-based and on-premise. The on-premise sector dominates the deployment model segment with a 70% share in 2020. It is due to the high adoption of facility management solutions by large organizations as such organizations can afford to manage dedicated servers, typically deploy on-premises solutions. Moreover, the on-premises deployment type provides offline data analytics and configuration, better control over systems and data thus, driving demand for the on-premise deployment model in the forecast period.
Analysis by Industry Vertical:
By industry vertical, the report is categorized into BFSI, IT & telecom, public sector, healthcare, manufacturing, retail, real estate, and others. The BFSI sector dominates the industry vertical segment with a 70% share in 2020. It is due to the Enterprises in the BFSI vertical have to deal with the maintenance and management of various real estate investments. Moreover, Facility management solutions, such as IWMS and CMMS, deliberately help facility management teams to manage multiple operations processes, such as work order tracking, asset management, space management, and maintenance management work order tracking, contributing to the residential segment's growth in the forecast period.
Analysis by Region:
In the regional outlook of the global facility management market, the North America region dominates with a 30% market share during the forecast period. It is due to the growing technological advancements in the field of Artificial intelligence, Machine Learning, cloud computing, and big data and the rise in spending in information, communications technologies. Moreover, the presence of many key players such as IBM, Oracle, and Accruent and the increase in adoption of IoT contribute to the high demand for the facility management market in North America.
Market Segmentation covered in the Report:
By Deployment Model
By Industry Vertical
- IT & Telecom
- Public Sector
- Real Estate
- North America
- Asia Pacific
- Latin America
- Middle East and Africa
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