Range Hood Market size worth over $9.5 Bn by 2026
Published Date: October 12, 2020 Authors: Ankita Bhutani, Prasenjit Saha
Range Hood Market size is poised to surpass USD 9.5 billion by 2026, according to a new research report by Global Market Insights, Inc.
The introduction of smart and connected range hoods along with stringent food safety and hygiene regulations implemented by several regulatory authorities across the globe is propelling the range hood industry demand. Commercial kitchens and restaurants have to comply with regulations, such as (EC) No 178/2002 and (EC) No 852/2004, to improve food safety & hygiene. The ability of kitchen hoods to keep the kitchen environment hygienic and clean is augmenting the market growth.
Industry challenges hampering the growth of range hoods include the availability of several low-cost substitutes to these appliances. Alternatives, such as window fans or grease splatter guard, are adversely impacting the market demand for expensive kitchen hoods. Furthermore, consumers clean their cabinets manually to keep the kitchen clean and avoid the installation of dedicated range hood systems. However, several players are adopting penetration pricing strategy to enter potential markets.
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Slow growth of the range hood market in 2020 can be attributed to the impact of COVID-19 on the hospitality & restaurant industry. Consumer behavior has witnessed a dynamic shift during the pandemic. Consumers are highly inclined toward eating healthy home cooked meals to enhance their immunity. Rising concerns with respect to the safety of restaurant cooked meals have impacted the business growth of hotels and commercial kitchens. Financial insecurities among hospitality industry players have postponed the purchase of new kitchen hoods.
Analyst view: “Growing concerns regarding high energy consumption of range hoods are encouraging manufacturers to introduce smart & energy efficient models in the market, contributing to the industry growth.”
Growing demand for under cabinet hoods due to easy installation
The under cabinet segment accounted for over 3% range hood market share in 2019. The high demand for under cabinet range hoods can be attributed to several advantages such as versatility, compactness, and easy installation. The availability of ductless under cabinet systems that is ideal for medium-sized kitchens with moderate cooking requirements is expected to provide a positive market outlook.
Browse key industry insights spread across 220 pages with 323 market data tables & 25 figures & charts from the report, “Range Hood Market Size By Product (Under Cabinet, Wall Mount, Ceiling Mount), By Application (Residential, Commercial [Hotels, Restaurants, Cafes]), By Distribution Channel (Direct Selling, E-commerce), Industry Analysis Report, Regional Outlook, Growth Potential, Price Trends, Competitive Market Share & Forecast, 2020 – 2026” in detail along with the table of contents:
High demand for healthy indoor air quality propelling residential segment market size
The residential segment is expected to witness a CAGR of around 4% through 2026. Increasing household disposable income coupled with growing market trend of home renovation will provide robust opportunities for the market revenue.
Range hood systems help in removing toxic pollutants, smoke, steam, grease, and gasses from the air during kitchen activities. It also prevents the growth of bacteria & germs in the kitchen. The rising construction of residential buildings and apartments is expected to drive the market representation of these appliances. Growing awareness among citizens related to the adoption of energy-efficient home appliances is expected to propel the demand for Energy Star qualified range hoods in the household sector.
Direct selling techniques employed by manufacturers driving market revenues
The range hood market from direct selling channel held more than 65% share in 2019. In direct selling, manufacturers directly supply their products to the customers, which include big society, apartments, bungalows, and corporate offices. The ability of this channel to eliminate the requirement for intermediaries involved in product distribution, such as the regional distribution centers and wholesaler, is contributing to the steadily growing industry size through 2026.
Stringent food safety regulations in Europe to augment the market demand
The Europe range hood market is anticipated to reach over USD 3.5 billion by 2026. Stringent regulations related to cleanliness and hygiene implemented by government authorities, such as the European Commission, are increasing the market adoption. Restaurants across the region are installing kitchen hoods to reduce the amount of carbon monoxide (CO) leaks. The ability of cooking hoods to cut down the amount of carbon monoxide in kitchens is providing a positive outlook in the Europe commercial sector.
Key strategies adopted by companies operating in the market include product launches and strategic partnerships to expand their product portfolio. For instance, in August 2018, Zephyr introduced wall-mounted hoods under the Titan Range with PowerWave Blower Technology. This technology aids in enhancing the overall performance of the hood with the help of three-phase AC power. Companies are also focusing on adopting new marketing strategies to grow their revenues.
Key players in the range hood market include BSH Group, Elica S.p.A, Kobe Range Hoods, Viking Range, LLC, Panasonic Corporation, Samsung, Miele, Faber S.p.A, Whirlpool, Windster Hoods, Inc., and Ningbo Fotile Kitchenware.
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