EPC Consulting Market Is Estimated To Witness High Growth
Engineering, procurement and construction (EPC) consulting involves providing support to engineering, procurement and construction contractors in executing projects from initial conceptual planning and designing to procurement, construction management and commissioning. EPC consulting helps in efficient project execution by offering services such as conceptual estimating, engineering design reviews, cost management, contract reviews and project management. With growing infrastructure development globally, the demand for engineering and construction services has increased rapidly. This rising need for sophisticated engineering capabilities is driving the EPC consulting market. The global EPC consulting market is estimated to be valued at US$ 11.4 Bn in 2023 and is expected to exhibit a CAGR of 23% over the forecast period 2023-2030, as highlighted in a new report published by Coherent Market Insights.
Market Opportunity:
The surging need for engineering services from end-use industries such as oil & gas, power, mining and infrastructure is a key growth opportunity for players in the EPC consulting market. With growing investments in building complex plants, refineries, power projects and transport infrastructures globally, the demand for specialized engineering expertise is witnessing strong momentum. EPC consulting firms help project owners and contractors bridge technological and skill gaps through value-added services ranging from feasibility studies and conceptual estimating to engineering design reviews. They assist in managing engineering intricacies, schedule risks and budget overruns effectively. The escalating requirement of engineering competencies from sectors spearheading global economic expansion will continue powering revenue growth of EPC consulting market over the forecast period.
Porter’s Analysis
Threat of new entrants: The high capital requirements and barriers to entry like patents and existing customer relationships make it difficult for new players to enter the market.
Bargaining power of buyers: Buyers have moderate bargaining power due to the presence of many vendors providing EPC consulting services. However, switching costs make buyers dependent on existing vendors.
Bargaining power of suppliers: There is a large number of technical experts and consultants providing their services. This gives buyers more options and keeps supplier bargaining power in check.
Threat of new substitutes: Substitutes like digital marketing consulting pose a threat, but they cannot replace the core web analytics capabilities that EPC consulting provides.
Competitive rivalry: The market is competitive with key players differentiating based on industry expertise, technology solutions, and analytics capabilities.
SWOT Analysis
Strength: Proven track record of success, established relationships, and diverse expertise across industries and technologies.
Weaknesses: High employee turnover rates, reliance on seasonal or temporary contracts, geographic limitations.
Opportunities: Growing demand for data-driven marketing strategies, expansion to related fields like mobile and AI.
Threats: Economic slowdowns limiting Marketing budgets, increasing commoditization of basic services.
Key Takeaways
The global EPC Consulting Market Analysis is expected to witness high over the forecast period supported by increasing digital transformation and the need for analytics-based marketing strategies. The market in North America holds the largest share currently owing to technological advancements and early adoption among enterprises. However, Asia Pacific is expected to grow at the fastest pace with over 30% CAGR driven by developing economies investing aggressively in digital tools.
Key regional trends indicate that China has emerged as the largest EPC consulting market in Asia supported by the government push for digital infrastructure and increasing investments by technology companies in cloud, analytics, and advertising technology. Europe follows North America in market share on the back of strong data privacy regulations driving compliance projects.
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