Lighting Control System Market size is estimated to reach ~USD 218.44 Billion by the end of 2035 by growing at a CAGR of ~17.80% over the forecast period, i.e., 2023 – 2035. In addition to this, in the year 2022, the market size of lighting control system was ~USD 30.59 Billion. The growth of the market can be attributed to the surging demand for lighting control in order to reduce the consumption of energy. Moreover, there has been an increase in awareness among the people about energy management, that is anticipated to surge the growth of the global lighting control market in the upcoming years. As per the estimates, incandescent light bulbs consume around 60 watts of electricity and LED light bulb use nearly 10 watts.
In addition to these, factors that are believed to fuel the market growth of lighting control system include improving employee productivity through providing the ability to adjust the light levels in order to suit the task at hand. It reduces the eye strain, and improve the concentration level of employees through providing proper task lighting. Moreover, it can save money, lower carbon emissions, and provide the right amount of light when and where it is needed. Therefore, all these factors are anticipated to boost the industry growth.
Base Year |
2022 |
Forecast Year |
2023-2035 |
CAGR |
~17.80% |
Base Year Market Size (2022) |
~ USD 30.59 Billion |
Forecast Year Market Size (2035) |
~ USD 218.44 Billion |
Regional Scope |
|
Growth Drivers
The market is segmented and analyzed for demand and supply by end use-applications into outdoor, and indoor. Out of these, the outdoor segment is anticipated to hold the largest share over the forecast period. This can be attributed to the rising number of outdoor lighting applications that include railway stations, highways, parks, stadiums, and others. Moreover, there has been a surge in the use of luminaries and LED lights for outdoor lighting systems, along with the growing acceptance of protocols and regulations from the government is further expected to expand the growth of the segment in the market. Public lighting accounts for more than 1 percent of the electricity consumption in India, as per the recent reports.
The global lighting control system market is also segmented and analyzed for demand and supply by communication protocol into wired, and wireless. Amongst these segments, the wireless segment is expected to garner a significant share of around ~56% in the year 2035. This can be attributed to the advancement in technology that has become part of the smart lighting control system, such as Bluetooth. Moreover, the rising number of smart cities in countries such as India, the United States, and others are increasing the demand for automated lighting systems. This, as a result, is anticipated to create numerous opportunities for the growth of the segment in the coming years.
Our in-depth analysis of the global lighting control system market includes the following segments:
By Communication Protocol |
|
By End Use-Applications |
|
By Installation Type |
|
By Type |
|
The market share of lighting control system in North America, amongst the market in all the other regions, is projected to be the largest with a share of about ~38% by the end of 2035. The growth of the market can be attributed majorly to the increasing use of energy efficient solutions in relation to the lighting control system, and the increasing penetration of smart homes. In the United States, the current penetration rate of smart homes is more than 40 percent. Moreover, there is a presence of key manufacturers in countries such as the United States that includes General Electric Company, Lutron Electronics, and others. In addition, the increasing adoption of smart homes, followed by the improving standard of living among people, is further estimated to boost the growth of the lighting control system market in the region.
The European lighting control system market is estimated to be the second largest, registering a share of about ~24% by the end of 2035. The growth of the market can be attributed majorly to the increasing installation of new smart lighting system with upgraded sensors. Furthermore, the rising population of people living in urban areas, followed by the increasing disposable income in countries such as the UK is anticipated to surge the growth of the market in the European region. In addition, the stringent regulations by the government to cut the energy and light pollution are another factor that is anticipated to upsurge the market’s growth in the region.
Further, the market in the Asia Pacific, amongst the market in all the other regions, is projected to hold a majority of the share by the end of 2035. The growth of the market can be attributed majorly to the increase in the number of smart cities in the countries such as India, and the government initiatives to reduce the consumption of energy. Furthermore, there have been rising construction activities, including buildings in the region, that is projected to significantly contribute to the market’s growth in the region. The lighting control system has been an important part of the digitalized household that is creating potential opportunities in emerging countries.
In 2023, market players might incur losses due to huge gap in currency translation followed by contracting revenues, shrinking profit margins & cost pressure on logistics and supply chain.
Controlling Inflation has become the first priority for global economies from last quarter of 2022 and to be followed in 2023. With skewed economic situations, rise in interest rate by governments to control spending and inflation, spiked oil and gas prices, high inflation, geo-political issues including U.S. & China trade war, Russia-Ukraine conflict to intensify the global economic issues.
The interest rates in the U.S. may be less sensitive in 2023 as compared to 2022; sigh of relief for businesses. Positive business sentiments, healthy business balance sheets, growth in construction spending (private construction value in 2022 stood at $1,429.2 billion, 11.7 percent (±1.0 percent) above the $1,279.5 billion spent in 2021, Residential construction in 2022 was $899.1 billion, up by 13.3 percent (±2.1 percent) from $793.7 billion in 2021, non-residential construction touched $530.1 billion, 9.1 percent (±1.0 percent) above the $485.8 billion in 2021.) showcases minimal impact of recession in the country.
Similarly, spiked spending in the European and major Asia economics including, India, China & Japan to showcase less impact on the global demand.
Author Credits: Abhishek Verma, Hetal Singh
Ans: Rising focus on reduction of carbon footprint, and growing commercial and non-commercial buildings are the major factors driving the market growth.
Ans: The market size of lighting control system is anticipated to attain a CAGR of ~17.80% over the forecast period, i.e., 2023 – 2035.
Ans: Requirement of high initial and deployment cost, and interoperability issues are estimated to be the growth hindering factors for the market expansion.
Ans: The market in the North American region is projected to hold the largest market share by the end of 2035 and provide more business opportunities in the future.
Ans: The major players in the market are Honeywell International Inc., Panasonic Corporation, General Electric Company, Eaton Corporation plc, RAB Lighting Inc., Schneider Electric, Signify Holding, ACUITY BRANDS, INC., Taiwan Semiconductor, and others.
Ans: The major players in the market are Honeywell International Inc., Panasonic Corporation, General Electric Company, Eaton Corporation plc, RAB Lighting Inc., Schneider Electric, Signify Holding, ACUITY BRANDS, INC., Taiwan Semiconductor, and others.
Submit Your Request For Proposal (RFP)