The “Global Water Heater Market, by Product Type (Solar Heaters, Electric Heaters, Gas & Propane Heaters and Geothermal Heaters), by Storage Type (Storage Heater (tank type), Tankless Heater and Hybrids (Heat Pump) Heater), by End Use (Residential and Commercial) and by Region (North America, Europe, Asia Pacific, Latin America, and Middle East & Africa) - Global Forecast to 2027”, is expected to exhibit a CAGR of 4.9% during the forecast period (2019-2027), as highlighted in a report published by Coherent Market Insights
A storage water heater or hot water system (HWS) is a domestic water heating appliance, in which it used a hot water storage tank to maximize the heating capacity and provide instantaneous hot water supply. The primary difference between an instant geyser and a storage geyser is the ability to disperse water as former dispenses it instantly, while later takes time. Water heaters provide hot water instantly, around 1 or 2 minutes. Different type of fuel is used for water heating including natural gas, fuel gas, electricity, and solar energy. The selection of a proper water solar depends upon several factors such as availability of fuels, type of building that it is being installed, fuel cost, requirements of household, and user safety. Water heaters are used for residential as well as commercial purposes.
The global water heater market is estimated to account for US$ 47,764.8 Mn in terms of value in 2019 and is expected to grow at a CAGR of 4.9% during the forecast period.
Development of novel products by key manufacturers is expected to drive growth of the global water heater market during the forecast period
Global as well as local manufacturers are involved in development of innovative products that offer better energy efficiency at competitive price. Moreover, manufacturers are focused on increasing the capacity of storage tank, in order to cater to increasing demand from consumers. Key companies are launching products with advanced features and technologies, which in turn, is expected to propel the global water heater market growth over the forecast period. For instance, in April 2015, Ferroli S.p.Aoperating through Ferroli Heating (South Asia) Pvt. Ltd. announced its entry into the Indian water heater market and offers water heaters raging from one liter to 500 liter capacity, which are ideal for commercial buildings. Moreover, the company announced the launch of Wi-Fi enabled water heaters that can be controlled via smartphones and tablet devices.
Development of novel technology is expected to offer a lucrative opportunity for market players in the near future
Key players in the market are emphasizing on research and development activities, in order to introduce advanced water heaters. Manufacturers are introducing advanced features such as higher wattage for quicker heating of water, auto supply, pre-set time supply, manual control of water, larger storage tanks, energy-efficient design, etc. Consumers prefer energy-efficient water heaters and are shifting towards automated appliances. This, in turn, is expected to offer excellent growth opportunities for market players in the near future.
Frequent electricity outages, rising electricity prices, technical issues, and electricity shortage are expected to restrain growth of the global water heater market during the forecast period
Electricity shortages and frequent electrify outage, especially in emerging economies are expected to restrain adoption of the electricity-based water heater. Moreover, technical issues related to the water heater and rising electricity prices worldwide are expected to hinder the global water heater market growth during the forecast period.
Growing demand for renewable energy-based water heaters
Manufacturers in North America are focused on developing water heating product lines, which include solar and geothermal energy-based products. Although the cost of installation for solar and geothermal water heaters relatively higher than other water heaters, energy-saving can help in long-term application to cover the installation cost. This factor is increasing adoption of renewable energy-based water heaters in the region and is expected to continue in the near future. Moreover, increasing demand for reliable, energy-efficient, and low priced water heaters have resulted in the development of novel and advanced water heater products by manufacturing companies, in order to cater to varying demand.
Incentives and rebate for solar water heaters offered by the government agencies
Frequent power shortage has compelled the Electricity Supply Commission (ESKOM) – the South African electricity public utility to actively encourage and endorse the usage of solar water heaters. This, in turn, is expected to boost the demand for solar water heaters in the near future. Moreover, government agencies are offering rebate on installation of solar water heater, thereby driving its demand over the forecast period. Similarly, consumers in Middle-Eastern countries such as Israel, UAE, Egypt, and other are shifting towards solar water heaters.
Key players operating in the global water heater market are A. O. Smith Corporation, Zhongshan Inse Group Co, Ltd., Haier Electronics Group Co., Ltd., Himin Solar Co., Ltd., Ariston Thermo Group, Genrui, Bajaj Electricals Ltd., Rheem Manufacturing Company, Jiaxing Jinyi Solar Energy Technology Co, Ltd., Noritz Corporation, SIEMENS AG, Bradford White Corp., and Venus Home Appliances (P) Ltd.
Coherent Market Insights is a prominent market research and consulting firm offering action-ready syndicated research reports, custom market analysis, consulting services, and competitive analysis through various recommendations related to emerging market trends, technologies, and potential absolute dollar opportunity.