New report: Retrofit market sunny spot for fire installers
The worldwide economic recession has impacted the fire alarm equipment market because of a decline in new construction, says a new report by Global Industry Analyst, but the news isn't all bad: The report says building renovation activity is creating significant demand for fire alarm systems, and is an area of great growth potential.
Demand for fire alarm products dropped noticeably during 2008 and 2009 because of a steep fall in new construction activity during the recession, according to this Sept. 27 report “Fire Alarm Equipment: A Global Strategic Business Report.”
The decline in the construction sector derailed market growth, especially in developed economies. Even so, the scenario prompted more demand for retrofit fire equipment, which showed noticeable growth during 2008 and 2009, the report says. Many buildings that were constructed prior to revised building codes have no alarm systems. Thus, building renovation represents a huge potential for fire alarm equipment market growth.
Fire alarm panels are the largest product group in the fire alarm equipment market, with addressable panels representing the largest product segment, and voice evacuation systems representing the fastest growing segment in the market. The other product group in the market, fire alarm devices, is poised to register a CAGR of more than 5 percent over the analysis period.
Major players profiled in the report include Bosch Security Systems, UTC Fire & Security, Hochiki America Corporation, Honeywell Security & Communications, Siemens Building Technologies Group, Tyco Fire & Security, SimplexGrinnell, and ADT Security Services.
In addition, significantly higher demand for fire alarm equipment in Asia-Pacific, Latin American and Eastern European countries is expected to fuel market growth in the coming years.