Facility Management: GCC Market Scenario, Trends, Opportunity, Growth and Forecast, 2018-2028

Market Definition

A facility is something that is created, set up, or formed with a certain use in mind. A building, a factory, a warehouse, a school, or a hospital are just a few examples. Facility management encompasses a variety of linked services that are involved in operating or maintaining a facility, including janitorial, engineering, security, environmental, and gardening. MTMA segments facility management into 3 main service categories, namely Hard facility management Services, Soft facility management Services, and Additional Services.

Market Insights

GCC facility management market was recorded as more than $12 billion in 2020. The most popular service category in the GCC in 2022 was soft services, which had a market share of more than 40%. It is anticipated that this market would continue to be the largest during the forecast period. In the GCC facility management market, hard services are anticipated to become more significant. By 2028, they will surpass soft services as the most common type of facility management service.

Building ventilation and air conditioning systems will need to be meticulously maintained as indoor air quality becomes more widely recognized. Additionally, these devices will need to be more energy efficient. These elements will fuel the facility management market in the GCC’s requirement for M&E services. Also, energy management will keep receiving attention because the GCC is still working to improve its energy security. The use of IoT platforms and data analytics in advanced energy management solutions would boost the involvement of IT and telecom businesses in the facility management sector.

Commercial, institutional, and industrial end customers together made up more than 75% of facility management revenue in 2020. The industrial end-user segment will experience the fastest growth, expanding at a 12.87% CAGR from 2021 to 2028. This is linked to the region’s continued downstream oil and gas sector and increase of manufacturing operations. Nevertheless, over the course of the forecast period, the commercial sector will continue to be the greatest end user. Green building certifications and corporate sustainability programmes are factors driving facility management adoption in commercial facilities (offices and retail malls). To complement the approach adopted by building operators and business owners, facility management services are required.

The adoption of facility management by end users in the industrial, commercial, and institutional sectors will also be influenced by the expansion of legislation and policies that mandate mandatory energy conservation. For facility management market participants in particular, the expansion of healthcare facilities (such as hospitals, clinics, and schools) and educational institutions (such as colleges and universities) will create new commercial prospects.

UAE, KSA, and Qatar are the top 3 nations in the GCC facility management market. Due to the smaller scale of their building stock and lower suitability for FM outsourcing, Kuwait, Bahrain, and Oman are relatively smaller markets.

Market Dynamics: Drivers

Growing Sophistication of Buildings and Initiatives Toward Sustainability

Some of the tallest structures in the world, outfitted with cutting-edge construction methods, can be found in the GCC. Therefore, it is anticipated that the rise of green buildings and building automation systems would increase the range of FM services and revenue. The demand for energy management services will rise as the emphasis on energy efficiency in buildings increases, expanding the range of FM service options.

Market Dynamics: Challenges

Lack of Understanding

Lack of knowledge about the advantages of technology among end users The region’s efforts to advance FM will be hampered by adoption. To lessen the effects of this restriction, end customers must be made aware of the Return on Investment (ROI) from the deployment of technology, such as cloud and data analytics in FM services.

Market Segmentation

• Based on Service Types, the GCC Facility Management market is segmented into
  • Soft Services
  • Hard Services
  • Additional Services
• Based on End-User, the GCC Facility Management market is segmented into
  • Commercial
  • Institutional
  • Public Infrastructure
  • Industrial
  • Others
• Based on Service Delivery, the GCC Facility Management market is segmented into
  • Outsourced FM
  • In-house FM
• Based on Delivery Model, the GCC Facility Management market is segmented into
  • IFM
  • Non-IFM
• Based on Country, the GCC Facility Management market is segmented into
  • UAE
  • Saudi Arabia
  • Oman
  • Qatar
  • Bahrain
  • Kuwait

• All market revenue has been given in US Dollar.

Historical Year: 2018-2019

Base Year: 2020

Estimated: 2021

Forecast- 2022-2028

Key Questions this Study will Answer

• What are the key overall market statistics or market estimates (Market Overview, Market Size- By Value, Market Size-By Volume, Forecast Numbers, Market Segmentation, Market Shares) of GCC Facility Management Market?
• What is the region wise industry size, growth drivers and challenges key market trends?
• What are the key innovations, opportunities, current and future trends and regulations in the GCC Facility Management Market?
• Who are the key competitors, what are their key strength and weakness and how they perform in GCC Facility Management Market based on competitive benchmarking matrix?

What are the key results derived from the market surveys conducted during GCC Facility Management Market study?