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Water and Wastewater Companies to Gain an Edge by Offering Innovative Business Models Tailored for APAC - Collaborations and partnership to prove vital for growth opportunities in a rapidly consolidating market - Frost.com
Water and Wastewater Companies to Gain an Edge by Offering Innovative Business Models Tailored for APAC

 

NewswireToday - /newswire/ - Singapore, Singapore, 2019/05/16 - Collaborations and partnership to prove vital for growth opportunities in a rapidly consolidating market - Frost.com.

   
 
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The still emerging Asia-Pacific (APAC) Water and Wastewater Services (WWWS) market is a hotbed of opportunities, driven by region-wide economic development, environment government policies, and the shift in global Foreign Direct Investment (FDI) towards Asia. It is expected to grow at a Compound Annual Growth Rate (CAGR) of 5.82 percent between 2017 and 2022, driving the market from US$147.58 billion to US$195.78 billion.

While the Operation & Maintenance (O&M) sector will grow at a CAGR of 6.8 percent, Design & Engineering (D&E) will grow at 5.5 percent. To increase this growth rate, participants need to identify and partner with local players or invest in on-the-ground presence.

“The increasing consolidation of the fragmented market is resulting in new business models such as Water-as-a-Service, Treatment-as-a-Service (TaaS), and Data-as-a-Service, and eager adoption of advanced technology services like predictive analytics,” said Melvin Leong, Director, Energy & Environment, Asia Pacific, Frost & Sullivan.

“After analyzing current capabilities and gaps, participants need to explore partnerships with technology and service providers for capacity development and to seize opportunities in a circular economy,” noted Leong.

Frost & Sullivan’s recent analysis, Growth Opportunities in APAC Water & Wastewater Services Market, Forecast to 2022, covers D&E, and O&M services delivered to municipal (government) and industrial (private) entities involved in the treatment, supply, management, and use of water and wastewater. The market is segmented by the key regions of India, Southeast Asia (Singapore, Malaysia, Indonesia, the Philippines, Vietnam, and Thailand), China, East Asia (Japan and South Korea), and Oceania (Australia and Japan).

“Water market leaders from Japan, North America, and Europe have already begun to penetrate the under-developed market, making it crucial for entrants to have a well-developed merger & acquisition and growth strategy,” noted Leong.

“China and Japan are rolling out advanced treatment systems, creating opportunities for the D&E segment, whereas the Southeast Asian market is experiencing strong growth in treatment adoption due to the ongoing restructuring of governing bodies and regulations,” he added.

In the rapidly growing market, and end-users are becoming more conscientious and balancing business growth and sustainability. WWWS providers will enjoy higher revenue opportunities by:

• Identifying, profiling, and shortlisting technology and services providers offering critical circular capabilities for M&A activity.
• Delivering containerized and packaged treatment solutions through a TaaS model to handle the smaller and transient demand of this segment. Developing a robust distributor and service network will be critical to the success of such distributed solutions.
• Fostering strong relationships with suppliers and service networks since they hold the key to the market adoption of new business models.
• Investing in the technical expertise needed to restructure organizational processes and systems to facilitate the switch from a product-based model to subscription-based models such as XaaS.
• Building new capabilities and creating an integrated product and services portfolio through M&A with key players.

Growth Opportunities in APAC Water & Wastewater Services Market, Forecast to 2022 is part of Frost & Sullivan’s global Environment & Water Growth Partnership Service program.

About Frost & Sullivan

For over five decades, Frost & Sullivan (frost.com) has become world-renowned for its role in helping investors, corporate leaders and governments navigate economic changes and identify disruptive technologies, Mega Trends, new business models and companies to action, resulting in a continuous flow of growth opportunities to drive future success. Contact us: Start the discussion.

Growth Opportunities in APAC Water & Wastewater Services Market, Forecast to 2022 / P952-15

 
 
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Water and Wastewater Companies to Gain an Edge by Offering Innovative Business Models Tailored for APAC

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