The market for building automation systems, estimated in 2018 to be valued at about $36 million, is expected to grow at a CAGR of 8% between 2019 and 2029; ever-growing energy consumption in global economies will pave the way to strong growth prospects in the market, according to research from Future Marketing Insights.
Commercial construction is expected to remain the predominant application area for building automation systems. As the technology is currently not used to its full potential to lower energy consumption in buildings, the possibility of optimizing use of building automation systems provide lucrative opportunities for the construction value chain, creating new prospects for the energy management of buildings and significantly lowering building operation costs, the report says.
Other factors contributing to growth worldwide include the increasing awareness of the effectiveness of such systems, a growing number of service providers, population growth, the rise in the affluent middle-class population and a corresponding increase in disposable income, and government regulations designed to reduce energy consumption.
North America and Europe are set to account for three-fifths of the revenue shares in the industry by the end of 2029. South Asia also holds the potential for growth as builders contend with an increase in frequent power outages and erratic power supply.
Market players are introducing “easy-to-use” system developments and are attracting property owners with a variety of opportunities like wireless building automation systems. This phenomenon has improved operational activities such as remote operations, adding more market value to these systems.
The switch to wireless is well underway in the building automation systems market, with the ever-evolving emphasis on connective solutions. Wireless functionalities have redefined the way building automation installations work by breathing new life into their operational efficiencies. Wireless functionalities have also fueled remote operations, increasing the effectiveness of automation systems.
Companies offering building automation systems are focusing on smarter R&D investments, with an aim of coming up with the most effective, flexible, and fully-programmable wireless solution. However, the acceptance of wireless building automation systems among the property owners will be largely influenced by the marketing strategies devised by these companies, as effective marketing bridges the gap between customer needs and product capabilities.