The global BIM in construction market size was valued at USD 3,320.1 million in 2021. It is projected to reach USD 11,772.8 million by 2030, growing at a CAGR of 15.1% during the forecast period (2022-2030). Building Information Modeling (BIM) is a process or software that allows architects, engineers, and construction (AEC) experts to design, plan, and construct a building or a structure using 3D models. BIM is used in construction to improve project performance and aid in better results while lowering the risks and delays typically present in such projects. Using BIM in construction can help maintain construction skills, plan materials and resources, balance costs and quality, and sequence construction processes for maximum productivity. Due to the project's inherent risk, construction projects are prone to overcharging. Unexpected obstacles, which are mainly brought on by poor planning and implementation, frequently cause projects to be delayed. BIM has many advantages for applications in modular and prefabricated construction.
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Increased Efficiency and Productivity on Construction Sites
Building information modeling software has increased efficiency and productivity on construction sites, a key element driving the industry. BIM encompasses 3D modeling, real-time data access on job sites, collision detection, estimate, quantification, and other applications with software-based user interfaces. This automates various construction processes, lowering the magnifying effect of human error throughout pre-construction, construction operation, and post-construction. Additionally, the appropriate planning of activities, including the time required for material management and execution, is made possible by integrating BIM into construction activities. This aids in time savings for specific tasks, which cuts down on the overall time required for the construction process.
Government Policies for Promotion of BIM in Construction
BIM is often classified by a range of levels ranging from 0 to 7, which are termed levels of BIM maturity. The successive tiers show improvements in the application of BIM and sophisticated techniques for data sharing among project-related stakeholders. Some nations have required and implemented BIM legislation to develop their respective construction industries and promote technology penetration to maintain construction standards. BIM adoption increased in both public and private construction enterprises in 2015 after Sweden made its use mandatory. Although BIM adoption has lagged in many industrialized nations, like China and the U.S., government mandates and policies to advance the use of BIM in building procedures are driving the market's expansion.
Rising Concerns Regarding Cyber Security
Most third-party businesses engaged in business operations maintain information technology systems and networks. Processing and upkeep of data gathered by cloud-based devices are vulnerable to cyberattacks, which may be coordinated and targeted. The integrity and confidentiality of the data are compromised as a result. Such cyberattacks may harm consumers' reputations, resulting in fines, legal action from the government, litigation with third parties, and other consequences, in addition to informational harm. Such flaws pose a severe risk to the adoption of BIM, particularly in the construction sector.
Lack of Skilled Technicians
One of the leading market restraints is the shortage of experienced specialists needed to apply BIM in the building industry. BIM usage calls for in-depth instruction on operating the program and accurately interpreting the data before it can be implied on the site. According to the Bureau of Labor Statistics in the United States, in 2018, 32 percent of people working in the construction industry were between the ages of 45 and 64. Due to this, there is a significant need for young, qualified workers.
Increasing Awareness Regarding the Benefits of BIM
One of the most significant users of natural resources is the construction sector. Due to extensive resource use, construction, and demolition (C&D), waste is produced in enormous quantities. The current waste management methods focus primarily on handling already created waste. However, effective resource planning may be carried out with the help of IoT-based software and BIM, significantly lowering waste generation. BIM usage has been increasing quickly, particularly in poorer nations. However, it is anticipated that high-level acceptance will occur soon. As a result, it is projected that throughout the projection period, opportunities will arise due to the increased knowledge of the advantages of BIM.
The global BIM in construction market share is segmented by phase of work, end-users, application, and deployment model.
Based on the phase of work, the global BIM in construction market is bifurcated into construction and operation.
The construction segment is the highest contributor to the market and is expected to grow at a CAGR of 15.3% during the forecast period. The construction sector considers the use of BIM technology during the construction process. The construction process is highly complex and comprises tasks like model-based scheduling, model-based coordination, quantification and estimation, and clash avoidance. It calls for careful planning and execution to prevent time and money wasted on resource procurement, incorrect data interpretation on the job site, resource and time management, and other issues. These tasks are made more accessible by BIM, which promotes their use during the construction phase. Furthermore, the usage of IoT-based wearables to access 3D models and data can improve the integration of BIM on-site.
The use of BIM for facility management, renovation, and material procurement applications, as well as project marketing and visualization to increase revenue from the project, are all included in the operation sector. BIM software can be effectively used for planning annual maintenance and the development of plans to locate the parts and materials necessary for the maintenance process. In addition, BIM can be used for simulation and installation and visualization of the 3D model of the project before its implementation. Additionally, BIM generates significant data during the project's pre-construction and construction phases. The building's whole lifecycle can be extended using this data to integrate with the facilities running the information.
Based on end-users, the global BIM in construction market is bifurcated into construction and operation.
The Engineers segment is the highest contributor to the market and is expected to grow at a CAGR of 14.5% during the forecast period. The engineer's category covers using BIM projects for applications like project management, estimating and quantification, scheduling, material procurement, and others by office or site engineers. After architects, engineers are the group that uses BIM the most. Quantity surveyors, structural designers, site engineers, and other professionals use BIM to extract and modify data and create information models for use in the present and the future. Numerous businesses and universities offer professional development courses to increase the number of BIM engineers.
The use of BIM by general contractors, subcontractors, and major contractors in charge of daily operations on construction sites is included in the contractor category. Along with managing trade and vendors, contractors also communicate resource and material-related information to all stakeholders engaged in a project's construction. Within the project's construction and operation phases, contractors can minimize site labor costs, improve labor productivity, reduce competition, respond to fewer change requests, and preserve openness with stakeholders and owners. This is expected to provide prospects for the BIM market in construction to expand.
Based on application, the global BIM in construction market is bifurcated into residential and non-residential.
The non-residential segment owns the highest market share and is expected to grow at a CAGR of 14.8% during the forecast period. The non-residential section includes construction projects for infrastructure, industrial buildings, hospitals, hotels, and other facilities. Bridges, highways, tunnels, and other infrastructure projects can be designed and planned using building information modeling (BIM) before construction. You may use BIM software to manage resource usage, compute imposed loads, and create virtual 3D models. Large-scale non-residential construction projects typically need complex planning, designing, and managing assets, resources, people, and equipment. Using BIM in non-residential building projects increases project productivity and reduces operational delays across various construction projects.
The residential category considers the use of BIM for home building, maintenance, and remodeling applications. Construction for residential usage, whether it be apartment-style, multi-family, or single-family, is covered in this category. It is possible to manage each stage of the construction project effectively when BIM technologies for residential construction are integrated. The use of BIM-based technology by small and medium-sized company contractors is also anticipated to be encouraged by the expected decline in software costs, ensuring effective productivity even on small residential projects.
Based on the deployment model, the global BIM in construction market is bifurcated into on-premise and cloud-based.
The on-premise segment is the highest contributor to the market and is expected to grow at a CAGR of 14.6% during the forecast period. Instead of using remote access to BIM data, on-premises software, also known as on-premise or shortened "on-prem," is typically installed and run on computers on the grounds of a business or a person. Due to its lower prices and data collection and processing simplicity, on-premise BIM software is most frequently used in the construction industry. On-premise BIM products offer wider penetration for 3D designing and planning in nations like India and others with meager BIM adoption rates. In addition, compared to cloud-based platforms, on-premise data development and collecting lowers the danger of theft.
Data storage and access on cloud-based platforms, often offered by BIM software suppliers, are included in cloud-based data deployment. This program provides various tools and provisions for data collecting and processing on these systems. Cloud-based BIM offers several benefits, including lower data transfer and storage costs, simple accessibility, streamlining and synchronization of real-time construction processes, project risk mitigation, live reporting, and maintaining data transparency among stakeholders, contractors, owners, and engineers. Leading companies in the sector concentrate on creating cloud-based BIM products.
The global BIM in construction market is bifurcated into four regions, namely North America, Europe, Asia-Pacific, and LAMEA.
North America Dominates the Global Market
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North America is the most significant contributor to the global BIM in construction market and is anticipated to grow at a CAGR of 13.9% during the forecast period. The North American construction market includes countries such as the U.S., Mexico, and Canada. The two countries that contribute the most to BIM in building in North America are the United States and Canada. The rapidly growing urban population and rising government spending will aid the expansion of the building information modeling market in North America. The adoption of advanced digital tools and the government mandate to implement BIM software will likely boost the market growth. In order to increase productivity during the project design and construction phases, decrease project-related errors, and obtain a good return on investment, they are employing the BIM approach. A solid economic position and active government support have contributed to the large-scale adoption of advanced technologies in the construction segment, further driving the region's BIM market growth.
Europe is expected to grow at a CAGR of 10.9%, generating USD 3,092.04 million during the forecast period. Europe's market includes the UK, Germany, France, Italy, and the rest of Europe. The rate of BIM adoption is highest in Europe and particularly in Scandinavia. The Horizon 2020 program's research and innovation initiatives received significant funding from the European Union, helping to develop technologies like CREATE-IoT, MONICA, U4Iot, and others. To increase the adoption of cutting-edge technology and boost productivity in the construction sector, some European nations, like the UK, France, Sweden, and others, have already made the use of BIM mandatory for both public and private construction projects. For instance, the U.K.'s government-based Task Group and the Institution of Civil Engineers (ICE) have worked together to provide an online training program through the ICE BIM Action Group.
Asia-Pacific has the most significant construction market globally. The construction industry's expansion is primarily driven by the quick increase in per capita income, growing urbanization, and a high rate of technological adoption. The infrastructure in emerging countries like Myanmar, Thailand, the Philippines, Vietnam, and others is being improved with a strong commitment. China and South Korea have adopted 5G technologies and related cloud-based BIM infrastructure to advance smart city building and increase construction site productivity. These factors are anticipated to fuel the Asia-Pacific building BIM market.
Due to its rapid urbanization and the sharp rise in new infrastructure construction, LAMEA is a prospective market for BIM adoption. The Middle East's massive construction projects and high reliance on digitization drive the need for BIM in construction. BIM is also required in construction processes due to increasing government spending on adopting new technology to support the expansion of innovative city projects and infrastructure development. It is projected that the 5G connectivity infrastructure development would accelerate the adoption of Industry 4.0 and IoT technologies throughout the Middle East and Africa.
List of key BIM in construction market companies profiled