Engineering and Design Services Industry Report by Regional Category Spend, Price Analysis, Key Demand, Price Indicators, and Best Buying Practices

The global Engineering and Design Services market reached a value of USD 8.5 billion in 2021. The industry is projected to grow at a CAGR of around 6.8% in the forecast period of 2022-2027 to reach a value of USD 12.61 billion by 2027.

The Engineering and Design Services industry report comprehensively analyses the industry, including key segments, trends, drivers, restraints, the competitive landscape, and other essential market aspects. The market is predominantly being propelled by the rising investment in industrial, transport, commercial and non-residential infrastructure sectors in the developing countries. The Asia Pacific is the highest category spender by region which is driving the demand for the Engineering and Design Services industry.

Industry Definition and Segmentation

The engineering services market comprises the process of selling services by the engineering firms. These firms employ substantial regulations and laws of engineering in the framework, development, and usages of machines and equipment, resources, forms and constructions, procedures, tools and devices, and techniques. These services by the engineering companies consists of technical application of engineering in framing and designing the product, innovations, and newness, among others in various industries like construction, power and energy, transportation, mining, manufacturing or fabrication and others. The global Engineering and Design Services industry report comprises segments based on region (North America, Europe, Asia Pacific, and Latin America).

The Asia Pacific Region is Driving the Growth of the Industry

The Asia Pacific region is controlling the global engineering and designing market with extremely populated countries like, India and China primarily dominating in the region. China is making considerable investments in the infrastructural projects which in turn is offering prospects for engineering and designing services to stimulate in the region, including the operational gains. Besides, the pace at which these countries are being urbanised there has been a rise in the utilisation of products and services, helping several industries to enhance their infrastructure and offices, providing a high-level of opportunity for the market to grow its impression in the region. Moreover, the investments made by the governments in these economies in the aviation sector to increase worldwide trade is additionally propelling the market growth.

The demand for modular and sustainable design, and smart layout to resolve intricate construction needs are driving the engineering and design services market. High level of urbanisation specifically in the emerging countries has increased the utilisation of products and services which is further fostering numerous industries to enhance and improve their infrastructure and premises. Additionally, the introduction of various plans and projects by the government to renovate the dwindling infrastructure in the country and growth in the investments by the public and private sectors in commercial, healthcare, residential, and educational structural construction ventures across the globe are supporting civil engineering market to augment extensively. Moreover, the increasing importance of robots in the construction and building industry to perform repetitive and tedious work that improves the safety of the workers, supporting to raise the overall efficiency, hence increases the market share.

Nevertheless, safety concerns of the workers and absence of quality checks are the major issues of the engineering companies that can hamper its market progression. Also, heightened expenses and delays are caused by the unsuccessful internal regulations and safety methods which hinders the total quality of the services provided which may hurt the market growth.

Best Procurement Practices

The global Engineering and Design Services oil industry report by Procurement Resource gives an in-depth analysis of the best buying practices followed by Engineering and Design Services providing and utilising regions across the globe, such as contract terms, engagement models, and buyer and supplier negotiation levers, among others.

Category Management Studies

Engineering and design services firms provide a complete solution to resolve concerns beginning from ideation phase through development and design, and to engineering and manufacturing. Both engineering and design go together and cannot be separated from one another. The main motive of the company is to provide the product which should function properly in all terms of specifications; hence engineering is something which needs to be integrated from start to end in the production process. The engineering and design firms also include innovations and latest technologies in various steps of building the product or providing the services. Therefore, these companies offer, ideation, innovation engineering, solving concerns of the clients, and providing engineering consultation. Besides, the design begins at the drawing board, which at times is done digitally using competent CAD modelers who can take any concept and transform it into resulted product drawings.

Increasing popularity and adoption of the Internet of Things (IoT) are Anticipated to Further Drive the Engineering and Design Services Market

The rising acceptance and implementation of the Internet of Things (IoT) is the newest development in the global engineering services market. IoT supports constant innovations in real-time data analytics, framework and design, and development of the products and supports various companies to expand their businesses more rapidly. Engineering and design service suppliers are progressively utilising industrial IoT to enhance and augment their manufacturing process with superior energy management, distribution of resources, and asset administration. For instance, India holds 43% of the global market share in the IoT market followed by Europe with 27% and North America with 23% stake.

The key zones in the industry are the North America, Europe, Asia Pacific, and Latin America.

Key Industry Players Mentioned in the Engineering and Design Services Industry Report

• WSP Global Inc
• WorleyParsons Ltd.
• Arcadis NV
• SNC-Lavalin Group Inc.
• Stantec Inc.

Market Landscape

Owing to the existence of several prominent international players, the engineering and design services market is very competitive. The market is witnessing a substantial trend of mergers and partnerships of several engineering companies globally over a period to boost their footing in the market. The international firms present in the market are more covetous and look for opportunities to procure smaller companies which may put obstacle for new competitors. Moreover, leading platers in the market are assertively creating solutions that can possibly aid producers in executing futuristic and modern technologies in their engineering ventures.  This is done to improve loyalty of the customers and sustain prolonged relationships.

Key Initiatives by Companies

• In 2020, Wipro, an Indian based provider of software services, acquired Eximius Design spending USD 80 million. This possession is likely to bolster the presence of Wipro in the market in the semiconductor system.
• In October 2019, a collaboration was established between North Carolina Department of Transportation (NCDOT) to enhance traffic flow on a 5.1-mile area of U.S. 70 in James City in Craven County. This enterprise is intended to develop approach to regional community services and boost economic development in the community.