Monday, 28 December 2015

Demand for Hobs is Highest in Europe, Consumers in Asia Pacific late in Adopting Hobs

 Household Induction Cook-tops Market
The global household induction cook-tops (hobs) market is poised to reach US$10.5 bn by 2019, states a latest report by Transparency Market Research. The report, titled, “Household Induction Cook-tops Market – Global Industry Analysis, Size, Share, Growth, Trends, and Forecast, 2013 – 2019,” finds that the rising prices of cooking gas will prompt more consumers to switch to induction cooktops. In terms of volume, the market is predicted to stand at 21.8 mn units by 2019.

The Household Induction Cook-Tops Market refers to the global market for cook-tops, also known as hobs, which operate on the concept of induction heating/cooking. These are considered as one of the advanced technological innovations in the field of cooking. This type of cooking not only has energy efficiency benefits, but also provides health and safety benefits to users. Induction cook-tops, which are relatively new to many regions in emerging Asia-Pacific economies, are already enjoying fast adoption across consumers in Europe. The induction cook-tops market is experiencing a moderate single digit growth rate, and is expected to see gradual rise towards end of the forecast period. This is due to growing awareness and rapid urbanization in Asia-Pacific and Eastern Europe regions.

There are many factors driving the market growth for induction cook-tops, and the key influencer is the growing awareness and rise in disposable income. Induction cook-tops, which are currently considered as high-end consumer products, are gradually finding growing acceptance among consumers. The impact of disposable income growth is further multiplied by various macro and micro economic factors, such as rising fuel cost for conventional cook-tops (gas, electricity, and others), growing trend of modular kitchens in new houses, preference for a comfortable work environment in the kitchen, improved heat control with induction cooking, advanced technologies and their benefits towards healthy cooking, and many more.

Induction cook-tops are of two types, free-standing (portable) and integrated (built-in) cook-tops. Of these, the integrated cook-tops dominated the global household induction cook-tops market in 2012, and is expected to retain its leading position by 2019, growing at a CAGR of 5.3%. Demand for built-in hobs is largely contributed from regions such as Europe and Middle East, which have large houses (floor space and dedicated kitchen space). Even the trend of joint or large families in the region has positive impact on the built-in hobs demand.

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For the same reasons, geographically too, Europe is the biggest market for induction cook-tops, and accounted for more than one third of the global induction cook-tops market. However, the Asia-Pacific market is the fastest growing, and forecast to account for the highest growth share of the global market for induction cook-tops. This is because of growing acceptance of induction cooking as part of lifestyle standards. Moreover, with trend of modular kitchen being promoted by real estate developers for their projects, this demand is further expected to go up in the mid to long term.

As a result, leading players from the white goods industry are quickly moving into the induction cook-tops market in the Asia-Pacific region. Factors, such as high competition from domestic manufacturers in Europe, which has healthy concentration of both domestic and global manufacturers, is also driving these global players to look for opportunities in the Asia-Pacific market. Renowned players in the European market are Miele & Cie. KG, Smeg, Sub-Zero Wolf, AB Electrolux, Stoves, and many more. The popular names in the Asia Pacific market are Philips Electronics, Panasonic, Whirlpool, and others. Product innovation is observed as the key strategy followed by industry leaders, who are introducing cook-tops with multiple hot surfaces, advanced auto cook features, and more trendy designs.

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