|Status : Published||Published On : Jan, 2021||Report Code : VRSME63||Industry : Semiconductor & Electronics||Available Format :||Page : 250|
The global testing, inspection and certification (TIC) market was valued at USD 241.0 billion in 2020, growing at a CAGR of 6.3% during the forecast period.The major reason behind the high growth of TIC market globally is growing urbanization in developing nations and more inclination towards product and outsourcing from major manufacturing companies. Besides, product piracy tendency in different regions of globe and strict government regulations to maintain product standards are further boosting the demand for Testing, Inspection & Certification globally.
Testing, Inspection & Certification service is a conventional assessment group which offer services ranging from auditing and inspection, to testing, verification, quality assurance and certification. The service is performed by both in-house and from third-party vendors.
Insight by Service
On the basis of service, the market is segmented into testing, inspection, and certification. Among these services, certification segment captures largest market share in 2020 and is expected to grow at fastest rate during the forecast period, owing to growing trend of product manufacturers adherence to the certain set of compliance, as stated by government bodies and industry organizations.
Insight by Source Type
On the basis of source type, the market is bifurcated into in-house and outsourced. Among these, in-house accounted for the foremost share in the testing, inspection & certification market in 2020 with large number of tier-1 and tier-2 players having their in-house TIC division. However, outsource service is growing at fast pace and is expected to surpass the in-house service market share next 10 in years to come with large number of budding TIC companies.
Two major trends prevailing in TIC market currently is growing adoption of “Digital TIC” with integration of advanced technology such as AR, VR, drones and so on in testing, inspection and certification service. Another trend ruling the market is outsourcing service, around 40% of the TIC service in market is outsourced in 2019 and similar trend will be seen during the forecast period.
Growing urbanization across developed as well as developing economies and therefore rise in range of products used in the market is major driver for TIC market. Further, stringent government regulation to maintain product standard is another factor which will impact the testing, inspection & progression in the market in near future.
Changing regulations and standards in different regions is acting as a challenge for the manufacturers since, the TIC body has to abide by diverse regulations followed regionally. Further, complex ecosystem is another restraint to the market and restrict the testing, inspection & certification market growth to large extent.
Geographically, APAC, is the largest and fastest growing testing, inspection & certification market with largest number of small and large product manufacturers residing in the region. Further, administration of several countries in the region are inspiring companies across the globe to make investment in the region. This will further up surge the growth of the China Testing, Inspection & Certification (TIC) market in years to come.
Further, US and Europe hold the second and third largest testing, inspection & certification market share respectively.
Key players in the in the testing, inspection & certification market is highly fragmented with both in-house TIC service providers who has partnership or is part of manufacturing companies and the third-party service providers from where service is outsourced based on the requirement. Further, merger & acquisition are key strategies adopted by the product manufacturers in the market. The three major players operating in the market are SGS Group, Bureau Veritas SA, and Intertek. These three companies together hold one-fourth market share. Whereas, the top 10 global players account for around 40% of the TIC market. The industry has large number of global as well regional players offering service to diverse industry segment. On the other hand, small players has focus on one particular region or industry.
Some of the key players operating in the testing, inspection & certification market are ALS Limited, Applus Plus, Bureau Veritas SA, DNV GL, Element Materials Technology, Eurofins Scientific, Intertek, Lloyd’s Register Group Limited, MISTRAS, SGS Group, TUV NORD Group, TUV SUD Group, TUV Rheinland Group, and UL LLC.
VynZ Research conducts extensive primary research to understand the market dynamics, validate market data and have key opinions from the industry experts. The key profiles approached within the industry includes, CEO, CFO, CTO, President, Vice President, Product Managers, Regional Heads and Others. Also, end user surveys comprising of consumers are also conducted to understand consumer behaviour.
Source: VynZ Research
Source: VynZ Research