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Consumer Focus on Water Safety Transforms the Water Treatment Equipment Market Finds Frost & Sullivan - The global residential and light commercial WTE faces though stiff competition from the bottled water market - Environmental.Frost.com
Consumer Focus on Water Safety Transforms the Water Treatment Equipment Market Finds Frost & Sullivan

 

NewswireToday - /newswire/ - London, United Kingdom, 2014/08/19 - The global residential and light commercial WTE faces though stiff competition from the bottled water market - Environmental.Frost.com.

   
 
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Mega Trends such as the increased importance of health, wellness and wellbeing are highlighting water safety issues and supporting strong growth in the global residential and light commercial water treatment equipment (WTE) market. The strict enforcement of water quality standards as well as regulations supporting upcoming innovative water treatment procedures is also driving the market. Currently, the Americas hold the biggest market share. While Europe presents the most environment-conscious and minimally cost-conscious market for WTE solutions, Asia-Pacific offers higher scope due to escalating demand from the region's burgeoning population and public health concerns.

New analysis from Frost & Sullivan, Global Residential and Light Commercial Water Treatment Equipment Market, finds that the market earned revenues of $11.03 billion in 2013 and estimates this to reach $18.80 billion in 2020. The residential sector is expected to account for 67.4 percent of the total market, fuelled by stringent regulations for household water treatment in some environment-conscious countries such as the United States, Singapore, the United Kingdom, Germany, India and China. Nevertheless, light commercial WTE is catching up and is forecast to witness a compound annual growth rate of 8.9 percent.

"Premium products will see better market penetration in developed countries," said Frost & Sullivan Energy and Environmental Research Analyst Vandhana Ravi. "Preference for counter top systems will increase in Asia-Pacific, while under-the-sink and point-of-entry systems will gain traction in the Americas and Europe."

However, pricing issues and a fragmented market structure that faces stiff competition from the bottled water market will create a highly challenging business environment in the short term. Bottled water provides additional customisation by catering to the physical fitness and wellness sector and is marketed with supplemental rich minerals and ionisers. Nevertheless, this segment will gradually lose out owing to environmental concerns on the use of plastics.

As awareness spreads, end-user preference will turn towards suppliers offering holistic WTE solutions. Reducing intermediary channels will bring the supplier closer to customers, in turn shortening the value chain, allowing suppliers to act as one-stop solution providers, and curbing costs.

"Hence, direct sales channels will remain the most profitable route of distribution, with technological advancements through Web sales catching up in the developed countries of Europe and Americas and certain regions of Asia-Pacific," stated Ravi. "To that end, the market is undergoing consolidation with companies acquiring distributors, especially in the light commercial space."

Meanwhile, the rental business will continue to boost market revenues due to the added advantages of reliable after-sales service for customers and recurring monthly income for equipment suppliers.

If you are interested in more information on this study, please send an email to Chiara Carella, Corporate Communications, at chiara.carella[.]frost.com.

Global Residential and Light Commercial Water Treatment Equipment Market is part of the Environmental (environmental.frost.com) Growth Partnership Service program. Frost & Sullivan's related studies include: Global Municipal Solid Waste Management Services Market, European Construction and Demolition Recycling Services Market, and North American Sludge Treatment Equipment Market. All studies included in subscriptions provide detailed market opportunities and industry trends evaluated following extensive interviews with market participants.

About Frost & Sullivan
Frost & Sullivan (frost.com), the Growth Partnership Company, works in collaboration with clients to leverage visionary innovation that addresses the global challenges and related growth opportunities that will make or break today's market participants.

Our "Growth Partnership" supports clients by addressing these opportunities and incorporating two key elements driving visionary innovation: The Integrated Value Proposition and The Partnership Infrastructure.

The Integrated Value Proposition provides support to our clients throughout all phases of their journey to visionary innovation including: research, analysis, strategy, vision, innovation and implementation.
The Partnership Infrastructure is entirely unique as it constructs the foundation upon which visionary innovation becomes possible. This includes our 360 degree research, comprehensive industry coverage, career best practices as well as our global footprint of more than 40 offices.

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Global Residential and Light Commercial Water Treatment Equipment Market - M9FC-15

 
 
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Consumer Focus on Water Safety Transforms the Water Treatment Equipment Market Finds Frost & Sullivan

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Frost & Sullivan | WTE Solutions
Publisher Contact: Chiara Carella - Frost.com 
+44(0)20 7343 8314 / +44(0)75 3301 7689 (mobile) chiara.carella[.]frost.com
 
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