COVID-19 has disrupted the economies and markets worldwide. Hardly any industry remained untouched by its impact. The construction and real estate industries were among the top affected market segments.
The pandemic proved to be a speed breaker in the rapid growth of the BIM industry. It has an adverse effect on the Building Information Modelling Market, as it is closely related to the construction industry. But things are not going to stay the same always.
As the lockdown restrictions were lifted and people started coming out of their homes to adopt the new normal, the BIM industry bounced back. In the Post-COVID scenario, the BIM Market and Industry are gaining its pace again.
It is likely to recover gradually in the next couple of years and is projected to grow from USD 4.5 billion in 2020 to USD 8.8 billion by 2025, at a CAGR of 14.5% as per the report by Markets and Markets.
Top 3 Driving factors to Accompany the Growth of BIM:
1. The Increasing demand for Infrastructure due to Urbanization
As per the report by the UN, the population of the world will reach 8.1 billion in 2025 and can reach up to 9.6 billion by 2050. The rise in population is accompanied by the demand for more infrastructure facilities, therefore the global construction industry is expected to boom in the upcoming years.
To meet these demands, AEC will play a major role to overcome this problem. The need for efficient and time-saving technologies will witness a surge. BIM is the perfect weapon for AEC’s to tackle this global issue.
BIM provides a unique approach to Architects, Engineers, and Construction professionals to work collaboratively on a plan, designing and managing the projects seamlessly.
2. New Standards in the BIM Market to Fuel its Growth
In the year 2019, the International Organization for Standardization (ISO) Published a new set of standards for the BIM industry, named ISO 19650.
According to IS, the new set of standards will provide a framework for all the designers and contractors involved in the project from various locations to work more efficiently. These new standards will help the BIM industry as it will encourage its use globally.
The basis of ISO 19650 is the British Standard BS 1192 and the public standard PAS 1192-1, which has helped the customers to cut down the cost by 22%.
3. The Rise of BIM based Software’s
The only industry which remained unaffected and even outperformed the market during the pandemic was the software industry. The demand for BIM-based software is seeing a surge due to its usability. The software used for BIM helps in better visualization, cost-effectiveness and ease of use for the people using it.
The Software segment accounts for the largest market share in the BIM market by type and is mostly dominated by the Architecture and Construction Software.
Challenges Faced in the Construction Industry
The construction industry is expected to grow rapidly with time and there are many challenges that are hampering its growth. Check out the blog to learn more about the challenges faced in the construction industry.
Demographics of the BIM Market
North America is the largest Market for BIM. Due to the early adoption of BIM, it holds the largest market share of BIM. The big giants like Autodesk, Trimble, AECOM, Archidata holds the largest share of the Software Market.
The Market Share of North America is expected to reach 34.4% of the total BIM Global Market by 2025.
APAC or the Asian Pacific region is expected to show the highest CAGR in the BIM Market in the upcoming years. The large number of population and increasing demand for infrastructure makes it the best market for BIM to grow exponentially.
APAC is the most emerging market for BIM, countries like China, India, Japan, Korea are showing rapid changes in their government policies to adopt BIM. The APAC region is expected to show a CAGR of 16.6%.
The BIM Process is the innovation that is going to change the face of the AEC industry, due to its usability. Its adoption in the industry is evident from its high growth rate. It would be interesting to see how such technologies will disrupt the industry and change its way to make it to the people of the industry.