ID: MRFR/CO/3547-CRR | September, 2018 | Region: Global | 111 pages | Cooked Research Reports
Global Green Buildings Market: Information by Product (Interiors, Exteriors), Application (Residential, Non-residential), and Region - Forecast Till 2023
Green building materials do not contain lead and may contribute to energy and building construction savings in the long run. Green buildings are an optimal solution to counter global warming and its effects. The global green buildings market is projected to enjoy an impressive 10.26% CAGR through 2018 to 2023 (forecast period). The emphasis on sustainablity and the pressing need of nations to reduce their carbon footprint are factors expected to drive the market growth during the forecast period.
Supportive government policies encouraging the construction of these buildings coupled with sustainable certifications such as the Leadership in Energy and Environmental Design (LEED) are anticipated to fuel market demand. The high resale value of these properties is another factor expected to kickstart the construction of these buildings in developing economies such as India. But the time required to acquire LEED certifications can restrain market growth.
The report provides an accurate overview of the market by correlating the historical data with key market dynamics. Our analysts make highly astute projections regarding the scope of the market and its future prospects. MRFR’s report includes a thorough analysis of the global green buildings market segmented according to product, application, and region. Trends and opportunities are highlighted coupled with the market share of companies as well as their valuation in the market. It analyzes new revenue sources for players and outlines the various strategies implemented by players.
By product, the global green buildings market is segmented into interior and exterior products. By application, the market includes residential and non-residential. The segments covered in the green buildings market report are analyzed with respect to four main regions – North America, Europe, Asia Pacific (APAC), and the Middle East & Africa (MEA), with respective country-level market sizing. The report discusses in detail the various players residing in these regions and their respective strategies to climb up the market ladder.
Key players in the green building materials market include NATiVE (U.S.), Bauder Limited (U.K.), Ginkgo Sustainability (Canada), Kingspan Group plc (Ireland), Green Build Products (I) Pvt Ltd (India), Saint Gobain S.A. (Germany), SGS (Switzerland), E. I. du Pont de Nemours and Company (U.S.), Weinerberger AG (Austria), Green Building Store (U.K.), and others. The report offers comprehensive profiles on these market players and assesses their current standing in the market. Company history coupled with annual turnover, profit margins, segmental share, SWOT analysis, growth strategies, expansion techniques, and latest R&D initiatives are discussed in minute detail.
At MRFR, our research analysts conduct a thorough objective analysis of the market while creating market reports by adhering to a rigorous set of standards which allow a truly comprehensive view of the market. Use of primary research strategies such as interviews with top executives of research institutes and construction material suppliers. Secondary research entails a thorough analysis of past and present trends in a forward-looking manner. Additionally, market size estimation and validation use both top-down & bottom-up approaches to obtain data from the value and supply chain. The balanced number of buyers and suppliers will result in a negligible demand-supply gap. Credible resources are accessed and verified by analysts to understand the nuances of market factors with consistency. Competent data analysts use strong analytical tools to ascertain accurate analysis of very relevant parameters in an effort to provide clients with a conclusive and dependable view of the future.
For the scope of research, the report offers a comprehensive analysis of the global green buildings market.
Green Building Market – Summary
The life, standing on the brink of a significant environmental upheaval, has triggered a need for innovations that would both enhance lifestyle and sustainability of the constructions. Leaving minimal carbon footprint is the need of the hour and developers are responding well with the constant implementation of innovative technologies. Results are astonishingly supportive as their impacts are long-lasting and assist in plummeting of the associated costs. Green buildings use less water, increases energy efficiency, minimizes waste production, and creates healthier ambiance for a living. It is gaining traction among builders, and the rising inclination of consumers towards this type of building can ensure a robust CAGR of 10.26% during the forecast period (2018-2023). Market Research Future’s (MRFR) report further incorporates various drivers that would significantly impact the market during the review period and provides an in-depth analysis of the segments that would ensure a reliable future market prediction.
Eco-awareness is promoting the market the most. Global warming is fast becoming a persistent issue and countering this, requires involvement in every level and proper execution of plans. Green building is a step ahead towards the future with a positive influence on various environmental, economic and social factors. Government initiatives are also promoting the green building constructions substantially.
These buildings bring down the cost substantially by bettering the environmental performance and using fewer resources. Leadership in Energy and Environmental Design (LEED) certified buildings reduce carbon emission by 34% and consume 25% less energy than the conventional buildings which can give builders an edge over the rest. Furthermore, its resale value is also considerably high which would give builders and owners to charge higher rent or price for the same.
However, obtaining LEED-certification is a time-consuming affair owing to which cost of the building could rise. At the same time, professionals with a keen eye for the value of all green components such as ventilation control, lighting control, temperature control, and abundant daylighting are not that easy to find. Hence, the lack of expertise can affect the structural design of such buildings.
By product, the global green building market can be segmented into exterior products and interior products. With 79.6% of the worldwide market share, exterior products are currently dominating the segment. The market can quickly climb up to a valuation of USD 268,573.8 million during the forecast period and can record a stellar CAGR of 10.76% by 2023. Exterior products can be further segmented into smart lighting, HVAC systems, solar products, building systems, and others. Interiors include roofing and flooring.
Application-wise, the market can be segmented into residential and non-residential. Residential segment has the upper hand with a market coverage of over 60.9%, and it accounted for a market value of USD 123,401.5 million in 2018 which can go up to USD 206,855.7 million by 2023 with a healthy CAGR of 10.88%. However, non-residential segment can expect to reach a valuation of USD 121,270 million with a CAGR of 9.25%.
Based on the global map, the market can be arranged according to regions that include namely North America, Europe, Asia Pacific, (APAC), and the Middle East & Africa (MEA).
Region-wise, the market is pretty steep, where others are giving North America, the market leader, a neck-to-neck competition. North America dominates 29.41% of the market, whereas, Europe has over 25.3%. In 2018, the market value of North America has been estimated at USD 59,537 million which can go further up to USD 99,805.5 million during the forecast period with the fastest CAGR of 10.89%. Technological advancements and awareness regarding the environment are spurring the market growth.
Europe is currently holding the second position in the market with its market value estimated at USD 51,030.1 million in 2018, and an expected CAGR of 10.39% can take them up to USD 83,669.1 million by 2023. Strict government regulations regarding the environment and technological brilliance are giving the market the much-needed tailwind.
The APAC market is not far behind. With a market share of almost 24.5%, the region is performing excellently and can touch a valuation of USD 79,527 million during the forecast period. If the market continues to enjoy the favorable winds provided by builders and governments, then achieving a CAGR of 10.09% would not be an uphill task.
The MEA market would not slacken far behind, and the region is more in need of such buildings as the climate offers extreme states most of the time in that area. The market valuation could go up to USD 65,124 million with an anticipated CAGR of 9.39% during the forecast period.
The organic and inorganic approaches adopted by the key players in the market involve business strategies such as acquisitions, expansions, product launch, and collaboration. For instance, in 2015, SGS announced a partnership with Thinkstep to expand their business portfolio by permeating to nearly 100 developing countries. Kingspan Group Plc. on the other hand, is growing their business by setting up new offices in countries such as Mexico, Australia, the U.A.E., and Finland.
Prominent players contributing in the market growth are E. I. du Pont de Nemours & Company, Saint Gobain S.A., Wienerberger AG, SGS, Kingspan Group Plc., Bauder, NATiVE, Green Building Store, Ginkgo Sustainability Inc., Green Build Products (I) Pvt. Ltd., and others.
Global green building market: Competitive Landscape
The global green building market is characterized by the presence of many global, regional, and local players. E. I. du Pont de Nemours and Company, Saint Global S.A, Wienerberger AG, SGS and Kingspan Group Plc. are the major five players operating in the global green building market in 2017. E. I. du Pont de Nemours and Company holding the largest share among top five players with a share of 6.97% as of 2017 followed by Saint Global S.A and Wienerberger AG with the respective shares of 4.45% and 2.36%. These companies continue to retain their strong global presence through expansion, merger & acquisition, partnership & collaboration, and extensive product portfolio.
Saint Global S.A. is French manufacturing company founded in 1665, headquartered in Paris. They are a glass manufacturing company but also produces a variety of construction and high-performance materials. The company is segmented, under three businesses as innovative materials, construction products, and building distribution. Saint-Gobain encourages sustainable construction and develops innovative solutions for new and renovated buildings that are energy efficient, comfortable, healthy and aesthetically superior, while at the same time protecting natural resources. The company has expanded their presence in various areas such as France, other Western European countries, North America, and the emerging countries of Asia. In 2016, the company had a strength of around 172,696 employees for different locations. The company intends to continue to increase their market share in the current business lines and related business lines through acquisitions and internal growth. They use a disciplined approach to make acquisitions that generate attractive cash returns, and as a result, they expect to continue to expand and diversify the customer base, geographic presence, and product lines.
Wienerberger AG is a global supplier of building material and infrastructure solutions situated in Vienna. Founded in 1819, The Company is a multinational producer of clay blocks, facing bricks and roof tiles, ceramic and plastic pipes, and concrete and clay pavers. They are the parent company of a building materials group, whose business activities are classified into six segments. They are Clay Building Materials, Eastern Europe, Clay Building Materials, Western Europe, Pipes & Pavers, Eastern Europe, Pipes & Pavers Western Europe, North America and Holding & Others. The company wants to be the most highly regarded producer of building materials and infrastructure solutions. The primary goal is to achieve a sustainable increase in the value of the company in accordance with ecological, social and economic principles. The company has continuously been focusing on improving and further developing products and system solutions for all fields of application. Key priorities include the judicious use of raw materials, experiments with new materials, and more efficient production processes, and innovation in the fields of application, their use, and reuse.
SGS is the world's leading inspection, verification, testing, and certification company in Switzerland. SGS is the world’s leading inspection, verification, testing, and Certification Company. Established in 1878, SGS transformed grain trading in Europe and is recognized as the global benchmark for quality and integrity. The company also offers infrastructure & building services, green building services. They operate a network of more than 2,400 offices and laboratories around the world, with more than 95,000 employees. SGS green building environmental teams offer a comprehensive range of consultancy, assessment, testing and certification services. As a full-service provider, the company has an expert team and equipment to handle the services related to green buildings. With attention to detail and an unmatched level of dedication towards customers, the company plans to grow and become a trusted source for all sustainable building needs.
Kingspan Group Plc. was founded in 1965 and is based in Ireland. The company with its subsidiaries provides building solutions for the construction industry globally. It operates through five divisions: Insulated Panels, Insulation Boards, Access Floor Systems, Environmental, and Light & Air. The company offers insulation panels, such as metal façades, architectural roofing systems, rooftop solar PV solutions, structural steel solutions, and door components for property developers, building owners, designers, contractors, and insurers; and insulations products, including insulation boards, pipe and ductwork insulation products, and engineered timber systems for domestic, non-domestic, new-build, and refurbishment sectors. With more than 11,000 employees globally, the company has over 100 manufacturing facilities located in more than 60 countries. The company is focused on innovation, globalization, penetration, and net-zero energy. Product innovation and range expansion progressed across the group, the most significant of which was the roll-out of QuadCore across, approximately, one-third of their insulated panel facilities, worldwide.