Dec 9, 2015: The global smart lighting market was valued at US$21 billion in 2013 and is growing at a CAGR of 15.9% from 2014 to 2020 to be valued at US$56.62 billion in 2020. The growth is predicted to be the highest in the residential sector, though at present it is focused on the industrial and commercial sectors as well.
Smart lighting is designed for energy efficiency
Smart lighting is designed for energy efficiency, which is the prime factor for market growth due to the need for reducing power consumption costs. Smart lighting is replacing traditional lighting in commercial, industrial, residential, and outdoor locations, and there is an increasing demand for this kind of technologically-advanced lighting in the market globally.
Smart lighting technology uses wireless controls, spot timing, automatic dimming, and adjusting capability. The components of smart lighting include motion sensors, electronic control units, and switches that are controllable. The sensors work through assessment of the amount of daylight, occupants in a space, and by detection of movements.
Smart lighting utilizes efficiency and effectiveness through controlling the lighting according to the needs and decreasing utilization costs. The technology enables users to achieve more comfort and works efficiently in home or office environments.
Why smart lighting market is set for growth in Europe and North America ?
Geographically, the global smart lighting market comprises North America, Europe, Asia Pacific, and Rest of the World (RoW). Intelligent lighting control technology, which enables automatic adjustment of brightness, switching off lighting in unused areas, and use of sensors, is improving market opportunities globally and creating newer areas of market growth. Europe has led the smart lighting market in 2014 and this trend is expected to continue. Next in the market hierarchy is North America, with a 35% share of the global market.
Reason for growth trend
The main reason for this growth trend is the increased need for highly efficient lighting systems that reduce energy consumption costs. These intelligent light technology systems incorporate the use of LED lamps and a variety of sensors that have the capability of adjusting brightness according to the amount of natural light available and enabling automatic switching off lights in unoccupied spaces.
Newer market segments for smart lighting
Asia Pacific and rest of the world are comparatively newer market segments that are emerging in the global smart lighting market. Increase in disposable incomes and the value of saving costs for energy can be key factors that drive the market for smart lighting in countries such as India and China.
Smart lighting components
Smart lighting components include relays, sensors, switch actuators, dimmer actuators, controllable breakers and others. The lighting includes automated lighting systems that improve the overall lighting experience for users. The choices in lighting systems are many and among these are LED lamps, fluorescent lamps, compact fluorescent lamps, high intensity discharge lamps, and other varieties.
Due to growing consumer awareness about the benefits of smart lighting and LED-based technological advances, the market for these smart lighting components has a high growth potential.
Why smart lighting will show increased growth in current and future Markets ?
Smart lighting has application in market segments that include the industrial and residential sectors, outdoor lighting, and public and government buildings, among others. With big market players such as Samsung and Royal Philips launching their LED-based lighting aimed at the residential application segment, the growth rate of the market is set to be high in the next few years.
Source: Transparency Market Research