The global IoT in elevators market is predicted to reach US$ 63 billion by 2030 from US$ 14 billion in 2020 and is anticipated to grow at a CAGR of 16.1% from 2021 to 2030.
The market growth can be primarily attributed to high demand for smart elevators in new construction projects, increasing investments toward the development of smart cities, increasing government support, and dwindling prices of IoT solutions. Furthermore, the rise in the number of construction projects around the world is another factor that will augment the growth of the global IoT in elevators market during the assessment period.
Asia Pacific is expected to dominate the IoT in elevators market by the end of the forecast period. Asia Pacific is projected to witness increasing growth in the IoT in elevators market due to strong adoption of the cloud technology. The market in Europe, North America, and Middle East & Africa is also anticipated to expand rapidly during the forecast period.
North America remained the dominant leader in the global IoT in elevators market in 2020, primarily due to rapid adoption from residential end users in the region.
Growing Demand for Smarter Elevator Systems to Aid Market Growth
As the development of ‘smart cities’ continues to gain noteworthy momentum around the world, with it, the demand for IoT in elevators has also increased at an impressive rate– a trend that is likely to set the wheels rolling for the growth of the global IoT in elevators market during the assessment period. Several escalator companies and market players are increasingly focusing on integrating IoT into their products and new line of escalator to capture a larger market and establish a solid foothold. While the residential sector is anticipated to provide lucrative opportunities for the stakeholders operating in the current IoT in elevator market, the growing demand for smart elevators in the commercial sector and central financial districts in both developed as well as developing regions is expected to increase the overall growth of the IoT in elevators market during the assessment period.
Advancements in artificial intelligence and IoT over the past decade have played a key role in transforming the current elevator and escalator market landscape. In addition, the adoption of IoT in elevators is expected to witness a further rise in the upcoming years as predictive and tailored maintenance of elevators due to IoT is gradually gaining traction. Moreover, advancements in application programming interfaces (API) have also played a pivotal role in increasing the adoption of IoT in elevators over the past few years– another factor that is likely to drive the growth of the global IoT in elevators market during the assessment period. In addition, several players operating in the current market landscape are increasingly investing resources toward the development of smarter elevators due to which, innovative IoT solutions are being developed.
Key Growth Drivers of IoT in Elevators Market
Strong growth and development in urbanization globally: The shift of people from rural areas to urban areas is increasing annually across the globe. In the current scenario, 55% of the world’s population lives in urban areas, and the United Nations expects this to increase to 68% by 2050. According to the UN Department of Economic and Social Affairs, increase in the size of the world’s urban population is projected to be highly concentrated in countries such as India, China, and Nigeria. The report also stated that India will have added 416 million urban dwellers, China with 255 million, and Nigeria with 189 million. Growth in urbanization pushes the demand for new infrastructure, which indirectly boosts the demand for IoT based elevators. Governments are strongly focused on energy efficient infrastructure. Smart and connected elevators are likely to gain prominence over the next few years, with the rising consumer demand for safe and power-efficient solutions. The increasing population shift and focus on energy conservation has augmented the demand for smart and connected elevators. This is driving the growth of the IoT in elevators market.
Increasing infrastructure and automation in construction industry: Presently, the global construction industry is experiencing significant growth due to the integration of automation techniques, rapid urbanization, and improving economic conditions across the world. With growing competition, real estate developers and project builders or construction companies are providing more automated advanced technology features and functions in their projects. These projects also include automation in smart connected buildings in which elevators are an integral part. In developing economies, the need for automated solutions such as new electronic devices and machineries and automation of road, tunnel, and bridge construction is increasing. Continuing evolution of IoT (Internet of Things) in the elevator market is offering substantial growth opportunities to the overall IoT in elevators market. IoT-enabled modern elevators are designed to intelligently respond in real time; communicate with service teams so as to resolve technical issues; improve maintenance operations; reduce costs; and allow passengers to call the elevator via a mobile application. Rising adoption of automation in the construction industry is likely to drive the demand for smart and connected elevators. This, in turn, is likely to promote growth of the IoT in elevators market during the forecast period.
Installation of IoT-based and connected elevators involves high capital investment, which includes equipment cost, installation and service costs, and maintenance costs. Moreover, these systems come with added costs such as Internet connectivity and electricity. Thus, it is difficult for small building developers to adopt the technology. Automated access control systems and security systems that are integrated in IoT-enabled smart elevators increases the total cost of smart elevators as compared to conventional elevators. This inhibits the use of smart elevators in low- or mid-rise buildings or apartments. Apart from this, low replacement rate, high cost of the product certification process, and steep as well as volatile prices of raw materials are restraining the IoT-enabled smart elevators market. Hence, high costs associated with the installation of IoT-enabled elevators is a significant barrier for small builders, which in turn is hampering the IoT in elevators market.
Key players profiled in the report include Bosch GmbH, DOPPLER Manufacturing, Electra Ltd., Fujitec Co., Ltd., GRUPPO MILLEPIANI, Hitachi, Ltd., Honeywell International, Inc., Huawei Technologies Ltd., Hyundai Elevator Co., Ltd., IBM Corporation, KONE Corporation, Microsoft Corporation, Mitsubishi Electric Corporation, Otis Elevator Company, Schindler Group, Schneider Electric SE, Siemens, Telefonica S.A., ThyssenKrupp AG, and Toshiba Elevators.
This report focuses on IoT in elevators market includes crucial information on market share, market size, and growth rate for the forecast period 2021 to 2030 at the global level, regional level and company level. From a global perspective, this report represents overall IoT in elevators market size by analyzing historical data and future prospect. The study highlights deep analysis on the major drivers of the market, restraints, and challenges to help the business owners, suppliers, and marketing personnel in planning effective strategies for the forecast period. This will help the business and manufacturers to lead the market and gain prominent position in future. The report also presents vital information through graphical representation on factors like table, charts, and statistics. The study includes drivers and restraints of the global IoT in elevators market.
The research not only conducts forecasts in terms of value, but also evaluates the market on the basis of essential parameters, such as Year-on-Year (Y-o-Y) growth. This helps providers to recognize the future opportunities as well predictability of the market.
In order to understand and assess opportunities in this market, the report is categorically divided into five key sections on the basis of segments. The report analyzes the global market in terms of value (US$ dollers) and volume (Million Units).
The research report includes specific segments by region (country), by company, by all segments. This study provides information about the growth and revenue during the historic and forecasted period of 2017 to 2030. Every segment is further sub-segmented into several sub-segmented that are deeply analyzed by experts to offer valuable information to the buyers and market players. Understanding the segments helps in identifying the importance of different factors that aid the market growth.
Major Key Points Covered in Report:
Executive Summary: It includes key trends of the IoT in elevators market related to products, applications, and other crucial factors. It also provides analysis of the competitive landscape and CAGR and market size of the IoT in elevators market based on production and revenue.
Production and Consumption by Region: It covers all regional markets to which the research study relates. Prices and key players in addition to production and consumption in each regional market are discussed.
Key Players: Here, the report throws light on financial ratios, pricing structure, production cost, gross profit, sales volume, revenue, and gross margin of leading and prominent companies competing in the IoT in elevators market.
Market Segments: This part of the report discusses about product, application and other segments of the IoT in elevators market based on market share, CAGR, market size, and various other factors.
Research Methodology: This section discusses about the research methodology and approach used to prepare the report. It covers data triangulation, market breakdown, market size estimation, and research design and/or programs.
The research report includes a detailed study of regions of North America, Europe, China, Japan and Rest of the World. The report has been curated after observing and studying various factors that determine regional growth such as economic, environmental, social, technological, and political status of the particular region. Analysts have studied the data of revenue and manufacturers of each region. This section analyses region-wise revenue and volume for the forecast period of 2017 to 2030. These analyses will help the reader to understand the potential worth of investment in a particular region.
The report provides in-depth segment analysis of the global IoT in elevators market, thereby providing valuable insights at macro as well as micro levels. Analysis of major countries, which hold growth opportunities or account for significant share has also been included as part of geographic analysis of the IoT in elevators market.
The report includes country-wise and region-wise market size for the period 2017-2030. It also includes market size and forecast by segments in terms of production capacity, price and revenue for the period 2017-2030.
Competitive Landscape and Market Share Analysis
The IoT in elevators market competitive landscape provides details by vendors, including company overview, company total revenue (financials), market potential, global presence, IoT in elevators sales and revenue generated, market share, price, production sites and facilities, SWOT analysis, product launch. For the period 2017-2020, this study provides the IoT in elevators sales, revenue and market share for each player covered in this report.
The research methodology adopted by analysts for compiling the global IoT in elevators market report is based on detailed primary as well as secondary research. With the help of in-depth insights of the market-affiliated information that is obtained and legitimated by market-admissible resources, analysts have offered riveting observations and authentic forecasts for the global market.
During the primary research phase, analysts interviewed market stakeholders, investors, brand managers, vice presidents, and sales and marketing managers. Based on data obtained through interviews of genuine resources, analysts have emphasized the changing scenario of the global market.
For secondary research, analysts scrutinized numerous annual report publications, white papers, market association publications, and company websites to obtain the necessary understanding of the global IoT in elevators market.
The study objectives of this report are: