Elevator and Escalator Market Size, Share, Growth & Industry Analysis, By Product Type (Elevators (Passenger, Freight, Home), Escalators), By Service Type (Installation, Maintenance, Modernization), By End-User (Residential, Commercial, Industrial, Infrastructure, Others), and Regional Analysis, 2024-2031

Elevator and Escalator Market: Global Share and Growth Trajectory

The global Elevator and Escalator Market size was valued at USD 90.36 billion in 2023 and is projected to grow from USD 96.87 billion in 2024 to USD 162.27 billion by 2031, exhibiting a CAGR of 7.6% during the forecast period.

The global market is experiencing robust growth, driven by increasing urbanization, infrastructure development, and the rising demand for modern and efficient transportation systems in both residential and commercial spaces.

As cities expand and high-rise buildings become more prevalent, the need for advanced vertical transportation solutions is growing. This market includes a wide range of products such as passenger and freight elevators, escalators, moving walks, and other vertical transportation systems designed for a variety of applications, from buildings to airports, shopping malls, and hospitals.

Technological advancements in elevator and escalator systems, such as the integration of IoT (Internet of Things) for smart monitoring, energy-efficient designs, and the development of touchless and automation features, are transforming the market landscape. Consumers and businesses alike are increasingly seeking solutions that not only provide reliable transportation but also improve energy efficiency, reduce maintenance costs, and enhance user experience.

As the demand for eco-friendly solutions continues to rise, energy-efficient elevator and escalator systems that use regenerative drives and intelligent systems are becoming more popular, helping companies meet sustainability goals while improving operational efficiency.

The global market are seeing significant growth in both developed and emerging regions. In mature markets like North America and Europe, the demand is primarily driven by the modernization of existing infrastructure and the need for more energy-efficient systems.

Meanwhile, in Asia Pacific and Latin America, rapid urbanization, a booming real estate sector, and a growing middle class are contributing to the expansion of the market. The market is also benefiting from innovations in safety features, such as enhanced seismic sensors and predictive maintenance technologies, which are improving the overall reliability and lifespan of elevator and escalator systems.

Looking forward, the elevator and escalator market is expected to keep going up, with predictions showing good growth in both the commercial and residential parts. As technology keeps advancing and people want smarter, safer, and more energy-saving solutions, makers are thought to focus on making new products for these changing needs, ensuring growth and new ideas in the market.

Key Market Trends Driving Product Adoption

The market is being shaped by a number of factors:

• Urbanization and Infrastructure Development: Emerging economies are rapidly urbanizing and the number of building projects is rising. Because of this the demand for elevators and escalators is increasing speedily. Elevators and escalators are essential for high-rise buildings.
• Technological Developments: IoT and AI are unified into elevator and escalator systems. This integration is creating smarter, more efficient solutions and driving market growth.
• Energy-Efficient Solutions: Demand for sustainable solutions is growing. Energy-efficient elevator and escalator systems are therefore becoming increasingly popular.
• Safety and Comfort: Modern elevators and escalators now commonly offer enhanced safety features. These include automatic rescue devices, earthquake-resistant technologies, and advanced door sensors. Comfort features like noise reduction and smooth ride technology are also in high demand.

Major Players and Their Competitive Positioning

The elevator and escalator market is highly competitive, with several large companies dominating the industry. Major players such as Otis, Schindler, Kone, Thyssenkrupp, and Mitsubishi Electric are leading the market by offering innovative, energy-efficient, and customizable solutions. These companies are expanding their product portfolios and enhancing services. They are also strengthening their global presence through acquisitions, partnerships, and joint ventures. Furthermore, market competitiveness is being exacerbated by the rise of regional companies, especially in emerging nations where infrastructure development is rising.

Consumer Behavior Analysis

The adoption of elevator and escalator systems is primarily driven by several key factors:

• Space Optimization: Space is usually scarce in urban areas. In high-rise buildings, escalators and elevators give a practical option for vertical transport.
• Demand for Modernization: Modernization efforts are happening for several buildings. These projects are modernizing escalator and elevator systems to boost energy efficiency and follow safety regulations.
• Sustainability Concerns: Sustainability is becoming a main priority for both consumers and businesses. This is making escalator and elevator systems that are eco-friendly and energy-efficient more popular.

Pricing Trends

Pricing in the elevator and escalator market changes based on things like system type, technology, capacity, and customization. While traditional systems are usually cheaper, the need for advanced, energy-efficient, and smart systems is raising the price range for expensive products. Also, pricing is often affected by the region, as installation and maintenance costs can be very different in one country from another.

Growth Factors

Several key drivers are contributing to the growth of the market:

• Rapid Urbanization: There are more high-rise structures in urban settings. The need for escalator and elevator systems goes up because of that.
• Technological Innovations: Escalator and elevator solutions are using smart tech. This integration, which includes AI, IoT, and energy-efficient tech, is improving their performance and attractiveness.
• Rising Demand for Green Buildings: The use of sustainable building methods is getting more popular. The need for energy-saving escalator and elevator systems is growing because of this trend.
• Aging Infrastructure: Elevator and escalator systems in older buildings often are outdated. The need to update these systems is pushing the industry to expand.

Regulatory Landscape

Elevator and escalator systems must meet safety and quality standards. These standards are put in place by global regulatory bodies. Makers and service providers have to follow the rules. This includes regulations local and international, like the EU's Lift Directive. These regulations ensure user safety. They also make sure the reliability of elevator and escalator systems. Also, the increasing focus on sustainability is making energy efficiency standards stricter for new installations.

Recent Developments

The elevator and escalator market has witnessed several significant developments:

• Technological Integration: Smart technologies are being integrated by leading enterprises. To better monitor, boost efficiency, and cut downtime, IoT, AI, and predictive upkeep are getting put into their elevator and escalator systems.
• Sustainability Initiatives: Lots of makers are focusing on green, power-saving solutions. For instance, they are creating elevators with energy-saving regenerative motors.
• Expansion into Emerging Markets: Businesses are starting to enter markets that are in development. There are new opportunities for elevator and escalator systems because of the urbanization and development of infrastructure.

Current and Potential Growth Implications

a. Demand-Supply Analysis
The demand for elevators and escalators is linked with the growth that is happening in the construction industry. This growth is being seen, especially in the sectors residential, commercial, and industrial. Challenges on the side of supply might affect the growth that the market experiences. These challenges involve the availability in some regions of skilled workers and raw materials.

b. Gap Analysis

There are several opportunities within the elevator and escalator market:

• Modernization and Upgrades: A lot of buildings are still using old elevator systems. Modernizing outdated systems is a major opportunity.
• Energy-Efficient Solutions: The growing demand is for systems that are energy-efficient. This is creating chances for manufacturers to come up with ideas new and provide solutions that are sustainable.
• Emerging Markets: Emerging markets are quickly becoming more urbanized. This presents a significant growth opportunity for vertical transportation solutions.

Top Companies in the Elevator and Escalator Market

• Otis
• Schindler
• Kone
• Thyssenkrupp
• Mitsubishi Electric
• Hitachi
• Fujitec
• Hyundai Elevator
• Toshiba Elevator and Building Systems
• Canny Elevator

Elevator and Escalator Market: Report Snapshot

High Growth Segments

The following segments are expected to witness significant growth:

• Modernization Services: Older buildings often need modernized elevator and escalator systems. This need is driving demand in this market segment.
• Energy-Efficient Elevators: Sustainability is standing as a big concern. Because of this, elevators that are energy-wise, cut down on consumption, and boost efficiency are beginning to draw more focus.
• Smart Elevators: Smart technologies like IoT, AI, and remote monitoring are steering growth in the smart elevator market. This holds particularly true for high-rise structures and commercial hubs.

Major Innovations

Innovation in the elevator and escalator market is focused on improving safety, efficiency, and user experience:

• AI and IoT Integration: AI and IoT are weaving their way into elevator systems. This unlocks predictive upkeep, real-time oversight, and sharper energy stewardship.
• Green Building Solutions: Elevator systems, both eco-considerate and energy-mindful, are in the making. Variants boasting regenerative drives align with the swelling clamor for sustainability.
• Elevator Design: Novel configurations of elevators and escalators are bubbling up, showcasing cabins that are ampler, traffic orchestration that is keener, and comfort that is bolstered to sync with modern urban requisites.

Potential Growth Opportunities

Key growth opportunities in the market include:

• Expansion in Emerging Markets: Burgeoning urbanization in developing economies carves out an avenue that is substantial for broadening elevator and escalator solutions in these areas.
• Sustainability Trends: The clamour, mounting for green building certifications, is propelling the surge in elevator systems that are energy-efficient.
• Technological Advancements: Smart technologies and AI are undergoing an amalgamation into the systems of elevators and escalators. This coming together of technologies lays out a pivotal opening for ingenuity and standing apart in the market.

Kings Research says:

The elevator and escalator market is likely to continue its progression. This expansion is coming from technological strides, urban proliferation, and the urgent need for energy-saving solutions. To stay afloat in the constantly changing market, companies must balance sustainability with modern advancements.