The Lighting Fixture Market is estimated to be valued at US$ 265.12 Bn in 2023 and is expected to exhibit a CAGR of 10% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market Overview:
Lighting fixtures are devices used for illumination such as table lamps, pendant lamps, ceiling lights, and others. They play a crucial role in enhancing ambiance, safety and security inside residences, commercial buildings, outdoor spaces and industrial facilities. Modern lighting fixtures offer adjustable brightness, directional light output, energy efficiency, longevity and ease of use based on applications such as task lighting, accent lighting, general lighting and others.Advancements in LED lighting technologies have led to development of smart, connected and multifunctional lighting fixtures with integrated Wi-Fi and Bluetooth capabilities for lighting controls.
Market Dynamics:
The growing construction of commercial and residential buildings globally is driving the demand for new lighting installations including lighting fixtures. According to United Nations Population Fund, around 68% of the world’s population is projected to live in urban areas by 2050. This rapid urbanization is propelling the construction of various commercial buildings and residential spaces. In addition, rising consumer preference for LED based smart lighting solutions over traditional lighting on the back of benefits such as energy savings, longevity and lighting customizations through smartphones is fueling the sales of advanced lighting fixtures.Furthermore, growing focus of governments and lighting manufacturers on developing sustainable and energy efficient lighting solutions to reduce energy bills and carbon footprint is positively impacting the market growth. For instance, the Energy Independence and Security Act in U.S aims at phasing out incandescent bulbs and promoting use of LED lighting products.
Segment Analysis
The lighting fixture market is dominated by the residential segment which accounts for over 40% share. Modern architectural designs and rising disposable incomes are driving demand for innovative and aesthetic lighting solutions in residential projects across major markets. The commercial segment is another fast growing segment led by construction of new office spaces, malls and hotels. Rise of smart offices and focus on energy efficiency is shifting demand towards LED troffers and panels in the commercial segment.
PEST Analysis
Political: Stringent energy efficiency norms in regions like Europe and China are promoting adoption of LED lighting. Subsidies and tax credits in countries also support transition towards sustainable lighting.
Economic: Growth of the real estate and construction industries along with rising income levels globally is fueling market expansion. However, supply chain disruptions affect costs.
Social: Emphasis on well-being and creating inspiring work places is increasing focus on quality of lighting. Rise of smart homes also indicates growing consumer preference for aesthetics and functionality.
Technological: Proliferation of IoT-enabled lighting systems and controls along with falling LED prices are major technological drivers. Advancements in wireless solutions and software features are further enhancing applications.
Key Takeaways
The Global Lighting Fixture Market Size is expected to witness high growth, exhibiting CAGR of 10% over the forecast period, due to increasing construction of residential and commercial projects globally. The market size for 2023 is estimated to be US$ 265.12 Bn.
Regional analysis indicates Asia Pacific as the fastest growing region supported by infrastructure development programs and real estate boom countries like China and India. Europe also captures significant share led by focus on energy efficient lighting solutions mandated by EU directives.
Key players operating in the lighting fixture market are Acuity Brands, Inc., Zumtobel Lighting GmbH, Cooper Lighting, LLC, Panasonic Corporation Eco Solutions Company, General Electric Company, OSRAM Licht AG, Koninklijke Philips N.V., LSI Industries Inc., Juno Lighting Group, Hubbell Lighting, Inc. Major players are focusing on introducing smart and connected lighting offerings through partnerships and acquisitions to gain share in the growing market.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
