Indonesian Air Conditioner Market to Grow at 13 per cent during 2013-18, says TechSci Research
According to the company, technological advancements coupled with introduction of eco-friendly air conditioners are stimulating demand for air conditioners in Indonesia.
The increasing number of households coupled with the rising per capita income is boosting the air conditioner market in the country. Indonesia faces extreme climate conditions throughout the year, making air conditioners an item of necessity for people residing in the country. Further, the growing retail sector of the country with the launch of several supermarts, hypermarts, supermarkets, etc., is also driving the demand for air conditioners in Indonesia.
According to the recently published report by TechSci Research, “Indonesia Air Conditioner Market Forecast & Opportunities, 2018”, the Java region is the largest contributor to the country’s air conditioner market revenues because of booming commercial and industrial sectors. It has been forecast in the report that Indonesia’s air conditioner market revenues will grow at a CAGR of around 13% during 2013-18.
The report reveals that air conditioner market is controlled by air conditioners such as split, portable and cassette air conditioners, with split air conditioners accounting for the highest demand. However, with increasing awareness of energy conservation, new technologies such as VRF and solar air conditioners are expected to gain market share. The air conditioners with inbuilt air purification based functionality are also anticipated to gain market share because of rising air pollution concerns in the country.
The report further revels that the Indonesian air conditioner market is dominated by several overseas manufactures such as LG, Samsung, Sharp Electronics, Panasonic, etc. Daikin Air conditioning and Mitsubishi Electric also started operations in the country during 2012, by setting up their subsidiaries in the country.
“The penetration level of air conditioners in Indonesia is very low. Expansion in the residential and commercial infrastructure is going to be boost the demand over the next five years. The market in Indonesia is going to witness increasing competition during the forecast period due to emergence of a large number of players. The demand for energy efficient air conditioners is also expected to grow due to increasing consumer awareness.” said Mr. Karan Chechi, Research Director with TechSci Research, a research based global management consulting firm.