Market Size of Nigeria Facility Management Industry
| Study Period | 2019 - 2029 |
| Base Year For Estimation | 2023 |
| Forecast Data Period | 2024 - 2029 |
| Historical Data Period | 2019 - 2022 |
| CAGR | 5.40 % |
| Market Concentration | Medium |
Major Players
*Disclaimer: Major Players sorted in no particular order |
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Nigeria Facility Management Market Analysis
The Nigeria Facility Management Market is expected to grow by registering a CAGR of 5.4% during the forecast period (2022-2027). The growing urbanization in the country is driving the demand for facility management services for proper maintenance of properties, especially commercial and industrial properties.
- The increasing rate of urbanization in the country is driving the growth of the construction industry as the demand for both commercial and residential properties is increasing. For instance, in September 2021, the Edo State government and Persianas Nigeria Limited signed an agreement for the development and construction of a shopping center in Benin City, the state capital.
- Increasing investment by the government to develop their public infrastructure is also supporting the growth of the construction sector in the country. For instance, in March 2022, the construction activity of a USD 537 million new consulate building at Eko Atlantic City in Lagos was flagged off by the U.S. Embassy in Nigeria.
- Additionally, the country has also been witnessing increased investment in data center infrastructure owing to the rising demand for cloud solutions. For instance, in April 2022, Kasi Cloud Ltd. broke ground for the construction of a new data center in Lagos, Nigeria. The company has acquired approximately 4 hectares of land and is planning to invest around USD 250 million in the project.
- However, lack of awareness and skilled workforce, along with the volatile economic condition, are among some of the major factors holding back the growth of the studied market.
- A significant impact of COVID-19 has been observed in the country. The widespread lockdown, along with a decline in crude oil prices, which is a major source of revenue for the Nigerian government, stalled the construction activities. Additionally, the disruptions to the supply chain and disruption in import activities of construction equipment and material further supported this cause. However, with the condition moving towards normalcy, the market is expected to gain traction, which in turn will drive the demand for facility management services.
Nigeria Facility Management Industry Segmentation
Facility management refers to a set of services or tools that helps organizations reduce maintenance costs and ensure the well-being of employees. By addressing many of its immediate and long-term needs, these services add value to a business. The report provides an extensive analysis of the trends and dynamics of the Nigerian facility management services market.
| By Facility Management Type | |||||
| In-House Facility Management | |||||
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| By Offerings | |
| Hard FM | |
| Soft FM |
| By End-User | |
| Commercial | |
| Institutional | |
| Public/Infrastructure | |
| Industrial | |
| Other End-users |
Nigeria Facility Management Market Size Summary
The Nigeria Facility Management Market is poised for growth, driven by increasing urbanization and the subsequent demand for maintenance services in commercial and industrial properties. The construction industry is experiencing a boost due to government investments in public infrastructure and the development of new projects, such as shopping centers and data centers. Despite challenges like a lack of awareness, skilled workforce shortages, and economic volatility, the market is expected to recover and expand as conditions normalize post-COVID-19. The oil and gas sector, a significant part of Nigeria's economy, also contributes to the demand for facility management services, with companies seeking efficient operations in exploration and production sites. This sector's complexities and regulatory requirements underscore the importance of facility management in ensuring operational efficiency.
The ICT sector in Nigeria is rapidly growing and significantly contributes to the country's GDP, further driving the demand for facility management services. The presence of major tech companies and the increasing consumption of digital solutions are attracting new market entrants and supporting local vendors. The Nigerian government's focus on diversifying the economy through ICT is fostering partnerships and creating a conducive environment for facility management growth. The market is moderately competitive, with key players like Total Facilities Management Limited and Greenkey Facility Management Services leading the charge. Recent government approvals for aviation sector projects and contracts for integrated facility management services highlight the sector's potential and the ongoing efforts to enhance facility management practices in the country.
Nigeria Facility Management Market Size - Table of Contents
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1. MARKET INSIGHTS
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1.1 Market Overview
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1.2 Industry Attractiveness - Porters Five Force Analysis
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1.2.1 Threat of New Entrants
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1.2.2 Bargaining Power of Buyers/Consumers
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1.2.3 Bargaining Power of Suppliers
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1.2.4 Threat of Substitute Products
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1.2.5 Intensity of Competitive Rivalry
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1.3 Assessment of Impact of COVID-19 on the Market
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2. MARKET SEGMENTATION
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2.1 By Facility Management Type
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2.1.1 In-House Facility Management
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2.1.2 Outsourced Facility Management
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2.1.2.1 Single FM
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2.1.2.2 Bundled FM
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2.1.2.3 Integrated FM
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2.2 By Offerings
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2.2.1 Hard FM
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2.2.2 Soft FM
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2.3 By End-User
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2.3.1 Commercial
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2.3.2 Institutional
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2.3.3 Public/Infrastructure
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2.3.4 Industrial
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2.3.5 Other End-users
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Nigeria Facility Management Market Size FAQs
What is the current Nigeria Facility Management Market size?
The Nigeria Facility Management Market is projected to register a CAGR of 5.40% during the forecast period (2024-2029)
Who are the key players in Nigeria Facility Management Market?
Total Facilities Management Limited, GreenKey Facility Management Services, Global PFI Limited, Broll Property Group and Solid Rock Facility Management Company Limited are the major companies operating in the Nigeria Facility Management Market.
