The 60-year-old Nemetschek Group, a leading global provider of software solutions for the architecture, engineering construction and operation (AEC/O) and media industries, has announced its entry into the rapidly-growing Indian construction sector. Though the €850-million German major has been present in India for the last 10 years by virtue of having a 150-people team of R&D centre in Hyderabad, it is the first time that the company, listed on the Frankfurt Stock Exchange, has decided to explore the Indian market by directly selling its wide range of software solutions in the country’s construction sector. Having put up, a wholly-owned subsidiary in India, the company has now set up a sales & marketing office in Mumbai recently.
Nemetschek India, has devised a comprehensive roadmap, as also action plan, to leverage the opportunities that one of the largest construction sectors in the world is offering. The Nemetschek group whose intelligent software solutions cover the entire lifecycle of construction and infrastructure projects, is looking to capture a share of around 15 per cent in the Indian AEC software market (which is growing at a CAGR of about 20 per cent) in the next three years. The German group, founded by Georg Nemetschek in 1963 (the family still holds a 51 per cent share in the business) in Munich and backed by about 3,800 professionals, at present generates 40 per cent of revenue
from North America, followed by 50 per cent Europe, while the APAC region’s contribution is only 10 per cent. Going forward, the company is looking to expand its APAC business where India, as a focus market, will drive the growth.
BIM tools
“With a large number of construction projects, including some 9,500 national infrastructure pipeline projects and a booming real estate market, India represents a significant opportunity for us,” affirms Yves Padrines, global CEO, Nemetschek group. “Our advanced BIM tools and integrated platforms will streamline workflows, reduce project timelines and promote sustainability. Launching an office in Mumbai, in addition to our existing R&D center in Hyderabad, reflects our commitment to continuous innovation and support for the local industry. We are here to build long-term relationships and contribute to India’s building industry and infrastructural development.”
“Nemetschek India is set to transform the Indian AEC landscape with a comprehensive market entry strategy,” adds Padrines. “The company has structured its offerings into three activities – conceptualise, design and execute. Architects, landscape and interior designers, engineering design consultants and project management companies as well as contractors, can choose between different product bundles, for example basic, plus, professional or complete, each tailored to meet their specific needs. The ‘design’ segment also offers a package for Bridge & Precast”.
“India’s construction market is poised for exponential growth, projected to become the third largest globally by 2025,” assures Nirmalya Chatterjee, country VP, Indian sub-continent, Nemetschek group, emphasising the strategic importance of entering the Indian market at this juncture. “Our solutions are already recognised here and, now, by engaging directly with enterprise-level customers and expanding our network of channel partners, we aim to elevate the industry standards.”
As part of its India strategy, the company, with a portfolio of 14 brands of software solutions for the construction sector, will start its Indian journey offering its six brands initially. The second largest software entity in Germany and the fifth largest in the entire EU, it has already started reaching out to Indian businesses (large and SMEs) and government agencies, even as it has chalked out an elaborate plan to educate the businesses about its products as also create awareness among the academia. Towards this end, it is looking to engage with architecture colleges and engineering institutes including IITs to impart skill set to students. The Nemetschek India has already signed a Memorandum of Understanding (MoU) with JJ College of Architecture in Mumbai to set up a Centre of Excellence. In fact, in the next 12-15 months, the company plans to put up about 20 ‘centres of excellence’ in India.
“Nemetschek India will collaborate with local firms and educational institutions to nurture talent and drive innovation. The company plans to engage with local stakeholders through bespoke marketing campaigns, training sessions, and workshops. By continuously seeking stakeholder feedback, it aims to effectively adapt its strategies to meet local needs and market changes,’ says Chatterjee.