The global market for Industrial Hygiene and Occupational Health (IH/OH) software will grow from $253 million in 2020 to $403 million in 2020 according to a new study from independent research firm Verdantix. The forecasted annual growth rate of 10% will be driven by emerging regional adoption of EHS software and increased customer demand for IH/OH software to better manage worker health and exposure. Vendors positioned to benefit from this growth include IH/OH software firms such as Cority, DNV GL, Enablon, Enterprise Health, Gensuite, Intelex, ProcessMap, UL and Velocity EHS.
“Due to the quick spread and disruptive nature, the COVID-19 outbreak will be a long-term positive factor for demand of IH/OH software,” commented Verdantix Senior Analyst Bill Pennington. “Firms are recognizing the value of innovative software to protect workers from exposure as well reliably manage worker health and illnesses. Many of the larger EHS vendors are capitalising on this growing demand by acquiring specialist IH/OH firms to boost their offering.”
The Verdantix report, Market Size And Forecast: IH/OH Software 2020-2025 (Global), provides vendor executives with all the information they need to assess their market opportunity. Revenue projections find that high risk industries, such as oil and gas, chemicals and mining, will account for 47% of total spend in 2020, at $121 million. North America will contribute over half (51%) of overall global spend on IH/OH software, at $129 million in 2020, almost double the second-highest regional spend of Europe with 26% of spend ($68 million). APAC and the Gulf States and Africa will grow at a quicker pace than other regions, at a CAGR of 10%, whilst total market growth will vary between 6% and 12% between 2020 and 2025.
“Our analysis indicates that while the global economy faces expected recessions due to COVID-19, IH/OH software will see growth due to forward-looking firms strategically planning for better preparedness for future outbreaks,” continued Pennington. “Vendors looking to grow their market share should look to the emerging markets of APAC, the Gulf States and Africa, as increased focus on worker health and safety, coupled by the existing low penetration rate of IH/ OH software, allows for a large market of first-time adopters.”
Read the full report here.