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Connected World of the Future Enhances Value Proposition of Smart Building Systems According to Frost & Sullivan - Communicating the benefits of smart building systems vital for wide-spread adoption - BuildingTechnologies.Frost.com
Connected World of the Future Enhances Value Proposition of Smart Building Systems According to Frost & Sullivan

 

PRZOOM - /newswire/ - Mountain View, CA, United States, 2014/07/21 - Communicating the benefits of smart building systems vital for wide-spread adoption - BuildingTechnologies.Frost.com.

   
 
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The transition to smart buildings is progressively gaining momentum as a burgeoning global population strains aging infrastructures. Market growth will also be fuelled by greater demand for, and improved affordability of, building level sensors. The evolution towards a connected world will further spur the adoption of smart building systems. Companies that invest early will be best placed to reap rewards in emerging markets, especially as the Internet of Things becomes a reality.

New analysis from Frost & Sullivan, The Smart Building Systems Market in North America, finds that the market earned revenue of $2.5 billion in 2013 and estimates this to reach $4.29 billion in 2018 at a compound annual growth rate of 9.4 percent.

The need for energy efficiency drives the smart building systems market as the landscape is increasingly competitive and organizations look to save capital wherever possible. When compared to legacy alternatives, smart buildings can save 40 percent or more of energy used.

"Increased focus on operational cost savings, occupancy efficiencies and environmental sustainability will open up new, as well as retrofit, opportunities for smart systems," said Frost & Sullivan Visionary Innovation Consultant Pramod Dibble. "Advanced capabilities such as remote monitoring, automated fault detection and diagnostics, predictive maintenance, and data governance will also facilitate the shift to smart platforms."

However, lack of understanding about these benefits on the part of building owners and facility managers is a key issue. The perceived high-cost of acquiring a system also deters many clients, holding this market back from its true potential. Most organizations compare building systems based on solely the first-cost or by using simple payback analysis tools, neither of which give a true economic estimate of total cost nor expected value of the product.

"A concerted educational effort will be vital to effectively communicate the value proposition of smart building solutions and provide prospective customers with the tools to perform a thorough cost-benefit analysis of competing systems," noted Dibble. "These tools must be developed by an expert third-party organization with demonstrated excellence in economic modelling and exhaustive industry knowledge."

Additionally, support must exist for open source protocols to drive costs of smart building systems down, which will subsequently increase adoption rates.

The Smart Building Systems Market in North America is a Market Insight that is part of the Building Management Technologies (buildingtechnologies.frost.com) Growth Partnership Service program. Frost & Sullivan’s related studies include: Smart Public Transportation in Europe, The Impact of Energy Storage in Smart Cities, and Smart Homes in Asia-Pacific A CEO's 360-Degree Perspective. All studies included in subscriptions provide detailed market opportunities and industry trends evaluated following extensive interviews with market participants.

About Frost & Sullivan
Frost & Sullivan (frost.com), the Growth Partnership Company, works in collaboration with clients to leverage visionary innovation that addresses the global challenges and related growth opportunities that will make or break today's market participants.

Our "Growth Partnership" supports clients by addressing these opportunities and incorporating two key elements driving visionary innovation: The Integrated Value Proposition and The Partnership Infrastructure.

The Integrated Value Proposition provides support to our clients throughout all phases of their journey to visionary innovation including: research, analysis, strategy, vision, innovation and implementation.
The Partnership Infrastructure is entirely unique as it constructs the foundation upon which visionary innovation becomes possible. This includes our 360 degree research, comprehensive industry coverage, career best practices as well as our global footprint of more than 40 offices.

For more than 50 years, we have been developing growth strategies for the global 1000, emerging businesses, the public sector and the investment community. Is your organization prepared for the next profound wave of industry convergence, disruptive technologies, increasing competitive intensity, Mega Trends, breakthrough best practices, changing customer dynamics and emerging economies?

Contact Us: Start the discussion | Join Us: Join our community | Subscribe: Newsletter on "the next big thing" | Register: Gain access to visionary innovation

The Smart Building Systems Market in North America / ND78-19

 
 
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Connected World of the Future Enhances Value Proposition of Smart Building Systems According to Frost & Sullivan

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Frost & Sullivan | Smart Building Systems
Contact: Ariel Brown - Frost.com 
210-247-2481 ariel.brown[.]frost.com
 
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