The market for smart pest monitoring management systems is anticipated to grow from US$ 805.06 million in 2022 to US$ 1,219.35 million by 2028, reflecting a compound annual growth rate (CAGR) of 7.2% during this period.
Pro AgroTech is among the companies dedicated to advancing automated technologies for pest insect monitoring. Their goal is to develop an automatic device for counting insects that addresses the limitations of traditional pheromone traps, which are commonly used to monitor pests, especially Lepidopteran species such as the Diamond Back Moth and Oriental Leaf Worm. The shift towards modernizing outdated pest trapping systems is propelling the adoption of innovative smart pest control management solutions. The integration of AI-driven products for species identification and insect recognition is expected to unlock lucrative growth opportunities within the market. The increasing implementation of automated insect monitoring systems across various environments, including residential, commercial, industrial, agricultural, orchards, and forestry, is on the rise. The ongoing development initiatives by companies are projected to significantly enhance the global market for smart pest monitoring management systems.
Moreover, timely intervention in pest control is essential to mitigate crop damage, underscoring the importance of following Integrated Pest Management (IPM) guidelines, which are vital for fostering sustainable agricultural practices. IPM promotes environmentally responsible and effective pest control methods that are safe for human consumption and beneficial to the ecosystem. The benefits of adhering to IPM include:
- Enhanced food availability and increased farm productivity, while minimizing losses from pre- and post-harvest crop reductions.
- Higher income levels resulting from reduced production costs linked to lower pesticide usage.
- A decrease in pesticide residues found in food, feed, fiber, and the surrounding environment.
Monitoring pest populations is a critical component of IPM, as it helps assess the actual conditions of a field before any control measures are implemented. In April 2022, the California Department of Pesticide Regulation allocated US$ 3.75 million to support ten research initiatives aimed at developing IPM tools for agricultural, non-agricultural, and urban pest management. This funding represents a remarkable 617% increase from the previous year's investment, aimed at promoting safer and more sustainable pest management practices. As the adoption of IPM continues to rise, it is expected to directly contribute to the expansion of the smart pest monitoring management system market.
In 2021, Europe ranked second in the smart pest monitoring management system market, holding a significant market share, and is projected to experience steady growth from 2022 to 2028. The region is expected to present numerous growth opportunities for market participants during the forecast period. Germany and France are identified as key markets for smart pest monitoring management systems in Europe. The anticipated growth in the region is driven by rising demand for consumer goods and warehouse facilities. The food & beverage, automotive, and pharmaceutical sectors are the primary industries in this area. Germany, in particular, boasts a substantial trade surplus in the food and beverage sector, supported by highly harmonized EU food regulations. Consequently, the expansion of these industries is positively influencing the growth of the smart pest monitoring management system market, as they represent significant end-users of these systems.
The region is also witnessing robust growth in residential construction, fueled by demographic trends, low mortgage rates, and rising household incomes. This has led to an increase in new construction projects and the maintenance of existing structures, including the implementation of smart pest control solutions. Additionally, the non-residential construction sector is thriving, driven by consumer demand and relatively high corporate profits. Notably, Germany and the UK are experiencing substantial growth in their construction industries, which will create favorable growth opportunities for the smart pest monitoring management system market.
Governments in Italy and Spain are launching initiatives to bolster the construction sector by providing subsidies and grants for the renovation and construction of both public and private infrastructure projects, particularly in residential and commercial domains. This comprehensive focus on construction and maintenance is expected to enhance the adoption of smart pest monitoring management systems, thereby boosting the market share of these systems in Europe.
Market players in the region are concentrating on developing smart pest monitoring management systems to effectively address pest control challenges. Some of the prominent manufacturers in this sector include Futura GmbH, Rentokil Initial plc, Ratdar, and Pelsis Group Ltd, among others.
Impact of COVID-19 on the Smart Pest Monitoring Management System Market
The COVID-19 pandemic led to an economic downturn in Europe during 2020 and the early months of 2021, primarily due to business closures, travel restrictions, and disruptions in supply chains. Countries such as Italy, Spain, and Germany implemented significant measures and travel restrictions to mitigate the virus's spread. In response, smart pest monitoring management system providers in the region have shifted their focus towards developing wireless platforms that enable farmers to make real-time decisions regarding pest monitoring, crop health, yield tracking, field mapping, harvesting management, and irrigation scheduling. Although the pandemic's impact on the smart pest monitoring management system market was temporary, the market is expected to present profitable opportunities in the medium to long term.
The pandemic has posed challenges for many pest management companies in Europe. The difficulties in manufacturing and applying biological control agents, which require specialized knowledge and effort, have been exacerbated by COVID-19. Furthermore, the European Green Deal and its Farm to Fork strategy are restricting the use of synthetic pesticides and fertilizers in agriculture, potentially encouraging the adoption of organic pest control methods and smart pest monitoring systems to safeguard crops. These factors are anticipated to directly influence the growth of the smart pest monitoring management system market in European nations.
The smart pest monitoring management system market is categorized by component, end-user, and geography. In terms of components, the market is divided into hardware and software & services. By end-user, the market is segmented into commercial, residential, agricultural, and industrial sectors. Geographically, the market is primarily divided into North America, Europe, Asia Pacific, the Middle East & Africa, and South America.
Key players in the smart pest monitoring management system market include Anticimex, Bell Labs, Bayer AG, Corteva, Ecolab, and Rentokil Initial PLC. The market is characterized by fragmentation, with numerous players localized in specific regions to meet domestic demand.
The research on the smart pest monitoring management system market has been conducted using both primary and secondary sources. The initial phase involved extensive secondary research from various internal and external sources to gather qualitative and quantitative data about the market. This process also included obtaining an overview and market forecast for all segments of the smart pest monitoring management system market. Additionally, multiple primary interviews were conducted with industry participants and experts to validate the data and gain deeper analytical insights. Participants in the primary research included industry professionals such as VPs, business development managers, market intelligence managers, and national sales managers, as well as external consultants like valuation experts, research analysts, and key opinion leaders specializing in the growth of the smart pest monitoring management system market.