Industry Analysis & Industry Trends
The industry has benefited from increased outsourcing in the public and private sectors for more than a decade. More companies, businesses and government agencies are using combined facilities support services to reduce operational costs and to focus on core business functions. Supplying services to government bodies can be more profitable than servicing the private sector. This can be due to fewer budgetary constraints for governments and requirements for long-term contracts paying higher rates.
The industry provides a large number of hard and soft facilities management services to clients. Hard facilities management services include repairs and maintenance services to buildings and equipment, while soft services include cleaning, security, reception services and trash disposal... purchase to read more
Industry Report - Industry Key Buyers Chapter
The industry has a low industry concentration level. In 2011-12, IBISWorld estimates that the four largest firms in this industry will account for about 17.3% of total industry revenue, with the eight largest firms making up for about 24.5%.
Industry concentration has increased, as several major players have reported large increases in revenue since 2006-07, while total industry revenue has declined. Further, the total number of enterprises operating within the industry declined on average in the past five years, largely due to major falls in 2008-09 and 2009-10.
IBISWorld expects industry concentration will be stable in the next five years. Larger firms are expected to continue to expand via organic growth and acquisitions to potentially increase market share... purchase to read more