The overall UK market for dehumidifiers has been
relatively stable in recent years, with increasing competition among
manufacturers and suppliers constraining any underlying value increase.
The
market has stabilised or declined in the last 3 years, however, future
prospects are more positive, with growth rates of around 5% forecast
between 2006-2009, which should lead to an estimated market value of
some £60 million at Manufacturers’ Selling Prices by 2009. Approximately
32% of sales are accounted for by the domestic sector, with the
non-domestic sector representing the balance of 68%.
The domestic sector is currently valued at £16 million (MSP)
following a period of decline in market value, due to the high levels of
competition among manufacturers and retailers, which has resulted in
reductions in average price. The domestic market is forecast to grow by
around 4-5% per year between 2006 and 2009, reaching an estimated value
of £18 million by 2009.
Amongst the main factors, which are influencing the
current and future market developments in the domestic sector are: -
-
Increased
product awareness.
-
Greater marketing activity by manufacturers.
-
Increased awareness of condensation problems.
-
Increased concern about health problems.
-
Wider
availability of dehumidifiers.
-
More effective targeting of potential customers.
-
Improvements in the economic environment and consumer
confidence.
-
Proliferation
in the number of ‘cheap’ imported products.
-
Insulation in homes.
The
Non-Domestic market sector is currently valued at £34 million (MSP), and
is forecast to grow by 5-6% annually between 2006 and 2009, when the
market is forecast to achieve an estimated value of £42 million in
current prices.
Some of the main factors, which are influencing current
and future market development in this sector, are:-
-
Slight improvement in business and consumer
confidence.
-
The relative buoyancy of the construction industry.
-
Greater awareness of the availability and uses of
dehumidifiers.
-
Expansion
of the leisure industry.
-
Thermal efficiency of commercial buildings.
-
Increased emphasis on operational energy efficiency
and building efficiency, in all sectors.
-
Increased
use of electronic products.
-
Increased sales and marketing activity by
manufacturers.
-
Increased range of logistics activity.
The main
influencing factor on purchasing behaviour in the
domestic sector
is price/value for money, with additional factors of importance being
product aesthetics, quality and safety. Consumers’ are becoming
increasingly concerned about health issues associated with excess
moisture, as well as the practical need to protect their property from
damp. The major manufacturers of dehumidifiers have focused their
marketing campaigns around the above problems with extensive promotional
campaigns, therefore consumer awareness and sales are on an underlying,
increasing trend.
Industrial users
of building dryers place a great emphasis on price and durability. The
construction industry is currently at a relatively buoyant level, with
trends to reducing the amount of on-site labour and costs. The
employment of building dryers will reduce the time taken to complete
certain activities, and is more energy efficient and economical than
other methods of drying. This factor, together with the expansion of
the tool hire industry, should stimulate increased dehumidifier sales to
the hire/construction sector. This may be augmented by the increased
need for dehumidifiers resulting from the increasing incidences of
flooding.
In the
industrial/commercial sector,
end-users give importance to price, durability, reliability and energy
efficiency. With competition from air conditioning and other forms of
air management or control, further significant penetration within this
sector will become more difficult.
The main emphasis amongst end users in the
swimming pool/leisure
sector is on price, durability and extraction capacity.
The product mix in the non-domestic sector is estimated
at Industrial/Commercial - 41%, Hire/Building Drying - 35% and Swimming
Pool/Leisure - 24%.
The main manufacturers in the domestic sector are Amcor/Micromark,
Ebac and De’Longhi who in total account for over 40% of the sector, with
others including Mitsubishi, EHL, Hayward etc. The market is at the
moment dominated by Amcor and Ebac and further characterised by a
relatively small number of companies holding significant market shares.
The main manufacturers/suppliers in the non-domestic
market are, Calorex, Ebac and Munters, who in total account for over
50%. The remainder is accounted for by a number of companies, including
Aggreko, Broughton, Heatstar, Menerga and Recotherm.
Overall Calorex and Ebac are the dominant manufacturers,
followed by a number of other companies holding significant shares.
The primary distribution channels in the domestic sector
are DIY Multiples, Electrical Multiples/Regional Electrical Companies
and Electrical Independents/Wholesalers with over 70% in total, followed
by Catalogue Sales, Mass Merchandisers, such as Tesco and Asda and
others including DIY/Hardware Independents, Department Stores, Air
Conditioning/Heating and Ventilation Distributors.
Future developments within the distribution of domestic
dehumidifiers are likely to witness the increasing dominance of the
electrical and DIY multiples channels, at the expense of some of the
more traditional channels. The increased presence of Mass merchandisers
in turn will affect the Electrical and DIY multiples and may further
contribute to price pressures.
The distribution of dehumidifiers in the non-domestic
sector is led by the Hire Sector, Air Conditioning/Heating and
Ventilation Contractors/ Distributors and Swimming Pool Installers/Pool
Equipment Distributors, with other sectors including Direct distribution
and Others.
The relative importance of the individual distribution
channels may change over time, depending on factors such as the health
of the economy, growth within the individual end use market sectors etc.
Both the domestic and non-domestic dehumidifier markets
have the potential for growth, with factors such as the performance of
the economy in general, the growing influence of energy conservation, as
well as the sales and marketing activities of manufacturers/suppliers in
the market, having an influence on future developments.
