The building energy management solutions market is valued at US$ 4.7 billion as of 2022. The market is expected to grow at a CAGR of 12.5% during the period 2022 to 2032 and is expected to reach a valuation of US$ 15.2 billion by 2032.
Some of the key drivers of the market are:
| Attributes | Details |
|---|---|
| Building Energy Management Solutions Market Value in 2022 | US$ 4.7 Billion |
| Building Energy Management Solutions Market Value in 2032 | US$ 15.2 Billion |
| Building Energy Management Solutions Market CAGR (2022 to 2032) | 12.5% |
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North America had a market share of 36.7% in 2021, and during the forecast period as well, the region is expected to remain the largest building energy management solutions market.
The region is going through a lot of infrastructural developments. During construction activities, energy conservation becomes a critical aspect. The implementation of building energy management solutions becomes extremely useful in such a case, as it assists in conserving energy and offers economical as well as environmental benefits.
IoT is gaining traction in the North American market, and the region is also a huge market for the IoT sector. By the amalgamation of IoT and building energy management solutions, it becomes easier to monitor, manage and control the usage of energy.
Apart from that, the application of these management solutions has been fruitful in improving the comfort level of buildings in the region. This has also allowed customers to take better control of HVAC.
Based on the market research, it is expected that Europe would continue being one of the most critical markets for building energy management solutions. Europe had a market share of 26.2% in 2021.
Europe is a region that focuses on clean growth. Reducing energy consumption through the application of energy management solutions is something that has helped the companies inch closer to the environmental targets set by various enterprises.
European organizations have been laying a lot of emphasis on various kinds of safety within an organization. The application of building energy management solutions helps in receiving and communicating different levels of alarm conditions, thereby allowing the user to take proactive actions before they cause any problem.
Principal Consultant
Currently, the key players are focusing on developing solutions that would help in achieving a net-zero Carbon footprint by 2030. This would certainly mean changing the way we consume and buy energy through the usage of on-site energy production. This process is called Total Energy Management.
The focus is also on leveraging data to uncover the best practices. This would give better control by looking at the greater picture and creating a customized energy program.
The key players in the building energy management solutions market are entering into strategic collaborations with key players from other sectors for decarbonizing power generation. In October 2022, General Electric Gas Power and NTPC signed an agreement to demonstrate Hydrogen co-firing in gas turbines to further decarbonize power generation.
One of the most significant moves by the key players is the fact that they have started conducting programs to fund start-ups. For example, in June 2022, Schneider Electric launched ‘Innovate to Inspire,’ which was a supply chain hackathon specifically designed for start-ups.
Building energy management system is an integrated automated solution to enable cost-effective energy efficiency in buildings. These solutions include monitoring and controlling the operating devices and equipment of the building, such as ventilation & air conditioning systems, heating, lighting, monitoring, detecting, and other connected power systems. Rising global initiatives for energy efficiency and technological advancement in energy-efficient building management solutions are the key factors influencing the growth of the global building management solutions market.
Building energy management solutions also includes energy demand management, which deals with energy optimization by integrating government regulations, financial incentives, and behavioral changes. It enables real-time monitoring and control of the entire system connected to the building. The energy performance of the building is achieved by continuously optimizing the building automation and control systems.
The wireless segment is predicted to expand at a greater rate throughout the projection period and at a notable CAGR of 18.3%. An increase in construction-related activities, such as those related to building and infrastructure construction, is driving this segment.
Rising energy efficiency standards and broader adaptation to the Internet of Things (IoT) technology coupled with analytical solutions have made it possible for building management solutions to gain popularity in the present market. Advancement of such technologies is anticipated to boost the target immensely in the future.
Changing organizational structures, rising energy costs, growing awareness of energy governance, and the developing trend toward smart building are further expected to accelerate the global demand for building energy management solutions. Stringent government regulation on energy efficiency and global initiatives to reduce greenhouse emissions is the key factor driving the global demand for building energy management solutions.
Increasing customer understanding of the business benefits of energy management solutions, rising carbon taxes, and favorable government policies to implement energy management solutions are expected to fuel the growth of global building energy management solutions.
The high implementation cost, unstable economic conditions,s and long-term return on investment are some of the factors restraining the growth of the global building energy management solutions market.
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As per the building energy management solutions market survey report in 2021, the market was led by North America, contributing to almost 36.7% of the total sales.
The manufacturing industry in the area has expanded as a result of several government initiatives resulting in higher demand for building energy management solutions. Building energy management systems are anticipated to become more prevalent in companies over the next several years due to the world’s rapid expansion in the manufacturing sector.
As per the new market research report on the adoption of building energy management solutions, Europe countries hold a share of about 26.2%, making the geographical region second in the top order.
Europe is expected to develop moderately due to supportive government initiatives, a growing focus on environmental concerns, and high levels of technological adoption. The Asia Pacific is the fastest-growing market due to its growing economy, technological advancement, expanding infrastructure, smart city initiatives, and industrialization.
How is the Start-up Ecosystem in the Building Energy Management Solutions Market?
The global market for building energy management systems is somewhat dispersed, with a significant portion of sales coming from a substantial percentage of small- and medium-sized producers. Collaborating with other players and service providers in the building energy management market is the key strategy followed by major market vendors to gain a competitive edge.
Contrarily, several new players have come into existence over the past few years, sensing the growing opportunity in this sector in tandem with green initiatives. The Asia Pacific has turned out to be the primary hub for start-ups, given the renewed interest of governments in several countries of the region. For instance, the government-sponsored initiatives Make in India and Made in China 2025 have contributed to the expansion of the manufacturing industry.
As an effective business strategy, new market players have successfully integrated advanced technologies with existing formats. For instance, Athena Security is a company established in 2017 that offers buildings an AI-driven security management system. The solution comes in the shape of an ML layer that uses computer vision and a graphics card to detect potentially harmful things and notifies the stakeholders through an app when a vulnerability is identified.
| Attributes | Details |
|---|---|
| Growth Rate | CAGR of 12.5% from 2022 to 2032. |
| The base year for Estimation | 2022 |
| Historical Data Available for | 2016 to 2021 |
| Forecast Period | 2022 to 2032 |
| Quantitative Units | Revenue in US$ Million and CAGR from 2022 to 2032 |
| Report Coverage | Revenue Forecast, Volume Forecast, Company Ranking, Competitive Landscape, Growth Factors, Trends, and Pricing Analysis. |
| Segments Covered |
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| Regions Covered |
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| Key Countries Profiled |
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| Key Companies Profiled |
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| Customization | Available upon Request |
The building energy management solutions market is anticipated to grow at 12.5% through 2032.
The building energy management solutions market is around US$ 4.7 Billion in 2022.
The building energy management solutions market is to reach US$ 15.2 Billion by 2032.
The North American region captures a share of 36.7% of the BEMS market.
1. Executive Summary | Building Energy Management Solutions Market
1.1. Global Market Outlook
1.2. Demand-side Trends
1.3. Supply-side Trends
1.4. Technology Roadmap Analysis
1.5. Analysis and Recommendations
2. Market Overview
2.1. Market Coverage / Taxonomy
2.2. Market Definition / Scope / Limitations
3. Market Background
3.1. Market Dynamics
3.1.1. Drivers
3.1.2. Restraints
3.1.3. Opportunity
3.1.4. Trends
3.2. Scenario Forecast
3.2.1. Demand in Optimistic Scenario
3.2.2. Demand in Likely Scenario
3.2.3. Demand in Conservative Scenario
3.3. Opportunity Map Analysis
3.4. Investment Feasibility Matrix
3.5. PESTLE and Porter’s Analysis
3.6. Regulatory Landscape
3.6.1. By Key Regions
3.6.2. By Key Countries
3.7. Regional Parent Market Outlook
4. Global Market Analysis 2017 to 2021 and Forecast, 2022 to 2032
4.1. Historical Market Size Value (US$ Million) Analysis, 2017 to 2021
4.2. Current and Future Market Size Value (US$ Million) Projections, 2022 to 2032
4.2.1. Y-o-Y Growth Trend Analysis
4.2.2. Absolute $ Opportunity Analysis
5. Global Market Analysis 2017 to 2021 and Forecast 2022 to 2032, By Component
5.1. Introduction / Key Findings
5.2. Historical Market Size Value (US$ Million) Analysis By Component, 2017 to 2021
5.3. Current and Future Market Size Value (US$ Million) Analysis and Forecast By Component, 2022 to 2032
5.3.1. Hardware
5.3.2. Software
5.3.3. Sensors
5.3.4. Actuators
5.3.5. Controls
5.3.6. Others
5.4. Y-o-Y Growth Trend Analysis By Component, 2017 to 2021
5.5. Absolute $ Opportunity Analysis By Component, 2022 to 2032
6. Global Market Analysis 2017 to 2021 and Forecast 2022 to 2032, By End User
6.1. Introduction / Key Findings
6.2. Historical Market Size Value (US$ Million) Analysis By End User, 2017 to 2021
6.3. Current and Future Market Size Value (US$ Million) Analysis and Forecast By End User, 2022 to 2032
6.3.1. Industrial
6.3.2. Commercial
6.3.3. Government
6.3.4. Residential
6.4. Y-o-Y Growth Trend Analysis By End User, 2017 to 2021
6.5. Absolute $ Opportunity Analysis By End User, 2022 to 2032
7. Global Market Analysis 2017 to 2021 and Forecast 2022 to 2032, By Region
7.1. Introduction
7.2. Historical Market Size Value (US$ Million) Analysis By Region, 2017 to 2021
7.3. Current Market Size Value (US$ Million) Analysis and Forecast By Region, 2022 to 2032
7.3.1. North America
7.3.2. Latin America
7.3.3. Europe
7.3.4. Asia Pacific
7.3.5. Middle East and Africa
7.4. Market Attractiveness Analysis By Region
8. North America Market Analysis 2017 to 2021 and Forecast 2022 to 2032, By Country
8.1. Historical Market Size Value (US$ Million) Trend Analysis By Market Taxonomy, 2017 to 2021
8.2. Market Size Value (US$ Million) Forecast By Market Taxonomy, 2022 to 2032
8.2.1. By Country
8.2.1.1. United States of America
8.2.1.2. Canada
8.2.2. By Component
8.2.3. By End User
8.3. Market Attractiveness Analysis
8.3.1. By Country
8.3.2. By Component
8.3.3. By End User
8.4. Key Takeaways
9. Latin America Market Analysis 2017 to 2021 and Forecast 2022 to 2032, By Country
9.1. Historical Market Size Value (US$ Million) Trend Analysis By Market Taxonomy, 2017 to 2021
9.2. Market Size Value (US$ Million) Forecast By Market Taxonomy, 2022 to 2032
9.2.1. By Country
9.2.1.1. Brazil
9.2.1.2. Mexico
9.2.1.3. Rest of Latin America
9.2.2. By Component
9.2.3. By End User
9.3. Market Attractiveness Analysis
9.3.1. By Country
9.3.2. By Component
9.3.3. By End User
9.4. Key Takeaways
10. Europe Market Analysis 2017 to 2021 and Forecast 2022 to 2032, By Country
10.1. Historical Market Size Value (US$ Million) Trend Analysis By Market Taxonomy, 2017 to 2021
10.2. Market Size Value (US$ Million) Forecast By Market Taxonomy, 2022 to 2032
10.2.1. By Country
10.2.1.1. Germany
10.2.1.2. United Kingdom
10.2.1.3. France
10.2.1.4. Spain
10.2.1.5. Italy
10.2.1.6. Rest of Europe
10.2.2. By Component
10.2.3. By End User
10.3. Market Attractiveness Analysis
10.3.1. By Country
10.3.2. By Component
10.3.3. By End User
10.4. Key Takeaways
11. Asia Pacific Market Analysis 2017 to 2021 and Forecast 2022 to 2032, By Country
11.1. Historical Market Size Value (US$ Million) Trend Analysis By Market Taxonomy, 2017 to 2021
11.2. Market Size Value (US$ Million) Forecast By Market Taxonomy, 2022 to 2032
11.2.1. By Country
11.2.1.1. China
11.2.1.2. Japan
11.2.1.3. South Korea
11.2.1.4. India
11.2.1.5. Malaysia
11.2.1.6. Singapore
11.2.1.7. Australia
11.2.1.8. New Zealand
11.2.1.9. Rest of Asia Pacific
11.2.2. By Component
11.2.3. By End User
11.3. Market Attractiveness Analysis
11.3.1. By Country
11.3.2. By Component
11.3.3. By End User
11.4. Key Takeaways
12. Middle East and Africa Market Analysis 2017 to 2021 and Forecast 2022 to 2032, By Country
12.1. Historical Market Size Value (US$ Million) Trend Analysis By Market Taxonomy, 2017 to 2021
12.2. Market Size Value (US$ Million) Forecast By Market Taxonomy, 2022 to 2032
12.2.1. By Country
12.2.1.1. GCC Countries
12.2.1.2. South Africa
12.2.1.3. Israel
12.2.1.4. Rest of Middle East and Africa
12.2.2. By Component
12.2.3. By End User
12.3. Market Attractiveness Analysis
12.3.1. By Country
12.3.2. By Component
12.3.3. By End User
12.4. Key Takeaways
13. Key Countries Market Analysis
13.1. United States of America
13.1.1. Pricing Analysis
13.1.2. Market Share Analysis, 2021
13.1.2.1. By Component
13.1.2.2. By End User
13.2. Canada
13.2.1. Pricing Analysis
13.2.2. Market Share Analysis, 2021
13.2.2.1. By Component
13.2.2.2. By End User
13.3. Brazil
13.3.1. Pricing Analysis
13.3.2. Market Share Analysis, 2021
13.3.2.1. By Component
13.3.2.2. By End User
13.4. Mexico
13.4.1. Pricing Analysis
13.4.2. Market Share Analysis, 2021
13.4.2.1. By Component
13.4.2.2. By End User
13.5. Germany
13.5.1. Pricing Analysis
13.5.2. Market Share Analysis, 2021
13.5.2.1. By Component
13.5.2.2. By End User
13.6. United Kingdom
13.6.1. Pricing Analysis
13.6.2. Market Share Analysis, 2021
13.6.2.1. By Component
13.6.2.2. By End User
13.7. France
13.7.1. Pricing Analysis
13.7.2. Market Share Analysis, 2021
13.7.2.1. By Component
13.7.2.2. By End User
13.8. Spain
13.8.1. Pricing Analysis
13.8.2. Market Share Analysis, 2021
13.8.2.1. By Component
13.8.2.2. By End User
13.9. Italy
13.9.1. Pricing Analysis
13.9.2. Market Share Analysis, 2021
13.9.2.1. By Component
13.9.2.2. By End User
13.10. China
13.10.1. Pricing Analysis
13.10.2. Market Share Analysis, 2021
13.10.2.1. By Component
13.10.2.2. By End User
13.11. Japan
13.11.1. Pricing Analysis
13.11.2. Market Share Analysis, 2021
13.11.2.1. By Component
13.11.2.2. By End User
13.12. South Korea
13.12.1. Pricing Analysis
13.12.2. Market Share Analysis, 2021
13.12.2.1. By Component
13.12.2.2. By End User
13.13. Malaysia
13.13.1. Pricing Analysis
13.13.2. Market Share Analysis, 2021
13.13.2.1. By Component
13.13.2.2. By End User
13.14. Singapore
13.14.1. Pricing Analysis
13.14.2. Market Share Analysis, 2021
13.14.2.1. By Component
13.14.2.2. By End User
13.15. Australia
13.15.1. Pricing Analysis
13.15.2. Market Share Analysis, 2021
13.15.2.1. By Component
13.15.2.2. By End User
13.16. New Zealand
13.16.1. Pricing Analysis
13.16.2. Market Share Analysis, 2021
13.16.2.1. By Component
13.16.2.2. By End User
13.17. GCC Countries
13.17.1. Pricing Analysis
13.17.2. Market Share Analysis, 2021
13.17.2.1. By Component
13.17.2.2. By End User
13.18. South Africa
13.18.1. Pricing Analysis
13.18.2. Market Share Analysis, 2021
13.18.2.1. By Component
13.18.2.2. By End User
13.19. Israel
13.19.1. Pricing Analysis
13.19.2. Market Share Analysis, 2021
13.19.2.1. By Component
13.19.2.2. By End User
14. Market Structure Analysis
14.1. Competition Dashboard
14.2. Competition Benchmarking
14.3. Market Share Analysis of Top Players
14.3.1. By Regional
14.3.2. By Component
14.3.3. By End User
15. Competition Analysis
15.1. Competition Deep Dive
15.1.1. Siemens AG
15.1.1.1. Overview
15.1.1.2. Product Portfolio
15.1.1.3. Profitability by Market Segments
15.1.1.4. Sales Footprint
15.1.1.5. Strategy Overview
15.1.1.5.1. Marketing Strategy
15.1.2. Schneider Electric
15.1.2.1. Overview
15.1.2.2. Product Portfolio
15.1.2.3. Profitability by Market Segments
15.1.2.4. Sales Footprint
15.1.2.5. Strategy Overview
15.1.2.5.1. Marketing Strategy
15.1.3. Honeywell International, Inc.,
15.1.3.1. Overview
15.1.3.2. Product Portfolio
15.1.3.3. Profitability by Market Segments
15.1.3.4. Sales Footprint
15.1.3.5. Strategy Overview
15.1.3.5.1. Marketing Strategy
15.1.4. Cisco
15.1.4.1. Overview
15.1.4.2. Product Portfolio
15.1.4.3. Profitability by Market Segments
15.1.4.4. Sales Footprint
15.1.4.5. Strategy Overview
15.1.4.5.1. Marketing Strategy
15.1.5. General Electric Company
15.1.5.1. Overview
15.1.5.2. Product Portfolio
15.1.5.3. Profitability by Market Segments
15.1.5.4. Sales Footprint
15.1.5.5. Strategy Overview
15.1.5.5.1. Marketing Strategy
15.1.6. Eaton
15.1.6.1. Overview
15.1.6.2. Product Portfolio
15.1.6.3. Profitability by Market Segments
15.1.6.4. Sales Footprint
15.1.6.5. Strategy Overview
15.1.6.5.1. Marketing Strategy
15.1.7. Johnson Controls.
15.1.7.1. Overview
15.1.7.2. Product Portfolio
15.1.7.3. Profitability by Market Segments
15.1.7.4. Sales Footprint
15.1.7.5. Strategy Overview
15.1.7.5.1. Marketing Strategy
15.1.8. CA Technologies
15.1.8.1. Overview
15.1.8.2. Product Portfolio
15.1.8.3. Profitability by Market Segments
15.1.8.4. Sales Footprint
15.1.8.5. Strategy Overview
15.1.8.5.1. Marketing Strategy
15.1.9. Ecova, Inc.
15.1.9.1. Overview
15.1.9.2. Product Portfolio
15.1.9.3. Profitability by Market Segments
15.1.9.4. Sales Footprint
15.1.9.5. Strategy Overview
15.1.9.5.1. Marketing Strategy
15.1.10. Cylon Controls
15.1.10.1. Overview
15.1.10.2. Product Portfolio
15.1.10.3. Profitability by Market Segments
15.1.10.4. Sales Footprint
15.1.10.5. Strategy Overview
15.1.10.5.1. Marketing Strategy
16. Assumptions & Acronyms Used
17. Research Methodology
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Building Energy Management Solutions Market
