Water Heater Market in North America 2016-2020

Overview of the water heater market in North America

The unpredictable changing weather conditions in North America have propelled the use of heating appliances in the region. Residential water heaters are the most consumed storage water heaters in the market. Remodeling of bathrooms is a major factor boosting the purchase of water heaters in the region. People are making huge investments in appliances such as water heaters that have stylish looks to match with the aesthetics of their bathrooms. Users are also opting for water heaters that do not occupy much space and look modern. These preferences have propelled the demand for tankless water heaters as these heaters are compact, sophisticated and are energy-efficient. Consumers are shifting towards these water heaters to save on their electricity consumption and utility bills.  Technavio’s market research analyst predicts the water heater market in North America to grow at a CAGR of around 3% by 2020.

With soaring electricity and gas prices, end users are increasingly adopting solar water heaters. Solar water heaters have low maintenance costs and provide hot water by using solar energy. This reduces the dependence on electricity and gas for heating water. Countries such as the US and Canada are promoting solar water heaters as appliances that use a clean and renewable source of energy. This will boost the demand for solar water heaters over the next five years. Moreover, several vendors in the market are focusing on utilizing renewable energy sources by manufacturing and marketing solar water heaters on a larger scale.

Competitive landscape and key vendors

The water heater market in North America is highly competitive with the presence of both local and international players. The regional players are facing tough competition from international players in terms of quality, pricing, and technology. Several established players in the country are looking for strategies to lower manufacturing costs and come up with more energy-saving options in their product offerings. These vendors are also focusing on mergers and acquisitions (M&As) to provide innovations and better technologies.

Leading vendors in the market are -

• O. Smith
• Bradford White
• Rheem

Other prominent vendors in the water heater market in North America include AERCO, American Water Heaters, Bromic, Bosch, Eccotemp Systems, ECR, Electrolux, GE, Kenmore, Marey, Midea Group, Noritz, TekSupply, Waiwela, and Whirlpool.

Segmentation by product and analysis of water heater market in North America

• Storage water heater
• Tankless water heater

During 2015, the storage water heaters dominated the water heater market in North America and accounted for around 96% of the total market revenue. These are the most commonly used water heaters in North America as the water can be heated with a small burner or heating element. The hot water recovery is the most important feature that has increased the preference for these appliances over other types of water heaters available in the market. This will have a positive impact on the water heater market share.

Segmentation by fuel type and analysis of water heater market in North America

• Natural gas
• Electric
• Solar

The natural gas water heaters will be the largest segment of the water heater industry in North America and is likely to occupy more than 57% of the total market share by 2020. In countries like the US and Canada, natural gas prices are declining, which is encouraging manufacturers of water heaters to promote and introduce new product lines within the natural gas water heater space. The gas water heaters are cost-effective and their recovery time is shorter than the recovery time of other water heaters

 Key questions answered in the report include

• What will the market size and the growth rate be in 2020?
• What are the key factors driving the water heater market in North America?
• What are the key market trends impacting the growth of the water heater market in North America?
• What are the challenges to market growth?
• Who are the key vendors in the water heater market in North America?
• What are the market opportunities and threats faced by the vendors in the water heater market in North America?
• Trending factors influencing the market shares of North America.
• What are the key outcomes of the five forces analysis of the water heater market in North America?

Technavio also offers customization on reports based on specific client requirement.

Related reports:

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• Global Space Heaters Market 2016-2020
• Global Geysers Market 2016-2020
• Global Electric Water Heater Market 2015-2019