Top 5 Growth Markets To Watch Out For [2017-2025]
2017 is proving to be the year for the markets vested in Technology. We have already witnessed some fierce competition as Ethereum and Bitcoin continue their friendly rivalry trying to upstage one another in the cryptocurrency market. The rivalry has by no means slowed these companies’ performances in the market. In fact, Ethereum saw its price increase by an astronomical 5000% to then underscore its untapped potential.
With that said, the global market is more than just two players. It is a myriad of markets all working in tandem to form what we now term to be the global market. Changes in one market can affect the performance of another market and thereby contribute positively or negatively, depending on the change, to the general economy. Therefore, it is important to understand how these markets function.
Understanding how these markets function can easily be narrowed down to six (6) key areas of study. Namely:
- Projected Compound Annual Growth Rate (CAGR) – is an emblematic figure that represents the rate at which a market would grow over a specified period of time, assuming the market experiences a steady growth rate. Hence, CAGR does not represent a true return but an imaginary figure.
- Current Market size – This is an important area of study. Different players often tinker the global economy based on their sheer market size. Investors often look at changes in market size because it can be a sign of relative competitiveness of the company’s products and services. This also helps give clear picture of the company’s future.
- Projected Market Size – represents the forecasted figure, or, otherwise, the estimated size of the market at a future time. A projected increase in the market size is good news to investors looking to invest in that particular market because their vested assets would be poised to increase in value.
- Key growth drivers – Every market has a key growth driver, but the most common is demand. The demand for goods and services from a certain market creates a sustainable economy – as long as that particular market maintains supply.
- Key players in the market – This area represent companies that share the same business activities. For instance, the utility sector would comprise nuclear power, electric, alternative energy and natural gas industries.
- Main Product – This entails a good or service offered in a certain industry. The Pharmaceutical sector will include pharmaceuticals whereas the transportation sector would include vehicles, trains, ships, airlines, etc.
To this respect, 2017 has seen different markets square it up with some coming on top. These are some of the top growth markets of this year.
Global MOCVD (Metal Organic Chemical Vapour Deposition)
MOCVD is a technique used in the manufacturing process of III-V compound semiconductors where the semiconductors form the base material for manufacturing LEDs, lasers, power electronics, photovoltaic cells etc. At today’s day and age, the demand for LEDs and power electronics is growing and is expected to continue to grow into the foreseeable future. Therefore players in this industry are poised for great things.
According to an in-depth market analysis report done by industry experts, the global MOCVD market is projected to grow at CAGR of 13.59% for the period between 2017 and 2021 as a result of increased demand for renewable sources of energy.
Part of this demand includes the need to generate electrical energy from renewable sources. This activity is fast gaining popularity as more and more entities are adopting wind and solar energies to help circumvent envisaged shortage. It is estimated that by 2030, global energy consumption will increase by more than 60%. In effect, this perfectly puts players in this market at an advantage as renewable technologies such as wind and solar power are increasingly being adopted and implemented all over the world.
The following key vendors are involved in the MOCVD market. They include: AIXTRON, Taiyo Nippon Sanso, and Veeco Instruments – they all deliver thousands of deposition systems to customers around the world. Other key vendors include Agnitron Technology, Alliance MOCVD, CVD Equipment Corporation, HC SemiTek, JUSUNG Engineering, and Xycarb Ceramics.
The current market trend of high-powered electronic devices puts industry players at a fix as they are met with different challenges. These challenges range from dealing with the complexity MOCVD process to meeting certain product features and demands.
Enterprise Asset Management (EAM) market
Enterprise Asset Management Market entails players such as ABB Ltd. (Switzerland), CGI Group Inc. (US), Dude Solutions, Inc. (US), eMaint (US), International Business Machines (IBM) Corporation (US), IFS AB (Sweden), Infor (US) Oracle Corporation (US), Ramco Systems (India), SAP SE (Germany), Schneider Electric SA (France), and Vesta Partners, LLC (US).
Their key audience include: system design and development vendors, Consultants/Advisory firms, Energy utilities companies as well as support and maintenance service providers. All these and many others provide the necessary market for EAM software and services.
In a research report done by MarketsandMarkets, it is projected that Enterprise Asset Management market will grow at a Compound Annual Growth Rate (CAGR) of 11.9% for the period between 2017 and 2022. In this respect, the market is expected to grow from USD 3.44 Billion in 2017 to USD 6.05 Billion by 2022 with 2016 being the base year.
EAMs allow for the increased asset of life-aging infrastructure, improved return on assets, and increased tracking ability of assets in an organization. The Enterprise Asset Management systems also help in reducing maintenance and procurement costs.
Building Management System (BMS) market
In a report published by MarketsandMarkets “Building Management System Market by Software (Facility, Security, Energy, Emergency, Infrastructure Management), Service (Professional, Managed), Application (Residential, Commercial, Industrial), and Geography – Global Forecast to 2023”, highlights that the Building Management Systems market will grow at a CAGR of 16.71% and reach a new milestone by 2023.
The market was valued at USD 6.65 Billion in 2016 but due to the significant cost benefits to the industrial, commercial, and residential users, the industry saw a spike in demand for energy-efficient and eco-friendly buildings. This change ultimately puts the BMS market in line to hit USD 19.25 Billion by 2023.
It is therefore evident that industry players such as Honeywell International Inc. (US), Siemens AG (Germany), Johnson Controls International PLC (Ireland), Schneider Electric SE (France), United Technologies Corp. (US), IBM Corporation (US), Ingersoll-Rand Plc (Ireland), and Delta Controls (Canada) are poised to do well as their products will be used across various industries for different respective applications. In this area, Research institutes and organizations, as well as application software providers, represent some of the target audience.
Transportation Management System (TMS) market
Transportation Management Systems (TMSs) offer a digital solution to decongest roadways and railways. Due to rapid urbanization and rising congestion in the cities, the demand for TMSs is clearly evident. To this respect, the global TMS market is expected to grow at 20.9% CAGR Value from USD 78.20 Billion in 2017 to USD 202.14 Billion by 2022. This will result in huge growth opportunities for vendors in this market.
Key industry players such as SAP SE (Walldorf, Germany), Oracle Corporation (California, US), Manhattan Associates (Georgia, US), Descartes (Waterloo, Ontario), JDA Software, Inc. (Arizona, US), CTSI-Global (Tennessee, US), Inet-Logistics GMBH (Dornbrin, Austria), BluJay Solutions (Greater Manchester, UK), MercuryGate International, Inc. (North Carolina, US), Efkon AG (Raaba/Graz, Austria), Metro Infrasys Private Limited (New Delhi, India), and TMW Systems, Inc. (Ohio, US) will benefit greatly from this change.
TMSs audience includes Government Agencies, Application end-users, and System Integrators, just to name a few.
The Transport System Management market is segmented according to transportation modes (rail or road), components (solution type, hardware, and services) deployment modes (hosted or on-premise) and Region (North America, Europe, Asia-Pacific, Middle East and Africa, Latin America)
Nanosatellite and Microsatellite market
The Nanosatellite and Microsatellite market is poised to hit USD 3.49 Billion by 2022 from the previous USD 1.21Billion in 2017 growing at a Compound Annual Growth Rate of 23.7% according to a new market study.
The market’s key drivers include: increased investment and application in nanosatellite and microsatellite technologies, low manufacturing cost, and the increasing demand for miniature satellites in Earth observation applications. To this effect, different market segments will witness the highest growth during the forecast period.
In the report, the market is segmented based on the following:
- Component (Hardware, Software & Data Processing, Services, and Launch Services)
- Mass (1 kg-10 kg and 11 kg-100 kg)
- Application (Earth Observation & Remote Sensing)
- Vertical (Government, Civil, Commercial, Defense, Energy and Infrastructure, Maritime and Transportation)
- Region (North America, Europe, Asia-Pacific, and RoW)
Key vendor in this market include: RUAG Group (Switzerland), Clyde Space Inc., (U.K.), GS Sweden AB (GomSpace) (Denmark), Sierra Nevada Corporation (U.S.), Tyvak, Inc. (U.S.), Lockheed Martin Corporation (U.S.), Raytheon Company (U.S.), PLANET LABS INC. (U.S.), Innovative Solutions In Space (ISIS) (Europe), and SpaceQuest Ltd. (U.S.). They all provide the necessary solutions and services required in Nanosatellite and Microsatellite.
Market projections give an overview of what to expect from certain industries within a specified period of time. Therefore, understanding what these projections mean and how they interlink with the general market could mean a great deal to investors.