BEMS market ends 2024 with promising performance upturn

The building energy management systems (BEMS) market saw a 1.4% quarter-on-quarter increase in Q4 2024 – according to the Building Controls Industry Association’s (BCIA) latest market report.

According to the BCIA’s quarterly Market Information Service (MIS) report, the growth was driven by advancements in transformational technologies and a heightened focus on energy efficiency and sustainability from building owners, contractors, and architects, as they strive to meet stricter energy efficiency mandates.

“The BEMS sector and construction industry as a whole had a very challenging 2024, but the building controls and automation market has shown some superb resilience in the face of substantial challenges,” says Stacey Lucas, President of the BCIA.

The report, which breaks down the BEMS market into three key components – product, installation value added, and service and maintenance – reveals a mixed picture. While the total value of products supplied to the BEMS market dipped slightly, product revenues rose 1.5% compared to the previous quarter, driven by increased sales to systems installers and manufacturers’ own systems.

Additionally, sales to OEMs showed robust growth of 17.1% over the year, likely due to the increased demand for smart buildings and bespoke BEMS solutions.

The value added through engineering, commissioning, and installation declined by 0.7% over the year, but the report notes a slight improvement in the ratio of system price to product content, suggesting a continued focus on high-value solutions.

Revenues from service and maintenance in the UK market continued to show stability, rising by 1.1% year-on-year, with a 4.3% increase in Q4 alone, highlighting the ongoing demand for system support and after-sales care services.

“As a leading voice in the industry, the BCIA has two major goals – to support its members and increase awareness of the need to embrace building controls to ensure a brighter and greener future for the built environment,” adds Lucas.

Produced and supplied to BCIA members every three months, the MIS report offers detailed insights into market trends and growth across the BEMS market and enabling an in-depth understanding of the market – making it a hugely informative and useful resource. Consequently, members are able to recognise potential growth opportunities, track developments, and navigate challenges with more knowledge and confidence.