Who’s afraid of robotics?
This article is part of the results of The Biggest Fleet 2024. Click here for all results
For decades, manufacturers, dealers, and FM service providers have worked together in a well-established triad: manufacturers develop and produce cleaning equipment, dealers distribute it in close regional cooperation, and service providers use it at the end customer’s premises. This construct is stable, familiar, and based on long-standing personal relationships. However, with the introduction of robotics into cleaning, fear of change is growing in all parts of this chain.
Pressure on manufacturers
A central element of fear of change is the strategic pressure to which established manufacturers are exposed. Many of them have invested decades in perfecting their products. The idea that robots could challenge this decades-long expertise in just a few years is a source of uncertainty. You often hear statements like, “Robotics will not replace humans” or “The market is not yet ready for such technologies.” However, these statements are not so much an expression of realism as a sign of fear of change. In technological terms, cleaning is already ready for automation – it is challenging to implement.
Manufacturers are feeling this pressure, especially from new players in foreign markets. Robotics companies that initially had nothing to do with the cleaning industry are entering the market. They not only bring technological expertise but also massive investments from international investors. This financial backing allows them to invest heavily in sales and marketing, painting a picture that significantly distorts progress in robotics.
Pressure on dealers
Robotics also pose a threat to regional dealers. Until now, they have played the role of consultants and service providers, presenting the latest innovations to their FM customers and helping them choose the right cleaning equipment. However, the introduction of robotic machines is changing this business. Robots require much advice and maintenance and demand a new sales and service approach. In addition, the robotics business has yet to become a substantial revenue generator for many dealers. As is often heard in the industry, many robots “stand in the corner and gather dust.” The initial euphoria surrounding the exclusive contracts with new manufacturers has subsided, and many dealers have realized that robotics involves more effort than profit – at least at the present stage. While some innovative dealers try to position themselves as robotics specialists, most remain skeptical.
Pressure on FM service providers
As described in the “Industry Sentiment” learning, the industry is in a phase of exploration. FM service providers urgently need to build up expertise in robotics to continue offering their customers the full range of facility management services from a single source in a future-proof manner. For the foreseeable future, end customers will no longer want to be available as pilot customers but will benefit from automation.
What our results and research suggest
1. FM service providers remain irreplaceable
The know-how for efficiently using robotics is currently being developed worldwide, especially by cleaning service providers. The purchase of hardware alone is not enough. A broad knowledge of suitable cleaning agents, the ability to develop holistic cleaning concepts, and knowledge of regional regulations are required. These are disciplines in which facility management companies have always been at home. Our ranking and research do not support the concern that dealers and end customers could bypass the FM service provider. An independent investment in robotics only makes sense for end customers with their own FM organization, such as hotel groups that use their staff to clean the rooms and want to use robotics to support them in their tasks.
2. Dealers remain in the saddle for the time being
Dealer companies that have been established in the cleaning industry for decades remain the first point of contact for their customers when it comes to robotics. It will be crucial to maintain this individual advantage and to be able to provide competent answers to customers’ automation questions. One particular circumstance helps here: the good regional networks and perfect knowledge of their respective markets make established dealers highly interesting, especially for foreign robotics manufacturers. These manufacturers depend on the credibility of the dealers to boost their sales in foreign markets. One thing is clear: full-service providers should be careful that competitors do not use an open “robotics flank” to present their entire range.
3. Robotics is causing a stir
There is no reason to be afraid, but it cannot be denied: robotics is causing quite a stir in the market. Cleaning companies are suddenly setting up specialized retail companies (such as the Wackler Service Group in Germany). Others are even investing in robotics manufacturers (Reiwag in LionsBot). SoftBank Robotics Singapore is going the other way and acquiring Millennium in Australia. Two manufacturers, LionsBot and Nilfisk, are launching a joint robot. Things are happening.
4. New manufacturers from other sectors are entering the market
For a long time, cleaning robotics was a neglected field. The music played in other areas, such as intralogistics. Recently, however, it has become apparent that manufacturers from China, in particular, are suddenly seeing the most significant potential in cleaning robotics for gaining a foothold in Western markets. The best example of this is the delivery robot experts at PUDU. With their compact PUDU CC1, they have declared war on the industry. The same applies to Keenon, which is updating and expanding its range of cleaning robots. A slowdown in development? Not in sight.
5. Automation as part of tenders
The big push may be happening later, but corporate real estate managers expect their service providers to stay on the ball regarding robotics. Even if the actual use of robotics is always pushed further into the future, it is often already part of tenders today.
This article is part of the results of The Biggest Fleet 2024. Click here for all results