NSCA, a not-for-profit association representing the commercial integration industry, has updated its biannual Electronic Systems Outlook report for Summer 2023. It includes new construction outlook information for United States and Canada based on actual data from Q1 and Q2 of 2023, as well as a forecast for the remainder of 2023, 2024 and beyond.
Overall, total U.S. engineering and new construction spending is forecast to end 2023 up 3 percent compared to up 11 percent in 2022. Spending in reported target nonresidential building segments — corporate, education, government, healthcare, houses of worship, lodging, manufacturing and retail — is forecast to end 2023 up 15 percent from 2022, compared to up 13 percent between 2022 and 2021.
In the Summer 2023 edition, the Electronic Systems Outlook report provides an updated view of:
- Top markets for renovation and new construction
- New construction forecasts for 2023 and beyond
- In-demand technologies and where that growth is occurring
- Focused sales approaches
- New business opportunity potential
The information in the report is said to help integrators adjust their sales and marketing strategies. Understanding the most recent construction put-in-place totals helps them stay on top of slowdowns, recoveries, and market/geographic changes, according to NSCA.
“Strong, double-digit investment growth in target building segments, including lodging, manufacturing, and retail, could drive increased spending through 2023,” says NSCA Executive Director Tom LeBlanc. “For the first time in many years, no targeted segments are predicted to have a ‘down’ year. Instead, nearly all are expected to realize investment growth exceeding 4 percent, which outpaces historical rates of inflation by year-end.”
Knowing that new construction is the best indicator of the future business climate for integrators, NSCA has followed and reported on industry conditions for more than two decades. The Electronic Systems Outlook report was initially established as a response to member questions about market conditions and trends, outlining vertical market outlooks, construction outlook summaries, and technology/systems outlooks in specific markets.
NSCA members can download the report for free. For more information about the Electronic Systems Outlook Summer 2023 report, or to join NSCA and get a free copy of the report, visit nsca.org or call (800) 446-NSCA.