Cost Saving Opportunities for the Global Janitorial Cleaning Services Market 2017-2021: Technavio

LONDON–(BUSINESS WIRE)–#CategorySpendIntelligence–According to the latest procurement market intelligence report from Technavio,
the global
janitorial cleaning services market
is expected to grow
at a CAGR of 4.3% driven by the demand from private and public sector
companies, as outsourcing helps them reduce management complexities
while procuring high-quality services.

The research report titled ‘Global
Janitorial Cleaning Services Market: Procurement Intelligence Report
’ provides an in-depth analysis of category spend, best
procurement practices and cost saving opportunities, aimed at helping
organizations achieve superior business performance. The report also
provides insights on pricing, supplier positioning and top companies,
enabling sourcing professionals to improve their competitive advantage
through procurement excellence.

“During the forecast period, the janitorial cleaning services market
will be driven by an increase in demand from large government,
industrial, and commercial entities that seek to outsource these
services to capitalize on the technological capabilities of suppliers,”
says lead Technavio procurement specialist Angad Singh for category
spend intelligence
. “Also, the growth of economies and increase
in construction of commercial and non-commercial buildings in APAC will
also drive the market,” adds Angad.

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Cost Saving Opportunities in the Janitorial Cleaning Services Market

The adoption of various cost-optimization tactics helps buyers of
janitorial cleaning services realize direct cost savings and enhance
category management and value benefits (including reduced procurement

Technavio procurement experts have segmented the cost saving
opportunities in the janitorial cleaning services market into the
following value-enhancement opportunities:

  • Adoption of technology
  • Supplier Competition
  • Adoption of negotiation strategies
  • Optimization of procurement practices
  • Bundling of services

Adoption of technology saving aspects

Adoption of technologies such as janitorial software help schedule tasks
efficiently and robotic cleaning products facilitate cleaning of
surfaces without supervision. Janitorial services can rely on IoT
applications to monitor resource utilization and intimate maintenance

Organizations prefer to engage with suppliers that use advanced
technology to ensure effective and efficient services while at the same
time being cognizant of the health and well-being of the workers and the

Optimization of supplier competition saving aspects

One of the most significant levers to employ against supplier
competition is the offering of specialized capabilities, which can
assure better business opportunities. Certain sectors such as the
automotive and electronics industry require suppliers to offer
customized plans that cater to specific needs related to compliance and
management of cleanroom environments. For example, the automotive sector
can require suppliers to come up with plans to deal with residues of
oils and lubricants that are a part of everyday activities in this

Bundling of services saving aspects

The most opportunistic strategic cost saving levers in the global
janitorial cleaning services market are the need for consolidation and
unification of service providers. Organizations are looking to reduce
the number of external service providers from a security and efficiency
standpoint. Therefore, bundling of janitorial services with additional
services such as parking lot maintenance is preferred by organizations
and can result in cost-savings to the extent of 10%.

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About Technavio

is a leading global technology research and advisory company. The
company develops over 2000 pieces of research every year, covering more
than 500 technologies across 80 countries. Technavio has about 300
analysts globally who specialize in customized consulting and business
research assignments across the latest leading edge technologies.

Technavio analysts employ primary as well as secondary research
techniques to ascertain the size and vendor landscape in a range of
markets. Analysts obtain information using a combination of bottom-up
and top-down approaches, besides using in-house market modeling tools
and proprietary databases. They corroborate this data with the data
obtained from various market participants and stakeholders across the
value chain, including vendors, service providers, distributors,
re-sellers, and end-users.

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