France Facility Management Market Size (2024 - 2029)

France Facility Management Market Analysis

The France Facility Management Market size is estimated at USD 113.02 billion in 2024, and is expected to reach USD 137.15 billion by 2029, growing at a CAGR of greater than 3.95% during the forecast period (2024-2029).

The market is driven by rising government contracts in the cleaning sector, with increasing service contracts being renewed in the retail industry. However, the market has witnessed slow rejuvenation over the last few months and seems promising for the country.

• France is one of the major FM markets in Europe, after the United Kingdom and Germany. The country's large private and public sector business entities also pave the FM market's growth. The market also provides opportunities for existing suppliers and entrants from other countries to set up FM businesses in France. Further, the situation is changing as FM awareness grows and outsourcing is becoming more commonly accepted. This is expected to provide growth in France's FM market, particularly for integrated facility management (IFM) delivery models.
• Many companies in the field of Facility management services have been integrating digital solutions in their services to increase the efficiency of their services to increase customer satisfaction, which is creating a demand for market adoption. For instance, emerging players, such as Watts, have launched a new facility management app called DIGISCO in the country. This cloud-based solution simplifies and manages the entire test and control of backflow preventers workflow for all Backflow testers in facility management. The app is based on constant attention to customer and service managers' needs.
• Furthermore, in June 2023, Valeo, one of the global leaders in mobility solutions, and Equans, a global leader in the energy, facility management, and services sector, signed a partnership to work together to prepare a safe and low-carbon city of the future. Equans and Valeo would work together to develop various solutions and services to meet the needs of cities, focusing on a connected urban space, safer for pedestrians and cyclists, with in particular the Smart Pole, presented at VivaTech on Bouygues stand, optimized operation of data centers and energy storage facilities, development of electric mobility with charging and V2G solutions.
• Moreover, the extensive outsourcing activities done by government entities in the country have led to saturation in the public sector. The public sector companies have focused on maintaining long-term relationships with facility management players through contract extensions.
• The outbreak of COVID-19 had a mixed business impact on facilities management firms. The restrictions on the movement of people resulted in a decline in project work and a decreased level of activity across many customer sites. Significant players in the country, such as CBRE Group, Sodexo Group, and others, were adversely affected due to the pandemic lockdown. In addition, the increasing demand for cleaning services has fuelled soft facility management services. Thus, due to the combination, the pandemic has a mixed impact on market growth.
• The future of work is hybrid, and due to many companies adopting the hybrid model, employees would come into the office at a lesser frequency, and the rest of the time, they would work remotely. Due to this, businesses would not need as much office space because fewer people would be accomodated in a smaller working environment, which is a challenge to the market growth because lesser facility areas would decrease the demand for FM services in the country.

France Facility Management Industry Segmentation

Facility management encompasses multiple disciplines to ensure the functionality of the built environment by integrating people, places, processes, and technology. Also, facility management is the coordination of a facility's operations to make the organization more effective at what it does. Facility management is applied in various industry verticals like retail, education, and healthcare, among others, as per the needs of the business.

The France Facility Management Market is segmented into In-house FM service, outsourced FM service (single FM, bundled FM, integrated FM), offering type (hard FM, soft FM), and end-user (commercial, institutional, public/ infrastructure, industrial). The report offers market forecasts and size in value (USD) for all the above segments.