LED lighting has gained immense popularity as an energy efficient lighting alternative to traditional incandescent and CFL bulbs. LED lights consume up to 90% less energy and last 25 to 100 times longer than incandescent bulbs. LED lights also emit less heat and are shatter resistant as compared to other bulbs. LED retrofit lights can be directly installed in place of existing lights without requiring rewiring. LED luminaires are increasingly being used for architectural lighting, indoor commercial lighting, roadway lighting, and outdoor lighting applications, due to their customizable full-color illumination, dimmability, and longevity.
The global Led Lighting Market is estimated to be valued at Us$ 634.02 Bn in 2023 and is expected to exhibit a CAGR Of 4.3% over the forecast period 2023 To 2030, as highlighted in a new report published by Coherent Market Insights.
Market key trends:
There has been a shift towards more sustainable, energy efficient lighting solutions to reduce energy consumption and carbon footprint. Government regulations like EU Ecodesign Directive mandating phasing out of incandescent bulbs have accelerated adoption of LED lighting. Many countries offer financial incentives in the form of tax credits and rebates to promote usage of LED lights. Manufacturers are also introducing innovative products with advanced features to attract consumers. Smart connected LED lights that can be controlled via mobile apps are gaining popularity. Reduced LED prices owing to technological advancements and mass production have boosted the affordability of LED lighting.
Threat of new entrants: The threat is low for LED lighting market as it requires high initial capital investments and there are already well established players. However, the technology is gaining popularity rapidly.
Bargaining power of buyers: The bargaining power of buyers is high as there are many manufacturers providing LED lighting solutions. Buyers can negotiate on price and quality parameters.
Bargaining power of suppliers: Suppliers have moderate bargaining power since LED chip manufacturers have established relationships with lighting product manufacturers.
Threat of new substitutes: Threat of new substitutes is low as LED based lighting has proven its advantages over other traditional lighting technologies in terms of energy efficiency, durability, and design flexibility.
Competitive rivalry: The competitive rivalry is high among key players to dominate markets and increase their presence through continuous product innovations focusing on quality and affordable offerings.
The Global LED Lighting Market Demand is expected to witness high growth during the forecast period.
The LED lighting market in Asia Pacific is expected to grow at the fastest rate during the forecast period. This can be attributed to increased adoption of LED lights in residential and commercial sector in China and India. North America dominates the global LED lighting market currently due to early adoption of energy saving lighting solutions.
Key players operating in the LED lighting market are HP Inc., Dell Technologies Inc., Lenovo Group Limited, Acer Inc., and Apple Inc. HP Inc. and Dell Technologies Inc. have a strong global presence in the notebook market. Lenovo Group Limited has established itself as the market leader in the commercial PC market.
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it