by Brianna Crandall — April 20, 2018 — Global growth partnership company Frost & Sullivan’s recent analysis, The Impact of Digital Transformation on the Waste Recycling Industry, finds the adoption of advanced technologies, development of digital solutions, and new business models having an impact on smart buildings and creating new growth opportunities in the global smart waste management industry.
The global smart waste management market involving smart waste recycling bin systems, smart fleet and logistics solutions, connectivity and cloud computing, and smart waste recycling systems together is expected to reach a revenue of $3.6 billion by 2020.
Frost & Sullivan expects the Internet of Things (IoT), smart cities, the circular economy, and partnerships with information technology (IT) companies and start-ups to fuel new digital transformation. The analysis reveals innovation, industry challenges, cost-effective smart solutions, disruptive trends, key players, and insight into the phases of digital technology implementation, by region and market segment.
Akshaya Gomatam Ramachandran, Energy and Environment research analyst at Frost & Sullivan, stated:
Companies should leverage IoT and big data to optimize and increase the efficiency of their waste management processes and strengthen client relationships. Partnerships and collaboration with IT companies and start-ups will further enhance product innovation, customer engagement, and cost-effective business models.
According to the report, five digital transformation trends are creating new opportunities within the waste recycling industry:
- The use of waste data tracking including RFID technology and fill sensors to detect fill levels and monitor all the materials generated, reused, and recycled;
- The development and adoption of digital solutions such as smart bins, smart trucks, robotic sorting, mobile applications, and analytical tools and optimization software;
- Implementation of key innovative business models such as freemium and Everything-as-a-Service (XaaS);
- Focus on customer experience (CX) to build strong relationships between companies and end users; and
- Adoption of crowdsourcing and customization to boost demand for big data analytics and cloud computing.
Ineffective collection, irregular waste pickups, and the effective sorting of waste streams are some of the significant challenges facing the market. To mitigate these challenges, companies have implemented bin sensors/RFID bins to monitor waste volume, thereby enhancing waste collection.
The Impact of Digital Transformation on the Waste Recycling Industry is part of Frost & Sullivan’s Energy and Environment Growth Partnership Service program. The report is available for purchase, or a free Executive Summary is available to view from the Frost & Sullivan website.