Europe Drones Market

Europe Drone Market Outlook (2022-2032)

The European drones market is projected to balloon at 21.9% CAGR and reach a market valuation of US$ 55.2 billion by 2032, thereby creating an absolute dollar opportunity worth US$ 47.6 billion during the forecast years of 2022-2032.

Report Attributes	Details
Europe Drone Market Size (2021A)	US$ 6.2 Billion
Estimated Market Value (2022E)	US$ 7.6 Billion
Forecasted Market Value (2032F)	US$ 55.2 Billion
Europe Market Growth Rate (2022-2032)	21.9% CAGR
Germany Market Share (2021)	~18.2%
Germany Growth Rate (2022-2032)	~20.6% CAGR
Market Share of Top 5 Companies	~43%
Key Companies Profiled	BAE Systems, Inc. Parrot Drone SAS AltiGator Delair Flyability senseFly Pix4D SA Aerialtronics

Growth of the Europe drone market is attributed to rapid rise in the use of drones for commercial and residential applications along with the rising trend for the use of drones in agriculture and weather forecasting purposes.

Drone Sales across Europe (2017-2021) Vs. Market Growth Forecasts (2022-2032)

Drones are being widely used in several applications nowadays, and technological advancements in terms of electronics and payload are supporting rapid growth of the market. Drone manufacturing companies are catering to diversified use cases, such as in agriculture, data collection, aerial photography, surveys and documenting wildlife, video and photography recording, etc.

Furthermore, now getting home delivery of products with the help of drones is becoming a reality owing to the efforts undertaken by retail and other logistics companies. This is estimated to narrow down associated costs and delivery time.

• Short Term (2022 Q2 to 2025): Recent trend toward the use of drones for recreational purposes is likely to support market growth and demand in the short term.
• Medium Term (2025-2028): Incorporation of advanced technologies in drones is likely to support Europe drones market growth in the medium term.
• Long Term (2028-2032): High investments undertaken in drone technologies are anticipated to foster market growth in the long run.

According to detailed analysis by Fact.MR, a market research and competitive intelligence provider, the Europe drone market witnessed growth at 16.6% CAGR from the years 2017 to 2021. Fact.MR projects the drone and drone accessories market in the European region to expand rapidly at the rate of 21.9% through 2032.

Market share analysis of drone type, end use, and countries is provided in the above image. Under the drone type segment, military drones dominated the market with 50.3% share in 2021.

Why is the Europe Drones Market Witnessing Extremely High Growth?

“Escalating Commercial as Well as Recreational Use of Drones”

Drones are finding enhanced application in commercial uses, such as in the construction sector, as a result of which, building managers can meet project deadlines and objectives quickly and more efficiently. Drones are used to scan construction sites and overlook the entire construction lifecycle.

Corporate houses and other industrial conglomerates are making enhanced use of drones that are fitted with thermal imaging cameras for emergency response to make contact and identify hazards. Furthermore, cutting-edge drone technology can be leveraged by wildlife conservationists as well to monitor, track, and gather samples from endangered animals.

In addition, drones are now being widely used for recreational purposes in terms of recording videos, in the film and television industry, and carrying out other recreational activities. They are used to carry out drone-enable firework displays, capture dramatic and cinematic views, etc.

As such, increasing application of drones for commercial and recreational purposes is likely to drive high market growth during the forecast years of 2022-2032.

“Rising Use of Drones in Agriculture and Weather Forecasting”

Drones are now being widely used in agriculture by farmers. Use of drones in agriculture can aid in enhancing agricultural productivity, minimize expenditure, and help in eliminating duplicate operations, thus, simplifying various agricultural tasks and making them more efficient and feasible.

Drones in agricultural applications make monotonous, repetitive, and time-taking harvesting operations more efficient and also come with imaging capabilities to monitor real-time weather changes.

In addition, drones can be used to track weather patterns, collect oceanic and atmospheric data, and forecast weather trends and patterns. Stakeholders are leveraging drones to provide greater focus on climate change.

The above-listed factors are estimated to provide a gain of 143 BPS to the Europe drones market over the decade.

Country-wise Insights

Why is Germany the Most Attractive Market for Drones in Europe?

Germany accounts for the highest share in the Europe drone market at 18.2%. The market is projected to rise at 20.6% CAGR during the forecast.

• According to the German Federal Aviation Office (FAO), the national aviation authority of Germany, flying a drone is legal in the country. However, Germany, being a part of the European Union, has to abide by the drone rules put in place by the European Union Aviation Safety Agency (EASA).

According to the latest statistics, approximately 90% of the drones in Germany are private, while only 10% are used for commercial purposes, with the number of drones anticipated to increase rapidly over the coming years.

Category-wise Insights

Will Military Drone Sales Continue Leading Market Growth in Europe?

The European drone market, under drone type, is segmented into military drones, commercial drones, and consumer/civil drones. The military drones segment leads the market with 50.3% of the overall market share and is projected to rise at 22.7% CAGR.

High segment growth is attributed to factors such as the wide use of military drones for carrying out counterterrorism and counter-insurgency operations.

The EU aviation strategy delivers guidance for exploring emerging and new technologies to develop drones that range from small to several tonnes in weight, are versatile, come with high-performance drone batteries, and can perform a variety of functions.

On the other hand, the commercial drones segment holds 33.8% market share and is projected to register 22.3% CAGR during the forecast period.

Which End Uses Should Drone Manufacturers Target?

By end user, the drones market in Europe is segmented into delivery & logistics, agriculture and forestry, construction & mining, media and entertainment, oil & gas, recreational activity, security & law enforcement, and others.

Amongst all these sectors, the construction and mining segment leads the European market with 27.8% of the overall market share. This segment of drones is projected to expand at 22.9% CAGR during the assessment years on the back of escalating adoption of drones to visualize construction progress and to conduct visual inspections of high-risk regions or building sites.

Drones also provide for effective real-time data collection that is fruitful for administration and communication purposes. Agricultural drones have also been witnessing rapidly rising demand in recent years.

In addition, drones are being widely used in defense by security and law enforcement agencies. This segment is projected to rise at 21.2% CAGR and hold 21.3% share of the overall market.

Competitive Landscape: Top Companies in Drone Market

Key players in the European drones market are using state-of-the-art manufacturing tools and processes, such as advanced assembly techniques and robotic automation, thereby focusing on the quality and performance enhancement of drones.

Market players are expanding at a great pace owing to rapid innovation being undertaken in drones, such as incorporating advanced functions and features in drones; for example high-quality drone motors, high-resolution cameras, etc. Furthermore, drone manufacturers are also focusing on collaborative activities with market players in emerging economies along with investing substantially in research and development activities.

For instance:

1. Parrot Drone SAS was chosen for the supply of micro-drones by the French Defense Procurement Agency (DGA) with ANAFI USA in 2021. These drones will be specially designed to meet the needs of military forces, having the best performance in the category. This will lead to the development of several hundred drones along with adaptations, and maintenance of software & equipment
2. senseFly was acquired by AgEagle Aerial Systems Inc. in 2021. This acquisition will aid in accelerating the core growth strategy and the provision of full-stack drone solutions for application in energy, construction, agriculture, etc.

Fact.MR has provided detailed information about the price points of key manufacturers in the drone market positioned across countries, sales growth, production capacity, and speculative technological expansion, in the recently published report.

Europe Drone Industry Survey by Category

• Europe Drone Market by Drone Type :

  • Consumer/Civil Drones
  • Commercial Drones
  • Military Drones

• Europe Drone Market by Product Type :

  • Fixed Wing Drones
  • Rotary Wing Drones
  • Hybrid Drones

• Europe Drone Market by Payload :

  • Drones up to 25 Kg
  • 25 Kg- 50 Kg
  • 50 Kg – 100 Kg
  • 100 Kg -1150 Kg
  • Above 150 Kgs

• Europe Drone Market by Power Source :

  • Electric Drones
  • Gas/Gasoline/Diesel Drones
  • Hybrid Drones

• Europe Drone Market by End Use :

  • Agriculture & Forestry
  • Delivery & Logistics
  • Media & Entertainment
  • Construction & Mining
  • Oil & Gas
  • Security & Law Enforcement
  • Recreational Activity
  • Others

• Europe Drone Market by Sales Channel :

  • OEMs
  • Aftermarket
    • Online Stores
      • Direct to Consumer
      • Third-Party Online
    • Modern Trade Channels
    • Electronic Stores
      • Franchised Stores
      • Independent Stores
    • Others

• Europe Drone Market by Country :

  • Germany
  • Italy
  • France
  • Spain
  • U.K.
  • Russia
  • BENELUX
  • Rest of Europe