Growth in the Construction Industry & Growing Demand for Outsourced Property Maintenance Services will Drive Kuwait Facility Management Market: Ken Research
Posted on 03 July 2017 by KenResearch Manufacturing And Construction,
The Kuwait facility management market is in its early growth stage and is evolving rapidly, fuelled mainly by the high pace of growth in the construction sector. The country has one of the fastest growing construction industries in the world. Kuwait Retail estate and construction industries are booming over past five years. The growing demand for commercial and residential space in the country has supported the growth of the facility management market. The advent of smart and intelligent buildings as well as redefined working environments has been pushing the technology. The developments in the technology have been approaching people to move towards adopting the facilities management.
In Kuwait, facilities management industry has begun growing with the outsourcing of soft services such as cleaning, housekeeping and others in Kuwait. Facilities Management is a management discipline that supports and improves core company processes and increases return on investment by result-oriented use of resources, services, and activities, vital to the success of any organization.
The facilities management market in Kuwait has witnessed a tremendous growth in past five years. The demand for facilities management services has further increased owing to the rising requirement of concierge, man-guarding, maintenance and housekeeping services in commercial buildings and shopping complexes and professionalism in the management of all the facilities with increasing regards towards cleanliness.
Increasing number of infrastructure projects such as Khairan Residential City, Sabah Al Ahmad Future City, Daiya real estate project, Silk City, Kuwait Cancer Center and others have resulted in the rising demand for facilities management services. Majority of the large & small organizations in the country outsource their non-core activities to the facilities management companies.
The facilities management market in Kuwait is highly fragmented with the presence of number of small & large players. The industry competition is primarily based on price and the quality of service. The low cost of entry in the facility management services business further intensifies the marketplace, with firms facing competition from a large number of regional and local owner-operated companies, located mostly in key cities. The industry is largely dominated by giants such as Kharafi Nations, UFM, EPS, Fawaz group and others.
The report titled “Kuwait Facility Management Market Outlook to 2021- Growing Retail Industry coupled and Upcoming Infrastructure Projects to drive market Growth” by Ken Research suggested a robust CAGR of 7.2% in revenue in facilities management market in Kuwait region in the next 5 years till 2021.
Ankur Gupta, Head Marketing & Communications