0

Air Conditioning Market Growth, Size, Trends, Analysis Report by Type, Application, Region and Segment Forecast 2021-2025

  • Published: Apr 2021
  • Pages: 131
  • SKU: IRTNTR43846
Technavio

Enjoy complimentary customisation on priority with our Enterprise License!

Get me the latest version! (includes COVID-19 impact)
Safe and Secure SSL Encrypted

info
close
  • Single:

    One user only.
    Quick & easy download option

  • Enterprise:

    Unlimited user access (Within your organization)
    Complimentary Customization Included

2500 USD

The air conditioning market share is expected to increase by USD 19.6 billion from 2020 to 2025, and the market's growth momentum will accelerate at a CAGR of 3.04%.

This air conditioning market research report provides valuable insights on the post COVID-19 impact on the market, which will help companies evaluate their business approaches. Furthermore, this report extensively covers air conditioning market segmentations by product (splits, chillers, airside, and others) and geography (APAC, Europe, North America, MEA, and South America). The air conditioning market report also offers information on several market vendors, including AB Electrolux, Daikin Industries Ltd., Haier Smart Home Co. Ltd., Johnson Controls International Plc, LG Electronics Inc., Mitsubishi Electric Corp., Panasonic Corp., Samsung Electronics Co. Ltd., Toshiba Corp., and Whirlpool Corp. among others.

What will the Air Conditioning Market Size be During the Forecast Period?

Air Conditioning Market Size

Download the Free Report Sample to Unlock the Air Conditioning Market Size for the Forecast Period and Other Important Statistics

The increasing demand for residential and commercial construction is rapidly increasing due to the rising urbanization and the growing disposable incomes of consumers, which will drive India air conditioning market growth during the forecast period. 

Air Conditioning Market: Key Drivers, Trends, and Challenges

The rise in residential construction activity is notably driving the air conditioning market growth, although factors such as safety issues may impede market growth. Our research analysts have studied the historical data and deduced the key market drivers and the COVID-19 pandemic impact on the air conditioning industry. The holistic analysis of the drivers will help in deducing end goals and refining marketing strategies to gain a competitive edge.

Key Air Conditioning Market Driver

The rise in residential construction activity is a major factor driving the global air conditioning market share growth. Direct investment in real estate has almost grown to pre-recession levels at $710 billion in 2014 to increase to $9.6 trillion in 2019. This will drive construction activities and infrastructure development. The global residential real estate market is witnessing growing momentum. Direct real estate investment and increasing wealth and prosperity in regions such as the APAC, Latin America, and the Middle East are driven by economic growth and increasing migration to existent and newly emerging cities in these regions, which is accelerating the demand for new homes. Job growth, expanding retail and business operations, and recovery of the housing market in developing countries are also supporting the progress in the market. Furthermore, the construction of the total number of new privately-owned housing units started in the US by purpose and design increased from 1.11 million in 2015 to 1.29 million in 2019. Such growth in residential construction is anticipated to drive demand for air conditioning solutions during the forecast period.

Key Air Conditioning Market Trend

The increase in the use of R32 refrigerant in split ACs is another factor supporting the global air conditioning market share growth. AC manufacturers use different types of refrigerants to provide refrigeration. Most of the vendors use R-410A refrigerants because of their zero-ozone depletion potential (ODP) and low global warming potential (GWP). However, the refrigerant consumes more energy; therefore, market vendors are focusing on using other refrigerants, such as R32 refrigerant, which reduce power consumption and CO2 emissions. ACs with R32 refrigerants use up to 10% less electricity than ACs that use R-410A and R-22. R32 refrigerant also has three times lower GWP than R-410A and R-22, and its environmental impact is also low. R32 refrigerant is environment-friendly, as it helps reduce carbon emissions by ACs and achieve a better cooling effect compared with other refrigerants available. Hence, vendors are manufacturing split ACs using R32 refrigerants. In March 2019, Samsung launched a series of split ACs using R32 refrigerant in its models to achieve significantly higher efficiency than those using R410. Therefore, the availability of new split ACs with R32 refrigerants is expected to increase their adoption during the forecast period.

Key Air Conditioning Market Challenge

The safety issues will be a major challenge for the global air conditioning market share growth during the forecast period. There are various government and non-government regulatory bodies across the world that effectively ensure the safety of electronic appliances that are sold to consumers. For instance, the Consumer Product and Safety Commission (CPSC) establishes and standardizes safety measures for appliances sold in the US, which is impeding the US air conditioning market growth. These standards ensure consumer safety from potential safety hazards. In the past few years, there have been few incidences regarding the safety issues of portable ACs, which have eventually led to product recalls. For instance, in June 2019, three portable AC models of LG Electronics USA, namely LP0711WNR, LP0813WNR, and LP0814WNR, were recalled due to non-compliance with the Consumer Product Safety Commission. These safety concerns and issues not only ruin the company s image but also discourage the adoption of such products by consumers due to the fear of safety hazards. This can pose a challenge to the growth of the global air conditioning market during the forecast period.

This air conditioning market analysis report also provides detailed information on other upcoming trends and challenges that will have a far-reaching effect on the market growth. The actionable insights on the trends and challenges will help companies evaluate and develop growth strategies for 2021-2025.

Parent Market Analysis

Technavio categorizes the global air conditioning market as part of the global household appliances market. Our research report has extensively covered external factors influencing the parent market growth potential in the coming years, which will determine the levels of growth of the air conditioning market during the forecast period.

Who are the Major Air Conditioning Market Vendors?

The report analyzes the market's competitive landscape and offers information on several market vendors, including:

 

  • AB Electrolux
  • Daikin Industries Ltd.
  • Haier Smart Home Co. Ltd.
  • Johnson Controls International Plc
  • LG Electronics Inc.
  • Mitsubishi Electric Corp.
  • Panasonic Corp.
  • Samsung Electronics Co. Ltd.
  • Toshiba Corp.
  • Whirlpool Corp.

 

This statistical study of the air conditioning market encompasses successful business strategies deployed by the key vendors. The air conditioning market is fragmented and the vendors are deploying growth strategies such as organic and inorganic growth strategies to compete in the market.

Product Insights and News

  • AB Electrolux- The company offers air conditioners under the brand Frigidaire such as Frigidaire Gallery 12,000 BTU cool connect smart room air conditioner with Wi-Fi control.

To make the most of the opportunities and recover from post COVID-19 impact, market vendors should focus more on the growth prospects in the fast-growing segments, while maintaining their positions in the slow-growing segments.

The air conditioning market forecast report offers in-depth insights into key vendor profiles. The profiles include information on the production, sustainability, and prospects of the leading companies.

Air Conditioning Market Value Chain Analysis

Our report provides extensive information on the value chain analysis for the air conditioning market, which vendors can leverage to gain a competitive advantage during the forecast period. The end-to-end understanding of the value chain is essential in profit margin optimization and evaluation of business strategies. The data available in our value chain analysis segment can help vendors drive costs and enhance customer services during the forecast period.

The value chain of global household appliances market includes the following core components:

  • Inputs
  • Inbound logistics
  • Operations
  • Outbound logistics
  • Marketing and sales
  • Service
  • Support activities
  • Innovation

The report has further elucidated on other innovative approaches being followed by manufacturers to ensure a sustainable market presence.

Which are the Key Regions for Air Conditioning Market?

Air Conditioning Market Market segmentation by region

For more insights on the market share of various regions Request for a FREE sample now!

72% of the market's growth will originate from APAC during the forecast period. China, Japan, South Korea (Republic of Korea) and India are the key markets for air conditioning market in APAC. Market growth in this region will be faster than the growth of the market in all other regions.

The increasing residential construction activity will facilitate the air conditioning market growth in APAC over the forecast period. This market research report entails detailed information on the competitive intelligence, marketing gaps, and regional opportunities in store for vendors, which will assist in creating efficient business plans.

 

What are the Revenue-generating Product Segments in the Air Conditioning Market?

Air Conditioning Market Segmentation

To gain further insights on the market contribution of various segments Request for a FREE sample

The air conditioning market share growth by the splits segment will be significant during the forecast period. The growth in the market comes from the replacement of window units with energy-efficient and sleek split air conditioners. There is also an increasing trend toward inverter-based splits, owing to their efficiency. 

This report provides an accurate prediction of the contribution of all the segments to the growth of the air conditioning market size and actionable market insights on post COVID-19 impact on each segment.

 

Air Conditioning Market Scope

Report Coverage

Details

Page number

120

Base year

2020

Forecast period

2021-2025

Growth momentum & CAGR

Accelerate at a CAGR of 3.04%

Market growth 2021-2025

$ 19.6 billion

Market structure

Fragmented

YoY growth (%)

1.81

Regional analysis

APAC, Europe, North America, MEA, and South America

Performing market contribution

APAC at 72%

Key consumer countries

China, US, Japan, Germany, South Korea (Republic of Korea), and India

Competitive landscape

Leading companies, Competitive strategies, Consumer engagement scope

Key companies profiled

AB Electrolux, Daikin Industries Ltd., Haier Smart Home Co. Ltd., Johnson Controls International Plc, LG Electronics Inc., Mitsubishi Electric Corp., Panasonic Corp., Samsung Electronics Co. Ltd., Toshiba Corp., and Whirlpool Corp.

Market dynamics

Parent market analysis, Market growth inducers and obstacles, Fast-growing and slow-growing segment analysis, COVID 19 impact and recovery analysis and future consumer dynamics, Market condition analysis for forecast period

Customization purview

If our report has not included the data that you are looking for, you can reach out to our analysts and get segments customized.

Request for a FREE sample

What are the Key Data Covered in this Air Conditioning Market Report?

  • CAGR of the market during the forecast period 2021-2025
  • Detailed information on factors that will drive air conditioning market growth during the next five years
  • Precise estimation of the air conditioning market size and its contribution to the parent market
  • Accurate predictions on upcoming trends and changes in consumer behavior
  • The growth of the air conditioning industry across APAC, Europe, North America, MEA, and South America
  • A thorough analysis of the market's competitive landscape and detailed information on vendors
  • Comprehensive details of factors that will challenge the growth of air conditioning market vendors

We can help! Our analysts can customize this report to meet your requirements. Get in touch

1 Executive Summary

2 Market Landscape

  • 2.1 Market ecosystem
    • Exhibit 01: Parent market
  • 2.2 Market characteristics
    • Exhibit 02: Market characteristics
  • 2.3 Value chain analysis
    • Exhibit 03: Value Chain Analysis: Household appliances market

3 Market Sizing

  • 3.1 Market definition
    • Exhibit 04: Offerings of vendors included in the market definition
  • 3.2 Market segment analysis
    • Exhibit 05: Market segments
  • 3.3 Market size 2020
    • 3.4 Market outlook: Forecast for 2020 - 2025
      • Exhibit 06: Global - Market size and forecast 2020 - 2025 ($ billion)
      • Exhibit 07: Global market: Year-over-year growth 2020 - 2025 (%)

    4 Five Forces Analysis

    • 4.1 Five Forces Summary
      • Exhibit 08: Five forces analysis 2020 & 2025
    • 4.2 Bargaining power of buyers
      • Exhibit 09: Bargaining power of buyers
    • 4.3 Bargaining power of suppliers
      • Exhibit 10: Bargaining power of suppliers
    • 4.4 Threat of new entrants
      • Exhibit 11: Threat of new entrants
    • 4.5 Threat of substitutes
      • Exhibit 12: Threat of substitutes
    • 4.6 Threat of rivalry
      • Exhibit 13: Threat of rivalry
    • 4.7 Market condition
      • Exhibit 14: Market condition - Five forces 2020

    5 Market Segmentation by Product

    • 5.1 Market segments
      • Exhibit 15: Product - Market share 2020-2025 (%)
    • 5.2 Comparison by Product
      • Exhibit 16: Comparison by Product
    • 5.3 Splits - Market size and forecast 2020-2025
      • Exhibit 17: Splits - Market size and forecast 2020-2025 ($ billion)
      • Exhibit 18: Splits - Year-over-year growth 2020-2025 (%)
    • 5.4 Chillers - Market size and forecast 2020-2025
      • Exhibit 19: Chillers - Market size and forecast 2020-2025 ($ billion)
      • Exhibit 20: Chillers - Year-over-year growth 2020-2025 (%)
    • 5.5 Airside - Market size and forecast 2020-2025
      • Exhibit 21: Airside - Market size and forecast 2020-2025 ($ billion)
      • Exhibit 22: Airside - Year-over-year growth 2020-2025 (%)
    • 5.6 Others - Market size and forecast 2020-2025
      • Exhibit 23: Others - Market size and forecast 2020-2025 ($ billion)
      • Exhibit 24: Others - Year-over-year growth 2020-2025 (%)
    • 5.7 Market opportunity by Product
      • Exhibit 25: Market opportunity by Product

    6 Customer Landscape

    7 Geographic Landscape

    • 7.1 Geographic segmentation
      • Exhibit 27: Market share by geography 2020-2025 (%)
    • 7.2 Geographic comparison
      • Exhibit 28: Geographic comparison
    • 7.3 APAC - Market size and forecast 2020-2025
      • Exhibit 29: APAC - Market size and forecast 2020-2025 ($ billion)
      • Exhibit 30: APAC - Year-over-year growth 2020-2025 (%)
    • 7.4 Europe - Market size and forecast 2020-2025
      • Exhibit 31: Europe - Market size and forecast 2020-2025 ($ billion)
      • Exhibit 32: Europe - Year-over-year growth 2020-2025 (%)
    • 7.5 North America - Market size and forecast 2020-2025
      • Exhibit 33: North America - Market size and forecast 2020-2025 ($ billion)
      • Exhibit 34: North America - Year-over-year growth 2020-2025 (%)
    • 7.6 MEA - Market size and forecast 2020-2025
      • Exhibit 35: MEA - Market size and forecast 2020-2025 ($ billion)
      • Exhibit 36: MEA - Year-over-year growth 2020-2025 (%)
    • 7.7 South America - Market size and forecast 2020-2025
      • Exhibit 37: South America - Market size and forecast 2020-2025 ($ billion)
      • Exhibit 38: South America - Year-over-year growth 2020-2025 (%)
    • 7.8 Key leading countries
      • Exhibit 39: Key leading countries
    • 7.9 Market opportunity by geography
      • Exhibit 40: Market opportunity by geography ($ billion)

    8 Drivers, Challenges, and Trends

    • 8.1 Market drivers
      • 8.2 Market challenges
        • Exhibit 41: Impact of drivers and challenges
      • 8.3 Market trends

        9 Vendor Landscape

        • 9.1 Overview
          • 9.2 Vendor landscape
            • Exhibit 42: Vendor landscape
          • 9.3 Landscape disruption
            • Exhibit 43: Landscape disruption
            • Exhibit 44: Industry risks

          10 Vendor Analysis

          • 10.1 Vendors covered
            • 10.2 Market positioning of vendors
              • Exhibit 46: Market positioning of vendors
            • 10.3 AB Electrolux
              • Exhibit 47: AB Electrolux - Overview
              • Exhibit 48: AB Electrolux - Business segments
              • Exhibit 49: AB Electrolux - Key offerings
              • Exhibit 50: AB Electrolux - Segment focus
            • 10.4 Daikin Industries Ltd.
              • Exhibit 51: Daikin Industries Ltd. - Overview
              • Exhibit 52: Daikin Industries Ltd. - Business segments
              • Exhibit 53: Daikin Industries Ltd. - Key offerings
              • Exhibit 54: Daikin Industries Ltd. - Segment focus
            • 10.5 Haier Smart Home Co. Ltd.
              • Exhibit 55: Haier Smart Home Co. Ltd. - Overview
              • Exhibit 56: Haier Smart Home Co. Ltd. - Business segments
              • Exhibit 57: Haier Smart Home Co. Ltd. - Key offerings
              • Exhibit 58: Haier Smart Home Co. Ltd. - Segment focus
            • 10.6 Johnson Controls International Plc
              • Exhibit 59: Johnson Controls International Plc - Overview
              • Exhibit 60: Johnson Controls International Plc - Business segments
              • Exhibit 61: Johnson Controls International Plc - Key offerings
              • Exhibit 62: Johnson Controls International Plc - Segment focus
            • 10.7 LG Electronics Inc.
              • Exhibit 63: LG Electronics Inc. - Overview
              • Exhibit 64: LG Electronics Inc. - Business segments
              • Exhibit 65: LG Electronics Inc. – Key news
              • Exhibit 66: LG Electronics Inc. - Key offerings
              • Exhibit 67: LG Electronics Inc. - Segment focus
            • 10.8 Mitsubishi Electric Corp.
              • Exhibit 68: Mitsubishi Electric Corp. - Overview
              • Exhibit 69: Mitsubishi Electric Corp. - Business segments
              • Exhibit 70: Mitsubishi Electric Corp. - Key offerings
              • Exhibit 71: Mitsubishi Electric Corp. - Segment focus
            • 10.9 Panasonic Corp.
              • Exhibit 72: Panasonic Corp. - Overview
              • Exhibit 73: Panasonic Corp. - Business segments
              • Exhibit 74: Panasonic Corp. - Key offerings
              • Exhibit 75: Panasonic Corp. - Segment focus
            • 10.10 Samsung Electronics Co. Ltd.
              • Exhibit 76: Samsung Electronics Co. Ltd. - Overview
              • Exhibit 77: Samsung Electronics Co. Ltd. - Business segments
              • Exhibit 78: Samsung Electronics Co. Ltd. - Key offerings
              • Exhibit 79: Samsung Electronics Co. Ltd. - Segment focus
            • 10.11 Toshiba Corp.
              • Exhibit 80: Toshiba Corp. - Overview
              • Exhibit 81: Toshiba Corp. - Business segments
              • Exhibit 82: Toshiba Corp. - Key offerings
              • Exhibit 83: Toshiba Corp. - Segment focus
            • 10.12 Whirlpool Corp.
              • Exhibit 84: Whirlpool Corp. - Overview
              • Exhibit 85: Whirlpool Corp. - Business segments
              • Exhibit 86: Whirlpool Corp. - Key offerings
              • Exhibit 87: Whirlpool Corp. - Segment focus

            11 Appendix

            • 11.1 Scope of the report
              • 11.2 Currency conversion rates for US$
                • Exhibit 88: Currency conversion rates for US$
              • 11.3 Research methodology
                • Exhibit 89: Research Methodology
                • Exhibit 90: Validation techniques employed for market sizing
                • Exhibit 91: Information sources
              • 11.4 List of abbreviations
                • Exhibit 92: List of abbreviations

              Research Framework

              Technavio presents a detailed picture of the market by way of study, synthesis, and summation of data from multiple sources. The analysts have presented the various facets of the market with a particular focus on identifying the key industry influencers. The data thus presented is comprehensive, reliable, and the result of extensive research, both primary and secondary.

              TechnavioINFORMATION SOURCES

              Primary sources

              • Manufacturers and suppliers
              • Channel partners
              • Industry experts
              • Strategic decision makers

              Secondary sources

              • Industry journals and periodicals
              • Government data
              • Financial reports of key industry players
              • Historical data
              • Press releases
              Technavio

              TechnavioDATA ANALYSIS

              Data Synthesis

              • Collation of data
              • Estimation of key figures
              • Analysis of derived insights

              Data Validation

              • Triangulation with data models
              • Reference against proprietary databases
              • Corroboration with industry experts
              Technavio

              TechnavioREPORT WRITING

              Qualitative

              • Market drivers
              • Market challenges
              • Market trends
              • Five forces analysis

              Quantitative

              • Market size and forecast
              • Market segmentation
              • Geographical insights
              • Competitive landscape
              Interested in this report?
              Get your sample now!
              Air Conditioning Market market growth will increase by $19.6 bn during 2021-2025.
              The air conditioning market market is expected to grow at a CAGR of 3.04% during 2021-2025.
              Technavio has segmented the air conditioning market market by product (splits, chillers, airside, and others) ,geography (APAC, Europe, North America, MEA, and South America) , and geographic (APAC, Europe, North America, MEA, and South America).
              AB Electrolux, Daikin Industries Ltd., Haier Smart Home Co. Ltd., Johnson Controls International Plc, LG Electronics Inc., Mitsubishi Electric Corp., Panasonic Corp., Samsung Electronics Co. Ltd., Toshiba Corp., Whirlpool Corp. are a few of the key vendors in the air conditioning market market.
              APAC will register the highest growth rate of 72% among the other regions. Therefore, the air conditioning market market in APAC is expected to garner significant business opportunities for the vendors during the forecast period.
              • China
              • US
              • Japan
              • Germany
              • South Korea (Republic of Korea)
              • India
              The key factors driving the air conditioning market market growth are:
              • rise in residential construction activity
              • increase in the use of R32 refrigerant in split ACs
              The air conditioning market market vendors should focus on grabbing business opportunities from the splits segment as it accounted for the largest market share in the base year.
              • What are the key global market and the regional market share?
              • What are the revenue-generating key market segments?
              • What are the key factors driving and challenging this market’s growth?
              • Who are the key market vendors and their growth strategies?
              • What are the latest trends influencing the growth of this market?
              • What are the variables influencing the market growth in the primary regions?
              • What are the factors influencing the growth of the parent market?
              • Off-the-shelf research reports
              • Reports can be tailored to meet the customer's needs
              • Trusted by more than 100 fortune 500 organizations
              • Information about the market's key drivers, trends, and challenges
              • Parent market analysis
              • Every week, 50,000 people visit our subscription platform
              • Detailed vendors report with competitive landscape
              • Covid-19 impact and recovery analysis
              • Data on revenue-generating market segments
              • Details on the market shares of various regions
              • Five-force market analysis

              Certified ISO 9001 : 2015

              We are ISO recognized

              We are ISO 9001:2015 recognized that ensures quality services and product delivery to our clients.

              We are GDPR and CCPA compliant

              We are GDPR and CCPA compliant! Your transaction & personal information is protected from unauthorized use.

              Safe and Secure SSL Encrypted
              Technavio

              info
              close
              • Single:

                One user only.
                Quick & easy download option

              • Enterprise:

                Unlimited user access (Within your organization)
                Complimentary Customization Included

              2500 USD

              Technavio Get the report (PDF) sent to your email within minutes.

              Subscribe & Save

              Get lifetime access to our
              Technavio Insights

              Customized Report as per your Business Needs

              • Our analysts will work directly with you and understand your needs
              • Get data on specified regions or segments, competitor and Vendors
              • Data will be formatted and presented as per your requirements
              • We offer $1000 worth of FREE customization at the time of purchase

              Let us help you make report more suited to your requirements.

              • Get a competitive breakdown as per your niche industry
              • Customize the data with various metrics that meet your business prerequisite
              • Understand Revenue Sources, Customers and many more
              • Details on Market Share
              • These customizations are done in a short amount of time by our analysts and industry experts
              Technavio
              Enquire Before Buying
              17,000 reports available | Plans starting from just 5,000 USD | Get FREE trial>>