Residential Water Heater Market to Grow with a CAGR of 6.8% through 2029

Global Residential Water Heater Market continues to thrive due to factors such as technological advancements for energy efficiency, the preference for instantaneous hot water solutions, urbanization, and housing developments.

According to TechSci Research report, “Residential Water Heater Market - Global Industry Size, Share, Trends, Competition Forecast & Opportunities, 2029F”, the Global Residential Water Heater Market stood at USD 2.3 billion in 2023 and is anticipated to grow with a CAGR of 6.8% in the forecast period. The global residential water heater market has been experiencing substantial growth, driven by technological advancements, a surge in demand for energy-efficient solutions, and heightened awareness of water conservation. Residential water heaters are vital for providing hot water for daily activities such as bathing, cooking, and cleaning. As households worldwide aim to enhance comfort and energy efficiency, the market is evolving with innovations in design, technology, and functionality. This market includes various types of water heaters such as tankless, storage, heat pump, and solar models each catering to diverse consumer needs and preferences.

A major driver of this market is the increasing demand for energy-efficient appliances. With growing concerns about energy consumption and environmental impact, consumers are leaning towards water heaters that offer enhanced energy efficiency. Modern units are designed to minimize energy use and reduce utility costs through technologies like smart controls, high-efficiency heating elements, and improved insulation. For example, tankless water heaters, or on-demand heaters, provide hot water only when needed, avoiding the standby heat loss typical of traditional storage tank models. Similarly, heat pump water heaters use ambient air to heat water, presenting a more energy-efficient alternative to conventional electric models.

Rising awareness of water conservation and environmental sustainability is another crucial factor propelling the residential water heater market. As environmental concerns gain prominence, both consumers and governments are prioritizing reductions in water and energy consumption. High-efficiency water heaters with eco-friendly features are increasingly in demand as part of broader efforts to promote sustainable living. For instance, solar water heaters utilize solar energy to heat water, offering a renewable and low-impact alternative to traditional fossil fuel-based systems. The growing adoption of such green technologies highlights a broader trend towards sustainability in residential appliances.

Urbanization and the expanding middle class in emerging economies are also contributing to market growth. As urban areas develop and living standards improve, there is a heightened demand for modern and efficient residential appliances, including water heaters. Regions such as Asia-Pacific, Latin America, and Africa are experiencing rising disposable incomes and an increased focus on home comfort and energy efficiency, driving the adoption of advanced water heating solutions. Additionally, the growth of residential construction and renovation projects in these areas further supports market expansion, as new homes and renovations increasingly incorporate updated water heating technologies.

Consumer preferences are shifting towards more customized and versatile water heating solutions. The market now offers a variety of options tailored to different household needs, including compact models for smaller spaces, high-capacity units for larger homes, and systems designed for specific applications like underfloor heating. Furthermore, the availability of customization options—such as adjustable temperature settings and integrated filtration systems—allows consumers to choose products that best meet their specific requirements and preferences.

Browse over XX market data Figures spread through XX Pages and an in-depth TOC on "Global Residential Water Heater Market”

The global residential water heater market is segmented into type, energy source type, distribution channel, and region.

Based on energy source type, electric water heaters hold the dominant position due to their widespread adoption and convenience. Electric water heaters are favored for their easy installation, affordability, and reliable performance. They offer a straightforward solution for heating water, making them a popular choice for both new installations and retrofits. These units are available in various sizes and capacities, catering to diverse household needs. Additionally, advancements in electric water heater technology, such as improved insulation and energy-efficient heating elements, have enhanced their performance and reduced operational costs. Their compatibility with modern electrical systems and the absence of the need for venting make them a practical option for many residential settings. The combination of these factors, along with the growing emphasis on energy efficiency and ease of use, underscores the dominance of electric water heaters in the market.

Major companies operating in global Residential Water Heater market are:

• Rheem Manufacturing Company
• A.O. Smith Corporation
• Bradford White Corporation
• Noritz Corporation
• Rinnai Corporation
• Ariston Holding N.V.
• Navien Inc.
• Whirlpool Corporation
• Robert Bosch GmbH
• Spire Inc.

Download Free Sample Report

Customers can also request for 10% free customization on this report.

“Technological progress has notably influenced market growth. Innovations such as smart water heaters, which can be controlled remotely via smartphones or home automation systems, are gaining traction. These smart systems enable users to monitor and adjust settings from any location, optimizing energy usage and enhancing convenience. Furthermore, advancements in heating technologies, such as condensing and hybrid systems, have improved the efficiency and performance of water heaters, appealing to consumers seeking cost-effective and eco-friendly solutions. These technological enhancements not only improve user experience but also contribute to overall energy savings and environmental sustainability”, said Mr. Karan Chechi, Research Director of TechSci Research, a research-based management consulting firm.

“Residential Water Heater Market – Global Industry Size, Share, Trends, Opportunity, and Forecast, Segmented By Type (Storage Water Heaters, Non-Storage Water Heaters and Hybrid Water Heaters), By Energy Source Type (Electric, Gas, Solar and Others), By Distribution Channel (Offline and Online), By Region & Competition, 2019-2029F", has evaluated the future growth potential of global residential water heater market and provides statistics & information on market size, structure and future market growth. The report intends to provide cutting-edge market intelligence and help decision makers take sound investment decisions. Besides, the report also identifies and analyzes the emerging trends along with essential drivers, challenges, and opportunities in the global residential water heater market.

Contact Us-

TechSci Research LLC

420 Lexington Avenue, Suite 300,

New York, United States- 10170

M: +13322586602

Email: [email protected]

Website: www.techsciresearch.com