A new report from Navigant Research analyzes the global market for lighting in commercial buildings, including global market forecasts for unit sales and revenue through 2023.
The ongoing transition from fluorescent to light-emitting diode (LED) lighting technologies amounts to a significant disruption for the lighting industry, potentially changing the methods by which lighting is provided and sold to customers. While conventional lighting systems, including fluorescents, remain the dominant technology today, within the next 10 years LEDs are expected to become the lighting technology of choice, especially for commercial markets. According to a new report from Navigant Research, the installed base of LED luminaires for commercial applications is expected to grow from 187 million in 2014 to nearly 2.8 billion by 2023.
“While LED products are still more expensive than the fluorescent lights they are meant to replace, they are also more efficient and offer a range of additional benefits, such as improved color quality and better dimming,” says Jesse Foote, senior research analyst with Navigant Research. “As such, an industrywide transformation to LED lighting is picking up steam and is expected to accelerate in the coming years.”
Because of the longer lifespans of LED lamps, replacement cycles for commercial lighting systems are expected to become much longer, according to the report. Navigant Research expects overall revenue from lamp sales to decrease in the next ten years, driving lighting companies to change their focus from that of equipment suppliers to providers of services and advanced lighting controls.
The report, “Energy Efficient Lighting for Commercial Markets,” analyzes the global market for lighting in commercial buildings. It provides an analysis of the market issues, including drivers and trends, barriers, cost issues, and technological developments, associated with lamps and luminaires intended for the commercial market. Global market forecasts for unit sales and revenue, segmented by region, building type, lamp type, lamp style, construction type, and integration status, extend through 2023. The report also examines the key standards and regional influences related to lighting technologies in commercial buildings and profiles a range of industry players. An Executive Summary of the report is available for free download on the Navigant Research website.