 "ESG, sustainability & impact management to reach $30bn by 2030: Report")
The environmental, social, and corporate governance (ESG), sustainability & impact measurement, and management (IMM) market has grown significantly in the past two decades as economies around the world are embracing a new era often referred to as capitalism 2.0, impact economy, impact capitalism, stakeholder capitalism, or conscious capitalism.
India, along with Singapore, is expected to be a major player in the IMM market in the Asia-Pacific region.
A recent market-sizing study titled ‘The size of ESG, sustainability and impact measurement & management market,’ conducted by Aspire Circle and Aspire Impact, sheds light on the growth and potential of the IMM market.
Growth of the impact measurement and management market
The study reveals that the IMM market has grown from $2 billion in 2010 to $7.7 billion in 2020, marking a four-fold increase in just 10 years.
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It is also projected to continue this upward trajectory with a compound annual growth rate (CAGR) of 15 per cent and reach $31.2 billion by 2030.
the increasing demand for mandatory ESG and sustainability reporting from regulators worldwide, as well as the growing awareness and expectations of more conscious consumers, is driving this market growth
Segment-wise growth
The IMM market consists of five distinct segments:
- IMM consulting and services, databases
- Indices
- Ratings and rankings
- Software and technology
- Executive education & training
- Principles, frameworks, standards, and coalitions
Within the IMM, databases, indices, ratings, and rankings segment is expected to experience the highest growth at a CAGR of 30 per cent.
This is followed by the software and technology market at 22 per cent CAGR.
The IMM consulting and services and executive education & training segments are projected to grow at 11 per cent CAGR each by 2030.
According to the founder and CEO of Aspire Impact, Amit Bhatia, IMM will play a significant role in driving inclusive growth, achieving sustainable development goals (SDGs), as well as reaching global net-zero targets.
Methodology of study
The study is based on the responses from over 550 organisations and used a bottom-up forecasting method to conduct a market-sizing study for the integrated ESG, sustainability, and impact sector. More than 50 of the profiled organisations are based in India.