The increasing adoption of light-emitting diodes (LEDs), increasing demand for customized smart homes, reducing prices of LEDs, development of smart cities, and upcoming mega projects are the major growth drivers for the Saudi Arabian lighting market. Due to the aforementioned factors, the industry is projected to generate $3,577.0 million revenue in 2030 and advance at a CAGR of 10.2% during 2020–2030.
During COVID-19, preventive measures, such as lockdowns and import barriers, led to a significant decline in the growth rate of the market for lighting in Saudi Arabia. This was because of the postponement of commercial and industrial projects in the country. Moreover, the low availability of raw materials for manufacturing light casings and chips affected product supply. However, the industry is recovering in 2021, having already recorded significantly higher sales than in 2020.
The lighting market in Saudi Arabia is categorized into fixture and control, based on component. Of these, the fixture category dominated the market during the historical period (2015–2020). Further, the category is likely to retain its position during the foreseeable future owing to the large number of ongoing construction projects to meet the country’s 2030 target. Further, the lowering cost of LED and organic light-emitting diode (OLED) fixtures is encouraging more individuals to spend on lighting products.
Moreover, the market for lighting in Saudi Arabia is categorized into wired and wireless, based on technology. Out of these, the wireless category is projected to showcase the faster growth during the forecast period (2021–2030). As such lights do not require wires, users can position them specifically to save energy and money. This is because these systems can be installed at greater distances than allowed by wired variants.
Players in the lighting market of Saudi Arabia are involved in product launches to gain a significant position. For instance, in April 2019, the latest collection of distribution boards, cables and wires, switches and sockets, switch and junction boxes, service boxes, and lighting products was launched by Alfanar Group at the IEE Conference.
Major players operating in the lighting industry of Saudi Arabia are Al Nasser Group, LEDVANCE GmbH, Alfanar Group, NVC International Holdings Limited, OPPLE Lighting Co. Ltd., CINMAR Lighting Systems, Huda Lighting, Al AbdulKarim Holding, Zumtobel Group AG, Signify N.V., TRILUX GmbH & Co. KG, and National Lighting Company.