The faucets market size was valued at $37.8 billion in 2019 and is estimated to reach $59.2 billion by 2027, registering a CAGR of 7.8% from 2021 to 2027. Faucets are devices in a plumbing system that is used for controlling the flow of water. These faucets are majorly used in the kitchen, bathroom, and other areas where water is required at regular intervals. To meet a variety of consumer needs, faucets are available in a wide range of styles, colors, and finishes. The faucet market report covers economic as well as premium faucets that are used in a wide range of applications. The continuous faucet market demand owing to new construction of residential apartment, development in commercial spaces, renovation of houses, and replacement of old faucets are some of the key reasons that boost the global faucets market.
The rise of nuclear families has resulted in fewer extended family living arrangements and gradual increase in household units. In 1850, almost 70% people aged 65 and above lived with their adult children. By 2000, fewer than 15% did so. These demographic changes reflect more fundamental societal changes such as industrialization, urbanization, rise in living standards (especially for older adults) and constricted immigration that have led to increase of households across the globe. Governments of various countries across the globe have introduced various schemes to provide concrete homes to people in the middle class and lower income group. For instance, government of India aims to develop about 11 crores housing units, including developments to counter the current shortage of about 6 crore units. Besides, the government plans to provide housing to all Indian citizens by 2022. The housing need is almost equally distributed in urban and rural areas in the range of 5-6 crore units and primarily consists of affordable houses. Moreover, the Smart Cities Mission announced by the Indian Government requires US$ 7.75 billion to be spent over the next five years in building the proposed 100 smart cities in India. Therefore, the demand for faucets and other products is expected to witness substantial rise with the advent of new residential and commercial establishments. In addition, builders too have started to understand the importance of having bathrooms with a premium look, as demand for such units is on the rise. Consumers across the globe are gradually purchasing more premium and technology-driven products owing to rise in their earnings and the propensity to spend. The returns on high end flats are better for the real-estate players, and thus, they are constructing flats with premium accessories such as automated faucets.
The outbreak of coronavirus has not only significantly impacted numerous industries but also has impacted all stages of the supply chain and value chain of various industries. The consumer goods is one such industry, which is currently facing challenges due to the outbreak. Raw material supply is one of the major parts in the value chain of the faucets market, where key players and vendors are facing problems due to poor logistics, traffic control, and restrictions on public movement in the affected countries across the globe, which can lead to supply disruptions. This pandemic has enforced major market players to rethink on contingency plans and risk management. To combat this situation, major players in the market are focusing on recovering their business. For instance, LIXIL Group is playing a frontline role in supporting the health and changing lifestyles of people, and is offering online services that provide consumers with the same level of services as if they had visited a showroom.
Increasing trend of modular bathroom, customers are opting for advanced and sophisticated in-built bathroom appliances. Thus, rise in application of faucet in modernized bathroom is projected to drive the growth of the market during the forecast period. Bathroom faucet market segment held the largest faucet market share owing to prominent application of multiple faucets in the washrooms/bathroom.
The Bathroom segment would witness the fastest growth, registering a CAGR of 8.6% during the forecast.
The factors driving the growth of the manual segment in the market are rising new construction of residential apartment, development in commercial spaces, renovation of houses, and replacement of old faucets. Rising popularity of modernized washrooms and coordinated sanitary-ware, fittings and accessories, the key players of the market are offering a one-stop shop solution for all the sanitary ware and fitting equipment. This shop has grown in importance in the market, and key players have established 'Experience-Centers’, which are one-stop solutions shops, where a consumer can touch and view a virtual version of sanitary ware and other related accessories.
By Product Type
Electronic segment would witness the fastest growth, registering a CAGR of 10.6% during the forecast period.
Metal material offers classic finish to faucets. However, transition toward alternative faucets material can be seen due to high cost and corrosive nature of metal. Also, heavy weight, limited shape, and size further restricts the faucet market growth of the metal-based faucets in the market.
Plastics (PTMT) segment would witness the fastest growth, registering a CAGR of 10.2% during the forecast period.
Increase in propensity to live in single-family housing for people aged between 30s and 40s, contributes significantly to growth in demand for single-family housing, which in turn have increased the demand for new house sales; and thus, positively impacts the growth of the residential faucets market. Furthermore, rise in home improvement and remodeling of residential houses creates high demand for conventional as well as customized faucets in the region.
By End User
Commercial segment would witness the fastest growth, registering a CAGR of 12.8% during the forecast period.
By region, Asia-Pacific has the highest faucet market share in 2019. This can be attributed to the rise in residential and commercial construction in the Asia Pacific region is expected to generate the heavy demand for faucets during the stipulated time period. Various government initiatives have been given headway for residential construction in the emerging economies including China, India, Indonesia, Singapore among others. For instance, according to the Government of India, the Indian government has initiated Pradhan Mantri Awas Yojana(PMAY) in which affordable housing is expected to be provided to the urban poor population with a target of building 20 million affordable houses by 31 March 2020.
Asia-Pacific would witness the fastest growth, registering a CAGR of 8.1% during the forecast period.
The players in the faucet market have adopted acquisition as their key development strategy to increase profitabilityand improve their position in the faucet market size. The key players alsorelyon product launch to improve their product portfolio and stay relevant in the global market.The key players profiled in the report include LIXIL Group Corporation, Sloan Valve Company, MASCO corporation, Paini (UK) Ltd, Fortune Brands Home & Security, Inc., Roca Sanitario S.A, TOTO Ltd., Spectrum Brands, Danze, Inc., and Rohl LLC.
Key Benefits For Stakeholders
- This report presents a quantitative analysis of the current faucet market trends, estimations, and dynamics of the global faucet market from 2019 to 2027 to identify the prevailing faucet market opportunity.
- The key countries in all the major regions are mapped based on their market share.
- Porter’s five forces analysis highlights the potency of buyers and suppliers to enable stakeholders to make profit-oriented business decisions and strengthen their supplier–buyer network.
- In-depth faucet market analysis of the market segmentation assists in determining the prevailing market opportunities.
- Major countries in each region are mapped according to their revenue contribution to the global faucet industry. Market player positioning segment facilitates benchmarking and provides a clear understanding of the present position of the market players.
- The report includes the analysis of regional as well as global market, key players, market segments, application areas, and growth strategies.
Faucet Market Report Highlights
By Product Type
By END USER
Key Market Players
LIXIL GROUP CORPORATION, FRANKE HOLDING AG, SLOAN VALVE COMPANY, TOTO LTD, SPECTRUM BRANDS, INC, MASCO CORPORATION, FORTUNE BRANDS HOME & SECURITY, INC, ROCA SANITARIO, S.A, PAINI (UK) LTD, DANZE, INC
The Faucet market is an industry with huge scope for growth in near future. Increase in urbanization paired with rise in disposable income has increased the spending power of consumer to spend on luxury items, in turn positively affecting the global faucet market.
Rise in the hospitality industry in developing economies including the U.S., France, Japan, Germany, and others, is expected to have a positive impact on the market growth. According to the U.S. Department of Commerce, and International Trade Administration, the foreign travel in the U.S. is expected to witness a compound annual growth rate of 3.01% from 2020 to 2024. The substantial growth in the travel and tourism industry will propel the growth of the hotel industry in the U.S., which in turn is expected to contribute toward the electronic faucet market growth. For instance, Rosewood Hotels & Resorts continues expansion across the globe with rosewood residence projects. The company has 15 existing luxury residential projects globally and an additional 14 in the pipeline. Moreover, the company is projected to open its 150-room hotel in Texas, U.S. by the end of 2023. Such type of construction by prominent players is anticipated to surge the demand for electronic faucets in the country in the forecast period.
Over the past few years, adoption of internet of things (IoT) in the U.S. has fueled the smart home technologies.Major manufacturers are adopting various strategies including product innovation and expansion of distribution channels, to increase their market share. For instance, in July 2017, Kohler Co. redefined the scope of exclusive stores and showrooms with the introduction of KOHLER ‘Experience Centers’. These centers help in the enhancement of product experience when displayed in front of the design professionals and consumers. These experience centers helped in detailed understanding of products and services provided by the company. The company is focused on targeting the top ten lucrative markets including New York, Los Angeles, Bangkok, London, Singapore, Shanghai, Hong Kong, New Delhi, Taipei, and Dubai..