Drone Service Market

Drone Service Market Size

Drone Service Market is anticipated to grow at a CAGR of 30.3% in the forecast period (2022-2032), with the market size valued at USD 13.04 billion in 2022 and expected to reach USD 184.2 billion by 2032.

Drone service is a process of renting unmanned aerial vehicles (UAVs) for a wide range of applications across various sectors. These UAVs are equipped with modern technologies, such as cameras, sensors, and GPS, that allows them to perform various tasks like aerial photography, videography, agricultural crop monitoring, search & rescue missions, and more. Drone services are usually provided by experienced drone operators and businesses, who understand every aspect of drone operation, including flight planning, execution, data collection, and analysis. These services are increasingly popular for their efficiency and ability to access difficult or hazardous locations.

Market Highlights

Drone Service Market is expected to exhibit a CAGR of 30.3% during the forecast period, 2022-2032

Drone Service Market is expected to reach USD 184.2 billion, growing at a CAGR of 30.3% during the forecast period, owing to its diverse applications across sectors, such as agriculture, construction, real estate, and public safety. The expansion is fueled by the growing demand for aerial mapping, surveillance, and data collection services. The rising interest in applications like environmental monitoring, package delivery, and smart city initiatives is creating fresh opportunities for growth and development.

Source: Fatpos Global

Drone Service Market Segmentation

Drone Platform Services segment will expand due to the growing use of drones for surveillance and public safety

Based on the Type, the market is divided into Drone Platform Services, Drone MRO Services, and Drone Training & Simulation Services. The drone platform services segment held the largest share of the market. Drone platform services include a range of software and hardware solutions that help with the safe and efficient operation of drones. This segment is expected to grow at the fastest rate, due to the increasing popularity of drones for public safety and emergencies.

Surveillance & Inspection segment to dominate owing to its usage in agriculture, oil & gas, mining, and others

By Application, the Drone Service Market is typically segmented into Aerial Photography, Product Delivery, Surveillance & Inspection, and Others. The surveillance & inspection segment dominated the market and is expected to be the fastest-growing sector. This is due to an increase in the demand for surveillance and inspection operations, particularly in agriculture, oil and gas, mining, and other industries. The product delivery segment ranks as the second largest owing to the increased usage of drones for delivering goods and services to customers. This requires specialized drones equipped with sensors and GPS technology to navigate and transport packages to their destinations. The increasing need for swift and efficient delivery services is expected to drive the growth in the product delivery segment.

Source: Fatpos Global

Market Dynamics

Growth Drivers

Multiple Applications of Drone Service Will Drive Market Growth

Drone service market is witnessing substantial growth due to its multiple applications across different industries. In agriculture, drones are increasingly used for crop monitoring and to maximize yield. Drones are used in the construction sector to create 3D maps and conduct site surveys. Additionally, the logistics industry is actively utilizing drones for package deliveries and improving logistics operations with greater speed and efficiency. Furthermore, drones are used by public safety organizations for surveillance, disaster relief, and search & rescue operations. These applications will lead to a sharp increase in the demand of drone services, which will present suppliers with fresh opportunities to meet industry-specific demands and expand their market.

Rapid Technological Advancements Will Provide Growth Opportunities

Drone service market is experiencing strong growth due to the continuous technological advancements that enhance drone capabilities. Improvements, such as advanced sensors, extended battery life, and faster data processing capabilities, have made drones more versatile and affordable. These developments in technology enable drones to operate efficiently across, both, agricultural fields and urban settings. Additionally, the increased automation and the integration of AI have enabled drones to perform tasks with greater accuracy. These developments are expanding the potential applications of drone services and increasing their reliability and effectiveness.

Restraints

Regulatory Constraints and Airspace Restrictions Impose Significant Constraints on the Drone Service Market

Regulations and airspace restrictions are two significant factors affecting the drone service market. Various countries have established severe laws regulating drone operations, that includes rules regarding flight locations, altitude limitations, and the need for permits or licenses. These regulations are designed to ensure the safety of manned aircraft and addressing privacy concerns. Meeting these regulations present significant challenge for drone operators. Furthermore, the limitations on airspace usage can limit the geographical areas where drones can be effectively used. All these factors significantly restrict the growth and operational abilities of the drone service market.

Recent Developments

• In order to facilitate the logistics of heavy payload drone deliveries, Skyports Drone, a U.K.-based provider and operator of eVTOL drone solutions, partnered with Pyka Inc. in January 2023. Through this partnership, Pyka's top-tier heavy payload aircraft is utilized by Skysports to deliver drone deliveries that are among the best in the industry.
• In September 2022, Airborne Response was bought by Safe Pro Group Inc., a U.S.-based company that develops safety and security solutions for infrastructure and people, for an undisclosed sum. Through this acquisition, Safe Pro Group is able to improve its services and broaden its capacity to provide mission-critical solutions to both government and commercial clients. The United States-based company Airborne Response offers UAV services for mission-critical aerial intelligence.
• April 2022 - In order to expand its reach internationally, Zipline, a logistics firm based in the United States that designs, produces, and manages delivery drones, has partnered with Toyota Tsusho Corp., a division of the same name automobile corporation, located in Japan. Together, the companies started offering medical supply drone delivery services to the Gotō Islands in Japan.
• January 2022: Wingcopter GmbH, a German aerospace firm that specializes in the design and production of unmanned eVTOL delivery drones, and Spright, an Air Methods division based in the United States, inked a 16-million-dollar contract. As part of the collaboration, the businesses are concentrating on growing the medical UAV services by establishing a drone-based healthcare delivery network that spans more than 300 U.S. sites.

Drone Service Market

Key Players:

• DJI
• Parrot
• AeroVironment
• PrecisionHawk
• Insitu (a Boeing company)
• senseFly (a Parrot company)
• Delair
• DroneDeploy
• Kespry
• Skycatch
• Cyberhawk Innovations
• FLIR Systems
• Yuneec International
• Flyability
• AirMap
• Other Prominent Players (Company Overview, Business Strategy, Key Product Offerings, Financial Performance, Key Performance Indicators, Risk Analysis, Recent Development, Regional Presence, SWOT Analysis)

Regional Analysis

Drone Service Market is segmented based on regional analysis into five major regions: North America, Latin America, Europe, Asia Pacific and the Middle East and Africa. North America took a prominent position in the drone service market. Increased investments in the R&D of next-generation drone technologies and the significant presence of major OEMs in the region are responsible for this expansion. Asia Pacific is expected to witness the fastest growth among all the regions. This substantial growth is due to the increasing adoption of drones within the agriculture sector. Additionally, the rules and regulations for drone usage in agriculture is becoming more favorable in this region, with numerous countries establishing guidelines to promote the adoption of drones in agricultural practices.

 Source: Fatpos Global

Impact of Covid-19 on Drone Service Market

The global drone services industry experienced significant growth due to the impact of the COVID-19 pandemic. Drones played an important role in delivering medical supplies, disinfecting public spaces, and minimizing infection risks. They were also crucial in contactless goods delivery and monitoring the implementation of social distancing measures. Additionally, the logistics sector saw an increase in demand for UAV services during the pandemic. Drones were used to transport essentials like medical supplies and food. They were extremely effective in covering the last-mile delivery, which is the final stage of getting items delivered to the consumer.

Drone Service Market is further segmented by region into:

• North America Market Size, Share, Trends, Opportunities, Y-o-Y Growth, CAGR – United States and Canada
• Latin America Market Size, Share, Trends, Opportunities, Y-o-Y Growth, CAGR – Mexico, Argentina, Brazil, and Rest of Latin America
• Europe Market Size, Share, Trends, Opportunities, Y-o-Y Growth, CAGR – United Kingdom, France, Germany, Italy, Spain, Belgium, Hungary, Luxembourg, Netherlands, Poland, NORDIC, Russia, Turkey, and Rest of Europe
• Asia Pacific Market Size, Share, Trends, Opportunities, Y-o-Y Growth, CAGR – India, China, South Korea, Japan, Malaysia, Indonesia, New Zealand, Australia, and Rest of APAC
• Middle East and Africa Market Size, Share, Trends, Opportunities, Y-o-Y Growth, CAGR – North Africa, Israel, GCC, South Africa, and Rest of MENA

Drone Service Market Scope and Segments:

Frequently Asked Questions (FAQ):