The key priorities by senior-level respondents in 2013 are strategies to ‘expand in current market’, ‘improving operational efficiency’ and introduction of ‘new products and services

Monday 30 September 2013, Amsterdam

Throughout the construction industry, 58% of senior-level respondents are ‘more optimistic’ about revenue growth for their company in 2013. Higher optimism levels are attributed to growing investments in the development of new infrastructure by the central governments of various countries, a surge in public and private sector construction projects, and increased focus on developing IT infrastructure. The key priorities by senior-level respondents in 2013 are strategies to ‘expand in current market’, ‘improving operational efficiency’ and introduction of ‘new products and services’.

Senior-level respondents from the global construction industry expect to see increased levels of consolidation in 2013, with 54% of respondents anticipating either a ‘significant increase’ or an ‘increase’ in merger and acquisition (M&A) activity. Gradual recovery in business sentiment within the global construction industry, renewed focus on expansion activities, increasing cost pressures on small and medium-sized construction companies, growth in infrastructure projects driven by urbanization and growing demand for sustainable construction are the key drivers of M&A in 2013.

An analysis of responses by global construction industry senior-level respondents reveals that ‘new product developments’, ‘IT infrastructure developments’ and ‘machinery and equipment purchases’ will record significant increases in capital expenditure in 2013-2014.

China, India, Brazil, Russia and the UAE are considered key emerging markets in 2013
Senior-level respondents from construction companies identified China, India, Brazil, the UAE and Russia as the emerging markets which will offer largest growth potential in 2013-2014. Strong economic growth driven by increasing domestic consumption has boosted the prospects of the construction industry in China. Demand for construction equipment and material in China has surged during the past five years due to increased investments in the infrastructure sector. Construction activity in India also increased steadily over the past decade due to growth in infrastructure developments supported by new projects in housing, roads, ports, aviation and power generation.

The top five developed markets that are expected to offer strong growth in 2013-2014 are the US, Singapore, Taiwan and Hong Kong, Canada, Australia and the UK, as identified by 44%, 33%, 31%, 29% and 28% of senior-level respondents respectively.

‘Market uncertainty’, ‘cost containments’ and ‘retention or recruitment of skilled staff’ are the leading business concerns in 2013
According to the survey results, 55% of senior-level respondents rate ‘market uncertainty’ as the most pressing business concern during 2013-2014. Economic volatility, changing business environment, prevalent credit and liquidity conditions and mounting cost pressures are key reasons for market uncertainty. In addition, 51% and 49% of senior-level respondents rate ‘cost containments’ and ‘retention or recruitment of skilled staff’ among the leading business concerns during 2013.

Overall, 43%, 39% and 32% of senior-level respondents highlighted steps to ‘innovate products’, ‘improve customer services’ and ‘provide support for generating new businesses’ as the leading actions for suppliers to secure buyers’ business.


This report offers:
• In depth analysis of the global construction industry dynamics including revenue growth expectations, key priorities, M&A activity expectations, capital expenditure and planned staffing changes.
• A look into the global construction industry market growth, including the demand in emerging markets and growth expectations in developed countries.
• An insight into the threats and opportunities within the global construction industry including the leading business concerns, key supplier actions to maintain and secure buyer business, key variations and costs.
• A look into an assortment of other strategies and behaviors within this sector and how the main players within the industry make their decisions.


This will facilitate:
• The increasing of your knowledge of the global construction industry.
• Your understanding of the key drivers within this industry.
• A clear understanding of market opportunities and entry strategies to gain or grow your market share in the global construction industry.
• A greater understanding of the competitive landscape of the global construction industry.


Target audience
• Construction companies.
• Suppliers to construction companies.
• Contractor research organizations.
• Trade body, academia or other industry observers.
• Companies involved at any stage in the manufacturing, procurement and marketing process.
• Marketing and advertising agencies