Denmark Facility Management Market Size (2024 - 2029)

The Denmark facility management market is experiencing growth driven by a government-led construction boom and a rising focus on green building practices. The market's expansion is supported by the adoption of a new management system standard that enhances strategic, tactical, and operational principles. Despite the commoditization of services and price sensitivity among end users, the demand for facility management services remains strong due to infrastructure development projects. The market is also benefiting from digital transformation and technological advancements in building infrastructure management. However, regulatory changes and the impact of COVID-19 have posed challenges, yet the market is recovering with a renewed emphasis on sustainable practices.

Market Size of Denmark Facility Management Industry

Denmark Facility Management Market Summary
Study Period 2019 - 2029
Base Year For Estimation 2023
Forecast Data Period 2024 - 2029
Historical Data Period 2019 - 2022
CAGR 1.40 %
Market Concentration Medium

Major Players

Denmark Facility Management Market Major Players

*Disclaimer: Major Players sorted in no particular order

Denmark Facility Management Market Analysis

The Denmark facility management market is expected to grow at a CAGR of over 1.4% during the forecast period. The government-led construction boom and the surging emphasis on green building practices are increasing Denmark's demand for facility management.

  • Facility management (FM) consists of multiple disciplines to influence the efficiency and productivity of organizations. The new management system standard constitutes a benchmark for developing and driving effective strategic, tactical, and operational FM principles across Denmark.
  • Facility Management Services across Denmark tend to be mature. With infrastructure development projects rising across the country for economic growth, allied FM services are also required. Hence, a Facility Management Standard that sets apart the industry by adapting global best practices and policies offers a win-win situation for FM organizations and customers in this country.
  • Services in the FM industry have been commoditized to a great extent. Also, end users are very price sensitive, and contracts are thus aimed at shorter terms. A real estate over-supply has been creating pressure on rent yields, thus leading the customers to cut costs on FM services.
  • As the construction industry gathers the benefits of digital transformation, a long-term approach to innovation has defined sectoral growth over the forecast period. Building infrastructure management and allied technological tools have been gaining momentum across construction, with multiple projects lined up for completion in the country.
  • The Denmark government has been attempting to tighten many regulations on commercial activities in recent years. These laws are in place to protect both service providers and clients. The government has been tightening rules to close corporate restriction loopholes.
  • The outbreak of COVID-19 had a mixed business impact on facilities management firms, as the restrictions on the movement of people resulted in a decline in project work and a reduced level of activity across many customer sites. Major players in the market, such as Mitie, CBRE Group, and others, were adversely affected due to the lockdown. After the pandemic, the market is growing rapidly with increasing emphasis on green building practices.

Denmark Facility Management Industry Segmentation

Facility management (FM) includes management methods and techniques for building management, infrastructure management for an organization, and the means of overall harmonization of the work environment in an organization. This system standardizes services and streamlines processes for an organization.

The Denmark Facility Management Market is segmented by (In-house FM Service, Outsourced FM Service (Single FM, Bundled FM, Integrated FM)), by Offering Type (Hard FM, Soft FM), by End-User (Commercial, Institutional, Public/ Infrastructure, Industrial).

The market sizes and forecasts are provided in terms of value in USD million for all the above segments.

By Facility Management
Inhouse Facility Management
Outsourced Facility Management
Single FM
Bundled FM
Integrated FM
By Offering
Hard FM
Soft FM
By End User
Commercial
Institutional
Public/Infrastructure
Industrial
Other End Users
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Denmark Facility Management Market Size Summary

The Denmark facility management market is poised for growth, driven by a government-led construction boom and a heightened focus on green building practices. Facility management in Denmark encompasses various disciplines aimed at enhancing organizational efficiency and productivity. The introduction of a new management system standard is setting benchmarks for strategic, tactical, and operational principles in the sector. As infrastructure development projects increase, the demand for facility management services is also rising, supported by the adoption of global best practices. Despite the commoditization of services and price sensitivity among end users, the market is witnessing a shift towards single-service providers, which offer specialized and efficient solutions, allowing businesses to concentrate on their core activities.

The commercial sector plays a significant role in the facility management landscape in Denmark, with substantial government investments in infrastructure projects boosting demand. The rise of the IT sector and telecom advancements, such as 5G deployments, are further propelling the market. The facility management industry in Denmark is moderately fragmented, with several players engaging in mergers, acquisitions, and collaborations to enhance their service offerings. Notable partnerships, such as those between CBRE and Microsoft, and the development of innovative technologies like the FacilityCobot, are indicative of the sector's commitment to integrating advanced solutions. These developments are expected to drive operational efficiency and cost-effectiveness, positioning Denmark as a competitive player in the facility management market.

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Denmark Facility Management Market Size - Table of Contents

  1. 1. MARKET INSIGHTS

    1. 1.1 Market Overview

    2. 1.2 Industry Attractiveness - Porter's Five Forces Analysis

      1. 1.2.1 Bargaining Power of Suppliers

      2. 1.2.2 Bargaining Power of Buyers

      3. 1.2.3 Threat of New Entrants

      4. 1.2.4 Threat of Substitutes

      5. 1.2.5 Intensity of Competitive Rivalry

    3. 1.3 Assessment of COVID-19 Impact on the Market

  2. 2. MARKET SEGMENTATION

    1. 2.1 By Facility Management

      1. 2.1.1 Inhouse Facility Management

      2. 2.1.2 Outsourced Facility Management

        1. 2.1.2.1 Single FM

        2. 2.1.2.2 Bundled FM

        3. 2.1.2.3 Integrated FM

    2. 2.2 By Offering

      1. 2.2.1 Hard FM

      2. 2.2.2 Soft FM

    3. 2.3 By End User

      1. 2.3.1 Commercial

      2. 2.3.2 Institutional

      3. 2.3.3 Public/Infrastructure

      4. 2.3.4 Industrial

      5. 2.3.5 Other End Users

Denmark Facility Management Market Size FAQs

The Denmark Facility Management Market is projected to register a CAGR of greater than 1.40% during the forecast period (2024-2029)

CBRE Group, ISS UK, JLL Limited, Coor and Aramark Facilities Services are the major companies operating in the Denmark Facility Management Market.

Denmark Facility Management Market Size & Share Analysis - Growth Trends & Forecasts (2024 - 2029)