Los Angeles, CA (PRWEB) June 03, 2014
On a scale of one to five, air purifiers and cleaners have a buyer power score of 2.6. According to IBISWorld analyst Sean Windle, this score indicates a mostly shared power balance between buyers and suppliers, albeit with a slight advantage to buyers.
Over the past three years, the biggest advantage for buyers has been weak price growth. Despite the postrecession surge in demand, especially from nonresidential construction markets, declining steel prices have kept growth in the price of air purifiers and cleaners in check, continues Windle. Steel is a primary input material used to manufacture these products and, as such, has a significant impact on price. Buyers also benefit from the low level of market share concentration, which fosters price competition among US suppliers competing for business. Strong import competition also supports price competition, because US suppliers must keep prices low to compete with low-cost goods from suppliers in Mexico and China. Major suppliers include Emerson Electric Co., Helen of Troy Limited and Honeywell International Inc.
The biggest threat to buyer power is high price driver volatility. Price drivers, such as nonresidential construction activity and steel prices, have exhibited significant volatility over the past three years. Fortunately for buyers, year-to-year changes in product prices have been stable, thanks in part to import competition and the fragmented nature of the market, which foster price competition. Additionally, buyers will likely face much stronger price growth over the next three years: rebounding economic growth, a focus on environmental sustainability and increasingly dense populations in international markets are expected to drive demand for air purifiers and cleaners heading into 2017. Also, higher steel prices over the next three years will push product prices higher. For more information, visit IBISWorld’s Air Purifiers & Cleaners procurement category market research report page.
Follow IBISWorld on Twitter: https://twitter.com/#!/IBISWorld.
Like IBISWorld on Facebook: http://www.facebook.com/pages/IBISWorld/121347533189.
IBISWorld Procurement Report Key Topics
This report is intended to assist buyers of air purifiers and cleaners. These products include devices used for removing contaminants from the air. Such air pollutants could include airborne particles, gases, volatile organic compounds or microorganisms. Impurities can be removed by means of filtering, scrubbing or electrostatic precipitation. These devices can be used in commercial and industrial settings as stand-alone units, or as part of a larger purification system. Air purifiers and cleaners can be bought through manufacturers, wholesalers and retailers. This report does not cover air-conditioning equipment, warm air heating equipment, fans, blowers or automotive components.
Recent Price Trend
Product Life Cycle
Total Cost of Ownership
Supply Chain & Vendors
Supply Chain Dynamics
Supply Chain Risk
Market Share Concentration
Buying Lead Time
Key RFP Elements
Buyer Power Factors
About IBISWorld Inc.
IBISWorld is one of the world's leading publishers of business intelligence, specializing in Industry research and Procurement research. Since 1971, IBISWorld has provided thoroughly researched, accurate and current business information. With an extensive online portfolio, valued for its depth and scope, IBISWorld’s procurement research reports equip clients with the insight necessary to make better purchasing decisions, faster. Headquartered in Los Angeles, IBISWorld Procurement serves a range of business, professional service and government organizations through more than 10 locations worldwide. For more information, visit http://www.ibisworld.com or call 1-800-330-3772.