Europe Strategic Consulting Services Market Size

Europe Strategic Consulting Services Market Analysis

The Europe Management Consulting Services Market is expected to register a CAGR of 5.8% during the forecast period 2022-2027. There is a growing need for strategy consulting services, owing to the strong economic growth in the European markets, the regulatory reforms in the financial sector due to Covid 19, Ongoing Ukraine-Russia War, Brexit, and EU General Data Protection Regulation (GDPR). Most organizations are constantly trying to reduce costs and increase efficiency, leading to increased demand for business process improvisations and consulting related to operational efficiency.

• The rising trend of the performance-based billing business model is anticipated to fuel the Europe strategy consulting market growth. The strategy consulting industry has been working on the time-based billing business model. The business model involves the client interacting with the consultant to obtain value for money for the client in the form of operational efficiency and any strategy formulation.
• The European market has been evolving, making it necessary for businesses to adopt AI/ML-based solutions to execute research and analytical tasks for businesses' strategic growth and development. For instance, Accenture adopted a proprietary tool called myNav to assess existing business needs, architect the optimal cloud solution, execute cloud migration, optimize and manage the cloud estate, and continuously innovate cloud journey that maximizes clients' business value.
• The European market businesses are looking forward to expanding their services to clients, which has increased acquisitions and mergers with startups to develop new products and services instead of relying on in-house development. A multi-sourcing model has become more attractive as businesses' problems get more complex. Companies are now breaking their large projects into smaller ones to serve customers better. For instance, Singapore Economic Development Board (EDB) 's Smart Industry Readiness Index (SIRI) is a series of frameworks and tools to help Industries and manufacturers transform their operations for Industry 4.0.
• The organizations are having or developing in-house consulting groups. The lack of talent and the rise of Freelancers and independent consultants has changed the course of the market. New startups (entrants) in the strategy consulting market have increased competition resulting in pressure on prices and reducing profits for established consultancies. These are some of the challenges the strategy consultant market has been facing.
• The pandemic has reshaped the business process, consumption, and production patterns and attracted regulatory reforms in doing business. Accoridng to FEACO, the demand for durable products (automobiles above all) and fashion goods sharply declined, and lockdowns disrupted supply chains and many factory operations, leading to cancel consulting projects and an average 14.1% decline in the consulting towards Industrial and Consumer products. Therefore the European strategy consulting market has shifted more towards service sectors.