Demand for elevators will come with infra build up
The market for elevators and escalators will see demand only when infrastructure and residential projects are in full swing
Each time a high-rise or an airport or a mall project is announced, elevators and escalators manufacturers must smile. After all, these, and other, locations are some of the places where their products find utility. And not just utility. But an opportunity to install modern and some of the latest models.
The global elevators and escalators market is expected to exhibit a strong 6.01% CAGR over 2017 to 2023, according to a report by Market Research Future.
The global elevators and escalators market has mainly been driven by the growing demand for urban infrastructure in emerging economies. The growing demand for residential and commercial construction in these regions is likely to be a major driver for the global elevators and escalators market over the forecast period, as this is likely to remain the key demand avenue for elevators and escalators in the coming years. The growing demand for walkways and escalators in commercial complexes such as supermarkets and shopping malls is also likely to be a major driver for the elevators and escalators market in emerging regions over the forecast period, as the number of such complexes is likely to grow over the forecast period due to the increasing interest among consumers in these regions.
In large metros, buildings continue to grow taller. The taller the building, the more challenging it is to design and install the elevators. With increasing heights speed becomes the essence to beat the queue being created outside elevators of high-rise buildings and this calls for a pre-emptive planning while designing the buildings.
Making new possible
Density of a city is directly proportional to the height of the buildings and this leads to overall infrastructure development. With the cities growing and taller residential and commercial structures coming up, one can see a general development in the overall infrastructure in the cities. All this brings with it a wider market base to cater to for its horizontal and vertical mobility.
Sebi Joseph, president, Otis India, says, “Of all the reasons, urbanisation has been the key factor in increasing demand for the mid-rise to high-rise buildings. As it continues to expand, the need for housing and commercial space will grow, and we expect India’s elevator industry will continue to grow just as rapidly.”
Speaking about modern elevators and escalators, he adds that digitalisation plays a major role in today’s products. In this light, the company has significantly increased R&D investment and has begun looking at software engineers, data analysts and artificial intelligence experts, as the company transforms to a digital industrial. The idea is to enable customers with latest technologies and also help the company at the backend act to the best of its ability in terms of service and communication.
Another large and global manufacturer, Schindler India, has also been helming novel technologies in its products and services. Ashok Ramachandran, president, Schindler India and South Asia, says, “We have been a B2B organisation and our focus has always been customer satisfaction and creating value for the stakeholders. With Schindler Ahead, we have entered the B2C segment, enabling a range of digital products and services for creating smart elevators and escalators of the future. Our new Digital OOH Advertising solution will enable elevators and escalators to open advertisement avenues for businesses and connecting to masses via digital media.”
The IoT based system “Schindler Ahead” the first digitally connected closed-loop maintenance, emergency and information system for elevators and escalators. This system provides real-time insights through machine learning and makes it possible to offer predictive maintenance. At the centre is “Ahead Cube” a smart communication gateway installed on each connected unit. The Ahead cube runs analytics and transmits data with over-the-air (OTA) functionality. Schindler 5500 and 7000 elevators come in a wide range of premium car decor finishes, a plethora of customisable buttons to choose from including car control panels, landing operating panels, ceiling and floor designs. Apart from offering mechanical push style buttons, Schindler is also now leading in the area of touchless travel through its PORT technolog y.
The market beckons
Construction Week also spoke to developers to understand their view of procurement of premium products such as elevators/escalators.
Haroon Siddiqui, VP, corporate head MEP, Rustomjee Group, says, “Project delays are not uncommon last couple of years. Moreover, with regulatory authorities compelling developers to finish projects on time, it has become even tougher, especially when banks are reluctant to close deals. To avoid any unpleasant situations, we ensure that expensive products used in premium apartments are sourced after the design has been finalised.”
Similarly, Rohit Poddar, MD, Poddar Housing and Development, and joint secretary, NAREDCO Maharashtra, says, “Developers are finding it increasingly difficult to source products when there’s so much uncertainty in the market. An ideal situation would be to establish a rapport with vendors so as to place orders, but one that enables them to pick up as and when the project progresses. Sometimes, this is not possible. However, a thorough plan and pre-launch bookings gives a sense of confidence and that can only come with a stable market situation.”
Manufacturers too, on their part, touch base regularly with builders and architects at the planning stage itself. This helps them provide the most space efficient and cost-effective solutions which leads to higher passenger capacities, lesser waiting times, more rentable space, etc. Its experts work closely with customers to plan, deliver and install elevators, customised to building needs.
The elevator and escalator manufacturing companies’ technological advances are one step ahead of the future demands. They anticipate and assess a project’s design & technical requirements, in terms of engineering and installation of the equipment, and accordingly augment teams with the skilled technical manpower to execute the same in the scheduled time.
Some major government initiatives like “Housing for All by 2022”, Smart Cities Mission are a big hope for the real estate industry. In addition, there is a strong focus on sectors like healthcare, shopping malls, retails, commercial spaces, etc. All elevator and escalator companies aim to bring highly innovative and user-friendly mobility solutions and to deliver these to the Indian market. India is also a place where there are a growing number of high-rise projects which are leading to an increased demand for high-speed and energy-efficient elevators.