Lighting Market Report - UK Analysis

Transcription

1 Lighting Market Report - UK Analysis Published: 27/07/2016 / Number of Pages: 92 / Price: Introduction and Overview The 13th edition of the 'Lighting Market Report - UK Analysis' reviews the overall lighting sector with a focus on lamps, luminaires and controls with comment on the recent positive performance of the market and forecasts which take into account the impact of the referendum and the likely, more modest performance over the next few years. This unique report answers the need for both a quantitative and qualitative analysis of lighting products focusing on market size and trends, product mix, supply, distribution and future prospects, the report is comprehensive, informative and will facilitate operational and strategic decision-making processes. Key sections covered: Lamps / Bulbs Market - market size by value and forecasts to 2020, product mix, key trends, import and export levels and end use mix. Luminaires / Fittings Market - market size with forecasts to 2020, key influencing factors, international trade and end use mix. Lighting Controls Market - market size by value with future prospects, key trends and end use sectors. The impact of developments in LED products. The impact of European legislative changes. The impact of international trade. Key areas of insight include: Impact of the referendum results on forecasts over the next few years. Growth of LED lamps in the commercial sector and development in the domestic replacement sector. Focus on energy and carbon savings driving growth of more efficient lighting solutions for key commercial sectors. Controls market enjoying good growth as public sector continues to seek greater energy savings as budget constraints continue. Detailed market data and insight on the lighting market by AMA Research, a leading UK provider of construction market intelligence.

2 Some of the companies included: ABB UK, Advanced Lighting Technologies, ASD Lighting, BLV UK, City Electrical Factors (CEF), Crompton Lamps, Danlers, Dar Lighting, Delmatic, Denmans, Dextra, Dialight, Eaton Electric, Edmundson Electrical, Ex-Or, Eye Lighting Europe, Eyre & Elliston, FW Thorpe, GE Lighting, Hager UK, Harvard Engineering, Havells Sylvania, JCC Lighting, Lampholder, Ledon Lamp, Legrand Group, Llumarlite, Lutron LEA, Luxmate Controls, Maclean Electrical Group, Medlock Electrical Distributors, Megaman UK, Mode Lighting, Newey and Eyre, One-Lux, Osram, Panasonic, Philips Lighting, Photonstar, Polaron Control Systems, Pulsar Light of Cambridge, Rexel Group, Routeco, Sangamo, SELC Ireland, Status International, Stearn Electric Company, Tamlite, Thorlux Lighting, Thorn Lighting, Tridonic UK, Urbis Lighting, Venture Lighting Europe, WF Electrical, Whitecroft Lighting, WILA Lighting, Zumtobel Lighting. Market Review Market size by value and forecasts to Commentary on these forecasts. Impact of 'Brexit' on the forecasts in the immediate future and in the medium term future. Key trends and influences on the market - technical innovation, product development and increases in imported products. Market share: product mix - lamps, luminaires and control, domestic and non-domestic, key end-use sectors and the reasons for any changes in market share. Key market influences: construction output, house moving levels, the effect of legislation on the overall market and influences on specific sectors. Lamps Definition, description of different lamp types - tungsten halogen, incandescent, fluorescent, discharge, etc. Market size by value and forecasts to 2020, taking into account the referendum vote and the likely impact on the product sector. Product mix by lamp type. Recent market performance, trends and key influencing factors. Assessment of growth of particular lamp technologies. Increasing impact of LED technology. New suppliers entering UK market. International trade: changes to the level of imports and exports in recent years and the dependence of the UK market on lamp imports. End use mix - Domestic/non-domestic sectors respective market shares by value, mix of new and replacement applications, product mix value sales. Luminaires Market size by value and forecasts to 2020, taking into account the referendum vote and the likely impact on the product sector. Recent performance, trends and key influencing factors, end use mix - levels of demand for domestic and non-domestic sectors, etc. Domestic/non-domestic sectors - respective market sizes, mix of products, identification of changes in the mix and reasons for any changes. International trade - impact of imported luminaires and lighting equipment. Lighting Controls

3 Definition and ranges available. Market size by value and forecasts to 2020, taking into account the referendum vote and the likely impact on the product sector, also influencing factors, current situations, future prospects. Key end-use sectors - dominated by non-domestic which has been boosted by the retrofitting sector. Supply and Distribution Key suppliers in each sector- description, indication of turnover, mergers and acquisitions etc. Suppliers share by value - lamps and luminaires sectors. Key suppliers by turnover, size of company (number of employees). Distribution structure for lighting market - domestic and non-domestic sectors main distribution channels. Non-domestic market - dominated by wholesalers and distributors, commentary on changes in channels of distribution trends and influencing factors. Market Prospects Influence of the general economic situation - construction levels and consumer confidence. The impact of the drive for efficiency and carbon reduction. Market prospects, areas of potential growth/decline, longer-term trend for integrated lighting solutions. Report Summary The UK lighting market was estimated to have increased by 13% on the previous year, in The trend towards LED technologies has driven up value growth in the market as has the continuation of a number of finance schemes that allow for lighting refurbishments and replacements to be paid for from future energy cost savings. The issue of retro-fitting of more efficient lamp products has been crucial to growth rates within the market over the last 2-3 years. This trend is, however, now having less effect on market value, as the replacement lamps average prices have fallen significantly and are now more comparable with the high volume, low value products that they are replacing. The non-residential sector has not had the momentum of the domestic sector in the last couple of years but had started to pick up, especially in the commercial office sector, though popular opinion is that this area will slow down as investors assess the risk factors. The outlook for 2016 has changed markedly with the result of the EU referendum, which is forcing companies and investors to consider their financial commitments both to major projects and in some cases to smaller residential projects. Indeed, the construction industry was already showing signs of slowing growth in early These deteriorating economic and construction trends are likely to affect the lighting market and while there has been good growth in the last 2 years, the next 2-3 years are expected to be much more constrained. The UK market for lighting is diverse with a broad range of products and a number of end-use applications, many of which have dedicated lighting ranges. Although the lamps and luminaires sectors have continued to experience positive conditions , lighting controls remains the sector with the highest levels of growth within the overall market. Continuing the trend from Lighting controls experienced very strong growth in 2014 and Key to this recent growth has been the "step change" experienced in the technologies of solid state lighting controls and recognition of the need for more efficient lighting systems for all end use sectors. The concepts of zoning, directional and space lighting although previously evident in the market have been brought into sharper focus by the need to cuts costs, carbon emissions and save energy. The UK lamps market has experienced significant change in recent years as European Directives have impacted on the supply and sales of certain lamp types. The phased removal of inefficient lamps from both the residential and non-residential sectors has continued to see the replacement of the traditional incandescent lamp in the domestic sector with compact

4 fluorescents which in turn have been replaced by LEDs. In addition, the trend for improving lighting quality, particularly the trend for "whiter" light in the private commercial sector has increased demand for higher value LED and fluorescent products. Luminaires still dominate the UK lighting market accounting for the majority share in 2015, although their overall share of the market is gradually declining. The luminaires market is more reliant on the levels of new build and refurbishment activity, particularly in the non-domestic sector, than the lamps market and these figures reflect an increase in output and rising confidence in the private commercial sector between 2013 and The recent trend has been positive with strong market growth in 2015 underpinned by investment in street lighting, rising levels of house completions as well as improvements in construction output for both the domestic and non-domestic sectors. In 2015 the luminaires market has grown strongly with new product developments concentrating on energy efficiency and improved light rendering. Market conditions will become more difficult into the medium-term with annual rates of growth of around 1-5% forecast to The adoption of more efficient lighting products in the medium-term will boost value underlying growth, however these products have increased life cycle expectations which may have more negative implications for the market into the longerterm. The key driver for the whole lighting market is LED lighting which has gained significant share in the non-domestic sector in recent years. This technology represents an innovative aspect for the lighting market and is likely to promote a period of innovation and expansion particularly in terms of more integrated products, control and lighting solutions. One of the main considerations for LEDs and the luminaires sector is the potential that LEDs provide for lighting designers to move away from traditional lighting products - e.g. separate luminaire, lamp and control - to provide single point lighting solutions. However, despite the increased demand, there has still been an oversupply to the global market, especially from developing countries and China, and as a result the global prices of LEDs have fallen significantly in Despite market forecasts being revised downwards following the EU referendum, underlying trends remain positive in the UK lighting market, and continued growth is predicted as a result of a shift to higher value LED products and strong growth in the lighting control sector. Contents Listing List of Contents 1. INTRODUCTION BACKGROUND SOURCES OF INFORMATION 7 2. SUMMARY AND MARKET PROSPECTS SUMMARY MARKET PROSPECTS ECONOMIC ENVIRONMENT GDP INFLATION & INTEREST RATES UNEMPLOYMENT HOUSEHOLD CONSUMPTION HOUSING & CONSTRUCTION STERLING 16

5 3.7 POPULATION PROFILE CONCLUSIONS THE OVERALL UK LIGHTING MARKET MARKET DEFINITION MARKET SIZE Market Value Market Prospects PRODUCT MIX MIX BY APPLICATION KEY NON-DOMESTIC END USE SECTORS Offices Industrial Healthcare Education Road and Street Lighting Other End Users KEY MARKET INFLUENCES Construction Output House Moving Legislation Energy Costs Average Prices THE UK LAMPS MARKET MARKET DEFINITION MARKET SIZE & TRENDS Characteristics and Recent Trends 46

6 5.3 INTERNATIONAL TRADE Imports Exports END USER MIX PRODUCT MIX Overall Market Domestic Market Non-Domestic Market THE UK LUMINAIRES MARKET MARKET DEFINITION MARKET SIZE & TRENDS Current Situation and Market Prospects INTERNATIONAL TRADE Imports Exports Region of Origin END USER MIX Domestic Luminaires Non-Domestic Luminaires LIGHTING CONTROLS MARKET MARKET DEFINITION MARKET SIZE & TRENDS Current Situation Market Prospects MIX BY END USE SECTOR SUPPLIERS 70

7 8.1 OVERVIEW Turnover Band Size Employee Band Size MARKET SHARES IN THE LIGHTING MARKET KEY SUPPLIERS IN THE LAMPS MARKET Corporate Activity Key Suppliers to the Lamps Market KEY SUPPLIERS IN THE LUMINAIRES MARKET KEY SUPPLIERS IN THE LIGHTING CONTROL SYSTEMS MARKET LED SPECIALISTS DISTRIBUTION DOMESTIC DISTRIBUTION DIY Multiples Grocery Multiples Department Stores/Other High Street Chains Mail Order / Catalogues / Internet Electrical/Hardware Independents Lighting Specialists NON-DOMESTIC MARKET Channels Electrical Wholesalers 89 Tables & Charts CHART 1 UK LIGHTING MARKET BY VALUE ( M MSP) 9 TABLE 2 GDP DATA KEY CONSTITUENT ELEMENTS 13 CHART 3 INTEREST RATES AND INFLATION (CPI) FROM

8 CHART 4 PDI & SAVINGS RATIO AT CURRENT PRICES TABLE 5 EXCHANGE RATE FLUCTUATIONS STERLING TO THE DOLLAR, AND THE EURO, SPOT RATES 17 CHART 6 UK LIGHTING MARKET ( M MSP) 20 CHART 7 UK LIGHTING MARKET PRODUCT MIX (LAMPS, LUMINAIRES AND CONTROLS) 2015 AND % BY VALUE 24 CHART 8 UK LIGHTING MARKET MIX BY APPLICATION (DOMESTIC AND NON-DOMESTIC % BY VALUE) 25 CHART 9 COMMERCIAL OFFICE LIGHTING PRODUCT MIX % BY VALUE 27 CHART 10 PRODUCT MIX INDUSTRIAL LIGHTING ESTABLISHMENT 2015 BY VALUE 28 TABLE 11 LIGHTING REQUIREMENTS BY AREA IN EDUCATIONAL BUILDINGS 30 TABLE 12 UK CONSTRUCTION OUTPUT FIGURES 2011 TO 2020 ( BILLION AT CURRENT PRICES) 33 TABLE 13 TOTAL NON-RESIDENTIAL CONSTRUCTION OUTPUT NEW WORK AND RMI 2011 TO 2020 BY VALUE ( BN AT CURRENT PRICES) 34 CHART 14 OUTPUT NON-RESIDENTIAL CONSTRUCTION BY SECTOR (GB) 2011 TO BY VALUE ( MILLION AT CURRENT PRICES) 35 TABLE 15 TOTAL RESIDENTIAL OUTPUT (NEW WORK AND RMI)- BY VALUE ( BN AT CURRENT PRICES) 36 TABLE 16 UK RESIDENTIAL PROPERTY TRANSACTIONS VALUED AT 40K OR ABOVE TABLE 17 PHASE-OUT SCHEDULE FOR NON-DIRECTIONAL HOUSEHOLD LAMPS 38 TABLE 18 UK ELECTRICITY FINAL CONSUMPTION 2008 TO GWH 40 CHART 19 ELECTRICITY CONSUMPTION BY END USER (INDUSTRY, TRANSPORT, DOMESTIC, PUBLIC ADMINISTRATION, COMMERCIAL & AGRICULTURE MISCELLANEOUS) % GWH 41 TABLE 20 ELECTRICITY PRICES IN THE UK INCLUDING TAXES PENCE PER KWH TABLE 21 PRICE INDICES OF CONSTRUCTION MATERIALS, LIGHTING EQUIPMENT FOR ROADS - ANNUAL AVERAGES = CHART 22 UK LAMP MARKET BY VALUE ( M MSP) 45 CHART 23 UK LAMP IMPORTS BY PRODUCT TYPE (SEALED BEAM, FILAMENT, DISCHARGE, UV IR & ARC AND LAMP PARTS) 2008 TO BY VALUE ( M) 49 CHART 24 UK LAMP EXPORTS BY PRODUCT TYPE (SEALED BEAM, FILAMENT, DISCHARGE, UV IR & ARC AND LAMP PARTS) 2010 TO BY VALUE ( M) 50 CHART 25 UK LAMPS MARKET END USE SECTOR MIX % BY VALUE (NON-DOMESTIC, DOMESTIC REPLACEMENT AND

9 DOMESTIC NEW BUILD) 51 CHART 26 UK LAMPS MARKET PRODUCT MIX % BY VALUE 52 CHART 27 DOMESTIC LAMPS PRODUCT MIX 2007 TO % BY VALUE 54 TABLE 28 UK NON-DOMESTIC LAMP MARKET PRODUCT MIX BY LAMP TYPE BY VALUE ( M) AND % 55 CHART 29 UK MARKET FOR LUMINAIRES 2011 TO BY VALUE ( M MSP) 57 CHART 30 UK LUMINAIRES IMPORTS - BY PRODUCT TYPE (CEILING / WALL, TABLE/ DESK & FLOOR, ILLUMINATED SIGNS AND LIGHTING COMPONENTS) BY VALUE ( M) 59 CHART 31 UK LUMINAIRES EXPORTS - PRODUCT TYPE (CEILING & WALL, TABLE, DESK & FLOORSTANDING, SIGNS AND LIGHTING COMPONENTS) BY VALUE ( M) 60 TABLE 32 UK IMPORTS & EXPORTS OF LUMINAIRES BY REGION OF ORIGIN 2008, 2013 AND CHART 33 UK LUMINAIRES MARKET - END USER MIX BY VALUE CHART 34 UK DOMESTIC LUMINAIRE MARKET - PRODUCT MIX BY VALUE CHART 35 UK NON-DOMESTIC LUMINAIRE MARKET - END USER MIX BY VALUE TABLE 36 UK LIGHTING CONTROLS & COMPONENTS MARKET 2011 TO BY VALUE ( M MSP) 66 CHART 37 UK LIGHTING CONTROL MARKET - END USER MIX BY VALUE CHART 38 UK LIGHTING MANUFACTURERS BY TURNOVER GROUP ( '000S) 2011, 2013 AND CHART 39 UK LIGHTING MANUFACTURERS BY EMPLOYEE BAND SIZE 2011, 2013 AND CHART 40 LIGHTING MANUFACTURERS MARKET SHARE (LAMPS AND LUMINAIRES) BY VALUE CHART 41 DISTRIBUTION STRUCTURE FOR LIGHTING 83 TABLE 42 RETAIL SALES OF LAMPS & LUMINAIRES SHARE BY CHANNEL OF DISTRIBUTION CHART 43 DIY MULTIPLES MARKET SHARE % BY VALUE 85 TABLE 44 NON-DOMESTIC SALES OF LIGHTING EQUIPMENT BY CHANNEL OF DISTRIBUTION 2015 BY VALUE 88 CHART 45 ELECTRICAL WHOLESALE MARKET SHARES 2015 BY VALUE % (REXEL, EDMUNDSON, CEF ETC) 89

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