LOUIS DUPONT : Transition Management Specialist

Published on 7/24/2024

How has the French interim management market achieved exponential growth to 800 million euros by 2024?

The French interim management market has expanded remarkably over the past four years, reaching sales of 800 million euros in 2023, according to a recent study by Xerfi presented at the second edition of Assises France Transition.

> Read the full study published by Xerfi on the France Transition website

Continued growth

Since 2019, the interim management sector has recorded annual growth of 16.1%, surpassing the 13.6% rate observed between 2016 and 2019. This increase has enabled the sector's sales to rise from 300 million euros in 2016 to 800 million euros today, largely thanks to its democratization.

Growth drivers

The market's growth is mainly due to companies' need for agility and skills, cited by 72% of industry players. In addition, 66% of professionals attribute this growth to the growing awareness of interim management, and 64% to an increasingly positive perception of this solution.

A dynamic intermediary market

The intermediary segment, in which specialized companies facilitate contact between interim managers and companies, has seen annual growth of close to 20% since 2019. With sales of 560 million euros, this segment is developing faster than the over-the-counter market, valued at 240 million euros, where independent managers manage their own assignments. Today, the intermediated market accounts for 70% of total activity, up 5 points since 2019.

A competitive and attractive market

Interim management is attracting many new players, growing from 60 companies in 2016 to 150 in 2023. This competition shows no sign of slowing down, with 42% of companies anticipating the continued arrival of new entrants, and 55% expecting competition from consulting or recruitment firms to intensify. The market is also becoming increasingly concentrated, with the top 10 companies capturing almost 80% of the market in 2023, compared with two-thirds in 2019.

Internationalization of the sector

61% of interim management professionals already work on a national scale, particularly in the Île-de-France, Auvergne-Rhône-Alpes and Pays de la Loire regions. In addition, 55% of companies carry out international assignments. In the future, 18% of companies are planning international expansion in response to the possible arrival of major international players.

Sector challenges and opportunities

Short-term challenges for interim management companies include monitoring competition from temping and platforms, integrating artificial intelligence to improve productivity, and adding value to services, particularly in the impact interim management segment. The market is also seeing a rejuvenation and feminization of the managerial workforce, with increased specialization of skills to meet the increasingly specific demands of companies.

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Prospects for the future

The outlook for the French interim management market is optimistic. More than half of companies anticipate annual growth in excess of 20% over the next few years, while 30% expect an increase of between 10% and 20%. Two major growth drivers have been identified: artificial intelligence, which could boost the productivity of interim management companies, and the rise of matchmaking platforms, which require continuous adaptation to technological developments and new usages.

Conclusion

The Xerfi study reveals a fast-growing interim management market, stimulated by increased demand for agility and skills. With prospects for continued growth and international opportunities, the sector is structuring itself and attracting new players, thereby strengthening its market position. Interim management in France is therefore a promising sector, with solid prospects for the future. For more details, the full study is available on the France Transition website.