Verdantix Names Ten Leaders In The Intensely Competitive Carbon And Energy Software Market
New York, USA. November 17, 2010. Ten carbon and energy management software providers – CA Technologies, CarbonSystems, Enablon, Enviance, Hara, IHS, ProcessMAP, SAP, TRIRIGA and Verisae – will benefit most from rapid growth in spending on sustainable business software in 2011, according to a new global study by independent analyst firm Verdantix. The study findings are based on 28 live product demonstrations involving 99 assessment criteria. The Verdantix report, Green Quadrant Carbon And Energy Management Software, provides an authoritative product benchmark for potential buyers to shortlist suppliers and create RFPs, and for investors to validate capital allocation decisions.
“Unpredictable energy costs, new greenhouse gas compliance requirements and more robust sustainability strategies will oblige firms to drastically improve energy and carbon management with software” commented Peter Charville-Mort, Verdantix Analyst and author of the report. “According to our customer interviews, the biggest change with corporate buyers in 2010 has been a shift from tactical carbon accounting to strategic energy and carbon management” continued Charville-Mort. “Buyers also want advanced carbon management tools for target setting, forecasts and audits. This explains why some carbon management software deals exceeded $10 million in 2010.”
The Verdantix report, Green Quadrant Carbon And Energy Management Software, includes insights from interviews with an independent panel of 15 executives responsible for their firm’s sustainability programme. Key findings:
- Many potential buyers only need basic functionality for energy data collection and carbon reporting. But they expect suppliers to offer a roadmap for more advanced functionality.
- Some firms have more sophisticated requirements reflecting usage scenarios of more senior budget-holders such as Chief Sustainability Officers and CFOs.
- Software suppliers are raising funds to out-innovate the competition and expand the energy cost reduction value proposition with demand response functionality.
- Aside from C3 and Oracle, no new entrants will succeed in an over-crowded and intensely competitive market.
“Over the last 3 years firms have learnt that implementing sustainability strategies requires reliable and timely data on energy consumption, carbon, water and waste ” commented David Metcalfe, a Verdantix Director. “No firms currently have financial-grade sustainability data for their global operations but they need a route to get there. In 2010 smart firms like Arch Coal, Marsh Supermarkets and Reed Elsevier woke up to the value of a software platform to collect, analyse and act on sustainability data. In 2011 suppliers like CarbonSystems, IHS and TRIRIGA will strengthen their ROI claims with hard data from a growing list of brand name customers. This will trigger a big increase in demand. Potential buyers should focus on the industry track record of a software supplier since a bank requires different functionality from a power utility.”
The Verdantix report compares 28 carbon and energy management software applications offered by suppliers with at least 5 named $1 billion revenue customers. The 99 assessment criteria generate a product benchmark with 2,772 data points which cover data capture, supply chain emissions, organization modelling, workflow, carbon emissions calculation engines, energy management tools, carbon management tools, project and portfolio management, reporting, dashboards, audits and internationalisation. The study also scores each supplier on market vision, product strategy, architecture, customer momentum, value delivery, financial resources and implementation partnerships.
The report, Green Quadrant Carbon And Energy Management Software 2010, is available to download by Verdantix clients at www.verdantix.com.
Verdantix is the fastest-growing, independent, analyst firm focused on sustainable business strategies and market opportunities. For more information visit: www.verdantix.com.
Elinor Newman-Beckett, Marketing Manager
+44(0)203 371 6792
Wednesday, 17 November 2010