Dublin, Sept. 12, 2024 (GLOBE NEWSWIRE) -- The "South Africa Facility Management - Market Share Analysis, Industry Trends & Statistics, Growth Forecasts (2024 - 2029)" report has been added to ResearchAndMarkets.com's offering.
The South Africa Facility Management Market size is estimated at USD 10.62 billion in 2024, and is expected to reach USD 13.32 billion by 2029, growing at a CAGR of 4.62% during the forecast period (2024-2029)
The facility management market in South Africa is relatively fragmented due to the presence of local players and small to medium-sized firms. These players are focusing on adopting various growth strategies, such as new product launches, expansions, joint ventures, and partnerships, to strengthen their position in this market. A few prominent players in the market include Matrix Consulting Services, SGS SA, Facilities Management Solutions (Pty) Ltd, Chiefton Facilities Management (Pty) Ltd, and Tsebo Facilities Solutions.
Facilities management helps ensure the functionality, comfort, safety, and efficiency of buildings, grounds, infrastructure, and real estate. The facility management market in South Africa has been experiencing steady growth due to increasing infrastructure development and the need for efficient building management. Technological advancements, sustainability initiatives, and outsourcing trends also contribute to its expansion.
In addition, South Africa's population growth, economic dynamism, and rapid urbanization are also expected to generate business opportunities, provided that investments are made to enhance infrastructure and regional connectivity, in line with the Africa Union's Agenda 2063. Further, according to UN DESA, the urbanization rate in Africa was recorded at nearly 44.9% in 2023. Urbanization on the continent has increased steadily over the past two decades, with 35% of the population living in urban areas. This share is expected to increase further by 45.9% in 2025.
The rising commercial real estate sector in South Africa is anticipated to create a significant demand for professional facility management services. As businesses expand, relocate, or upgrade their facilities, they may seek comprehensive facility management solutions to ensure their properties' efficient operation and maintenance.
For instance, in November 2023, WeWork South Africa accelerated its expansion plans as the rise in popularity of hybrid work saw a boost in demand for flexible office spaces. In September 2023, Instant Group, a flexible workspace marketplace, acquired property advisor PSA to broaden its reach and grow its business across Africa. Such initiatives in enhancing the commercial sector may create demand for facility management solutions in the country.
Furthermore, increasing demand for outsourced facility management, infrastructural developments, and investments in the private sector are some of the key drivers responsible for market growth. Services in the FM industry have been commoditized to a great extent. End users are very price-sensitive, and contracts are, thus, aimed at shorter terms. A real estate over-supply has been creating pressure on rent yields, leading customers to cut costs on FM services.
Moreover, the South African facility management industry operates with integrated contracts provided by significant global vendors and small local players, focusing on single contracts and single-service solutions. Such diverse capability of meeting various clientele requirements could further drive market growth. The need for more skilled personnel in specific areas of facility management in the country, such as specialized maintenance or sustainability services, could be a potential barrier to market growth.
Key Topics Covered:
1 INTRODUCTION
1.1 Study Assumption and Market Definition
1.2 Scope of the Study
2 RESEARCH METHODOLOGY
3 EXECUTIVE SUMMARY
4 MARKET INSIGHTS
4.1 Market Overview
4.2 Industry Attractiveness - Porter's Five Forces Analysis
4.3 Impact of Key Macroeconomic Trends on the Market
5 MARKET DYNAMICS
5.1 Market Drivers
5.1.1 Increasing Infrastructural Developments and Growing Retail Sector
5.1.2 Rising Developments in Public and Private Infrastructure
5.2 Market Restraints
5.2.1 Increased Instances of Data Breaches and Security Threats
6 MARKET SEGMENTATION
6.1 By Type
6.1.1 Inhouse Facility Management
6.1.2 Outsourced Facility Management
6.1.2.1 Single FM
6.1.2.2 Bundled FM
6.1.2.3 Integrated FM
6.2 By Offering Type
6.2.1 Hard FM
6.2.2 Soft FM
6.3 By End User
6.3.1 Commercial
6.3.2 Institutional
6.3.3 Public/Infrastructure
6.3.4 Industrial
6.3.5 Other End Users
7 COMPETITIVE LANDSCAPE
7.1 Company Profiles
7.1.1 Matrix Consulting Services
7.1.2 SGS SA
7.1.3 Facilities Management Solutions (Pty) Ltd
7.1.4 Chiefton Facilities Management (Pty) Ltd
7.1.5 Tsebo Facilities Solutions
7.1.6 Excellerate Services
7.1.7 Akweni Group Property Solutions (Pty) Ltd
7.1.8 Integrico (Pty) Ltd
7.1.9 Akweni Group Property Solutions (Pty) Ltd
7.1.10 SSG Holdings
7.1.11 TROX South Africa (Pty) Ltd
7.1.12 AFMS Group (Pty) Ltd
7.1.13 Bidvest Facilities Management
8 INVESTMENT ANALYSIS
9 FUTURE OF THE MARKET
For more information about this report visit https://www.researchandmarkets.com/r/c3hf16
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Attachments
- South Africa Facility Management Market Number Of People Employed I
- South Africa Facility Management Market Gross Domestic Product G D P
