More Outsourcing from Public and Private Sectors
Some facility services companies have benefited from the economic crisis, as a number of private companies and public institutions have decided to outsource services as they perceive them a more cost effective option. In terms of market volume this translates into a more than 4.5% average growth for the 2011-2014 period, whereby the engine of growth are clearly the healthcare, government and education sector that are expected to growth by 5.9% and 6% during 2011 respectively where almost 20.1% of the total turnover (39.8 Billion Euros) is allocated to the government and education sectors.
Good News for Providers
The external facility services market is growing and it has accounted for 45.3% of the total facility services market in Western Europe. United Kingdom with almost 65.1% of the facility services outsourced is the country with the highest rate of outsourced services, followed by Germany with 47.5%. Italy and Spain registered the lowest percentages with 32.9% and 33.9% respectively. English and French catering, cleaning and technical providers (for instance Compass Group, Sodexo, Dalkia or GDF Suez) are not just leading the market within their countries but as well across other European Countries. Market concentration of the top 10 providers has increased by 1.3%, accounting all of them 19.5% of the total market share in Western Europe.
The percentage of outsourcing services is increasing in Western Europe by 3.8% yearly and providers are taking advantage of such growth and looking for new strategies and market information about the market of external and internal facility services.