Demand for Cordless Power Tools to Grow 6.4 Percent Annually through 2021
Demand for cordless electric tools is forecast to increase 6.4 percent per year to $7.6 billion in 2021, roughly in line with the pace of growth observed between 2011 and 2016. These products will continue to take market share from plug-in models and will reach 41 percent of the total in 2021. These and other trends are presented in “Global Power Tools Market, 9th Edition,” a new study from The Freedonia Group, a Cleveland-based industry research firm.
Ongoing improvements in cordless battery technology as well as the continuing replacement of nickel-based batteries with lithium-ion types will continue to improve cordless tool performance and thus prompt a greater number of cordless tool purchases. Investment on the part of power tool producers to manufacture an entire line of power tools around one battery architecture will also boost demand, as this further increases convenience by limiting the number of additional battery packs required on the job site. However, cordless products are expected to remain more expensive on average than similar plug-in models, restraining sales growth to an extent.
The demand for all types of power tools is forecast to grow 3.9 percent per year to $33.2 billion in 2021. According to analyst Elliott Woo, “Growth will be restrained by continued functional competition from hand tools, particularly in developing regions where the costs of manual labor are lower, consumer power tool ownership is out of the financial reach of much of the population, and access to electricity is limited and unreliable.”
“Global Power Tools Market, 9th Edition” (published 05/2017, 285 pages) is available for $6,500 from The Freedonia Group. For further details contact Corinne Gangloff at (440) 684.9600 or firstname.lastname@example.org.