- North American revenue for garage door operators is projected to increase at a CAGR of 3.9% percent from 2016 to 2021. Despite an underperforming year in 2018 with growth at 2.1%, this market will increase by $137.5 million from 2016-2021.
- During our forecast period of 2017-2021, the millennial generation will begin looking into first-time home purchases, and IHS Markit expects this to increase sales of smart garage door openers.
- During the early 2000’s, housing was booming in the US, growing at an average of 5.88% between the years 1999 to 2005 (Source IHS Connect). This previous boom in housing will heavily influence the retrofit market for garage door operators in North America because of a 10-15-year replacement cycle of old units.
In North America, garage door operator revenue totaled $658.4 million in 2016. Through our forecasted period, we expect the residential segment to grow at a CAGR of 4.1%, outperforming the commercial segment by 3.3%.
The heightened performance of the residential segment has had a significant impact on the garage door market because it already accounted for 68% of the total market in 2016.
Smart garage door operators and how millennials may influence the market.
A major trend in the garage door operator market is connectivity and its role in a smart home. Connectivity ensures that operators can interact with other smart home products and platforms, and demand is being driven largely by big-box retailers. Retail stores want to give consumers more options, differentiate offerings, and seize the opportunities developing around the smart home concept.
While there is a trend to add connectivity to garage door operators, a barrier is the higher product price. Adding connectivity and making sure the product is safe from cybersecurity attacks adds cost. Getting buyers to upgrade and spend more is a challenge as price is still a main factor in the decision-buying process for many homeowners. However, we expect this barrier to come down at a faster pace as millennials—who are more familiar with technology—begin to own homes and choose convenience over cost when installing or retrofitting their operators.
This 2018 study provides a comprehensive, detailed overview of the global market for vehicle entrance control equipment. This is the fifth edition of the study.
The goal of this report is to provide market and technical executives with an up-to-date, thorough assessment of the market and to forecast the impact of significant trends over the next five years. The report provides detailed estimates of market revenues and shipments in 2016 and “best judgment” estimates for 2017 (with 2016 and 2017 serving as the base years). Forecasts are then provided for calendar years 2018 to 2021. The report also estimates the market shares held by leading suppliers in each major product type in 2016 and 2017.