by The Global Testing, inspection, And Certification (TIC) Market is estimated to be valued at US$ 232.3 Bn in 2023 and is expected to exhibit a CAGR of 3.2% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market Overview:
Testing, Inspection, and Certification (TIC) services help maintain the quality and safety of products and services by evaluating their compliance with regulations and standards. They cover a wide range of sectors such as food & beverages, oil & gas, renewable energy, engineering & manufacturing, construction, healthcare, agriculture, and others. Rising demand for quality assurance and safety across industries is driving the need for TIC services to ensure products meet certain standards before being made available to consumers. TIC helps reduce defects, waste, and recalls while increasing customer satisfaction.
Market key trends:
The TIC market is witnessing notable growth trends such as increasing adoption of digital technologies by TIC service providers and growing demand from emerging economies. Technology integration is helping automate inspection and testing processes, improve efficiency, and reduce costs. Emerging technologies like Artificial Intelligence, Internet of Things, data analytics are finding increasing usage. Further, growing manufacturing and infrastructure development activities in developing nations are fueling the need for TIC services in regions like Asia Pacific, Middle East, and Africa. Stringent safety and quality regulations across industries are also pushing the demand for TIC globally.
Porter’s Analysis
Threat of new entrants: The TIC market requires high initial investments and compliance to regulatory standards which acts as a barrier for new entrants.
Bargaining power of buyers: Large buyers have higher bargaining power due to their ability to choose from a variety of TIC players. However, switching costs and compliance needs keep this power in check.
Bargaining power of suppliers: Accreditation bodies and regulatory authorities set standards that all TIC players must adhere to, limiting the power of suppliers.
Threat of new substitutes: No cost-effective substitute services exist currently that can provide the same compliance, quality and safety assurances as TIC players.
Competitive rivalry: The market is highly competitive with players competing on service quality, scope, and pricing resulting in lower profit margins.
Key Takeaways
The Global Testing, Inspection, And Certification (TIC) Market is expected to witness high growth, exhibiting CAGR of 3.2% over the forecast period, due to increasing demand for outsourcing of such services and stringent quality and safety regulations globally.
The Asia Pacific region dominates the global TIC market with a share of over 30% in 2023, with China and India being the major contributors. This is attributed to growth in manufacturing industries and increasing export of products requiring compliance certifications in the region. Europe is also a significant market supported by stringent product standards mandated by regulatory bodies such as REACH.
Key players operating in the TIC market includes SGS Group, Bureau Veritas SA, TUV Rheinland Group, Intertek Group PLC, ALS Limited, DNV GL, MISTRAS, Lloyd€TMs Register Group Limited, Underwriters Laboratories Inc., ABS Group, and ASTM International. Key players are focusing on strategic partnerships and acquisitions to expand their service portfolio and geographic footprint.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
