London, June 1st, 2012 – Throughout the global defense supplier
industry, 39% of respondents are ‘more optimistic’ about revenue growth for
their company over the next 12 months compared to the previous 12 months. A
further 34% of respondents are ‘neutral’ about revenue growth compared to 25%
who are ‘less optimistic’ about their company’s revenue prospects.
42% of respondents expect an increase in marketing expenditure of between 1%
to 10% in 2012, while only 10% of respondents expect a decrease between 1% and
10% (see graph below). Marketing budgets of global defense supplier industry
supplier companies are expected to rise by an average of 5.5% over the next 12
months. Supplier respondents plan to spend more on social media and different
online media formats such as newsletters, blogs, videos, webcasts, podcasts,
online resource centers and talkback.
Executives from the global defense industry expect increased levels of
consolidation, with an average 54% from defense contractors and 49% from other
service providers projecting either a ‘significant increase’ or ‘increase’ in
M&A. However, 31% of defense contractors and 30% of other service providers
expect no change in consolidation activities in 2012.
The expected levels of consolidation in the industry could be due to new cost
or demand pressures, repayment of debt, the potential need to meet new
compliance procedures, quick access to new markets, business expansion, and an
increase in market share.
Additionally, global defense contractors and other service providers reveal
that they will increase capital expenditure towards ‘new product development’,
‘IT infrastructure and development ’and ‘machinery and equipment purchase’ over
the next 12 months.
Global defense industry respondents identify India to be the most important
region for growth among emerging markets, along with Middle East and Brazil. The
Indian defense industry is a fast growing market in the world as a result of
demand for advanced military hardware and the concerns of domestic insurgencies
and hostility from neighboring countries.
Furthermore, South Korea and Singapore with Taiwan and Hong Kong are the
developed regions with the highest growth potential, as identified by 42% and
35% of respective respondents from defense contractors companies. Additionally,
according to 37% of respondents from other service providers, South Korea will
demonstrate ample growth in this sector.
To purchase the full report, please click
here.
About Industry Review:
Industry Review is a collection of incisive, regularly updated market reports across 40+ industry sectors and 100+ countries.
Industry Review is a collection of incisive, regularly updated market reports across 40+ industry sectors and 100+ countries.
We provide access to the latest data on global and local markets, key industries, top companies, M&A activity, new product launches and trends so you can make faster and better informed business decisions.
The reports in our store draw on robust primary and secondary research, proprietary databases, industry surveys and insightful analysis from our own expert teams and from carefully selected third-party publishers.
With access to over 400 in-house analysts and journalists, and a global media presence in over 30 industries, Industry Review delivers in-depth knowledge of local markets worldwide.
For more information, please visit our website at www.industryreview.com
For more information on the article, please contact:
Press Contact:
Shelly Wills
Tel: +44 (0) 20 7936 6671
shelly.wills@industryreview.com
No comments:
Post a Comment