PUBLISHER: Roots Analysis | PRODUCT CODE: 1771410
PUBLISHER: Roots Analysis | PRODUCT CODE: 1771410
As per Roots Analysis, the global carbon footprint management market size is estimated to grow from USD 13.54 billion in the current year to USD 55.92 billion by 2035, at a CAGR of 15.23% during the forecast period, till 2035.
The opportunity for carbon footprint management market has been distributed across the following segments:
Type of Component
Type of Deployment
Organization Size
Type of Vertical
Geographical Regions
The term "carbon footprint" refers to the overall quantity of greenhouse gases produced by everyday human activities. Through the use of technology, this can be managed with advanced software and tools designed for measuring carbon footprints. These management solutions encompass tracking, reducing, and offsetting greenhouse gas emissions. Additionally, these comprehensive solutions help businesses, governments, and individuals participate in combating climate change by establishing reduction targets, implementing strategies, and monitoring as well as reporting on progress.
Consequently, the market for carbon footprint management is experiencing significant growth worldwide. A report from the UN indicates that approximately 107 countries, responsible for about 82% of greenhouse gas emissions, have committed to net-zero targets either through legislation or policies, such as national climate action plans.
This is largely because government policies have a considerable impact on carbon emissions; regulations and incentives can lead to reductions by promoting renewable energy, imposing emission standards, and fostering sustainable practices across various industries. Additionally, the UN Environmental Program (UNEP) suggests that nations should aim to reduce greenhouse gas emissions by 42% by the year 2030.
As a result, governments are implementing climate change mitigation strategies to achieve these objectives, indicating a focus on managing greenhouse gas emissions. Moreover, the increasing emphasis on the integration of technology, including digital tools and AI for carbon tracking, as well as the rising demand for carbon accounting services, are key drivers for the growth of carbon footprint management market during the forecast period.
Based on type of component, the global carbon footprint management market is segmented into solutions and service. According to our estimates, currently, the service segment captures the majority share of the market. This can be attributed to the increasing demand for consulting training alongside the need for cost-effective operational and implementation support.
However, the solutions segment is expected to grow at a relatively higher CAGR during the forecast period. This growth can be attributed to fact that these tools assist organizations in efficiently monitoring, analyzing, and reporting their carbon emissions. Additionally, software solutions facilitate real-time emissions tracking across different operations, offering valuable insights for minimizing carbon emissions and aiding in compliance with regulatory reporting requirements.
Based on type of deployment, the carbon footprint management market is segmented into cloud and on-premises. According to our estimates, currently, lithium captures the majority of the market. Additionally, this segment is likely to grow at a higher CAGR during the forecast period. This can be attributed to the widespread adoption of cloud-based carbon footprint management software and services.
These solutions offer secure and cost-effective tools for tracking carbon emissions and reliable support. Further, their flexibility, scalability, and ease of implementation is fueling the expansion of this market
Based on organization size, the carbon footprint management market is segmented into corporate enterprises, mid-tier enterprises, and small businesses. According to our estimates, currently, corporate enterprise segment captures the majority share of the market. This can be attributed to their complicated operations, extensive emissions, and growing demands from investors. Carbon management solutions are essential for their operations in fulfilling ESG requirements.
However, small businesses segment is expected to experience the highest compound annual growth rate (CAGR) during the forecast period, owing to the strict regulatory compliance and government pressure that urge companies to invest in carbon offset initiatives and adopt effective practices for minimizing carbon emissions.
Based on type of vertical, the carbon footprint management market is segmented into energy utilities, financial services, government, IT and telecom, manufacturing, residential and commercial buildings, and transportation and logistics. According to our estimates, currently, energy and utilities segment captures the majority share of the market. However, the manufacturing sector is expected to grow at a higher compound annual growth rate (CAGR) during the forecast period.
Based on geographical regions, the carbon footprint management market is segmented into North America, Europe, Asia, Latin America, Middle East and North Africa, and the rest of the world. According to our estimates, currently, North America captures the majority share of the market. However, the market in Asia is expected to grow at a higher compound annual growth rate (CAGR) during the forecast period. This can be attributed to the rapid industrial development and urbanization in the region, which have resulted in high carbon emissions. To mitigate emissions, developing nations are increasingly investing in carbon footprint management solutions and services.
The report on the carbon footprint management market features insights on various sections, including:
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