Facility Management Market Size and Share Outlook - Forecast Trends and Growth Analysis Report (2025-2034)

The facility management market was valued at USD 1.59 trillion in 2024. It is expected to grow at a CAGR of 3.60% from 2025 to 2034, reaching approximately USD 2.27 trillion by 2034.

Facility management, often abbreviated as FM, is the practice of providing efficient and effective delivery of support services, such as asset tracking and management, space optimisation, system of record, cost analysis, and integration, to an organisation that it serves. It allows a workplace to run at maximum efficiency by integrating people, places, processes, and technology. It enhances the productivity of the core business and maximises the functionality, comfort, and efficiency of the built environment.

The dramatic change in workplace design and work culture is one of the major factors driving the facility management market growth globally. There has been an increased focus of organisations on optimisation processes and energy efficiency improvements.

Additionally, the growing urbanisation and the rising investments in infrastructure projects, particularly in developing nations, are also aiding the market growth. Over the forecast period, a surge in the adoption of digital technologies is expected to compel facility management providers to focus on the integration of digital technologies. Further, the growing preference for integrated facility management (IFM) services is expected to be a major facility management market trend in the coming years.

Key Trends and Developments

Rising integration of artificial intelligence and automation; utilisation of analytics in management; increasing adoption of automation; and focus on sustainability are expected to significantly influence the facility management market growth.

Mar 8th 2024

China announced a 7.2% increase in its 2024 defense budget at the National People’s Congress, amidst economic challenges and a modest 3.8% growth in overall government spending.

Mar 6th 2024

Amsted Automotive launched Means Nanjing Automotive Components Ltd. in China, its 22nd global site, producing driveline solutions for Asia's automotive market.

Feb 15th 2024

Matterport launched Property Intelligence, offering AI-powered automated measurements, layouts, and editing from digital twins, unlocking unprecedented property data access through advancements in spatial data and AI technology.

Oct 18th 2023

SodexoMagic partnered with SalusCare to offer food service and facilities management in Southwest Florida, employing around 19 for a five-year contract, enhancing mental health and substance abuse treatment services.

Integration of advanced technologies

Advancements in IoT, AI, and machine learning are revolutionising facility management, enabling predictive maintenance and smarter operations for cost efficiency and superior service.

Focus on sustainability

Facility management providers are increasingly adopting green practices, such as energy-efficient systems and sustainable sourcing, to meet environmental goals and comply with regulations.

Rise of smart buildings

The adoption of smart buildings, with their automation and connectivity, is enhancing occupant experiences, improving energy efficiency, and reducing costs for facility managers.

Data analytics for decision-making

Facility managers are increasingly leveraging data analytics to inform decisions on maintenance, space optimisation, and operational enhancements, improving efficiency and effectiveness.

Global Facility Management Market Trends

The integration of artificial intelligence, machine learning, and IoT has been at the forefront of transforming facility management services. These technologies enable predictive maintenance, which anticipates and addresses issues before they become problematic, thereby reducing downtime and associated costs. Smart operations, facilitated by AI and machine learning, optimise building systems to enhance efficiency and service delivery.

The growing global emphasis on sustainability has significantly influenced the facility management market expansion. This trend involves adopting green practices such as implementing energy-efficient systems, reducing waste, and sourcing materials sustainably. The aim is to minimise the environmental footprint of facilities while complying with increasingly stringent regulatory requirements. Sustainable practices not only contribute to environmental conservation but also lead to significant cost savings over time, particularly through reduced energy and resource consumption.

Furthermore, data collected from IoT devices can be analysed using AI to optimise energy consumption, directly contributing to sustainability efforts. Predictive maintenance ensures that systems operate at peak efficiency, reducing unnecessary energy use and prolonging the life of equipment, which aligns with sustainability by minimising waste.

Market Segmentation

“Global Facility Management Industry Report and Forecast 2025-2034” offers a detailed analysis of the market based on the following segments:

Market Breakup by Type

• In-House
• Outsourced
• IFM
• Others

Market Breakup by Sector

• Public
• Private
• Others

Market Breakup by Service

• Soft Services
• Hard Service
• Others

Market Breakup by Industry

• Banking, Financial Services, and Insurance
• Healthcare
• IT and Telecom
• Manufacturing
• Education
• Military and Defence
• Energy and Utilities
• Construction and Real Estate
• Others

Market Breakup by Region

• North America
• Europe
• Asia-Pacific
• Latin America
• Middle East and Africa

Global Facility Management Market Share

Rising preference towards outsourced services is expected to enhance the market growth in the coming years

Outsourced services have been holding a majority of the facility management market share as companies are increasingly outsourcing facilities management.

Within the outsourced segment, integrated facility management (IFM) services are expected to witness robust growth in the forecast period. Trends in the market, such as the increasing demand for performance-based contracts and the growing adoption of digital technologies, are expected to provide enhanced growth opportunities for the facility management market expansion in the coming years.

With increasing globalisation and the expansion of organisations across multiple locations, the demand for facility management is expected to surge in the coming years. The increasing trend for working from home is resulting in a growing need for secure collaboration, particularly with the handling of sensitive data.

Integration of sustainable technologies is expected to propel the global facility management market demand

Owing to the increasing technological advancements and rising emphasis on sustainability, the demand for hard services, such as HVAC, electrical, plumbing, and building maintenance services, is expected to surge during the forecast period. The demand is expected to be propelled by the increasing complexity of building systems, the need for energy efficiency, and the integration of smart building technologies.

Meanwhile, soft services in the global facility management market are expected to register substantial growth owing to the consumer’s rising awareness related to health and safety.

Competitive Landscape

Some of the major players included in the market are increasingly utilising artificial intelligence and machine learning for improved services.

CBRE Group, Inc.

CBRE Group, Inc. is a global commercial real estate services and investment firm, headquartered in Texas, United States. It was founded in 1906 and is one of the largest companies of its kind, offering a broad range of services including property management, investment management, appraisal and valuation, property leasing, strategic consulting, property sales, mortgage services, and development services.

Compass Group

Compass Group is a British multinational contract food service company, headquartered in Surrey, England. With the beginning of its operations in 1994, the company has established itself as the largest contract food service company in the world. Compass Group provides catering and support services in a variety of sectors, including education, healthcare, corporate, and leisure. Their services range from food service to facility management, including cleaning and security services.

Jones Lang LaSalle Inc. (JLL)

Jones Lang LaSalle Incorporated, commonly known as JLL, is a global commercial real estate services company, with its origins dating back to 1783. Headquartered in Illinois, United States, JLL provides a wide range of services such as real estate and investment management, corporate leasing, property management, project and development services, and valuation and advisory services. JLL serves clients in both commercial and residential real estate sectors, offering expertise and strategic advice to help them navigate the property market.

Dusters Total Solutions Services Pvt. Ltd

Dusters Total Solutions Services Pvt. Ltd, often referred to as DTSS, is an Indian facility management services company, founded in 1994. While not as globally renowned as the other firms mentioned, DTSS provides a comprehensive range of services including housekeeping, security, engineering maintenance, and pest control services. It caters to various sectors including corporate offices, educational institutions, malls, hospitals, and industrial facilities, focusing on delivering customised and efficient solutions to meet the specific needs of its clients.

Other key players in the global facility management market are BVG India Limited, ISS Facility Services India Pvt. Ltd., Cushman & Wakefield, Inc., Sodexo, Mace Group, and Flexim Group SA, among others.

Global Facility Management Market Analysis by Region

North America is expected to hold a significant portion of the market share in the coming years. The demand for FM solutions is growing as the organisations in this region have been early adopters of advanced technologies and management solutions.

The increased penetration of key players, growing investments by various organisations to streamline the workflow and enhance their efficiency, and rapidly growing economies in the region are boosting the demand for facility management services. The US facilities management market, as well as the market in Canada, are providing enhanced opportunities for overall growth in North America.

Meanwhile, the Asia-Pacific is expected to witness robust growth in the forecast period owing to the rising adoption of advanced technologies like IoT, AI, and others, and the increasing construction activities in the region.

The India facility management market has been experiencing significant growth, with the growing competition amongst companies encouraging them to optimise their operations. As awareness regarding the benefits of facility management grew, more companies sought facility management services and software.