Testing inspection certification market is marked by an intense level of fragmentation, with only one leading firm, SGS Group, accounting for over 10% in the global market in 2015, points TMR in a recent report. The top four vendors in the market, including Bureau Veritas SA, Intertek Group PLC, Dekra SE, and SGS Group, accounted for a collective share of nearly 29%, with a host of small- and mid-sized companies holding the rest in 2015.
Based on geography, however, the market is highly consolidated as most of the prominent vendors in the market are headquartered in Europe. Innovation and introduction of new, more extensive testing and certification guides for high growth potential industries, such as food and beverages and medical devices, will be the key for gaining sustainable business in this market. ASTM international took a step ahead in this direction when it introduced the ASTM F3127 standard that validates a standardized cleaning level of new medical devices.
Stricter Regulations and Rising International Imports and Exports Stimulate Market Growth
In the past few years, regulations pertaining to the quality of products and their overall impact on the health of consumers and that of the environment have become increasingly strict across the globe. International imports and exports of products from a number of industries have also significantly increased globally. So as to conform to the diverse quality and safety standards of foreign destinations, the adherence to effective testing, inspection, and certification measures has become critical for product manufacturers. This factor is expected to have a sizeable impact on the overall development of the global market in the next few years.
This 174 page report gives readers a comprehensive overview of the Testing Inspection Certification Market. Browse through 31 data tables and 77 figures to unlock the hidden opportunities in this market:
Lack of Internationally Accepted Standards to Hinder Market Growth
A number of countries have their own different sets of testing, inspection, and certification guidelines and standards. Regulations and standards are also often different for different product types or industries. The scenario makes the global testing inspection certification market highly diversified. This defeats the whole purpose of having a product certified against a standard, for it may be considered a token of excellent quality in some countries and mean nothing in some other.
The pharmaceutical industry is the most obvious sufferer in this regard – drug manufacturers cannot develop a single drug that will be readily approved in all the countries it is submitted. Thus, the lack of internationally accepted standards is expected to be a key restraint for the global market for testing inspection certification market in the next few years.
Oil and Gas Industry to Present Most Promising Growth Opportunities
On the basis of application, the oil and gas industry emerged as the largest contributor to the overall revenues of the global testing inspection certification market in 2015, accounting for a share of over 35% in the market. Although the segment will continue to remain the dominant end user of testing inspection certification services through 2024 also, it will likely lose its prominence to the food and beverages segment. The testing inspection certification market for the food and beverages industry will expand at a 6.7% CAGR from 2016 to 2024. During the same period, the market for the oil and gas industry will expand at a 5.6% CAGR.
On a whole, the global testing inspection certification market is expected to expand at a 5.7% CAGR over the period between 2016 and 2024. The market, which had a valuation of US$178.65 bn in 2015, is expected to rise to US$285.34 bn by 2024.