Commercial Lighting Market Size
| Study Period | 2018 - 2028 |
| Market Size (2023) | USD 13.17 Billion |
| Market Size (2028) | USD 34.06 Billion |
| CAGR (2023 - 2028) | 20.93 % |
| Fastest Growing Market | Asia-Pacific |
| Largest Market | Asia-Pacific |
Major Players
*Disclaimer: Major Players sorted in no particular order |
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Commercial Lighting Market Analysis
The Global Commercial Lighting Market size is expected to grow from USD 13.17 billion in 2023 to USD 34.06 billion by 2028, at a CAGR of 20.93% during the forecast period (2023-2028).
The growth of the studied market is being significantly fueled by the ongoing and upcoming smart city projects in several nations, the increased focus of governments worldwide on energy consumption, the rising demand for LED lights and luminaires for outdoor applications, and the expanding acceptance of standard protocols for lighting control systems.
Commercial lighting may be customized to fit any facility and its operations based on use. Maintenance requirements, brightness level, and warranties are all significant factors in commercial lighting. Many people can be accommodated in a commercial facility for various activities, including shopping, employment, entertainment, and medical inspection. A lighting design company creates designs that reflect the activity carried out in the facility to ensure that workers are comfortable and that the lux level requirements and the energy efficiency criteria are adequate.
Commercial lighting design must consider light fixtures' use, characteristics, and purpose. T5 and compact fluorescent lights are typical business lighting design fixtures, although LED light fixtures are gaining popularity because of their lower prices.
Well-designed lighting fixtures may illuminate a room's surroundings and create a positive atmosphere. The lighting design at hospitals, hotels, clubs, offices, retail stores, and other commercial facilities must be carefully considered. This is so that business owners may make their location seem welcoming to guests or clients by using a well-designed commercial lighting framework.
Furthermore, it is now simpler for firms to highlight their interiors and design a functional workspace thanks to technology advancements like artificial intelligence and LED lighting. The commercial lighting industry always innovates to lower energy costs, greatly impacting lighting products.
Commercial Lighting Market Trends
This section covers the major market trends shaping the Commercial Lighting Market according to our research experts:
Commercial Offices segment to maximum market share
- Commercial office lighting is usually one of the most overlooked and underappreciated aspects of a work environment. Choosing the right office light fixtures can be one of the smartest investments by the offices. It has the power to not only impact employee productivity and morale but can also increase the security of their building and overall customer satisfaction.
- Commercial office lighting is typically used in government buildings, hospitals, offices, retail stores, universities, and more. Commercial-grade lighting is durable and can include smart, advanced technology to increase efficiency and ease of use. Office lighting can affect a visitor's or employee's mood, enhance employee performance and add aesthetic appeal to the space. The best office lighting complies with safety regulations, puts people at ease, and provides a good balance of natural and artificial lighting.
- In recent years, LED lights have come into favor as an energy-efficient alternative to fluorescent lights. While LED lights may be slightly more expensive than fluorescent ones used in an office, they are likely to save the company money in the long term. This is because LED lights generally have a longer lifespan than fluorescent lights and do not use excess energy in the form of infrared radiation the way fluorescent lights do.
- LED lights can also be beneficial to the health of employees. Although it is unlikely that fluorescent lights could cause migraines, they may trigger symptoms of migraines in people who are predisposed to them. LED lights for office buildings are one of the biggest retrofit trends for businesses around the globe.
- According to research by the Department of Design and Environmental Analysis at Cornell University, employees who were exposed to natural light in the office reported an 84% drop in eye strain, headaches, and blurred vision, and research from the American Academy of Sleep Medicine also showed that exposure to natural light helps regulate hormones and keeps their circadian rhythm in check, assisting employees in sleeping soundly at night and working the next day productively.
- Moreover, office spaces are evolving away from the individual cubicle setting in favor of an open-office environment. In this new, open environment, the ambient room lighting is focused on creating a sense of unity and community in the room and among workers.
China in the Asia Pacific region to exhibit highest growth rate
- Lighting products are essential to industry, infrastructure, and daily life. As China's economy continues to grow and living standards rise, the mainland's demand for lighting is also expanding. In the last 20 years, China's lighting industry has developed rapidly, and the country has become a world‑leading producer and consumer of lighting.
- The China Association of Lighting Industry (CALI) indicates that the value of China's lighting market reached RMB 602.5 billion in 2020, up 0.4% yearly. Major products include light-emitting diodes (LEDs), compact fluorescent lamps (CFLs), electrodeless discharge lamps (EDLs), and organic light-emitting diodes (OLEDs). In China, commercial enterprises are spending more money on lighting shopping malls to attract customers. Lighting in offices, schools, and hospitals has also seen marked improvement.
- China has been promoting environmental protection and energy conservation. A succession of policies and regulations, such as The Energy Conservation Law of the People's Republic of China and Opinions on Accelerating the Development of Energy-saving and Environmental Protection Industries, is driving the development of environmental protection services. At the same time, promoting energy-saving and eco-friendly products is creating greater demand for energy-efficient lighting. The priority given by China to the policy of developing energy‑saving and environmental protection industries is propelling the development of LED lighting.
- Moreover, LED lights are rapidly replacing conventional lighting products in China. The Chinese government is also playing a significant role in driving the sector's growth by offering large-scale subsidies for the adoption of LED products. Moreover, the Chinese government has also banned incandescent bulbs in the country, with the National Development and Reform Commission first announcing the country's incandescent bulb phase-out roadmap in November 2011.
- As China's LED Lighting enterprises have gradually come of age, they have begun aggressively developing overseas markets. For example, Forest Lighting has merged with Germany's LEDVANCE, while Opple Lighting has set up several overseas subsidiaries. Meanwhile, mainland lighting companies have been expanding their domestic presence by setting up display centers and adding specialty stores. In the future, mainland enterprises are expected to invest more in technology and innovation to increase the added value of their products and raise their competitiveness.
Commercial Lighting Industry Overview
There is intense competition among major vendors in the market. Due to a broad range of suppliers of commercial lighting products, buyers can choose from numerous vendors, creating cut-throat competition among vendors of equal caliber in product portfolio and geographical reach. Further, companies are innovating in terms of various connected lighting products. Players like Wipro and Signify are trying to provide smart lighting products for commercial applications, such as retail, hospitals, etc.
- January 2022 - Acuity Brands, Inc., a prominent industrial technology company, announced that it is expanding its partnership with Microsoft to bring new capabilities to Acuity Brands' smart lighting, building automation solutions, and lighting controls. By integrating the power of Microsoft’s Cloud for Sustainability and Microsoft Azure IoT with Acuity Brands customer solutions, Acuity Brands and Microsoft would jointly facilitate end customers, operating numerous types of facilities and buildings, to calculate and forecast the environmental and financial impacts that these new lighting and building management technologies deliver.
- August 2021 - Signify debuted the first Philips LED A-class bulbs that comply with the more-strict EU Ecodesign and Energy labeling rules, which take effect on September 1, 2021. The new Philips LED bulbs with a longer lifespan are a wise investment for both the environment and the wallet. On September 1, 2021, the more environmentally friendly LED bulbs will be available in 40W and 60W counterparts.
Commercial Lighting Market Leaders
ABB Ltd
Honeywell LED Lighting
Wipro Lighting Limited
Signify NV (Philips Lighting)
WAC Lighting
*Disclaimer: Major Players sorted in no particular order
Commercial Lighting Market News
- June 2022 - Wipro Lighting announced the creation of a new business unit combining Commercial Lighting and Seating solutions. As per the company, the new organization was created to enable greater synergies and accelerate growth by leveraging Wipro's common dealership network and servicing customers.
- February 2022 - Signify, a global player in lighting, announced that it has entered into a definitive agreement with Australian-based Gerard Lighting Group to acquire its Pierlite business. The union would strengthen Signify's position in the Australian and New Zealand lighting markets and provide it with growth opportunities, including those that exist between Pierlite's luminaire portfolios and Signify's connected lighting solutions.
- November 2021 - Acuity Brands Inc. announced that its OPTOTRONIC LED Driver and PrevaLED LED Modules product families would become a part of the eldoLED brand. The OPTOTRONIC and PrevaLED product lines were purchased from ams OSRAM. Integrating product lines with the existing eldoLED products under the eldoLED brand provides customers with a comprehensive LED driver portfolio, offering one single brand experience from one of the leading driver manufacturers in the marketplace.
Commercial Lighting Market Report - Table of Contents
1. INTRODUCTION
1.1 Study Assumptions and Market Definition
1.2 Scope of the Study
2. RESEARCH METHODOLOGY
3. EXECUTIVE SUMMARY
4. MARKET INSIGHTS
4.1 Market Overview
4.2 Market Drivers
4.2.1 Move toward Energy-efficient and Connected Lighting Solutions driven by Growing Awareness and Smart Office Initiatives
4.2.2 Availability of LED-based Lighting Solutions as a Standardized Feature Coupled with Incremental Technological Advancements in the Sector
4.3 Market Challenges
4.3.1 The Sector is Susceptible to Broader Conditions, such as Construction Activity
4.4 Industry Ecosystem Analysis
4.5 Industry Attractiveness - Porter's Five Forces Analysis
4.6 LED Trade Analysis and the Impact of US-China Trade War on the LED Market (Qualitative Trends)
4.7 Impact of COVID-19 on the LED Lighting/Emergency Lighting Market
5. MARKET SEGMENTATION
5.1 By Type
5.1.1 Lamps
5.1.2 Luminaries
5.2 By Lighting Type
5.2.1 LED-based lighting
5.2.2 Traditional
5.3 By End-user
5.3.1 Commercial Offices
5.3.2 Retail
5.3.3 Hospitality and Leisure (Restaurants and Sporting facilities)
5.3.4 Healthcare
5.3.5 Other End-users
5.4 By Geography
5.4.1 North America
5.4.1.1 United States
5.4.1.2 Canada
5.4.2 Europe
5.4.2.1 United Kingdom
5.4.2.2 Germany
5.4.2.3 France
5.4.2.4 Rest of Europe
5.4.3 Asia Pacific
5.4.3.1 China
5.4.3.2 Japan
5.4.3.3 India
5.4.3.4 Rest of the Asia Pacific
5.4.4 Latin America
5.4.5 Middle East and Africa
6. COMPETITIVE LANDSCAPE
6.1 Company Profiles
6.1.1 Signify NV (Philips Lighting)
6.1.2 WAC Lighting
6.1.3 Cree Lighting (IDEAL INDUSTRIES INC,)
6.1.4 Siteco GmbH
6.1.5 Wipro Lighting Limited
6.1.6 Acuity Brands Inc.
6.1.7 Hubbell Incorporated
6.1.8 Zumtobel Group AG
6.1.9 ABB
6.1.10 Honeywell LED Lighting
- *List Not Exhaustive
7. INVESTMENT ANALYSIS
8. FUTURE OF THE MARKET
Commercial Lighting Industry Segmentation
Commercial lighting is used in commercial spaces such as offices, stores, institutions, hospitals, government buildings, and non-residential, industrial, or non-manufacturing spaces.
The Global Commercial Lighting Market is segmented by Type (Lamps, Luminaries), Lighting Type (LED-based lighting, Traditional), End-user (Commercial Offices, Retail, Hospitality, and Leisure (Restaurants and Sporting facilities), Healthcare), and Geography.
| By Type | |
| Lamps | |
| Luminaries |
| By Lighting Type | |
| LED-based lighting | |
| Traditional |
| By End-user | |
| Commercial Offices | |
| Retail | |
| Hospitality and Leisure (Restaurants and Sporting facilities) | |
| Healthcare | |
| Other End-users |
| By Geography | ||||||
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| Latin America | ||||||
| Middle East and Africa |
Commercial Lighting Market Research FAQs
How big is the Global Commercial Lighting Market?
The Global Commercial Lighting Market size is expected to reach USD 13.17 billion in 2023 and grow at a CAGR of 20.93% to reach USD 34.06 billion by 2028.
What is the current Global Commercial Lighting Market size?
In 2023, the Global Commercial Lighting Market size is expected to reach USD 13.17 billion.
Who are the key players in Global Commercial Lighting Market?
ABB Ltd, Honeywell LED Lighting, Wipro Lighting Limited, Signify NV (Philips Lighting) and WAC Lighting are the major companies operating in the Global Commercial Lighting Market.
Which is the fastest growing region in Global Commercial Lighting Market?
Asia-Pacific is estimated to grow at the highest CAGR over the forecast period (2022-2028).
Which region has the biggest share in Global Commercial Lighting Market?
In 2022, the Asia-Pacific accounts for the largest market share in Global Commercial Lighting Market.
Commercial Office Lighting Industry Report
Statistics for the 2023 Commercial Office Lighting market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. Commercial Office Lighting analysis includes a market forecast outlook to 2028 and historical overview. Get a sample of this industry analysis as a free report PDF download.
