HEARTH MARKET ANALYSIS

The global hearth market is projected to surpass US$ 5.6 billion by the end of 2030, in terms of revenue, growing at a CAGR of 5.3% during the forecast period (2023 to 2030).

Drivers

• Growing importance of hearth as an aesthetic decorative in homes

Growing importance of the hearth as an aesthetic decoration in homes is expected to propel the market growth of the hearth. Traditionally it was used for maintaining indoor temperature but now its application has been expanded to enhance the aesthetic appeal of the living room. The use of the product is not limited to the house but is also used in the hotels and restaurants which is further expected to foster the market growth of the hearth.

Figure 1. Global Hearth Market, By Region 

• Increasing number of independent houses in North America and Europe region

An increasing number of independent houses in North America and Europe region is expected to augment the market growth of the hearth. Moreover, the growing use of hearths as a luxury showpiece among high-income populations coupled with the availability of a wide variety of the hearth is also anticipated to foster market growth. Furthermore, an expanding number of market participants is another important element projected to boost hearth market expansion.  For instance, in February 2022, Glen Dimplex an product innovation and design in medicine, acquired Smarter DM, a corporation that specializes in the development of software and hardware. Both companies are likely to benefit from this transaction in terms of subject expertise and customer base.

Market Restraints

• High cost

The high cost of the hearth along with the additional charges associated with the installation is expected to hinder the market growth of the hearth. Installation of the hearth requires a qualified technician for proper performance and safety of the hearth product, thus increasing the overall price of the product.

The availability of various substitutes for space heating is expected to adversely affect the market growth of the hearth over the forecast period. Moreover, the lack of advertising activities by manufacturers for promoting is also expected to hamper the market growth of the hearth.

• Market Opportunities

Growing population

Growing use of the hearth across the hospitality, commercial, institution, and residential sectors is expected to serve major growth opportunities. An increasing number of recreational places such as bars, restaurants, cafes, and hotels that are widely installing outdoor and indoor hearths for enhancing consumer experience and make the place artistically appealing is expected to augment the market growth of the hearth.

Increasing home automation coupled with the growing demand for smoke-less hearths is projected to offer enormous growth opportunities to the market of the hearth. Moreover, the growing demand for portable hearth and the increasing focus of manufacturers on tapping emerging markets across developing regions by promoting their brand is further expected to propel the market growth of the hearth over the forecast timeframe.

Market Trends

• E-commerce

Increasing online shopping, which allows for the simple and convenient purchase of a wide range of items, is predicted to be a key industry trend. Moreover, a growing number of brand-conscious customers coupled with the increasing purchasing of the hearth from online stores across developing as well as developed regions are expected to propel the market growth of the hearth over the foreseeable timeframe.

Partnership and agreements among key players are a major trend in the market and this trend is expected to augment the market growth of the hearth. For instance, in July 2029, US Stove announced that they have finalized a partnership with Anvil Canada to distribute US Stove and Acadia Hearth (a US Stove brand) products into the specialty hearth market across Canada.

Figure 2. Global Hearth Market, By Application

 Market segment

• Global Hearth Market, By Region

Regionally, North America dominated the global hearth market in 2022, reporting 38% market share in terms of revenue, followed by Europe and Asia-pacific, respectively.

• . Global Hearth Market By Application,

On the basis of fuel type, Wood will dominate the worldwide hearth market in 2022, accounting for around 53% of total sales. followed by gas and electric, respectively.   

• Global Hearth Market - Impact of Coronavirus (Covid-19) Pandemic

Owing to the adverse effects of the Coronavirus (Covid-19) pandemic, there has been an impact on the real estate sector. Nation-wide lockdowns have been implemented by governments across the globe which has caused rapid changing in consumer spending. People are now reluctant to more on non-essential products which will reduce the demand for hearth globally. These factors are expected to dampen the demand for global hearth market during 2022.

• Key development

1. In April 2022, Stove Builder International (SBI) acquired the assets of England’s Stove Works (ESW), a Hearth Product Company in Amherst County. This acquisition allowed SBI to increase production capacity in the United States.
2. In November 2021, Hearth & Home Technologies acquired, The Outdoor Great Room Company is a premier outdoor living product manufacturer and provider. The Outdoor Great Room Company's product range will be integrated into Hearth & Home Technologies' portfolio, reinforcing its leadership position.
3. In October 2021, Hearth & Home Technologies acquired Trinity Fireside, a renowned fireplace installer. Trinity will be renamed Fireside Hearth & Home and will become one of 20+ fireside installing distributor locations nationwide as a result of this transaction. In addition, Trinity's legacy will enhance the builder and consumer demand for health and home technologies.

Definition- The hearth is a brick-lined fireplace that is used for heating purposes. It is used for managing the room temperature during winter as well as for cooking purposes. The hearth is made up of different materials brick and stones. It is used to improve the interiors of the house and also gives esthetical appeal. Moreover, it is also used to protect the home from flying embers, radiant heat, sparks, and burning logs.