MarketsandMarkets forecasts the global smart waste management market to grow to USD 2.37 billion by 2021, at a Compound Annual Growth Rate (CAGR) of 16.9% during the forecast period.
The smart waste management market is evolving at a rapid pace with technological advancements. The integration of Internet of Things (IoT) in different industry verticals has propelled the trend of providing real-time data to take corrective actions. Furthermore, regulatory bodies mandate strict standards for waste disposal and environment protection. To maintain these standards, organizations are focusing on new solutions for better optimization and cost reduction. These factors have fueled the growth of the smart waste management market and are inviting new vendors to enter the market.
The number of smart city initiatives is increasing due to the decreasing cost of sensors and hardware. Furthermore, the fuel cost reduction owing to the use of smart waste management solutions has changed the scenario. A pioneer technology has been initiated with solar power smart dustbins, which has increased the cost efficiency and is attracting investments in the market.
Optimization solutions provide real-time updates about the location and fill levels of the smart dustbins and containers and helps in routing the fleets. This segment is expected to grow at the highest CAGR during the forecast period. The solution includes components such as fleet tracking and monitoring, remote device monitoring, and mobile workforce management. The cost efficiency of these solutions is the major driving force for optimization solutions in smart waste management market.
The managed services segment is expected to grow at the highest CAGR during the forecast period. These services offer technical skills that are required to maintain and update software in the ecosystem. Companies mainly outsource such services to offer customers on-time delivery and ensure their economies of scale. The global managed services segment is expected to grow due to the complexity of operations and increasing deployment of smart waste management solutions.
Asia-Pacific (APAC) is expected to be the fastest-growing region in the smart waste management market. This growth is fueled by increasing technological adoption and high generation of waste in the region.