Europe smart lighting market valued at USD 3.54 billion in the year of 2024, is expected to have a tremendous growth rate and reach USD 15.23 billion by 2033. The compound annual growth rate between 2025 and 2033 for the market will be a spectacular 17.58%. Increase in demand for energy-efficient lighting solutions, ever-evolving IoT technologies, and the adoption of smart home systems across Europe are driving the growth of the market.
In Europe, smart lighting usage has exploded rapidly because the region gives serious play to concerns about energy efficiency and green building initiatives. Consumers are increasingly adopting smart lighting solutions in attempts to curtail energy costs and reduce carbon footprints, largely due to government regulations and incentives for sustainable practices. In addition, the rise in popularity for smart home systems and automation technologies is driving adoption further- Germany, the UK, and France are among its key users. Businesses rely on smart lighting technology for optimal working practices and user experience, which has contributed to the growth of the European market.
2. Software
3. Services
2. Wired
2. Retrofit Installation
2. Fluorescent Lamps
3. Compact Fluorescent Lamps
4. High Intensity Discharge Lamps
5. Others
2. Outdoor
2. Residential
3. Public Infrastructure
4. Others
2. Germany
3. Italy
4. Spain
5. United Kingdom
6. Belgium
7. Netherlands
8. Russia
9. Poland
10. Greece
11. Norway
12. Romania
13. Portugal
14. Turkey
15. Rest of Europe
2. Philips Lighting
3. Honeywell International, Inc.
4. Wipro Limited
5. Acuity Brands, Inc.
6. Eaton Corporation Plc.
7. Legrand S.A.
8. General Electric (GE)
9. OSRAM Licht AG
Europe Smart Lighting Market Outlooks
Smart lighting is an advanced technology that combines IoT to offer customizable, energy-efficient, automated lighting solutions. Users can control lighting systems remotely through smart devices or voice assistants and feature dimming, scheduling, and color. Smart lighting is equipped with sensors and connectivity that can respond to ambient conditions or occupancy/time of day, amplifying convenience, safety, and savings in terms of energy. Most are used in residential, commercial, and industrial zones and therefore fit within the profiles for sustainability and modern living.In Europe, smart lighting usage has exploded rapidly because the region gives serious play to concerns about energy efficiency and green building initiatives. Consumers are increasingly adopting smart lighting solutions in attempts to curtail energy costs and reduce carbon footprints, largely due to government regulations and incentives for sustainable practices. In addition, the rise in popularity for smart home systems and automation technologies is driving adoption further- Germany, the UK, and France are among its key users. Businesses rely on smart lighting technology for optimal working practices and user experience, which has contributed to the growth of the European market.
Growth Driver for Europe Smart Lighting Market
Energy Efficiency-Driven Demand
Energy efficiency is an important driver of the smart lighting market in Europe. The strict regulations, including the European Green Deal and Energy Performance of Buildings Directive (EPBD), that have led to efforts toward reducing carbon emissions and energy consumption have given a boost to energy-efficient demands. Automated dimming, motion detection, and daylight harvesting are some of the features that allow smart lighting solutions to optimize energy usage in homes, offices, and public places. The increasing electricity cost with the rising awareness among consumers regarding sustainability is further forcing the adaptation of energy-efficient lighting, and smart lighting comes out as a preferred choice for the eco-concerned Europeans. According to EEA's early estimates, at primary energy consumption by end-users in the EU by 2023, that declined 3.8% against 2022, final energy consumption declined by 0.6%. Although the improvement is a trend away from historical trends in energy efficiency, substantial efforts are still in place toward attaining 2030 targets on energy efficiency, revised downwards in 2023.Smart Home Systems Gain in Popularity
The increasing adoption of smart home systems in Europe has made an excellent impact on driving the smart lighting market. Smart consumers prefer integrated solutions that improve convenience, security, and lifestyle. Smart lighting, compatible with a voice assistant like Alexa and Google Assistant, seamlessly integrates into this ecosystem, enabling remote and automatic control. The techno-friendly population in Germany, the UK, and France is investing in smart home technologies. This trend is driven by innovation in IoT, better internet access, and rising disposable income, which are all encouraging smart lighting systems. In June 2023, Philips launched a few LED lights exclusively designed for outdoor utilization in gardens. This comes with strength to be used at multiple weather conditions. The LED outdoor lights comprise posts, spotlights, pedestals, and wall lights along with UltraEfficient Solar technology.Government Incentives and Sustainability Targets
European governments encourage the use of smart lighting to succeed in energy-saving and sustainability targets. Huge financial incentives, subsidies, and tax rebates offered to energy-efficient technologies have driven residential and commercial users to switch to smart lighting. European Green Deal initiatives and smart city development schemes will give healthy demand for advanced lighting systems. These efforts grow the market while accelerating achievement of wider objectives for reducing greenhouse gas emissions and for environmental technologies and innovations, therefore making Europe a global leader in smart lighting adoption. The Council of the EU and the European Parliament reached an agreement on the provisional version of Net-Zero Industry Act (NZIA) on February 6, 2024, whereby the NZIA is likely to be adopted formally by the end of April 2024. Such measures are in addition to the European Critical Raw Materials Act that is supposed to be published soon. They complement the February 2023 ""Green Deal Industrial Plan for the Net-Zero Age"" (the Net Zero Plan). A part of the European Green Deal, the Net Zero Plan aims to make Europe the world's first climate-neutral continent by 2050.France Smart Lighting Market
France is one of the key contributors to the European smart lighting market with a strong emphasis on energy efficiency and sustainability. Government policies like the Energy Transition for Green Growth Act ensure that energy-saving solutions, such as smart lighting, are adopted by many. Smart lighting solutions form a part of developments in city centers and infrastructures, consistent with France's smart city concept. Consumers begin to install smart lighting solutions in homes to increase convenience and cut down on energy consumption. With solid environmental policies to reduce carbon emissions, France continues lighting innovation through the residential and commercial sectors. Sept 2024, Govee can't wait to launch its latest products at the IFA 2024 exhibition with two latest flagship LED strip light - Govee Strip Light 2 Pro and Govee COB Strip Light Pro, in addition to many other smart lighting solutions.Germany Smart Lighting Market
The German smart lighting market is driven by continuous advancements in technologies and strong manufacturing bases within the country. Germany gained popularity and led in the adoption of smart home systems and IoT integration. With government support for energy efficiency practices and incentives for eco-friendly technologies, market growth was spurred. The commercial sectors, mainly offices and retail spaces, started adopting smart lighting solutions for cost efficiency and sustainability. Germany's proactive approach to digital transformation and environmental responsibility significantly contributes to the European smart lighting landscape. Feb 2024 - Casambi, a worldwide leader in smart lighting control solutions, will unveil a new addition to its portfolio at Light + Building 2024.Italy Smart Lighting Market
Italy's smart lighting market is developing at a rapid pace. Urban cities are seeing increasing smart city developments and, thus, smart lighting adoption. Cities like Milan and Rome are implementing smart lighting systems in public spaces with the aim of promoting energy efficiency and minimizing maintenance costs. The residential market expands due to consumer adoption of smart home technologies for better convenience and savings from energy use. Government initiatives towards making the country a more sustainable and energy-efficient one, coupled with consumer awareness, feed demand. Italy's long-standing desire to blend tradition with modern technology creates a vibrant and distinct smart lighting market. In Jan 2024, Italian brand Twinkly unveiled the Matrix light curtain, with the highest LED density in its class and smart LED technology with advanced monitoring of color temperature and brightness. Utilizing precisely arranged LEDs to offer fluid graphics, it rediscovers ambient lighting. Its slim design fits anywhere seamlessly, providing a wide versatile canvas for creativity.Smart Lighting Market in Spain
Smart lighting technologies are being applied by Spain as part of its smart city initiatives in cities such as Barcelona and Madrid. These systems are integral to the urban infrastructure, reducing energy consumption and enhancing public safety. The residential market is also escalating at a rapid pace due to rising demand for smart home solutions. Government incentives and energy-saving regulations further boost adoption. The smart lighting in Spain's increasingly popular tourism and hospitality sectors also supports customer experience improvement while keeping sustainability in mind, marking it as an important growth in the European market. March 2024: Telefónica Tech will digitalize the public lighting in Santiago de Compostela with Ferrovial and Endesa X. The initiative will utilize the intelligent lighting solution from Telefónica Tech to remotely control more than 10,000 LED luminaires equipped with NB-IoT connectivity.United Kingdom Smart Lighting Market
The United Kingdom is a key player in the European smart lighting market. The growth of the smart lighting market is primarily fueled by smart home systems and energy-efficient solutions. The UK government supports sustainable technologies through financial incentives and policies to conserve energy. There has been increased uptake of smart lighting in both commercial and residential sectors. People are increasingly taking an interest in IoT-based solutions. It would see urban infrastructure projects and smart city initiatives stir up demand. Also, the UK's tech-inclined population and increasing awareness of sustainability are good enough to leave the country at the forefront of innovative smart lighting technology adoption. In June 2024, Signify, the leader in lighting, will launch the new Music Sync feature and expand its LED strip offerings for the WiZ smart lighting system, making it easy for users to sync their lights to music. The new products comprise the Smart Fairy Light, both for indoor and outdoor use; the Smart Dial Switch; and an outdoor wall light.Offering- Market is divided into 3 viewpoints
1. Hardware2. Software
3. Services
Technology Wired- Market is divided into 2 viewpoints
1. Wireless2. Wired
Installation Type- Market is divided into 2 viewpoints
1. New Installation2. Retrofit Installation
Light Source- Market is divided into 5 viewpoints
1. LED Lamps2. Fluorescent Lamps
3. Compact Fluorescent Lamps
4. High Intensity Discharge Lamps
5. Others
Application- Market is divided into 2 viewpoints
1. Indoor2. Outdoor
End User- Market is divided into 4 viewpoints
1. Commercial2. Residential
3. Public Infrastructure
4. Others
Countries- Market is divided into 15 Countries
1. France2. Germany
3. Italy
4. Spain
5. United Kingdom
6. Belgium
7. Netherlands
8. Russia
9. Poland
10. Greece
11. Norway
12. Romania
13. Portugal
14. Turkey
15. Rest of Europe
Company Covered by 5 Viewpoints
- Overviews
- Key Person
- Recent Developments & Strategies
- Product Portfolio & Product Launch in Last 1 Year
- Revenue
Key Players Analysis
1. Cree, Inc.2. Philips Lighting
3. Honeywell International, Inc.
4. Wipro Limited
5. Acuity Brands, Inc.
6. Eaton Corporation Plc.
7. Legrand S.A.
8. General Electric (GE)
9. OSRAM Licht AG
Table of Contents
1. Introduction2. Research & Methodology3. Executive Summary5. Europe Smart Lighting Market
4. Market Dynamics
6. Market Share
7. Offering
8. Technology
9. Installation Type
10. Light Source
11. Application
12. End User
13. Countries
14. Porter's Five Forces Analysis
15. SWOT Analysis
16. Key Players Analysis
Companies Mentioned
- Cree, Inc.
- Philips Lighting
- Honeywell International, Inc.
- Wipro Limited
- Acuity Brands, Inc.
- Eaton Corporation Plc.
- Legrand S.A.
- General Electric (GE)
- OSRAM Licht AG
Methodology
In this report, for analyzing the future trends for the studied market during the forecast period, the publisher has incorporated rigorous statistical and econometric methods, further scrutinized by secondary, primary sources and by in-house experts, supported through their extensive data intelligence repository. The market is studied holistically from both demand and supply-side perspectives. This is carried out to analyze both end-user and producer behavior patterns, in the review period, which affects price, demand and consumption trends. As the study demands to analyze the long-term nature of the market, the identification of factors influencing the market is based on the fundamentality of the study market.
Through secondary and primary researches, which largely include interviews with industry participants, reliable statistics, and regional intelligence, are identified and are transformed to quantitative data through data extraction, and further applied for inferential purposes. The publisher's in-house industry experts play an instrumental role in designing analytic tools and models, tailored to the requirements of a particular industry segment. These analytical tools and models sanitize the data & statistics and enhance the accuracy of their recommendations and advice.
Primary Research
The primary purpose of this phase is to extract qualitative information regarding the market from the key industry leaders. The primary research efforts include reaching out to participants through mail, tele-conversations, referrals, professional networks, and face-to-face interactions. The publisher also established professional corporate relations with various companies that allow us greater flexibility for reaching out to industry participants and commentators for interviews and discussions, fulfilling the following functions:
- Validates and improves the data quality and strengthens research proceeds
- Further develop the analyst team’s market understanding and expertise
- Supplies authentic information about market size, share, growth, and forecast
The researcher's primary research interview and discussion panels are typically composed of the most experienced industry members. These participants include, however, are not limited to:
- Chief executives and VPs of leading corporations specific to the industry
- Product and sales managers or country heads; channel partners and top level distributors; banking, investment, and valuation experts
- Key opinion leaders (KOLs)
Secondary Research
The publisher refers to a broad array of industry sources for their secondary research, which typically includes, however, is not limited to:
- Company SEC filings, annual reports, company websites, broker & financial reports, and investor presentations for competitive scenario and shape of the industry
- Patent and regulatory databases for understanding of technical & legal developments
- Scientific and technical writings for product information and related preemptions
- Regional government and statistical databases for macro analysis
- Authentic new articles, webcasts, and other related releases for market evaluation
- Internal and external proprietary databases, key market indicators, and relevant press releases for market estimates and forecasts
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Table Information
| Report Attribute | Details |
|---|---|
| No. of Pages | 110 |
| Published | January 2025 |
| Forecast Period | 2024 - 2033 |
| Estimated Market Value ( USD | $ 3.54 Billion |
| Forecasted Market Value ( USD | $ 15.23 Billion |
| Compound Annual Growth Rate | 17.5% |
| Regions Covered | Europe |
| No. of Companies Mentioned | 9 |
