Press release
FMI Projects That Indian Market For Power Tools Will Expand At A CAGR Of 8.9 Percent.
Over the forecast period, it is anticipated that the India power tool market will grow at a healthy CAGR of 8.9 percent in terms of value and 9.5 percent in terms of volume (2016-2026). Power tool market revenue growth can be attributed to a number of factors, about which FMI provides in-depth insights in the report.Global Players in the market include Atlas Copco AB, Snap-on International, Techtronic Industries Co. Ltd., Danaher Corporation, Actuant Corporation and SKF AB. Regional players in the market include Stanley Black & Decker, Hitachi Koki Co. Ltd., Makita Corporation, Robert Bosch GmbH and Kulkarni Power Tools.
The power tools market in India is anticipated to register a Y-o-Y growth of 6.7% by end of 2016, and is estimated to reach INR 3,532.8 Crore in terms of revenue. Growing industrialisation and widespread availability of wide range of power tools will continue to drive growth of the India power tools market. The markets in South and North India are estimated to collectively dominate the India market.
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Robust development in the industrial sector and growing automotive sales are key factors driving growth of the India power tools market. Moreover, increasing consumer confidence index (CCI) in India is projected to play a key role in escalating demand for power tools in the India market.
Emergence of a variety of cost-effective, durable and multi-functional power tools is anticipated to fuel demand in future. In addition, shifting consumer behaviour toward DIY hacks is also expected to boost demand for power tools in India.
Professional power tools will continue to gain traction, and major shift from nickel-cadmium to lithium-ion powered tools will create new opportunities for power tools manufacturers in the country.
However, increasing import of power tools from China may negatively impact market share of domestic and international players in the India power tools market.
The India power tools market is expected to witness increasing demand for industrial power tools as compared to household power tools. Industrial power tools segment is anticipated to contribute over 55.8% in terms of revenue to the market; whereas household power tools segment is expected to account for 44.2% in terms of value share by end of 2016.
Low operational costs and ease-of-use will continue to drive electric power tools segment, which is anticipated to dominate the India power tools market till 2016 end. Pneumatics and others segments are projected to collectively contribute over 46% in terms of value share to India power tools market in 2016.
The markets in South India and West India represent highest penetration of power tools, owing to concentration of a large number of industries. South and North India markets are expected to expand significantly in terms of revenue as compared to moderately thriving East India and North India markets.
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India Power Tool Market Dynamics
• Power tool sales growth in India is influenced by macroeconomics, robust industrial growth in India, increasing automotive sales, increasing consumer confidence index, emergence of durable, cost-effective multi-functional power tools, transition of consumer preference towards DIY ethics, and increasing online retail sales.
• Key trends identified in the India power tools market include increased sales of professional power tools, a shift from nickel-cadmium to lithium-ion powered tools, and a shift from corded to cordless power tools. Furthermore, in order to gain a competitive advantage in the market and differentiate their products, businesses are investing heavily in the research and development of energy-efficient and environmentally friendly power tools.
• Factors such as unavailability of skilled labour and high costs involved in hiring professionals for basic services in major cities across the country are anticipated to create significant opportunities and drive demand for power tools in the domestic market.
Key Segments
By End-use:
• Industrial Power Tools
• Household Power Tools
By Mode of Operation:
• Electric
• Pneumatic
• Others
By Country:
• North India
• South India
• East India
• West India
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Power tools are categorised on the basis of power source into electric power operated tools (circular saws and drill machines), pneumatic power tools (jack hammers, chippers and compressed air guns), liquid fuel (gas), powered tools (saws), hydraulic power tools (jacks) and powder-actuated tools (nail guns).
Long-term Outlook: India power tools market is anticipated to register a healthy CAGR of 9.5% in terms of volume and 8.9% in terms of value over the forecast period, 2016-2026. Electric power tools market is estimated to account for 56.6% in terms of revenue share by end of 2026.
Competitive Landscape
The report includes market share analysis of the existing international, China-based and domestic players in the market. The report also profiles both global and domestic players in the India power tools market.
Global Players in the market include Atlas Copco AB, Snap-on International, Techtronic Industries Co. Ltd., Danaher Corporation, Actuant Corporation and SKF AB. Regional players in the market include Stanley Black & Decker, Hitachi Koki Co. Ltd., Makita Corporation, Robert Bosch GmbH and Kulkarni Power Tools.
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About Future Market Insights (FMI)
Future Market Insights (ESOMAR certified market research organization and a member of the Greater New York Chamber of Commerce) provides in-depth insights into governing factors elevating the demand in the market. It discloses opportunities that will favour the market growth in various segments based on Source, Application, Sales Channel and End-Use over the next 10 years.
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