The global fire alarm and detection market size is expected to reach USD 75.3 billion by 2027, expanding at a CAGR of 8.5% over the forecast period, according to a study conducted by Grand View Research, Inc. Increasing awareness towards the safety and security of assets across the globe is expected to offer significant opportunities for technological innovations in the market. Additionally, rise in the consumer spending on fire protection devices especially across the enterprise and industrial sectors in order to reduce the risk of accidents is expected to spur market growth. Moreover, stringent government regulations and mandates regarding workplace safety, and increasing demand for state-of-the-art fire alarm & detection system is expected to fuel the market.
The need for upgrading the existing alarm and detection systems to advanced one and consequently complying with the stringent regulation will drive the market. Growing fire accidents has alarmed the need for installation of advanced alarm and detection systems across the residential, commercial, and industrial sectors. For instance, Legislative requirements from different countries including the National Fire Protection Association, USA, and Building Code of Australia have mandated the installation of fire detection devices, thereby boosting the demand for these devices.
North America dominated the market in 2019 and is expected to continue its dominance over the foreseen years. The anticipated growth in the construction industry in Canada owing to the government’s “Investing in Canada Plan”. Under the initiative, the government of Canada is planning to invest USD 139 billion in infrastructure till 2028. U.S. is attributed to the high demand for commercial and residential places across states such as Georgia, Florida, and North and South Carolina. Moreover, increasing automation in buildings and smart homes, stringent government regulations pertaining to safety standards, and the growing demand from the mining and manufacturing industries have fueled the demand for the alarm and detection systems in the region.
Asia Pacific is anticipated to exhibit the highest CAGR from 2020 to 2027. Growing industrialization and urbanization in emerging markets such as India, China, and Japan is expected to accelerate infrastructure spending including mass transportation such as airport security, including intelligent transportation systems across these regions is estimated to offer lucrative growth opportunities for the industry. However, the growing need for replacement and maintenance services of the deployed fire safety equipment owing to various building safety codes is offering lucrative opportunities for the manufactures to enter into the market.
Further Key findings from the study suggest:
- The fire detectors segment is expected to dominate the market owing to stringent government regulations across different countries that have mandated the installation of the devices. For instance, in India, National Building Code (NBC) was published in 2016 to implement building standards ensuring safety through the use of active and passive smoke detection systems. The segment is expected to reach USD 38.1 billion by 2027
- The smoke detectors segment is expected to dominate the fire detectors segment and the trend is expected to continue over the forecast period. The smoke detectors segment is anticipated to reach USD 17.0 billion by 2027. It is owing to the substantial use of smoke detectors in the commercial as well as residential buildings since they are cost-effective and have a longer lifespan as compared to other products
- The fire alarm and detection market primarily includes applications such as industrial, commercial, and residential. The commercial application segment dominated the market in 2019 and is projected to exhibit a CAGR of 8.5% from 2020 to 2027. It is owing to the stringent regulations and norms by the government for the installation of smoke detection system across commercial places such as hospitality, government, healthcare, telecom and IT, BFSI, retail, and institutional
- North America is projected to account for the majority share of the market over the forecast period owing to the booming infrastructural developments and implementation of stringent fire safety regulations and norms in the regions. The region is anticipated to reach USD 21.8 billion by 2027
- The prominent industry participants include Bosch GmbH; Eaton Gentex Corporation; United Technologies Corporation; Honeywell International Inc.; and Johnson Controls.