Europe Residential Water Heaters Market Size (2024 - 2029)

The Europe Residential Water Heaters Market is experiencing shifts due to the impact of COVID-19, which disrupted production and installation processes, affecting both demand and supply. The market size is influenced by the long-standing use of water heaters in European residences, driven by the region's relatively lower temperatures. Tankless water heaters, particularly gas and electric variants, dominate due to their energy efficiency and lower maintenance costs. Germany holds a significant portion of the market due to the high installation rate of these systems. The market's expansion is supported by government energy efficiency mandates, the replacement demand for existing units, and stringent EU building standards. Additionally, the adoption of advanced water heater technologies with enhanced features is expected to further boost the market size.

Market Size of Europe Residential Water Heaters Industry

Europe Residential Water Heaters Market Growth
Study Period 2020 - 2029
Base Year For Estimation 2023
Forecast Data Period 2024 - 2029
Historical Data Period 2020 - 2022
CAGR 3.00 %
Market Concentration Medium

Major Players

Europe Residential Water Heaters Market Key Players

*Disclaimer: Major Players sorted in no particular order

Europe Residential Water Heaters Market Analysis

COVID - 19 had a drastic impact across the European region and it has disturbed the overall production and installation programs of Electric Water Heaters across the continent. Moreover, the manufacturers have undergone a major downturn in their business cycle as the effects of COVID - 19 have affected both the demand and supply sides.

The Water Heaters are being used in the European residencies from a long time. One of the major reason is relatively lower temperatures across the continent. Of all the Water Heaters used, Tankless Water Heaters are used by a large percentage of the people in Europe, due to the simple installation and less maintenance cost. High energy efficiency of tankless water heater systems when compared with conventional storage units is expected to foster the product demand in the coming years. Germany accounts for the major share of the market owing to the maximum number of installations of tankless Water Heaters in the region. Gas tankless water heater has occupied 54% share of European market whereas 46% is occupied by electric tankless water heaters. However, Electric Water Heaters have achieved high penetration in European market in past few years.

The market growth is further expected to substantiate on account of government mandates pertaining to energy efficiency along with growing demand for replacement of existing Water Heaters. Stringent building standards as per EU towards installation of star rated heating systems will further complement the market scenario. Moreover, adoption of advanced Water Heater units with facilitated water filtration system, corrosion resistance as well as integrated monitoring and remote-control devices will positively influence the industry outlook. All these factors are expected to enhance the market further.

Europe Residential Water Heaters Industry Segmentation

Hot water heaters are appliances used to heat water and to keep it at a more or less constant elevated temperature. A complete background analysis of the Europe Residential Water Heaters Market, which includes an assessment of the economy and contribution of sectors in the economy, market overview, market size estimation for key segments, and emerging trends in the market segments, market dynamics, and logistics spending by the end-user industries, is covered in the report. Europe Residential Water Heaters Market is segmented By Product Type(Storage Water Heaters, Non-Storage Water Heaters and Hybrid Water Heaters), By Energy Source Type(Electric, Gas, Solar and Others), By Capacity(Small Water Heater, Medium Water Heater and Large Water Heater), By Distribution Channel (Multi-Branded Stores, Exclusive Stores, Online Stores and Other Distribution Channels) and By Geography (United Kingdom, Germany, France, Italy,Russia and Rest of Europe).

By Product Type
Storage Water Heaters
Non-Storage Water Heaters
Hybrid Water Heaters
By Energy Source
Electric
Gas
Solar
Others
By Capacity
Small Water Heater
Medium Water Heater
Large Water Heater
By Distribution Channel
Multi-Branded Stores
Exclusive Stores
Online Stores
Other Distribution Channels
By Geography
United Kingdom
Germany
France
Italy
Russia
Rest of Europe
Need A Different Region Or Segment?
Customize Now

Europe Residential Water Heaters Market Size Summary

The European residential water heaters market is experiencing a transformative phase, influenced by various factors including the aftermath of the COVID-19 pandemic, which disrupted production and installation processes. The market is characterized by a significant preference for tankless water heaters, particularly in Germany, due to their energy efficiency and lower maintenance costs compared to conventional storage units. The dominance of gas tankless water heaters, which offer instant heating and are cost-effective, is notable, although electric water heaters have seen increased penetration in recent years. The market is further bolstered by government mandates on energy efficiency and the growing need to replace outdated systems, alongside stringent EU building standards that promote the installation of star-rated heating systems. The adoption of advanced water heater units with features like water filtration, corrosion resistance, and remote monitoring is also expected to enhance market growth.

The market concentration is high in countries such as Germany, Italy, and France, driven by urbanization, cooler climates, and high income levels. In Germany, a significant portion of energy consumption in residential buildings is dedicated to water heating, with natural gas and oil being the primary fuels. The demand for water heaters is also fueled by ongoing construction activities in France and Italy. The market is moderately consolidated, with major players like A.O. Smith, Bosch, Nortiz Corporation, GE Appliances, and Bradford White holding significant shares, alongside local players. Recent strategic moves, such as A.O. Smith's acquisition of Atlantic Filter Corporation and GE Appliances' establishment of a new manufacturing plant, highlight the industry's focus on innovation and expansion. These developments are expected to contribute to a more evenly distributed market landscape in the coming years.

Explore More

Europe Residential Water Heaters Market Size - Table of Contents

  1. 1. INDUSTRY DYNAMICS AND INSIGHTS

    1. 1.1 Market Overview

    2. 1.2 Market Drivers

    3. 1.3 Market Restraints

    4. 1.4 Value Chain / Supply Chain Analysis

    5. 1.5 Industry Attractiveness - Porters 5 Force Analysis

      1. 1.5.1 Threat of New Entrants

      2. 1.5.2 Bargaining Power of Buyers/Consumers

      3. 1.5.3 Bargaining Power of Suppliers

      4. 1.5.4 Threat of Substitute Products

      5. 1.5.5 Intensity of Competitive Rivalry

    6. 1.6 Insights of Technology Innovations in the Market

    7. 1.7 Impact of COVID-19 on the Market

  2. 2. MARKET SEGMENTATION

    1. 2.1 By Product Type

      1. 2.1.1 Storage Water Heaters

      2. 2.1.2 Non-Storage Water Heaters

      3. 2.1.3 Hybrid Water Heaters

    2. 2.2 By Energy Source

      1. 2.2.1 Electric

      2. 2.2.2 Gas

      3. 2.2.3 Solar

      4. 2.2.4 Others

    3. 2.3 By Capacity

      1. 2.3.1 Small Water Heater

      2. 2.3.2 Medium Water Heater

      3. 2.3.3 Large Water Heater

    4. 2.4 By Distribution Channel

      1. 2.4.1 Multi-Branded Stores

      2. 2.4.2 Exclusive Stores

      3. 2.4.3 Online Stores

      4. 2.4.4 Other Distribution Channels

    5. 2.5 By Geography

      1. 2.5.1 United Kingdom

      2. 2.5.2 Germany

      3. 2.5.3 France

      4. 2.5.4 Italy

      5. 2.5.5 Russia

      6. 2.5.6 Rest of Europe

Europe Residential Water Heaters Market Size FAQs

The Europe Residential Water Heaters Market is projected to register a CAGR of greater than 3% during the forecast period (2024-2029)

A.O. Smith, Bosch, Nortiz Corporation, GE Appliances and Bradford White are the major companies operating in the Europe Residential Water Heaters Market.

Europe Residential Water Heaters Market Size & Share Analysis - Growth Trends & Forecasts (2024 - 2029)