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North American Commercial and Institutional Boilers Market - Hot water boilers take steam out of competition. New analysis from Frost & Sullivan, reveals that the market earned revenues of $926.2 million in 2006 and expects to reach $1.17 billion by 2012
North American Commercial and Institutional Boilers Market

 

NewswireToday - /newswire/ - Palo Alto, CA, United States, 2007/11/13 - Hot water boilers take steam out of competition. New analysis from Frost & Sullivan, reveals that the market earned revenues of $926.2 million in 2006 and expects to reach $1.17 billion by 2012.

   
 
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While still critical for certain applications, steam boilers lose the race to hot water boilers in commercial and institutional applications. In 2006, hot water boilers accounted for 91.5 percent of the demand from commercial and institutional markets, while steam boilers formed a mere 8.5 percent.

New analysis from Frost & Sullivan (buildingtechnologies.frost.com), North American Commercial and Institutional Boilers Market, reveals that the market earned revenues of $926.2 million in 2006 and expects to reach $1.17 billion by 2012.

If you are interested in a virtual brochure, which provides manufacturers, end users, and other industry participants with an overview of the North American Commercial and Institutional Boilers Market, then send an e-mail to Johanna Haynes, Corporate Communications, at johanna.haynes[.]frost.com,with the following information: your full name, company name, title, telephone number, email address, city, state, and country. We will send you the information via email upon receipt of the above information.

With higher efficiency and safer operations than steam boilers, hot water boilers are the premiere choice in the commercial and industrial market. However, their biggest attraction is their low maintenance costs.

Manufacturers gain considerable business from the retrofit and replacement market. The replacement of old equipment attracts clients with potential energy savings. Moreover, new emission legislation and standards ensure sustained demand from the retrofit market.

"Most new units sold are largely meant for replacing existing equipment rather than for use as new equipment," confirms Frost & Sullivan Research Analyst Jorge Moreno. "As nearly 70 percent of buildings in the North American commercial sector are more than 25 years old, the retrofit business for the boilers market is not likely to run dry anytime soon."

Several end users demand manufacturers install two or three small boilers instead of a single large boiler when replacing old equipment. Multiple boilers are an advantage; if one breaks down, end users will only lose one-third of boiler capacity and will not be completely at a loss.

This is the primary reason that modular, high-efficiency, low-mass boilers ride a crest in the market, while fortunes of cast iron boilers wane. In addition, cast iron has also lost its dominant position to copper tube over the past 10 years and expects to continue this trend due to lower replacement costs and flexible application performance.

"Recent advances in boiler configurations and controls enable the installation of several compact modular boilers, displacing the larger boilers that could offer excess capacity," notes Moreno. "Encouraged by the response to their products, boiler manufacturers increase investments in research and development."

North American Commercial and Institutional Boilers Market is part of the Building Management Technologies Growth Partnership Service. All research services included in subscriptions provide detailed market opportunities and industry trends evaluated following extensive interviews with market participants. Interviews with the press are available.

About Frost & Sullivan
Frost & Sullivan, the Growth Consulting Company, partners with clients to accelerate their growth. The company's Growth Partnership Services, Growth Consulting and Career Best Practices empower clients to create a growth focused culture that generates, evaluates and implements effective growth strategies. Frost & Sullivan employs over 45 years of experience in partnering with Global 1000 companies, emerging businesses and the investment community from more than 30 offices on six continents.

 
 
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North American Commercial and Institutional Boilers Market

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Frost & Sullivan |
Publisher Contact: Johanna Haynes 
210.247.3870 johanna.haynes[.]frost.com
 
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