urban planning and design software Market

The global urban planning and design software market is expected to grow from US$ 2,916.26 million in 2021 to US$ 4,534.09 million by 2028; it is estimated to grow at a CAGR of 6.5% from 2021 to 2028.

The migration of rural populations in search of better employment and lifestyle is driving the growth of suburban cities. In addition, economists and urban planners have found that economic and infrastructure development in suburban areas is also a contributing factor. An article published by Times Property in January 2022 stated that employment opportunities are more centralized within the city center than in suburbs, but the population density of suburban cities peaks within 2 km of the city center due to better transportation facilities and corporate offices. These are some of the significant reasons for the growth of suburban areas in countries like India. Therefore, the future transformation of rural areas to suburban areas will require planning and design software for infrastructural development, which is likely to support the growth of the urban planning and design software market in the coming years.

Urban planners are recognizing the benefits of a centralized decision-making model, such as quick implementation of decisions, improved work quality, and reduced costs, leading governments to shift their focus towards this approach. Additionally, many urban planners are adopting a more open version of this model, involving ecosystem partners and individuals in the value chain. As a result, the growing adoption of centralized decision-making models by governments around the world is providing opportunities for developers of urban planning and design software.

Impact of COVID-19 Pandemic on Global Urban Planning and Design Software Market

The need for urban planning and design software was already significant before the COVID-19 pandemic due to the world's growing population. City leaders had to plan for metropolitan cities and offer affordable housing solutions and essential services to address the population's expanding needs. In 2019, approximately 55% of the world's population (about 4.2 billion people) lived in metro cities, and this trend was on the rise. As a result, the demand for developing infrastructure was also increasing, which supported the growth of the urban planning and design software market.

The growth of the urban planning and design software market was negatively impacted in 2020 by the COVID-19 pandemic, which led to a decline in the manufacturing and construction industries. The pandemic resulted in the cancellation and postponement of numerous construction projects, disrupting the entire construction industry. Additionally, with governments shifting their focus from development to healthcare, the urban planning and design software market was also affected.

The urban planning and design software market experienced a positive impact in 2021 and 2022 due to the relaxation of lockdown measures and the resumption of manufacturing and construction activities in urban areas. Additionally, there has been a considerable increase in the need for urban planning due to the rising urban population. The World Bank Group has projected that the global urban population will increase to 6 billion by 2045.

The urban planning and design software market growth was adversely affected owing to the downfall in the manufacturing & construction industries. However, the urban planning and design software market will grow during the forecast period due to the increase in the urban population.

Based on component, the global urban planning and design software market is bifurcated into software and services. The software segment dominated the urban planning and design software market in 2021, which held a significant market share. The global urban planning and design software market is categorized based on deployment into on-premise and cloud-based, with the cloud-based segment having a larger market share in 2021. The market is segmented based on application into architects, city planners, and creative departments, with the architects segment holding the largest market share in 2021. Geographically, the urban planning and design software market is segmented into North America, Europe, Asia Pacific (APAC), the Middle East & Africa (MEA), and South America (SAM), with North America holding the largest share in the global urban planning and design software market in 2021.

The urban planning and design software market size has been determined using both primary and secondary research methods. Initially, extensive secondary research was conducted using internal and external sources to gather qualitative and quantitative data related to the market. This process helped in obtaining an overview and forecast for the urban planning and design software market across all the market segments. Furthermore, primary interviews were conducted with industry experts, including VPs, business development managers, market intelligence managers, and national sales managers, as well as external consultants, such as valuation experts, research analysts, and key opinion leaders who specialize in the urban planning and design software market. This process ensured the validation of data and provided additional analytical insights into the topic.

The key companies operating in the urban planning and design software market include Bentley Systems Incorporated; Modelur; SIMWALK; SketchUp; UrbanFootprint; Urbansim; T-Square Engineering, Inc.; Esri; Holistic City Limited; and Act-3D.