Field Service Management Market Trends

Growth Drivers

• Rapid Adoption of Cloud-Integrated Contract Management Solutions- For instance, 63% of organizations are planning to move their contract management systems to the cloud, as cloud-based systems continue to grow in popularity. Contract management accounts for an average of 9% of an organization's revenue. Cloud-integrated contract management solutions offer a number of advantages such as cost savings, improved customer experience, and improved scalability. These solutions provide real-time access to data and enable field service teams to make better decisions faster, as well as facilitate collaboration between teams and customers.
• Rising Popularity of Augmented Reality - Approximately 85% of medium-sized companies already use or are testing augmented reality. In 2020, USD 19 billion was invested in augmented reality, an increase of 78.5% when compared to 2019. Augmented reality enables technicians to access equipment schematics, technical information, and instructions in real time and improve the efficiency of their operations. This technology also enables technicians to access critical information from remote locations, which can help to reduce downtime and improve customer service.
• Surge in Trend of BYOD (bring-your-own-device) - It is estimated that 66% of employees use their personal devices at work. According to a recent survey, 59% of organizations worldwide have adopted a BYOD policy. BYOD has become increasingly popular in recent years as it reduces costs associated with device procurement and maintenance, while providing employees with the flexibility to work remotely and use their own devices to access information. This has resulted in increased productivity and efficiency for field service companies.
• Ever-Growing Deployment of Digitalization in Businesses - For instance, 90% of businesses are implementing some kind of digital initiative, and 88% of senior executives consider digitalization as a priority. An estimated 89% of companies have already adopted a digital-first approach to business. As businesses shift to digital solutions to automate their processes, the need for field service management solutions increases. These solutions can help businesses streamline operations and provide better customer service by quickly dispatching technicians and managing workflows.
• Increasingly Expanding E-Commerce Industry - According to estimates, the retail e-commerce sales in the world surpassed 5.5 trillion U.S. dollars by 2022. There are approximately 24 million websites that facilitate e-commerce around the world. The rapid growth of e-commerce has created an opportunity for businesses to offer customers a more convenient experience and to expand their reach to new customers around the world. This increased customer demand for services has created a need for companies to provide an efficient field service management solution that can handle the increasing demands.

Challenges

• Lack of skilled labor - The increasing demand for skilled labor for the maintenance and installation services has become a major challenge for the field service management market. This is due to the growing complexity of technology and the lack of qualified technicians with the necessary skills to perform the job effectively.
• High cost of deploying field service management solutions
• Complex integration of systems