Demand for energy efficiency boosts Southeast Asian integrated facilities management market
Frost & Sullivan’s recent analysis on Southeast Asian integrated facilities management (IFM) finds that the IFM market is on an upswing in the region due to the demand for energy efficiency, regulatory support, narrowing expectation gaps between service providers and end-users, and the emergence of service providers that offer specialized FM services.
As a result, this market is estimated to garner $2.41 billion in revenue by 2025 from $1.82 billion in 2020, registering a 5.8 per cent compound annual growth rate (CAGR).
Additionally, the increasing deployment of technologies due to COVID-19 and environment-conscious consumers’ emphasis on adopting energy-efficient methods will further expedite market progress.
Though IFM adoption levels are anticipated to vary across the Southeast Asian countries, Singapore and Malaysia are expected to observe the highest adoption rates.
“Changes in the mindset across all stakeholders, including service providers, clients, and occupiers, are significantly impacting facilities management (FM), whether in terms of a value proposition or service requirements,” said Janice Wung, Program Manager, Industrial Practice, Frost & Sullivan. “Innovation through the incorporation of technology-supported propositions or enabling technologies is key to the future of FM.”
The increasing demand for energy efficiency and sustainability is driving the IFM market, thereby presenting lucrative prospects for market participants, such as workplace management to optimize occupier experience; data analytics to improve maintenance and costs; energy management to optimize cost and comply with building standards; market collaboration and consolidation to leverage knowledge and experience.