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Investments in Eastern Europe Open Up Growth Opportunities for Industrial Air Compressor Manufacturers Finds Frost & Sullivan - Increased investments in Eastern Europe will provide growth opportunities for industrial air compressor manufacturers
Investments in Eastern Europe Open Up Growth Opportunities for Industrial Air Compressor Manufacturers Finds Frost & Sullivan

 

PRZOOM - /newswire/ - London, United Kingdom, 2010/10/14 - Increased investments in Eastern Europe will provide growth opportunities for industrial air compressor manufacturers.

   
 
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Although the financial crisis affected most end-user sectors across the globe, demand has been sustained through increasing awareness of the benefits of oil-free air compressors. The demand for centrifugal compressors across Europe is poised to rise due to certain re-initiated projects in recovering economies.

New analysis from Frost & Sullivan (industrialautomation.frost.com), Strategic Analysis of the European Industrial Air Compressors Market, finds that the market earned revenues of $1,070.5 million in 2009 and estimates this to reach $1,317.8 million in 2016.

"End-user focus on energy-efficient and easy-to-use compressors will boost market prospects," notes Frost & Sullivan Research Associate Rajita Sahitya. "Moreover, enhanced focus on after-sales services opens the new avenue for growth."

As the maintenance and operating costs of compressors contribute a major share of the total life cycle costs, customers prefer products that offer better energy savings and longer life cycles. This has led to an increased revenue share for rotary screw compressors over reciprocating compressors.

Furthermore, although after-sales services have been an integral part of the industrial air compressors market, it has assumed greater significance during the financial downturn. Prevailing scepticism about customer spending owing to the economic slowdown will further emphasise the importance of improving life cycle and energy costs.

Although there are signs of recovery, there are still apprehensions about customer spending; customers continue to look at ways to lower their expenses. This trend, coupled with volatile energy pricing and regulations, is set to drive the demand for compressors with an integrated heat recovery system. This helps achieve 100 per cent energy efficiency and hence, leaves no carbon footprint.

Due to the economic downturn, there has been an increase in adoption of second-hand compressors. "Used compressors are priced much lower than new equivalents," explains Rajita. "Hence, they have become a viable alternative for local and niche end users. This trend, however, has resulted in a decrease in the total revenue potential of the market."

There is heightened focus on providing energy-efficient and easy-to-use designs in order to reduce operational costs. "Advanced technology that offers optimal efficiency will help immensely in achieving reduced energy consumption and carbon footprint," concludes Rajita.

If you are interested in more information about this study, please send an email to Joanna Lewandowska, Corporate Communications, at joanna.lewandowska[.]frost.com, with your full name, company name, title, telephone number, company email address, company website, city, state and country.

Strategic Analysis of the European Industrial Air Compressors Market is part of the Industrial Automation & Process Control Growth Partnership Services programme, which also includes research in the following markets: Strategic Analysis of the Pumps Market in the European Pharmaceutical Industry, Strategic Analysis of the Eastern European Pumps Market, Strategic Analysis of the European Positive Displacement Pumps Market and, Strategic Analysis of the Pumps Market in the European Oil and Gas Industry. All research services included in subscriptions provide detailed market opportunities and industry trends that have been evaluated following extensive interviews with market participants.

About Frost & Sullivan

Frost & Sullivan, the Growth Partnership Company, enables clients to accelerate growth and achieve best-in-class positions in growth, innovation and leadership. The company's Growth Partnership Service provides the CEO and the CEO's Growth Team with disciplined research and best-practice models to drive the generation, evaluation, and implementation of powerful growth strategies. Frost & Sullivan leverages over 45 years of experience in partnering with Global 1000 companies, emerging businesses and the investment community from 40 offices on six continents.

Strategic Analysis of the European Industrial Air Compressors Market / M5C9-10

 
 
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Investments in Eastern Europe Open Up Growth Opportunities for Industrial Air Compressor Manufacturers Finds Frost & Sullivan

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