African region has emerged as one of the most prime destinations for the global investors. Countries such as South Africa, Kenya, Nigeria, Morocco, and Egypt have led for the growth of African market. In Africa, Nigeria is witnessing sustained economic growth with annual real GDP growth rate of around 7% due the intensifying oil and non-oil sectors. In non-oil sector, real estate market is growing at a healthy growth rate on account of rising public and private investments.
According to 6Wresearch, Nigeria Air Conditioner Market is projected to grow at a CAGR of 5.7% during 2016-22. Though, the market recorded significant growth during 2010-14, however, in the year 2015, Nigerian air conditioner market declined on the back of slumping global oil prices and weak economic conditions. Further, several projects were on hold due to elections in the country, which resulted into this decline.
Nigeria air conditioner market is highly import driven, where large number of international players are importing products in the country. Rising construction activities has played a significant role for the growth of the air conditioner market. Upcoming projects such as Lagos Metro, Eko Atlantic City, Warri Industrial Business Park, World Trade Centre and Landmark Towers would spur the market for air conditioners in the forecast period.
According to Avishrant Mani, Senior Research Analyst, Research and Consulting, 6Wresearch, “Residential and Commercial Office verticals are the major revenue contributing verticals in the overall market. Large number of residential and commercial building projects are under construction in Lagos and Abuja cities.”
“Moreover, growing middle class population along with rising urbanization, would drive air conditioner market in the country. Also, emerging organized retail sector is further expected to boost the demand for air conditioners. Retail projects including Lekki Peninsula Mall, Falomo Shopping Center and Sunrise Hills Mall are anticipated to impact commercial air conditioner market demand,” Avishrant further added.
According to Sathi Paul, Research Associate, Research and Consulting, 6Wresearch, “Southern region is the key revenue generating region in Nigeria’s air conditioner market due to growing construction activities and urbanization. Lagos, which is the biggest city and also known as commercial center of Nigeria has contributed for its large revenue share.
In air conditioner market, split air conditioner segment has dominated the market and would lead through the forecast period. Over the next six years, centralized air conditioner segment would grow at a healthy rate owing to growing commercial infrastructure,” Sathi concluded.
Some of the companies in air conditioner market include – Carrier, Panasonic, Chigo, Daikin, Johnson Controls (York), LG, Midea, Qingdao Haier, Samsung and Trane.
“Nigeria Air Conditioner Market (2016-2022)” provides in depth analysis with 38 figures and 9 tables covered in more than 114 pages. The report estimates and forecast overall Nigeria air conditioner market by revenue, type segments Window AC, Split AC, Cassette AC, Floor Standing AC, Packed AC, Ducted AC and Centralized air conditioner. Verticals such as residential, commercial office, retail, industrial, hospitality and others. The study highlights the key potential areas and provides insights on competitive landscape, company profiles, market drivers and restraints.