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New Research: 2017 Drone Market Sector Report

We have just released the results of our latest market research on the drone industry.

The 2017 Drone Market Sector Report examines worldwide drone sales, service providers, business users, and software services. The research is the result of a three-month project sponsored in part by Airware and DroneDeploy.

The online survey portion of the research garnered over 2,600 respondents representing more than 60 industries worldwide. Our analysis yields 10 key insights that summarize the current state of the industry, plus views of the overall market growth and drone use by vertical.

Among the many insights in the report, three are especially worth highlighting:

  1. The U.S. market is flooded with service providers and remote pilots, with very few making enough money to sustain a full-time venture. The data shows that 85% of service providers make less than $50,000 per year, and 79% perform only one to five operations per month.
  2. More consumer drones are being used for commercial work than ever before. Survey data shows that more than two-thirds (68%) of all drones are purchased for professional purposes—either governmental or business.
  3. DJI dominates the industry with a 72% global market share for drone purchases across all price points. In North America (U.S. and Canada), it’s 62%.

The 88-page report is comprehensive, featuring more than 40 helpful figures and tables and offering insight and analysis on:

  • Who’s buying what types of drones, from which makers, at what prices, and for what uses.
  • The size and nature of drone-based service providers, how they position themselves, and what markets they’re targeting.
  • Who the business users for drone-based projects are, and which industries have traction.
  • How service providers and businesses use software for drone-based projects—for flight management, mission planning, and image processing.

You can find out more about the report and how to get it here: http://bit.ly/2xZRJ4n

If you have questions about what’s in the report or would like to comment on it after reading it, write me at colin@droneanalyst.com.

 

Image credit: Skylogic Research

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Five Valuable Lessons about Drone Use in Public Safety

We just released a new research report titled “Five Valuable Business Lessons Learned About Drones in Public Safety and First Responder Operations.” This is the fifth and final in a series of white papers intended to share lessons learned in specific industries and how to maximize the value drones can deliver in those industries. This year, we built on the analysis we did for the 2016 “Truth About” papers by incorporating real-world experience gained from businesses and drone pilots operating under the Federal Aviation Administration’s Small Unmanned Aircraft Regulations (aka FAA Part 107).

In this new report, we validate how first responders are sending unmanned aerial vehicles into high-risk or remote emergency situations before putting first responders at risk while helping victims more efficiently. We detail best practices for how police, fire, emergency response, and search & rescue agencies can implement drones into their operations. Learn both the strategies and roadblocks to the successful use of drones in this industry, including:

  • Which licenses are required for employees flying drones
  • How to pick the right drone for your specific operation
  • The importance of a roadmap for training and drone maintenance
  • How to deal with the public in a safe and transparent manner
  • When to outsource drone work

Here is an excerpt from the white paper:

Lesson 3 – Training is multifaceted and should not be an afterthought:

“Buying a drone and training go hand-in-hand.  DJI Director of Education Romeo Durscher recommends thorough training on several topics. This includes basic training—as in Part 107 pilot training and “stick time” on the controls of your aircraft of choice—and advanced training for tactical use, e.g., learning the best way to manage the drone before, during, and after deployment.

Gene Robinson (and the Drone Pilot training team) include these and add additional layers of training gleaned from his years of experience as head of Unmanned Aircraft Operations for the Wimberley Fire Department. Some of those experiences and lessons learned are outlined in a white paper on the 2015 Texas Memorial Day flood.  That paper reports that drones—and at one point 16 manned aircraft—were used for disaster relief for multiple days, but not without problems. Problems included multiple rogue manned and unmanned aircraft being operated within the temporary flight restriction, the loss of communication abilities via cell, the line-of-sight problems with handheld aviation radios, and the inability to request FAA approval to operate in the area.”

The report goes on to describe what many police, fire, and emergency responders have learned about what works and what doesn’t. It details mistakes early adopters have made operating their drones and recommends the actions you should take so your implementation and ongoing use is successful.

You can watch a short video here and get the free report here: http://bit.ly/2u5NVBu

If you have questions about what’s in the report or would like to comment on it after reading it, write me at colin@droneanalyst.com.

Image credit: EENA

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New Survey: Who’s Buying Drones, Using Drone Software, and Why?

We just announced the start of our 2017 Drone Market Sector Research, which promises to be the most comprehensive study of drone market trends and usage to date. The online portion of this research seeks to get your opinions about buying and using small unmanned aircraft systems—otherwise known as drones This independent research is being underwritten by Airware and DroneDeploy and is designed to uncover fresh insights on which drone industry sectors are thriving (and which aren’t) and how businesses are using drone-acquired data in their day-to-day operations.

Why are we doing this?

Because we believe the consumer and commercial drone market needs it. Our observations:

  • We see a lack of objective information on the drone industry.
  • We find there’s an absence of credible market-based research.
  • We see little understanding of the difference between large industry forecasts and actual buyer adoption rates.

The survey will explore:

  • Who’s buying what types of drones from which makers at which prices and for what use?
  • How large are drone-based service providers and how and where are they positioning themselves to whom and which target industries?
  • What concerns business buyers of drone-based projects most and why?
  • How much are service providers and business buyers using flight management and data analytic software for image-based projects?

Who should take the survey?

  • Individuals or businesses who have purchased a drone in the past 12 months for any reason
  • Commercial drone service providers
  • Businesses that use drones or drone services as part of their company’s internal work or projects

Take the brief 10-minute survey here: https://www.surveymonkey.com/r/2017_drone_market

As an incentive for your participation in the survey, there will be an opportunity to:

  • Receive a free summary report of the research results, a $95 value
  • Enter to win a free DJI Spark Mini Drone (a $400 value) or one of two $100 VISA gift cards.

When complete, the research study will provide a complete view of topics like:

  • Critical industry drivers
  • Vendor and service provider market share
  • Business adoption trends and issues
  • Market size for all drones and growth projections by segment

The survey will be in market for four weeks, and results will be available in September.

As always, I’m interested in hearing from you.  If have questions or comments, feel free comment below or email me at colin@droneanalyst.com.

 

Image: Shutterstock and Skylogic Research

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Five Valuable Business Lessons about Drone Inspections

We just released a new research report titled “Five Valuable Business Lessons About Drones in Asset and Infrastructure Inspection” This is the fourth in a series of white papers intended to share lessons learned in specific industries and how to maximize the value drones can deliver in those industries. This year, we are building on the analysis we did for the 2016 “Truth About” papers by incorporating real-world experience gained from businesses and drone pilots operating under the Federal Aviation Administration’s Small Unmanned Aircraft Regulations (aka FAA Part 107).

In the report, which co-authored by Chris Korody, we demonstrate what drone operators servicing a wide variety of industries have learned about what works and what doesn’t. We explore both the benefits and limitations of drone inspection projects and offer practical advice to would-be adopters. We answer questions like: What have companies learned about creating their own internal drone operation groups? And where do we go or what can we expect from here?

Here is an excerpt:

“While both media and investors have primarily focused on opportunities for using drones in the construction and agriculture industries, inspection applications have fostered innovation together with significant returns on investment. The reasons begin with the “four Ds”—a term coined by GE Ventures to describe the unique ability of drones to meet the needs of their field services customers. The four D’s describe any activity that’s tailor-made to be performed by a drone, and are:

  • Dull
  • Dirty
  • Dangerous
  • Distant

In a 2014 interview, Sue Siegel, the CEO of GE Ventures, added a fifth “D”—for data—saying simply, “Imagine that if you’re doing it faster, you might be able to do it more often. And more data typically will give you better data.”

The four Ds+1 combination is one of the most compelling arguments for drone adoption in companies where uptime is money, crews are expensive, and structures and facilities are often expected to last 50 to 100 years.

The other compelling argument is cost reduction. McKinsey Consulting’s recent white paper “Preserving the downturn’s upsidehighlights how the oil and gas industry reduced costs by 29% in response to falling oil prices. They show that 40% to 50% of the savings came from eliminating the demand for a variety of services, including manned aviation support. The innovators figured out how to put drones to work.”

The report goes on to discuss how drones and the data from drones offer huge advantages in the oil & gas, telecommunications, and utility industries. It also provides insights from Dexter Lewis, PE, senior engineer in the research and development group at Southern Company (NYSE: SO) which brings electricity and gas to 9 million customers.

You can get the free report here.

If you have questions about what’s in the report or would like to comment on it after reading it, write me at colin@droneanalyst.com.

 

Image credit: Shutterstock

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What’s the Future of Drone Use in Mining and Aggregates?

I just released a new research report titled “Five Valuable Business Lessons Learned About Drones in Mining and Aggregates.” This is the third in a series of white papers sponsored by BZ Media intended to share lessons learned in specific industries and how to maximize the value drones can deliver in those industries.

It seems with the ability to monitor stockpiles, map exploration targets, and track equipment, the usage of drones in mining and aggregates is vast. But there are limitations and in this report, we demonstrate what early adopters have found out about what works and what doesn’t and where we go from here.

Here is an excerpt:

“As early as 2014, mining operators and aggregate producers in Australia, Canada, France, and the U.S. were putting drones to the test.  And why not? These industries are one of those countries’ most important economic sectors. And they’re growing.  In 2016, the consumption of construction aggregates worldwide was estimated at 43.3 billion metric tons (BMT) with a value of $350 billion. Production volume is anticipated to reach 62.9 BMT by 2024.  Mining accounts for almost a quarter of Canada’s exports, and is both a major employer and source of royalties and tax revenue.  Combined, these two industries have a significant footprint, not just economically in terms of employment but also environmentally to their host communities. This footprint extends from exploration to extraction, processing, and shipping. Surveillance, monitoring, maintenance, and oversight in all these areas are monumental tasks, and current approaches to this are both capital and labor intensive.

Back in the early days, visionaries knew that drones could be used for a wide array of activities.  Turns out these visionaries have found in the mining and aggregate sectors a frontier for unmanned aerial vehicles, otherwise known as UAVs.  In recent years, small drones have helped many firms find cheaper and safer ways to map deposit sites, explore for minerals, and calculate inventory via remote control. A drone, with the relevant sensors and data integration, is an excellent tool for such roles.”

The report goes on to discuss how drones and the data from drones offer huge advantages in every part of the mining and aggregate production lifecycle including exploration, planning/permitting, operations, and reclamation. It also provides insights from Iain Allen, Senior Manager, Digital Mining at Barrick Gold, an $8.5 Billion 34-year-old mining company in Toronto, Canada.

You can view a summary video on YouTube here: https://youtu.be/Y2LZaclEnws

You can get the free report here.

If you have questions about what’s in the report or would like to comment on it after reading it, write me at colin@droneanalyst.com.

 

Image credit: Shutterstock

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