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Need to Reduce Energy Consumption and Minimise GHG Emissions Drive LED Lighting Market

The need to reduce energy consumption and minimise greenhouse gas (GHG) emissions in lighting, which accounts for 15 percent of global energy usage and 5 percent of GHG emissions, is driving the light emitting diode (LED) lighting market.

To speed up adoption, market participants are offering end users integrated LED lighting solutions that include consultation from concept to implementation along with maintenance services. Reduction in the prices of LED lamps too will boost global sale volumes and encourage emerging nations to turn to solid state lighting (SSL) to meet their energy requirements.

New analysis from Frost & Sullivan (http://www.buildingtechnologies.frost.com), World LED Lighting Markets (2013 Update), finds that the market earned revenues of $9.18 billion in 2012 and estimates this to rocket up to $36.52 billion in 2017. The residential and outdoor application segments, in particular, will witness rapid growth.

"Governments worldwide are opting for SSL to cope with the demand for artificial light, which is expected to see a 60 percent increase by 2030," observed Frost & Sullivan Energy & Environmental Research Analyst Balaji Anand Sagar. "Energy-saving LED light sources, therefore, have immense scope as they last an average of 15,000 hours and produce the same lumen output as incandescent lamps, which last just 1,000 hours."

However, the global LED lighting market has not reached its full potential as the phasing out of incandescent and compact fluorescent lamps (CFL) is still in progress or in the nascent stage in most nations. End users, who are content with incandescent and CFL lighting technologies, need time and greater awareness on the benefits of LED lighting to make a transition.

While the recession-proof replacement market continues to grow, the dip in construction activities owing to the recent economic slowdown is affecting new installations. As a result, the global LED lighting market is expected to witness increasing consolidation with more mergers and acquisitions taking place to strengthen market presence and enhance brand visibility.

"To further penetrate the market, obtain repeat orders, and increase brand recall, market participants are forging strong relationships with channel partners, architects, electrical installers and customers," noted Sagar. "They are also rolling out reliable, high-quality LED lighting solutions with warranties to remain competitive."

If you are interested in more information on this research, please send an email to Chiara Carella, Corporate Communications, at [email protected], with your full contact details, company name and website, city, and country.

World LED Lighting Markets (2013 Update) is part of the Building Management Technologies Growth Partnership Service program. Frost & Sullivan's related research services include: Analysis of the North American LED Lighting market, Assessment of the Indian B2G LED Lighting Market, Analysis of the LED Lighting Market in the GCC, European Lighting Control Systems Market, Residential LED Market in Asia-Pacific, European Lighting Equipment (Luminaires) market, Analysis of the Indian Lighting Control Systems Market, Non-Residential LED Market in Asia-Pacific. All research services included in subscriptions provide detailed market opportunities and industry trends evaluated following extensive interviews with market participants.

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