Energy-Efficient Lighting Systems Illuminate the Future of the Market

The global outdoor lighting market is expected to grow from $12.44 billion in 2022 to $13.49 billion in 2023 at a compound annual growth rate (CAGR) of 8.4%. The outdoor lighting market is expected to reach $17.97 billion in 2027 at a CAGR of 7.4%.

The outdoor lighting market research report is one of a series of new reports that provides outdoor lighting market statistics, including outdoor lighting industry global market size, regional shares, competitors with a outdoor lighting market share, detailed outdoor lighting market segments, market trends and opportunities, and any further data you may need to thrive in the outdoor lighting industry.

Outdoor lighting encompasses several types, including LED lights, high-intensity discharge (HID) lamps, fluorescent lights, and plasma lamps. LED lights, or light-emitting diode lights, function by passing an electrical current through a microchip to produce illumination.

These outdoor lighting solutions come complete with fixtures and controls tailored for various applications, ranging from street lighting, tunnel lights, highways, parking lots, parks, and stadiums to building exteriors and more. These lighting products are distributed through both offline and online channels.

The outdoor lighting market is experiencing significant growth, driven by the increasing adoption of energy-efficient lighting systems. Energy-efficient lighting involves the use of environmentally friendly lighting solutions, such as LEDs and CFL bulbs. Additionally, it incorporates the utilization of alternative energy sources like solar power, particularly suited for outdoor lighting, where solar panels can supply the needed energy.

A noteworthy example is the New York state government's initiative in September 2021 to replace 286,000 streetlights with energy-efficient LEDs, with plans to replace half a million more by 2025. Furthermore, in 2022, the U.S. government enacted the Inflation Reduction Acts of 2022, offering tax deductions to homeowners, builders, and businesses adopting energy-efficient lighting options. This trend underscores the growing adoption of energy-efficient lighting systems, propelling the outdoor lighting market.

Smart outdoor lighting represents another prominent trend gaining traction in the market. Major players in the industry are introducing advanced smart lighting products based on technologies like AirGlow outdoor lighting control, positioning themselves to maintain their market positions.

In terms of geographical distribution, North America emerged as the largest region in the outdoor lighting market in 2022, while Asia-Pacific is expected to witness the most rapid growth in the forecast period. The report covers countries including Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, the UK, and the USA.