US LED Downlight Market to Reach US$ 6.3 Billion by 2027, Propelled by Increasing Demand for Eco-Friendly Lighting Systems

August 08, 2022

According to the latest report by IMARC Group, titled “US LED Downlight Market: Industry Trends, Share, Size, Growth, Opportunity and Forecast 2022-2027," the US LED downlight market reached a value of US$ 3.9 Billion in 2021. Light-emitting diode (LED) downlights are energy-efficient recessed light fixtures exclusively affixed into a hollow opening in a ceiling to illuminate a specific indoor environment. As compared to conventional lighting systems, such as incandescent lamps, LED downlights offer a relatively longer lifespan, better heat dissipation, minimal energy consumption, and low maintenance costs. Along with this, LED downlights are eco-friendly, customizable, easy to install, have flexible designs, and can be utilized with accent lighting to enhance the overall appearance of the space. On account of these properties, they are extensively installed in kitchens, offices, living rooms, shopping malls, hospitals, showrooms, and living rooms.

We are regularly tracking the direct effect of COVID-19 on the market, along with the indirect influence of associated industries. These observations will be integrated into the report.

US LED Downlight Market Trends:

One of the key factors driving the market growth is the ongoing construction activities across the United States, which, in turn, has intensified the widespread product adoption across various residential and commercial spaces. LED downlights can endure external shocks, vibrations, and extreme weather conditions, making them most suitable for outdoor environments. In line with this, the rising environmental concerns and awareness about the sustainable properties of LED lighting solutions have further promoted their uptake in the country to mitigate carbon emissions, which is supporting the market growth. Furthermore, they are recyclable and lack mercury which helps in easier clean-up post-breakage, lowers toxicity, and reduces the contribution to landfills. Additionally, the advent of compact-sized LED downlights that consume lower amounts of electricity is acting as another growth-inducing factor. This can be further supplemented by the growing popularity of LED retrofitting, owing to their excellent lumen power and better service life at less wattage. Other factors, such as extensive celebrity endorsements and marketing techniques by brands, continuous research and development (R&D) activities, and strategic collaborations amongst key players to introduce customizable LED downlights with enhanced efficacy, are positively stimulating the market growth across the country. On account of the aforementioned factors, the market is anticipated to reach a value of US$ 6.3 Billion by 2027, growing at a CAGR of 8% during 2022-2027.

Market Summary:

  • On the basis of the product type, the market has been bifurcated into luminaire, and lamp and retrofits.
  • Based on the application, the market has been segregated into retrofit, retail & hospitality, outdoor, offices, architectural, residential, manufacturing, and others.
  • On a regional basis, the market has been segmented into South, West, Northeast and Midwest US.
  • The competitive landscape of the industry has also been examined, with some of the key players being Acuity Brands Inc., Bridgelux Inc., Cree Inc., Eaton Corporation, Everlight Electronics, Feit Electric Company Inc., General Electric Company, Hubbell Incorporated, Lsi Industries, Osram Licht Ag, Phillips Electronics and Samsung Electronics Co. Ltd. 

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US LED Downlight Market to Reach US$ 6.3 Billion by 2027, Propelled by Increasing Demand for Eco-Friendly Lighting Systems
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