Global BACS market resilience
Contents |
[edit] Introduction
As of February 2020, BSRIA’s research was pointing to sustained growth of 4% CAGR for the global Building Automation Controls (BACS) market up to 2024. This was before the emergence of the coronavirus as a significant global threat.
While it is still too early to assess the social or economic impact, there is likely to be at least some short to medium term effect. Against this, growing awareness of the likely serious impact of climate change should encourage investment in BACS in the medium to longer term, especially where this is encouraged by government intervention and regulation.
[edit] Market value update
The global BACS product market was valued at USD 6.3 billion in 2019 and accounts for around a third of the installed value of USD 19.4 billion. Some 14% is related to other products such as wiring and panels, while the remaining 55% was counted for by commissioning, installation, service and maintenance.
Service and maintenance on its own account for approximately 25% of the installed value of USD 19.4 billion. This makes it a major industry, larger than the current GDP of about 40% of the world’s countries.
[edit] Third party suppliers
63% of the BACS products are sold via third party, and of the remainder, 37% are installed by the supplier’s in-house contractors. Most of the large suppliers undertake installation work as well as service & maintenance in-house, but the business models tend to be country specific.
BSRIA has found evidence that in some countries, some of the larger suppliers are placing greater emphasis on services and consultancy as a means of establishing a deeper and more strategic relationship with the end client.
[edit] Growth projections
The global BACS product market is expected to grow by around 4% per year up to 2024 with decent evolution across all products segments and with software growing at twice that rate. The advance of software is boosted by increasing uptake of energy efficiency and analytics software as building managers seek to understand all aspects of their buildings’ performance so that they can manage it more effectively.
As the software and systems become more intelligent, they will increasingly be able to “self-manage” which will further aid building operators. If the systems are advanced enough to manage themselves to a greater degree, then so much the better.
BACS solutions are increasingly expanding out from their traditional role in managing HVAC to embrace other areas of building technology. Lighting, blinds, access controls, intrusion, surveillance cameras, fire notification etc. are gradually being added to BACS installations. The move towards the truly smart building, which optimises comfort and wellbeing as well as energy efficiency requires that these services ‘collaborate’ which is most likely to be achieved by working as part of a common system. The most commonly seen example at present is where HVAC, lighting and blinds are managed by a common system. In this scenario, blinds can be closed, and lighting adjusted as appropriate. This saves energy while creating better conditions within the building.
Similarly, coordinating HVAC systems with room booking systems and with presence detectors can ensure that rooms have the desired temperature and ventilation when needed, while minimising unnecessary heating or cooling.
While the wellbeing agenda is still in its early stages in most markets, in the longer term the advance of AI and growing expectations of what buildings can achieve is likely to see continued global growth of BACS and its gradual evolution into a true enabler of smart buildings.
This article was originally published as "Is the Global BACS Market Healthy Enough to Weather the Gathering Storm?" on the BSRIA website on March 2020.
Find out more at:
- America enquiries: http://www.bsria.com/us
- China enquiries: http://www.bsria.com.cn
- EMEA and all other enquiries: http://www.bsria.com/uk
--BSRIA
[edit] Related articles on Designing Buildings
- BACS building automation controls - the information revolution.
- BSRIA articles.
- BSRIA study shows uptake of convergence and IoT in commercial buildings.
- BSRIA.
- BSRIA World Building Automation and Control Systems 2022.
- Building Automation and Control System BACS.
- Building energy management systems BEMS.
- Building management systems.
- Building services.
- Commercial building automation market.
- Energy management and building controls.
- European BACS Market 2019 - 2024.
- Global building energy management systems market.
- Global study of challenges and opportunities in the BACS market.
Featured articles and news
Deputy editor of AT, Tim Fraser, discusses the newly formed society with its current chair, Chris Halligan MCIAT.
Barratt Lo-E passivhaus standard homes planned enmasse
With an initial 728 Lo-E homes across two sites and many more planned for the future.
Government urged to uphold Warm Homes commitment
ECA and industry bodies write to Government concerning its 13.2 billion Warm Homes manifesto commitment.
Places of Worship in Britain and Ireland, 1929-1990. Book review.
The emancipation of women in art.
CIOB Construction Manager of the Year 2025
Just one of the winners at the CIOB Awards 2025.
Call for independent National Grenfell oversight mechanism
MHCLG share findings of Building Safety Inquiry in letter to Secretary of State and Minister for Building Safety.
The Architectural Technology Awards
AT Awards now open for this the sixth decade of CIAT.
50th Golden anniversary ECA Edmundson awards
Deadline for submissions Friday 30 May 2025.
The benefits of precast, off-site foundation systems
Top ten benefits of this notable innovation.
Encouraging individuals to take action saving water at home, work, and in their communities.
Takes a community to support mental health and wellbeing
The why of becoming a Mental Health Instructor explained.
Mental health awareness week 13-18 May
The theme is communities, they can provide a sense of belonging, safety, support in hard times, and a sense purpose.
Mental health support on the rise but workers still struggling
CIOB Understanding Mental Health in the Built Environment 2025 shows.
Design and construction material libraries
Material, sample, product or detail libraries a key component of any architectural design practice.
Construction Products Reform Green Paper and Consultation
Still time to respond as consultation closes on 21 May 2025.
Resilient façade systems for smog reduction in Shanghai
A technical approach using computer simulation and analysis of solar radiation, wind patterns, and ventilation.