Home water purification system & home comfort market to continue to make significant strides in 2022
The current penetration rate of China's water purifier market is still around 10%. To draw a comparison, the penetration rate of water purifiers in the European and American markets reached 90%, and the penetration rate of water purifiers in developed Asian countries reached 70%. However, government initiatives towards health awareness are enforcing the adoption of purification and filtration systems across the residential and other sectors.
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According to data from the China Commercial Industry Research Institute, from 2016 to 2020, the scale of China's smart home market will increase from 260.85 billion yuan to 514.47 billion yuan, with an average annual compound growth rate of 18.51%.
China Commercial Industry Research Institute predicts that China's smart home market will reach 580.05 billion yuan in 2021, and it is expected to grow to 651.56 billion yuan in 2022.
As rapid technological transformation and the embrace of IoT solutions will remain ever-present, the smart home system market will continue to expand in the upcoming years.
According to the Institute, the top four smart home market development trends to expect in 2022 are intelligent transformation, iterating on product features & high-precision product development, innovations that drive competitiveness and growth, and product expansion.
The home water filtration systems market is also expected to have a great growth potential in the upcoming years. According to big data statistics, the current penetration rate of China's water purifier market is still around 10%. To draw a comparison, the penetration rate of water purifiers in the European and American markets reached 90%, and the penetration rate of water purifiers in developed Asian countries reached 70%. However, government initiatives towards health awareness are enforcing the adoption of purification and filtration systems across the residential and other sectors.
The relevant research data of the World Health Organization pointed out that the harmful substances in water are absorbed by the body through oral intake (1/3; drinking water, brushing teeth, food), skin absorption (1/3; washing hands, bathing), inhalation 1/3 (cleansing, bathing). The home water purification systems meet the family's daily drinking, eating, washing, bathing, and other water purification needs. The municipal tap water is polluted in the pipeline transportation process. Home water purification system effectively removes harmful substances such as rust, sediment, and heavy metals, while retaining the minerals and trace elements that are beneficial to the human body. Water purifiers also eradicate unsafe bacteria, viruses, and many other impurities from water, such as giardia, cryptosporidium, which lessens the possibility of gastrointestinal illness by 33%. It also eliminates chlorine and its by-products and reduces the threat of some types of cancer. Moreover, water purification systems enhance the taste, quality and flavor of raw water. However, high filter maintenance cost poses a challenge to the market growth. The purification filters need to be cleaned or replaced at frequent intervals, in general, every 5 to 6 years, in case of POE (point-of-entry) filters, whereas the POU (point-of-use) filters should be changed after 6 to 12 months.
The emergence of smart water purifiers with advanced technologies is however boosting the market growth. These smart purifiers are easy to operate and are designed with a multi-stage purification process. These purifiers monitor the water usage and adjust settings as per requirements. Moreover, smart purifiers are configured to send alerts or notifications to users at the end of the maintenance cycle.
The popularity of home water purification systems has led to the emergence of a large number of brands on the market, but from a buyer’s perspective, the current home water purification systems on the market are too homogeneous, with no actual or real differences between the products offered by different suppliers.
Home water purification system market has experienced rapid growth from 2013 to 2016. From 2018 to 2019, the growth rate began to slow down due to internal and external factors. In 2020, the market was adversely affected by the Covid-19 pandemic. Entering 2021, (AVC) monitoring data shows that from January to September 2021, the online market sales of water purifiers amounted to 6.41 billion yuan, an increase of 13.2% YoY, and the sales scale was 4.302 million units, an increase of 2.3% YoY; the offline market sales scale was 91.2 RMB 100 million, a YoY decrease of 7.4%, and sales volume of 2.167 million units, a YoY decrease of 12.4%. The overall market sales scale increased by 0.1% YoY, and the sales scale decreased by 3.1% YoY. Compared with 2020, which recorded the largest decline in the past three years, the home water purification market is gradually recovering due to the influence of factors such as the Covid-19 outbreak getting under control, coupled with increased consumers’ awareness of harmful chemicals in water, and overall increased health awareness.
Join us for the 15th edition of Aquatech China on June 8-10, 2022 at the National Exhibition & Convention Center in Shanghai, and dive into the latest water purification technologies and home comfort solutions. The show will gather distributors and agents in the fields of water purification, home appliances, HVAC, building materials, real estate, and hospitality. The three-day event is complemented by conferences delivered by prominent policy-makers and industry experts. The conferences cover emerging water purification trends and challenges in China and worldwide, and offer a great opportunity to explore innovative solutions from the Asian region and beyond. Join us and introduce your brand, projects, and innovations to our audience. We look forward to seeing you there!