Thailand Facility Management Market Size
| Study Period | 2019 - 2029 |
| Base Year For Estimation | 2023 |
| Market Size (2024) | USD 3.65 Billion |
| Market Size (2029) | USD 4.66 Billion |
| CAGR (2024 - 2029) | 5.04 % |
| Market Concentration | Low |
Major Players
*Disclaimer: Major Players sorted in no particular order |
Thailand Facility Management Market Analysis
The Thailand Facility Management Market size is estimated at USD 3.65 billion in 2024, and is expected to reach USD 4.66 billion by 2029, growing at a CAGR of 5.04% during the forecast period (2024-2029).
Facility management (FM) refers to professional services offered by market vendors to manage non-core business operations, encompassing cleaning and maintenance tasks. Engaging an FM service provider allows companies to concentrate more effectively on their core operations, a crucial factor for business growth. Tailored to address business needs, FM services enable vendors to profit through service contract agreements. These agreements span hard and soft services across manufacturing facilities, public buildings, and various infrastructures.
- The Thai government has been planning to strengthen the country's commercial infrastructure to support the IT service sector growth in line with the availability of its highly skilled workforce with low-cost locational advantages. The government is actively working to increase Thailand's economy by attracting foreign investments and increasing tourism, which aligns with positioning Thailand as a manufacturing hub for electric vehicles. Additionally, in November 2023, the government introduced temporary visa-free travel for citizens from China, Kazakhstan, and India. These initiatives would enhance the country's commercial and retail sectors, creating significant growth opportunities for the market studied.
- Many service providers operating in the area over the past ten years, like PCS Security and Facility Services Limited and Plus Property Company Limited, have concentrated on growing their presence to capitalize on the rising demand for facility management, particularly in light of the current trend favoring outsourcing non-core operations. Given the dynamics across the nation, Thailand has also seen a rise in opportunities to exploit facility management and corporate real estate in creative ways.
- The surge in infrastructure development investments can positively impact the market studied. As new infrastructure projects are built, there is a rising demand for effective facility management to maintain, handle, and operate these facilities efficiently. This, in turn, can lead to the growth of facility management services as more organizations and government entities seek these services to ensure their assets' proper upkeep and functionality.
- Profit margins and macroeconomic volatility are significant challenges faced by the market studied, affecting the sector's overall growth trajectory. An unpredictable macroeconomic environment and rising operating expenses are reshaping the facilities management (FM) sector, which provides vital services, including cleaning, maintenance, security, and technical management for residential, commercial, and industrial premises.
- Thailand's strategic positioning and newly introduced five-year investment promotion strategy have drawn considerable interest from companies looking to establish a secure and resilient long-term investment base. For example, in February 2024, the Thailand Board of Investment (BOI) revealed that 2023 saw a record high in investment promotion applications, combining a value of USD 24 billion.
Thailand Facility Management Market Trends
In-house Facility Management to Witness Major Growth
- In-house facility management services, overseen by dedicated client-employed resources, are gaining traction in Thailand. These managers are increasingly tasked with overseeing critical business areas, from high-traffic zones to executive conference rooms. Moreover, in-house management offers specialized training and certifications, often absent in standard packages from partner organizations.
- In-house facility management emphasizes the recruitment of specialized personnel to oversee diverse facility functions. For instance, cybersecurity measures are frequently managed internally, underscoring the importance of safeguarding facility integrity.
- Thailand is one of Asia's most vibrant markets, with a rapidly evolving economy that shows consistent growth. The nation's resilient real estate sector, bolstered by robust financing services, attractive capitalization, and a pro-business environment, all fuel the demand for top-tier in-house facility management solutions.
- The transition of Thailand from a low-income to an upper-middle-income nation supports its economic growth and practical poverty alleviation efforts, which have increased the construction sector. In July 2024, the Office of the National Economic and Social Development Council (NESDC) of Thailand highlighted a consistent growth in GDP contributions from In-house facility management.
Commercial Sector to be the Largest End User
- As commercial facilities proliferate in Bangkok and throughout Thailand, the demand for services like property accounting, rental management, contract oversight, and procurement has surged. In response, FM providers nationwide focus on delivering a suite of services to the commercial sector, including inspections, maintenance, HVAC, electrical services, and control management.
- Commercial entities encompass office buildings utilized by diverse business services, including IT and communication firms, manufacturers, and other service providers. The emphasis on essential fitments, interior decoration, and management in these commercial spaces has significantly bolstered the country's commercial sector market.
- Given the myriad services required in commercial spaces—from property accounting and contract management to procurement and renting—there's a pronounced need for professional expertise. Such dynamics underscore the commercial category's growth potential, a trend poised to persist during the forecast period.
- Factors such as increased economic activity, consumer spending, and tourism activities have increased the occupancy of large residential layouts or projects, hotels, and commercial spaces. This has, in turn, increased the need for better management of the facilities.
- In 2023, Thailand issued over 6,000 permits for commercial building development, marking the highest number in the past five years. According to Thai law, builders must secure a land and development permit from local municipalities before constructing, modifying, or demolishing any buildings.
Thailand Facility Management Industry Overview
The Thailand facility management market is fragmented. Major vendors such as IFS Inc., PCS Security And Facility Services Limited (OCS Group Holdings Ltd), CBRE Group Inc., G4S Security Services (Thailand) Limited (G4S PLC), and Sodexo Facilities Management Services (Sodexo Group) in the market studied are further focusing on offering integrated solutions to attract consumers. Smaller and new vendors are expected to focus on maintaining cost-benefit over major vendors, further intensifying the competition in the country.
Quality certification, service offerings, costs, and technical capabilities are important for attracting new contracts. Major vendors in the market studied are further focusing on offering integrated solutions to attract consumers. Smaller and new vendors are expected to focus on maintaining cost-benefit over major vendors, further intensifying the competition in the country. As the market studied is in the growth stage, market players opt for significant strategies to sustain the market.
Thailand Facility Management Market Leaders
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IFS Inc.
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PCS Security And Facility Services Limited (OCS Group Holdings Ltd)
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CBRE Group Inc.
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G4S Security Services (Thailand) Limited (G4S plc)
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Sodexo Facilities Management Services (Sodexo Group)
*Disclaimer: Major Players sorted in no particular order
Thailand Facility Management Market News
- August 2024 - GJ Steel Public Company Limited (GJS) is set to invest THB 1.5 billion (USD 42 million) over the next three years to upgrade its production facility. This move aims to bolster product quality and enhance cost competitiveness. With this investment, GJS aims to revitalize its performance and bolster the Thai economy. The company plans to meet the diverse steel demands in Thailand by supplying high-quality Hot Rolled Flat products.
- June 2024 - JLL announced that its comprehensive digital facilities management application, JLL Serve (Serve), has been enhanced with AI-driven technology from Sclera, a technology solutions provider. This integration of Sclera’s capabilities with JLL’s extensive technology ecosystem and proprietary knowledge enables Serve to enhance productivity, ensure compliance, and facilitate intelligent decision-making through a unified, user-friendly mobile and web interface, which can be customized to address the dynamic requirements of workplaces, buildings, or critical environments.
Thailand Facility Management Market Report - Table of Contents
1. INTRODUCTION
1.1 Study Assumptions and Market Definition
1.2 Scope of the Study
2. RESEARCH METHODOLOGY
3. EXECUTIVE SUMMARY
4. MARKET INSIGHTS
4.1 Market Overview
4.2 Industry Attractiveness - Porter's Five Forces Analysis
4.2.1 Threat of New Entrants
4.2.2 Bargaining Power of Buyers/Consumers
4.2.3 Bargaining Power of Suppliers
4.2.4 Threat of Substitute Products
4.2.5 Intensity of Competitive Rivalry
4.3 Assessment of Macroeconomic Factors on the Market
5. MARKET DYNAMICS
5.1 Market Drivers
5.1.1 Growing Trend Toward Commoditization of FM
5.1.2 Increasing Investments in Infrastructure Development
5.2 Market Restraints
5.2.1 Diminishing Profit Margins and Ongoing Changes in Macro-environment
6. MARKET SEGMENTATION
6.1 By Type
6.1.1 In-house Facility Management
6.1.1.1 Outsourced Facility Management
6.1.1.1.1 Single FM
6.1.1.1.2 Bundled FM
6.1.1.1.3 Integrated FM
6.1.2 By Offering Type
6.1.2.1 Hard FM
6.1.2.2 Soft FM
6.1.3 By End User
6.1.3.1 Commercial
6.1.3.2 Public/Infrastructure
6.1.3.3 Industrial
6.1.3.4 Other End Users
7. COMPETITIVE LANDSCAPE
7.1 Company Profiles*
7.1.1 IFS Inc.
7.1.2 PCS Security And Facility Services Limited (OCS Group Holdings Ltd)
7.1.3 CBRE Group Inc.
7.1.4 G4S Security Services (Thailand) Limited (G4S plc)
7.1.5 Sodexo Facilities Management Services (Sodexo Group)
7.1.6 Plus Property Co. Ltd
7.1.7 Swift Dynamics Co. Ltd
7.1.8 Siam Piwat Company Limited
7.1.9 NCH Asia Pacific
7.1.10 Amata Facility Service Co. Ltd (Amata Corporation)
7.1.11 Jones Lang LaSalle (JLL)
8. INVESTMENT ANALYSIS
9. MARKET OPPORTUNITIES AND FUTURE TRENDS
Thailand Facility Management Industry Segmentation
Facility Management is a function within organizations that combines people, space, and operations in the physical working environment to enhance the well-being of individuals and the efficiency of the main business operations.
The scope of the study has been segmented based on the type (in-house facility management and outsourced facility management (single FM, bundled FM, and integrated FM)), offering type (hard FM and soft FM), and end user (commercial, institutional, public/infrastructure, industrial, and other end users) across Thailand.
Thailand facility management market is segmented by type (in-house facility management, outsourced facility management [single FM, bundled FM, integrated FM]), offering type (hard FM, soft FM), end user (commercial, public/infrastructure, industrial, other end users). The market sizes and forecasts are provided regarding value (USD) for all the above segments.
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Thailand Facility Management Market Research FAQs
How big is the Thailand Facility Management Market?
The Thailand Facility Management Market size is expected to reach USD 3.65 billion in 2024 and grow at a CAGR of 5.04% to reach USD 4.66 billion by 2029.
What is the current Thailand Facility Management Market size?
In 2024, the Thailand Facility Management Market size is expected to reach USD 3.65 billion.
Who are the key players in Thailand Facility Management Market?
IFS Inc., PCS Security And Facility Services Limited (OCS Group Holdings Ltd), CBRE Group Inc., G4S Security Services (Thailand) Limited (G4S plc) and Sodexo Facilities Management Services (Sodexo Group) are the major companies operating in the Thailand Facility Management Market.
What years does this Thailand Facility Management Market cover, and what was the market size in 2023?
In 2023, the Thailand Facility Management Market size was estimated at USD 3.47 billion. The report covers the Thailand Facility Management Market historical market size for years: 2019, 2020, 2021, 2022 and 2023. The report also forecasts the Thailand Facility Management Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
Thailand Facility Management Industry Report
Statistics for the 2024 Thailand Facility Management market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. Thailand Facility Management analysis includes a market forecast outlook for 2024 to 2029 and historical overview. Get a sample of this industry analysis as a free report PDF download.
