April 24, 2024

Drone Services in Trends by Adoption of Commercial Applications

 

The drone services market involves utilization of unmanned aerial vehicles or drones for various commercial applications like agriculture, construction, energy & utilities, real estate, video & photo, and delivery services. Drones help in monitoring crops and farm fields, assessing infrastructure projects, inspecting offshore installations, capturing property listings through aerial photographs and videos, and transporting goods. This allows for cost-effective operations, time savings, enhanced safety, and improved productivity for businesses.

The Global Drone Service Market is estimated to be valued at US$ 12.57 Billion in 2024 and is expected to exhibit a CAGR of 39% over the forecast period from 2023 to 2030.

Key Takeaways

Key players operating in the drone service market are Unmanned Experts Inc., Aerodyne Group, Terra Drone Corporation, Cyberhawk, Sharper Shape, Dronedeploy, Sensefly, Edall Systems, Precisionhawk, and Phoenix Drone Services LLC. The adoption of drone technology is increasing rapidly across various industries due to their benefits. This growing demand is supported by advancements in drones like longer flight times, higher payloads, and autonomous operations.

Leading companies are focusing on expanding their global footprint to leverage opportunities arising from liberal regulations concerning commercial drone operations in different geographies. For instance, DroneDeploy launched localizing features and services for the Brazilian market to support customers in Latin America. Phoenix Drone Services opened new offices in Australia and New Zealand to cater to local infrastructure, mining, and agriculture industries.

Market Key Trends

One of the key trends in the drone services market is the development of beyond visual line of sight (BVLOS) drone operations. Regulatory agencies are approving more BVLOS flights as drone technologies improve safety measures. This will allow commercial applications like agriculture spraying, infrastructure inspection, and emergency response over longer distances without visual observers. Another trend is the integration of drone data into overall digital transformation strategies of companies. Industries are leveraging drone captured images, videos, and spatial data through analytics and AI for applications ranging from predicting crop yields to monitoring construction progress. This is improving decision making.

Porter’s Analysis

Threat of new entrants: New players find it difficult to enter the market due to high investment required for R&D. Bargaining power of buyers: Buyers have relatively low bargaining power as there are many established players providing differentiated services. Bargaining power of suppliers: Suppliers of drone components have moderate bargaining power due to availability of substitute components. Threat of new substitutes: Threat of new substitutes is moderate as advanced technologies can disrupt the market. Competitive rivalry: Intense competition exists among the top players to gain market share.

Geographical Regions

North America currently dominates the market in terms of value aided by robust infrastructure and rising utilization of drones across various industry verticals like oil & gas, construction, and others. Asia Pacific region is expected to witness fastest growth over the forecast period supported by rising penetration of advanced technologies and increasing government initiatives to promote commercial drone applications.

*Note:

  1. Source: Coherent Market Insights, Public sources, Desk research
  2. We have leveraged AI tools to mine information and compile it