Carbon footprint is a measure of the total amount of greenhouse gases produced to directly or indirectly support given activities, which may either be human or machine oriented. This is usually expressed in equivalent tons of carbon dioxide (CO2). The global carbon footprint management market is made up by the solutions and services that help manage carbon footprint. Over the course of the last few years, the global footprint management market has grown substantially. Growing concerns about climate change, global warming and the need for an international agreement on carbon emission has directed the market’s growth.
The factors favorable for the global carbon footprint management market’s growth include the increased implementation of a standardized regulatory framework and government initiatives to promote low carbon emission policies. Growing concerns about enterprise sustainability and corporate social responsibility (CSR) programs among the corporates is expected to drive this market. The increasing implementation of analytics to use the insights from data and its associated processes for improved decision-making is also anticipated to drive this market.
The high cost associated with the replacement of existing infrastructure with greener and low carbon emitting infrastructure is expected to be one of the restraints on the growth of global carbon footprint management market. Lack of clarity about the regulatory landscape and strategic benchmarking is further expected to hamper growth. The high initial investment is expected to present barriers toward the entry of new players into this market.
The global carbon footprint management market is expected to witness immense growth opportunities from the modernization of IT and telecom infrastructure. Carbon footprint management, which is becoming increasingly important for energy-extensive industries, is anticipated to provide favorable avenues of growth in this market. The shift to ultra-low-emission transportation is also anticipated to favor market growth. Additionally, support for the carbon trading market is expected to provide opportunities for market growth.
The global carbon footprint management market can be segmented on the basis of type, deployment, industry vertical, and region. On the basis of type, the market can be segmented into software and service segments. The service segment can be further bifurcated into professional service and managed service. On the basis of deployment, the market can be divided into on-premise deployment and on-demand deployment. On the basis of industry vertical, the market can be divided into IT and telecom, manufacturing, commercial buildings, transportation, and other utilities. The manufacturing segment is expected to witness significant growth. On the basis of region the global carbon footprint management market can be segmented into North America, Europe, Asia Pacific, Middle East and Africa, and South America. North America is anticipated to hold a substantial market share in the foreseeable future, with growth largely attributable to a comparatively established regulatory framework and higher spending on carbon footprint management solutions. However, emerging markets such as South America and Asia Pacific are expected to show promising growth in the long run. This is due to the rapid industrialization, increased foreign investments, and government subsidies for carbon management programs in the region, supported by global bodies for environment protection.
The major players in the carbon footprint management market can be divided into two sub-categories. Software vendors, which include Thinkstep, Enablon, Ecova, Inc., ProcessMAP Corporation, Greenstone+, Verisae, Inc., and IHS Markit Ltd. Enviance, Schneider Electric SE, and FirstCarbon solutions make up the list of major service vendors for the carbon footprint management market.