According to a new report published by Allied Market Research, titled, “Carbon Footprint Management Market" The carbon footprint management market was valued at $9.3 billion in 2021, and is estimated to reach $18.2 billion by 2031, growing at a CAGR of 7% from 2022 to 2031.
Carbon footprint management is focused on greenhouse gas emissions, associated with consumption rather than greenhouse gas emissions linked with production. The calculations include emissions that are associated with goods imported into a nation and produced elsewhere. Moreover, companies can reduce or offset their carbon footprints by enhancing their energy efficiency, consuming energy made from renewable origin, raise awareness, focus on environmental projects, and paying green taxes.
Furthermore, increase in demand for energy consumption by industries and the drive for more sustainable energy solutions propel the growth of the global carbon footprint management market. Moreover, increase in government initiatives and policies for low carbon policies positively impact the growth of the carbon footprint management market. However, higher installation and maintenance costs of carbon footprint management can hamper the carbon footprint management solutions market growth during the forecast period. On the contrary, the growing adoption trends of advanced technologies, such as artificial intelligence, IoT, and big data, across industries to reduce carbon emission is expected to offer remunerative opportunities for expansion of the carbon footprint management market during the forecast period.
Depending on deployment mode, the on-premise segment holds the largest carbon footprint management market share, as organizations have complete control on the software and reduce the risk of leaking organizations data. However, the cloud segment is expected to witness growth at the highest rate during the forecast period, as it offers better control of the data, along with reduced risk of data loss and concerns related to regulatory compliance.
Region-wise, the carbon footprint management market was dominated by North America in 2020 and is the home to major players offering advanced solutions in the carbon footprint management market. In addition, according global carbon footprint management market analysis, North America is the major contributor as the region is well developed and the environmental safety investments is at rise in the U.S. However, Asia-Pacific is expected to witness significant growth during the forecast period, owing to high diversity and is expected to experience rapid growth in future. In China, the carbon footprint management market is anticipated to witness significant growth, owing to increase in awareness among the organization and increase in government initiatives.
The global pandemic has had a significant economic impact on the carbon footprint management market. As a result of massive supply chain disruptions, manpower shortages, and local market limitations, several sectors faced considerable slowdowns. This had both, direct and indirect effects on the carbon footprint management solutions industries, as limited operations of manufacturing and fabrication plants, large-scale public infrastructure (airports, railway stations, shopping malls, and so on) resulted in a slowdown in sales and subscription of carbon footprint management software solutions. However, strict government policies to regulate industrial and domestic emissions are helping the carbon footprint management market to grow in the aftermath of the COVID-19 pandemic.
KEY FINDINGS OF THE STUDY
- By component, solution segment accounted for the largest carbon footprint management market share in 2021.
- By region, North America generated highest revenue in 2021.
- By deployment mode, on-premise segment generated the highest revenue in 2021.
The key players that operate in the carbon footprint management market forecast are Carbon Footprint Ltd, Dakota Software Corporation, ENGIE, IsoMetrix, IBM, ProcessMAP, General Electric, Salesforce, SAP, and Wolters Kluwer N.V. These players have adopted various strategies to increase their market penetration and strengthen their position in the carbon footprint management industry.