The Elevator Control Market is estimated to be valued at USD 7,360 million in 2023 and is expected to exhibit a CAGR of 7.1% over the forecast period 2022 to 2030, as highlighted in a new report published by Coherent Market Insights.
Elevator control systems are used to monitor, operate, and control the movements of elevators in a building. These systems ensure smooth functioning of elevators while ensuring passenger safety. Elevator control systems offer advantages such as optimized dispatching, congestion control, passenger waiting time reduction, and enhanced fault diagnostics.
Market key trends:
The elevator control market is witnessing high demand for AI and IoT enabled elevator systems. AI features such as predictive maintenance and optimized elevator algorithms are reducing downtime and enhancing passenger experience. IoT connectivity is enabling remote elevator monitoring, predictive failure diagnosis and advance notification to service engineers. Data collected from IoT sensors is further helping optimize dispatch algorithms and reduce waiting times. Rising adoption of AI and IoT in new and existing elevator systems is expected to drive significant growth in the elevator control market during the forecast period.
Threat of new entrants: The elevator control market requires high initial investment to set up the system. Also, large established players dominate the market making it difficult for new players to enter.
Bargaining power of buyers: Buyers have high bargaining power as there are many global players offering similar elevator control solutions. Buyers can negotiate on price and customize solutions as per their needs.
Bargaining power of suppliers: Key components like processors, motors are common across industries. This gives suppliers lower bargaining power.
Threat of new substitutes: Limited threat as elevator is an essential part of infrastructure with no close substitutes.
Competitive rivalry: Intense as major players constantly invest in technology to gain market share.
Strength: Advanced technology and innovations in IoT, connectivity and mobility. Global presence helps maintain service quality.
Weakness: High dependence on economic conditions can impact demand. Supply chain disruptions can affect operations.
Opportunity: Growing infrastructure and real estate construction in developing nations. Adoption of smart home technologies boosts market.
Threats: Trade restrictions and geopolitical tensions impact global supply chains. Economic slowdowns can decrease new projects.
The Global Elevator Control Market is expected to witness high growth, exhibiting CAGR of 7.1% over the forecast period, due to increasing urbanization and infrastructure development. Regionally, Asia Pacific dominates with over 40% share due to rising constructions in China, India. Key players operating in the elevator control market are SICK AG, Hitachi Ltd., Honeywell International Inc., Hyundai Elevator Co. Ltd., Nidec MCE, Toshiba Elevators and Building Systems, Thames Valley Controls, and Mitsubishi Electric. The elevator control market in North America is expected to grow at 5% CAGR owing to revamping of existing buildings and hotels. Europe holds around 25% share in the global market attributed to major collaborations between elevator control solution providers and car manufacturers for development of IoT-enabled elevators.