U.S. Gas Detection Equipment Markets

A number of companies in the U.S. gas detection markets have used low prices to lure business w y from incumbents. The result has been intense competition among participants as suppliers have reduced prices and added features in order to retain market share. With businesses struggling to optimize resources and rise above shrinking profit margins, winners will be those companies that can differentiate their products and services from those of their competitors.

This Frost &Sullivan research analyzes the markets for portable and fixed gas detection equipment as well as detector tubes. It highlights key market drivers and restraints, and presents accurate forecasts for each segment. With such privileged view of the industry, users of this study will be poised to overcome obstacles and overtake the competition.

Energy Crunch Will Foster Short-Term Boost in Demand

"As the pressure for domestically produced energy increases, the U.S. government will likely increase oil production,” says study ’s analyst. The U.S. is experiencing the lowest production of domestic oil prior to World War II. As a result, strong reliance on foreign providers has meant that high gas and heating costs will continue to soar for consumers.

"It is likely that the Bush administration will try to alleviate the energy crisis by permitting the reactivation of old plants and refineries and encouraging the construction of new ones,” states the author. “All of those new refineries will need to be outfitted with gas detection equipment. “By identifying changing energy policies and assessing their impact on the gas detection markets, this analysis provides users with essential insights into the future of the field.

Alternative End-User Industries Offer New Growth Options

"With the recent setback in the U.S. economy, uncertainty in oil and gas, utilities, pulp and paper, and other industries will force gas detection equipment companies to identify nontraditional sources of revenue," observes the analyst. For some, the best opportunities may lay in overseas markets. "Manufacturers of gas detection equipment must continue to focus sales on global scale."

For other firms, refocusing sales efforts on non-conventional end-user industries might yield the best results. Wastewater treatment, fire and rescue, and HVAC industries may prove to be important end-user segments. This research highlights challenges that industry participants will face and offers expert strategic recommendations, enabling your company to develop an efficient business plan.