The report titled “Saudi Arabia LED Lighting Market Outlook to 2023- By Type of LEDs (Lamps and Luminaires), By Usage (Indoor and Outdoor), By Sector (Commercial, Residential, Industrial, Healthcare, Hospitality and others), By Region, By Sales (Project and Retail)” covers the market size in the terms of revenue generated from the sales of LED lighting products and segmentations By type of LEDs (Lumniaries and Lamps), By Usage (Indoor and Outdoor), By Sector (Commercial, Residential, Industrial, Healthcare, Hospitality and others), By Region (Central, Eastern, Western and North & South), By Type of Sales (Project and Retail) and provides a comprehensive analysis of market including market evolution, overview and genesis. Extensive focus has been placed in quantifying the industry revenue over the period, 2013-2023. The report covers aspects such as trade scenario, cost analysis, decision making process, trends and developments, issues and challenges, SWOT analysis, recent technologies, manufacturing clusters, government initiatives. Competitive landscape of major players such as Philips Saudi Lighting Company, Al Nasser Group, National Lighting Company, Cooper Lighting (Eaton), Zumtobel Lighting Saudi Arabia, Osram/Ledvance, Al Fanar Company Ltd have been extensively covered including company overview, major business strategies, USP, recent developments, major projects and other parameters. The report also covers future industry analysis (by revenue and upcoming technologies in Saudi Arabia LED lighting). This report will particularly help the readers to identify the ongoing trends in the industry, government regulations and anticipated growth in the future depending upon changing industry dynamics in upcoming years.
Saudi Arabia LED Lighting Market Summary
Market Overview: Saudi Arabia LED Lighting market is a flourishing space currently in growth stage. The increase in the number of residential establishments and growth in commercial projects focusing on green lighting has created high demand for the usage of LED lighting products. Electricity supply crisis especially during the summer season and reduction in subsidies on electricity prices increased the need for energy efficient lighting sources. Government has announced plans for the development of infrastructure and transportation with major projects such as development of Makkah and Riyadh Metro systems, expansion of King Abdulaziz International Airport, development of international tourist destinations in Red Sea Islands, entertainment city in Al Qidya. These provide a positive outlook for the lighting market. The increase in the expenditure by government for replacement of traditional lighting sources with the LED lighting fixtures especially in the street lighting is another growth driver for the market. The Saudi Arabia LED lighting market registered a CAGR of close to 18% from 2013-2018.
By Type of LED (Lamps and Luminaires)
LED luminaires dominates the sales of LED lighting products in the market. Luminaires are preferred in the commercial and industrial sector as compared to lamps hence, constitutes for higher sales share. Lamps are popularly used in the residential sector.
By Usage (Indoor and Outdoor)
The LED lighting products are used for indoor and outdoor lighting. Indoor application of LED lights is prevalent in the premises of Residential, Commercial and Hospitality industry. The outdoor application of LED lights is common for the Building Exterior, Façade lighting, Street Lighting and Parking Lots and Garages lighting purposes. The market is dominated by the usage of LED lighting for the indoor lighting purposes.
By Sector (Commercial, Residential, Industrial, Healthcare, Hospitality and other sector)
The LED lighting is used in the Commercial, Residential, Industrial, Healthcare, Hospitality and other sector. Other sector includes Government Buildings, Airports, Public Spots, and Educational Institutions. Commercial sector dominated the market in terms of demand, followed by the residential sector, industrial sector, healthcare sector and hospitality sector respectively.
By Region (Central, East, West, North & South)
The central region has the highest demand for LED lighting products as most of the developed areas of Saudi including Riyadh wherein major commercial & financial set-ups are present. Riyadh is also a manufacturing hub for lighting companies present in the region. It is followed by Eastern, Western and North & South region respectively.
The sales of LED lighting products are grouped in two types namely, Project Sales and Retail Sales. The project sales consist of sales in huge volumes to the commercial, government, residential and industrial sector. Project sales are high in the region due to the large number of construction and development projects being undertaken in Saudi Arabia. The retail sales are mostly happening in the residential and hospitality sector.
The competition in Saudi Arabia LED lighting market is highly concentrated with approximately 50 companies including domestic and international. The market is import driven with handful of manufacturing plants based in the country. The market requires huge investments in the R&D, product development, marketing and promotion. The major competing parameters for the players are diverse product portfolio, brand name, pricing, the energy efficiency, the product life output and others.
The top five major players present in the market are Philips Saudi Lighting Company, Al Nasser Group, National Lighting Company, Cooper Lighting (Eaton) and Zumtobel Lighting Saudi Arabia.
Saudi Arabia LED Lighting Market Future Outlook
It is estimated that the Saudi Arabia LED lighting market has been anticipated to grow registering a CAGR of close to 9% during 2018-2023. The growth rate is expected to slow down initially due to the expected changes in lighting regulations in the Kingdom however, it will pick up with growth in the construction industry. The Deputy Crown Prince Mohammad bin Salman Al Saud’s Kingdom’s Vision 2030 plan for development of new municipalities and construction of smart cities will drive the growth of the market for LED lighting products.