Market Insights: A Selection From The Report
Market Projections - Water Softeners
For the period of 2010-2015, global water softener sales are projected to rise at a CAGR of 6.4% for residential applications and 8.7% for industrial and commercial applications. Asia will experience the fastest growth overall, but sales will be strong in most areas of the world. Continuing news stories about problems with public water supplies, aging water supply infrastructure, polluted water sources, and natural disasters like the flooding unfolding in Pakistan that has left millions homeless will serve as stark messages to those who want to insure their drinking water is not only safe to drink, but aesthetically pleasing as well.
Water softener sales are closely linked to the housing market, which has declined precipitously since 2006 in many parts of the world. Still, the decline in the housing market has only slowed the market for water softeners as older units have been replaced with newer ones and more people make an investment in them as they remain in their homes for longer periods. Prices are not expected to rise much, if at all, as economic conditions and high unemployment ameliorate price increases.
By 2015, SBI Energy forecasts that total water softener sales will increase to almost $11 billion - $5.4 billion for the residential market and $6 billion for the industrial sector. Growth should remain steady through 2015. However, worsening economic conditions would hinder growth, but not substantially. An improving economy and lower unemployment, on the other hand, could dramatically boost sales, particularly if the housing market turns around.
Current Market Size - Air Treatment
Air Treatment Segments
The use of the term “air treatment” is likely to conjure many different thoughts. The one that probably comes to mind most often would be treating the smoke that is exhausted to the atmosphere by industry, and in particular power plants. Another is likely the Ionic Breeze device marketed by the Sharper Image. The one most often used, and maybe not considered an air treatment product, is the furnace filter that consumers must replace from time to time. However, the market for air filters is vast and growing worldwide.
Regional Humidifier Markets
Different regions of the world in general, and countries in particular, have different climatic conditions, building codes, sources for heating, and other factors that can affect humidity levels in the home and workplace. This section looks at the various regions of the world and the need for humidification. Growth rates for both the consumer and industrial market are presented as well as growth in selected countries.
Toxic Indoor Air Pollutants Means $74 Billion for HVAC Filter Marketers
New York, November 10, 2010 — Contrary to popular belief not all major air pollutants are found outside, according to the Women’s Health Magazine October article, "Beat Bad Air Days." Household items such as candles, printers, shoes, furniture and dust can fill rooms with the potentially dangerous pollutants, the article continues. But just how much should we worry?
It is true that air pollution knows no boundaries and many harmful toxins can be found around the home every day, but most are shocked to learn that the U.S. Environmental Protection Agency cites indoor air as 5 times more polluted than outdoor air. Furthermore, most people spend upwards of 90 percent of their time indoors living in their homes and working in offices, factories, and enclosed spaces. Prolonged exposure to high levels of indoor air contaminants can lead to severe health problems, especially among the very young, the elderly, and the chronically ill.
Concern for health has kept air purification systems, products and technologies registering consistent sales growth since 2006, from both residential and commercial customers — despite the recent recession. According to Water & Air Purification Systems & Products, a market research study by SBI Energy the indoor air filtration market is dominated by heating, ventilation, and air conditioning (HVAC) filters which need replacement on a regular basis, cleaning up $74 billion of the entire market. The next largest segment ($9.3 billion) is for filters for automobiles, vacuum cleaners, clean rooms, general manufacturing processes, and various end use appliances. The fabric filter (or bag house) market ($8.7 billion) consists of filtration equipment used for capturing dust and other particulate matter from power utilities (especially coal fired plants), cement manufacturers, foundry and steel operations, and chemical processors among other industries.
"Demand for products that treat air and water will certainly increase, not only because of an ever increasing global population, but also because of increasing problems associated with air and water supplies," says Shelley Carr, Publisher of SBI Energy. "Human activity continues to pollute both air and water and shows no signs of abating."
Air and Water Purification Systems and Products: Residential & Commercial examines the market for products that are used to clean and purify air and water, both for consumer use as well as for industrial and commercial needs. Problems with air and water will be addressed and technologies that can remedy these problems will be identified and discussed in detail. Economic and demographic trends will be delineated as well as their impacts on fresh air and water.The growth of treatment technologies, in both the consumer and commercial arena, will be projected from 2010 through 2015 at the global, regional, and country level.Factors that can help accelerate (or hinder) growth is also examined as well as new treatment technologies that are entering the marketplace.Finally, trends and innovations will be discussed as well as a sample of companies that develop and manufacture products that treat air or water. For more information.
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Pollution, Global Health Concerns Drive Growth of Water and Air Purification Systems
New York, October 21, 2010 — Air and water are essential to life but are increasingly being stressed from over population, increasing pollution, and wasteful use of resources. Regardless of the country or region, there is polluted air and contaminated water-it is just a matter of degree-and health issues are always an overriding concern and will continue to drive growth in the air and water treatment markets, even if it is at a slower rate than in the pre-recession years during the early 2000’s, according to Water and Air Purification Systems and Products: Residential & Commercial by SBI Energy.
"The water treatment market and the air treatment market are vast, varied, and growing worldwide because the earth is obviously not becoming less polluted, not to mention the reality that crowded and unsanitary living conditions can be found everywhere," says Bernie Galing, SBI Energy analyst and author of the industry study. "The market for air and water treatment products is also not saturated. Comparatively few households own an air or water treatment product so the potential market remains large. Being able to develop appropriate marketing messages and product offers could help penetrate this market further, particularly as the economy strengthens."
From 2006 to 2010 the rate of growth in the water treatment market was relatively slow in both the in the consumer market and business market segments. Through 2015, SBI Energy projects the water treatment market will grow faster as the residential sector increases at a 7% compound annual growth rate (CAGR) and the industrial/commercial sector increases at a 9% CAGR. The industrial water treatment segment is forecast to drive this market and will exceed $33 billion in global sales by the end of the forecast period, up from an expected $22 billion in 2010. Business expansion will include new plants and facilities as well as improvements to existing ones. Pure water, which is vital to many manufacturing processes and almost all commercial heating and cooling, will require both new water treatment equipment as well as replacement parts, such as filters.
The consumer water treatment market-expected to approach $17 billion in global sales by 2015, up from a projected $12 billion in 2010-will grow slower than the industrial market since businesses are recovering faster than consumers. Unemployment remains high and consumer confidence is low, and it will take some time for the consumer market to fully recover though conditions are improving. Areas of the world where clean, safe water is problematic, but the economies are growing and people are becoming better off financially, are going to drive the consumer market for water treatment. China, India, Indonesia, and many other countries in Asia fit these circumstances. So do countries like Brazil and South Africa. In addition, many consumers perceive water problems to be a health issue and will continue to spend money for water treatment products, albeit at lower price points such as buying a pour-through pitcher with an ACF filter instead of bottled water.
A poor economic environment also slowed the growth of the air treatment market. The consumer market was most severely affected but the industrial market also had its problems. However, concern for health kept the consumer market alive since those with allergies, asthma, and other breathing problems need these products regardless of the economy. They are also more likely to buy higher quality and higher priced products to relieve their symptoms. Those without these health issues were less likely to buy and more likely to buy lower priced products when they did. Many businesses, as usual, needed air treatment products as a requisite for continuing their business operations. As economic conditions improve, the rate of growth in both these markets is expected to increase.
Starting in 2010 the rate of growth in the air treatment market is projected to increase, led by the industrial sector which SBI Energy forecasts will exceed $16 billion in 2015 compared to $11 billion anticipated by the end of 2010. Asia (particularly China and India) and other regions, such as South America, with rapidly expanding economies will see the fastest growth in air treatment products. It is also in these regions where air pollution is greatest, brought on by rapid industrialization, high electric demand necessitating more power plants (many of which use coal), increasing ownership and usage of automobiles, and the growth of modern conveniences such as air conditioning which place further demands on electric power. Growth in the consumer market will also increase but sat a much slower rate. An improvement in economic conditions and unemployment will be needed for faster growth in this segment, but SBI Energy forecasts the segment will increase $1 billion between 2010-2015 to exceed $4 billion by the end of the forecast period.
Water and Air Purification Systems and Products: Residential & Commercial presents an in-depth analysis of the development, applications, products, technologies, manufacturers, and trends for products that help make indoor air cleaner and healthier and water purer, both for consumer usage as well as industrial and commercial applications.p>
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Global Air and Water Treatment Market - The Blog
Although I have never worried about water in terms of its availability or its quality, seldom does a week go by where I don’t read about water problems, both here in the United States and throughout the world. Water main breaks, low reservoir levels, water shortages, pharmaceutical and other contaminants, flooding, malfunctioning water treatment plants, and the growing use of desalinization plants are just a few of the issues that make one realize that water really is a precious resource. Thankfully, water has not become a widespread and continuing concern in the United States. However, all of the concerns I just mentioned have occurred in the past few months in this country. Ames, Iowa - for example - was without municipal water for over a week as a result of flooding in August. Many reservoirs, including Lake Meade, are far from capacity. Cities in Florida, Texas, and California are now getting at least some of their water from the sea.
I think most people are at least somewhat aware of water issues but there does not seem to be a concerted effort to conserve water or use it more wisely. At least in the United States, I think most people take clean, safe, available water for granted. Water is a necessity for life but many millions of people lack access to water, much less water that is potable. So it was with some interest that I read an article last week discussing water as a “right”. This was from a company perspective about its use of water and its commitment to be a better steward of the water it uses within its operations and the communities in which it operates. In July, the United Nations took this a step further when the General Assembly adopted a resolution recognizing that access to clean water is a fundamental human right. It took this long to do this?
Passing a resolution and making it effective are two different things. There is still a long way to go before water problems are resolved and this is not limited to Sub-Saharan Africa where many millions of people have to forage for water. China, a growing and modernizing country, has severe water problems of its own. A report last week described water reaching crisis levels in Beijing and other areas of the country. Although China has spent tens of billions of dollars building dams and reservoirs, hundreds of Chinese cities continue to face water shortages and deteriorating water quality, even while industrial firms continue to pollute water sources. With 40 percent of its population living in the dry regions of the country, China really has no easy fix for its water problems.
If China is having problems fixing its water problems, I wonder what will befall poorer countries that lack the funds and other resources that China has been able to bring to bear. Water is certainly a human right (as it must be) but global cooperation will be required to make this a reality. A few days ago a report surfaced about two tribes in Pakistan that have been fighting over irrigation water. Over 100 people have been reported killed and five villages burned in the dispute. Kind of makes one glad to be living in the United States.
But wait - farmers in the Klamath River Basin in Oregon have broken into facilities that control irrigation water to redirect to their farms. The once guaranteed but now cut-off irrigation water is pitting farmers against the government. Lawsuits have been filed in Northern California alleging that the state, in a backroom deal, illegally turned over the publicly-owned Kern Water Bank to an agency controlled by giant corporations. Plans to pump water from rural Nevada to supply Las Vegas were overturned by the Nevada Supreme Court. Kansas and Nebraska regularly fight over water withdrawals from the Republican River. The list goes on. I guess it does not matter where you live - water problems abound.
Although I don’t really need it, I installed a reverse osmosis water treatment device in my home. I could get by on tap water but I have the luxury of being able to afford a product that can actually improve the clean, safe, piped-in water I already have. The treated water tastes better than tap water and it makes clear ice cubes to boot. Many people throughout the world actually need a product like this but cannot afford it (making clean, safe water a universal right is not going to be easy). What I do need is a water softener since the water in my area is very hard. I have one of these as well. Guess I’m all set, water-wise that is. Now, if I can just get motivated to find the right air cleaner to get rid of all the pet dander from the birds and the dog...
More Water reports by SBI
SBI Bulletin: Water Treatment Technologies and Products Markets, 2006-2015 by SBI
Water treatment has seen steady growth over the past decade due to increased product selection and availability, a growing population, increased pollution of the air ...
Swimming Pool Equipment and Maintenance Products, 2nd Edition by SBI
The U.S. market for swimming pool equipment and maintenance products includes liners, covers, heaters, filters, pumps, chemicals, lighting, cleaners, sweepers, vacuums, automated systems, controllers ...
World Desalination Components and Technologies by SBI
Desalination - also referred to as desalting, desalinisation or desalinization - is the process by which salt and other minerals are removed ...
Global Market for Water Recycling & Reuse: Filtration Systems by SBISee all reports like this >>
Water conservation technologies (WCTs), also referred to as water saving technologies, include water recycling or reuse systems; rainwater harvesting or stormwater retention mechanisms; irrigation system ...