We’re approaching the end of Q3, and we’ve already seen emerging trends in construction projects for 2024. Let’s take a look at them.

With a significant 7.4% increase in total construction spending in Q3 of 2023 and a forecasted 17.2% CAGR from 2023 to 2028, according to Deloitte and Reportlinker, respectively, the sector is poised for substantial growth. Here are the key trends shaping the future of construction in 2024 and beyond.

1. Construction Industry Technology

Historically, the construction industry has been slow to adopt new technologies. 

However, this mindset is rapidly changing. According to OpenAsset’s 2022 AEC Industry Outlook Survey, nearly 74% of respondents plan to implement new technologies to tackle key challenges. This shift is driven by the need to enhance efficiency, particularly in the post-pandemic era.

In 2024, technology will be a major differentiator for builders and developers. A GlobalData survey on construction technology identified improving productivity as the primary driver (61%), followed by achieving greater competitiveness and reducing costs (both 37%), and enabling faster construction times (35%). 

Key technologies set to gain prominence include:

• Building Information Modelling (BIM)
• Drones
• Augmented Reality (AR) and Virtual Reality (VR)
• Robotics and Automation
• Wearable Technology
• Artificial Intelligence (AI)

These technologies not only boost efficiency but also improve competitiveness, reduce costs, and speed up construction times. 

2. Drones

Initially popular for aerial photography, drones now serve multiple purposes in construction. Drones are used on at least 37% of construction sites, significantly reducing the need for manual high-altitude inspections. The global construction drone market, which generated $4.9 million in revenue in 2021, is projected to grow to $15.8 million by 2030, with a CAGR of 15.57%.

Drones offer numerous benefits for construction teams, building owners and real estate investors:

• Site Surveying: Facilitating mapping and planning before work begins, saving time and costs by eliminating physical site investigations for building owners or real estate investors.

• Progress Tracking: Providing live views of construction sites, allowing developers and contractors to identify and address potential issues early.

• Project Documentation: Creating accurate records of construction progress.

• Safety Inspections: Identifying potential hazards to prevent accidents.

• Worker Monitoring: Ensuring compliance with safety guidelines.

Drones are expected to monitor equipment depreciation and use AI to manage construction machinery more efficiently.

3. Big Data and Analytics

The construction industry generates vast amounts of data, including project specifications, financial information, and employee records. Managing and making sense of this data can be tedious and time-consuming, which is why software solutions for big data management are becoming increasingly popular.

Analysing project specs and historical data can predict issues and optimise resources, reducing delays and cost overruns. Real-time data analysis can increase construction productivity by up to 50%.

4. Building Information Modelling (BIM)

Building Information Modelling (BIM) uses three-dimensional (3D) models to represent a building’s design, construction, and operation. The UK government has been a major proponent of BIM and has set targets for its adoption.

 For instance, all public sector projects over £5 million must use BIM by 2025. As of 2023, the BIM market was worth $8.06 billion and is expected to grow to $9.43 billion this year.

5. Zero Net Energy Buildings (NZEBs)

Zero Net Energy Buildings (NZEBs) produce as much energy as they consume over a year. These buildings are becoming increasingly popular in the UK, with the government aiming for all new homes to be NZEBs by 2025. The popularity of NZEBs is driven by their ability to reduce energy bills, improve air quality, and create jobs in sustainable construction and renewable energy sectors.

“Government aims to support action in the construction sector by improving reporting on embodied carbon in buildings and infrastructure with a view to exploring a maximum level for new builds in the future.”

– Net Zero Strategy: Build Back Grener, 2021

6. Smart Cities

Smart cities are a major trend impacting the construction industry.

 A smart city is fully integrated with the Internet of Things (IoT), where infrastructure and buildings collect data to help everything run more efficiently. 

Global smart city spending is expected to grow from $124 billion in 2020 to $203 billion in 2024, and potentially double again to over $676 billion by 2028.

Smart cities will require construction companies to adopt tech advancements like IoT in their building toolkit. 

About 60% of US building managers are familiar with IoT technology, and 43% expect IoT technologies to impact their business in the next few years. 

As large corporations and cities plan smart city projects, the construction industry must adapt to these technological advancements.

Where is the construction industry going?

The construction industry is transforming, driven by sustainability and software integration. Zero Net Energy Buildings (NZEBs) and eco-friendly practices are now essential, reducing environmental impact and upgrading urban living.

Software integration, through technologies like BIM, big data analytics, drones, and AI, is revolutionising project design, management, and execution. 

These advancements make construction processes more efficient, cost-effective, and safer. One of the main results of these trends is achieving cost savings which may affect positively the adoption rates.

Go with Tyrrell Systems for your new construction

As new projects push the boundaries of technology and sustainability, Tyrrell Systems integrates cutting-edge solutions that align perfectly with the industry’s advancements. 

From enhancing efficiency with advanced software integrations and IoT technologies to driving sustainability with energy-efficient systems, Tyrrell Systems ensures that every new construction project not only meets current standards but sets new benchmarks for the future. 

With Tyrrell Systems, you’re not just building a structure; you’re crafting a forward-thinking, high-performance eco-system that aligns with the latest industry trends. Book a consultation with the team here.