Report Overview

Qatar facility management market is gaining significant traction because of the increasing penetration of cloud facility management and the growing adoption of IoT in the sector which is offering higher efficiency and real-time response.

Qatar Facility Management Market- Industry Trends & Forecast Report 2027

Qatar facility management market was worth USD 4.3 billion in 2020 and is further projected to reach USD 11.0 billion by 2027, growing at a CAGR of 14.5% in the forecast period. The market is gaining significant traction because of the increasing penetration of cloud facility management and the growing adoption of IoT in the sector which offers higher efficiency and real-time response. Furthermore, Qatar's booming tourism sector and the country's increasing infrastructure development projects are slated to propel the Qatar facility management market.

Source: BlueWeave Consulting

Qatar Facility Management Market- Overview

An organization's facility management (FM) includes methods and techniques for planning and managing its buildings, infrastructure, and overall work environment. Facilities management includes lease energy management, administration, lease accounting, maintenance and operations, energy management, real estate management, employee and occupant experience, capital project planning, occupancy and space management, and much more. Based on the type of work, FM services are grouped into two sub-segments--hard and soft services. Hard services involve technical services and managing the physical assets, while soft services are a range of essential services that people perform daily.

Qatar Facility Management Market Forecast and Trends

Growth Drivers

Increasing Investment Towards Infrastructural Development

The construction and building industry of Qatar is said to be the fastest-growing sector in the country. According to the Oxford Media Group, the Qatar government is planning to invest over USD 200 billion for infrastructural development, which is anticipated to fuel the demand for facility management in the country during the forecast period. The growing demand for hard services such as HVAC systems, plumbing and wastewater management, lighting and electrical, etc., that are required to set up a building and facility is expected to drive the market in Qatar.

Growing Adoption of IoT In Facility Management

Advanced technologies like the Internet of Things (IoT) have seeped into the facility management market and are offering lucrative growth opportunities. For instance, the Integration of IoT into facility management can make the buildings smarter. Likewise, hotels, healthcare facilities, and office buildings use data from the Internet of Things to identify patterns. IoT-enabled devices help determine when there is a low demand for resources. These devices also reduce energy usage and heat production. Thus, the use of IoT energy management systems helps lower operating expenses. IoT applications also allow managers to monitor and track several operations simultaneously and gain new insights from the data produced by sensors.

Restraints

High Cost Associated with Facility Management Operations

A new entrant may find it difficult to manage FM services, which may limit the facility management market's growth. The increasing manpower costs due to inflation are becoming a major concern for facility management providers, which is reducing their profit margin. Another major obstacle to the growth of the Qatar facility management market may be the high cost of components and equipment and the need to maintain depreciating equipment and facilities.

Impact of COVID-19 on Qatar Facility Management Market

The sudden outbreak of the COVID-19 pandemic significantly affected Qatar's economic activities. The pandemic also negatively impacted the facility management market in Qatar. Following a spike in COVID-19 cases in Qatar, the government imposed a strict lockdown, shutting down offices, schools, shopping malls, hotels, etc. As a result, demand for facilities management services declined, resulting in huge losses for the market. Furthermore, the complete ban on tourism during the peak COVID-19 periods also obstructed the growth of the Qatar facility management market.

Qatar Facility Management Market - By Type

Based on types, the Qatar facility management market is segmented into hard services and soft services. The hard services segment held the largest market share in 2020. The increasing construction of commercial facilities and public spaces for infrastructural development is fueling the demand for hard services such as heating, cooling, and ventilation (HVAC), fire safety systems, plumbing, lighting, etc. On the other hand, the soft services segment is anticipated to register a high growth rate during the forecast period due to the regular requirement for cleanliness and sanitation.

Qatar Facility Management Market - By Service

Based on services, the Qatar facility management market is segmented into in-house and outsourced. The in-house segment has dominated the Qatar facility management market due to its quick response and stability with in-house employees. However, outsourced facility management is likely to register the highest CAGR over the forecast period. Facility management outsourcing can save time and training costs through efficiency and expertise. Moreover, outsourcing services are more flexible in terms of technology adoption, which favors market growth.

Qatar Facility Management Market - By End-User

Based on end-users, the Qatar facility management market is segmented into commercial & retail, manufacturing & industrial, government, infrastructure, and public entities, institutional, & others. The commercial and retail segment accounts for the largest market share because of the increasing number of commercial facilities, such as shopping malls, hotels, recreational activity facilities, etc. in the country However, the government, infrastructure, and public entities segment also cover a substantial share in the market because of the flourishing tourism sector in the country. Thus, the Qatar government is significantly focusing on developing public infrastructure such as railways, airports, etc., which is fueling the demand for facility management.

Competitive Landscape

The leading players in the Qatar facility management market are Emcor Facilities Services WLL, Al Faisal Holdings, Sodexo Qatar Services, Al-Asmakh Facilities Management, Como Facility Management Services, Cofely Besix Facility Management, Facilities Management & Maintenance Company LLC, G4S Qatar SPC, Amenity Facility Management & Services WLL, Cayan Facilities Management, and other prominent players.

With numerous industry players present, the market is highly fragmented. To improve their offerings and stay competitive, companies are prominently adopting advanced technologies like cloud and IoT. To gain a competitive edge, market players also employ strategies like mergers, acquisitions, and joint ventures.

Recent Developments

• In October 2021, Al Asmakh Facilities Management and A to Z Services announced their intention to merge to create one large integrated facility management company in Qatar.

Scope of the Report

By Type

• Hard Services

• Soft Services

By Service

• In-House

• Outsourced

1. Singled

2. Bundled

3. Integrated FM

By End User

• Commercial and Retail

• Manufacturing and Industrial

• Government, Infrastructure, And Public Entities

• Institutional

• Others