Smart Elevator Market Size, Share & Trends Analysis Report By Component (Control System, Maintenance System, Communication System), By Application (Residential, Commercial, Institutional, Industrial), By Region, And Segment Forecasts, 2024 - 2030

Smart Elevator Market Size & Trends

The global smart elevator market size was valued at USD 10.8 billion in 2023 and is projected to grow at a CAGR of 7.2% from 2024 to 2030. The awareness of energy use is among the main causes of the transition from conventional to smart elevators. New installations of gearless permanent magnet synchronous (PMS) traction machines are gradually increasing owing to their efficiency which is about 50% less than geared machines. Besides this, smart elevators are very glossy by featuring a regenerative drive mechanism that is capable of slashing energy consumption by as much as half and generating power to the building power supply.

The industry is propelled by a confluence of factors, including the growing demand for automation, energy efficiency, and advanced security features. The integration of Internet of Things (IoT) and artificial intelligence (AI) technologies in elevators has significantly improved automation, resulting in enhanced efficiency, reduced wait times, and optimized operations during peak hours. Furthermore, the increasing awareness of energy consumption and the need for sustainable building solutions is driving a shift from traditional elevators to energy-efficient smart elevators, which can reduce energy usage by up to half.

Another key driver of the smart elevator market is the growing construction of high-rise buildings, which requires advanced elevator systems that can efficiently handle vertical transportation. In addition, the need to modernize existing elevator systems is driving demand, as building owners seek to improve safety and operational efficiency. The incorporation of user-friendly technologies, such as touchless operation via smartphone apps and real-time monitoring, has also contributed to the popularity of smart elevators among builders and occupants.

The smart elevator market is poised for significant growth due to these factors. The increased adoption of IoT technology provides better performance, predictive maintenance, and a new user-friendly interface for elevators. The population growth in urban regions is also driving demand for efficient and cost-effective transportation solutions that prioritize energy efficiency and minimize waiting times. Moreover, smart elevators ensure safety and security through biometric and facial recognition technologies, as well as real-time monitoring and predictive maintenance capabilities. As a result, smart elevators have become a crucial component of modern building infrastructure, driving growth in the market and providing a competitive edge for builders and property developers.

Component Insights

Communication systems dominated the market with a revenue share of 36.7% in 2023. The integration of IoT technology in the industry has been instrumental in connecting communication systems, enabling real-time monitoring, data acquisition, and analysis. This connectivity enhances predictability, facilitates issue diagnosis, and optimizes operations. Moreover, advanced communication systems in smart elevators guarantee improved safety and security through enhanced threat detection and emergency response capabilities.

Maintenance systems are expected to register the fastest CAGR of 7.7% over the forecast period. Maintenance services in the market encompass proactive and ongoing processes to ensure seamless operations and optimal performance. Regular checks, monitoring, and repairs guarantee the reliability and safety of these sophisticated systems, particularly critical for passenger safety. Advanced diagnostic tools and sensors enable early issue detection, preventing equipment failure and minimizing downtime.

Application Insights

The commercial segment dominated the smart elevator market with a revenue share of 47.2% in 2023. This segment encompasses office buildings, shopping malls, hotels, and other complex properties. High-capacity elevators with advanced features like destination control systems optimize traffic flow, boosting productivity and tenant satisfaction. Energy-efficient components and occupancy sensors also reduce costs and support sustainability goals, benefiting building owners and managers.

The industrial segment is expected to register the fastest CAGR of 9.1% in the forecast period. In industrial settings, smart elevators enhance productivity by facilitating the movement of goods and personnel in manufacturing plants, warehouses, and logistics parks. Designed for heavy use, these elevators feature freight transportation, automated loading, and industrial safety measures to ensure seamless production. Integration with telemonitoring, predictive maintenance, and industrial automation systems boosts reliability and efficiency, driving growth in the industrial sector.

Regional Insights

North America smart elevator market is expected to register significant growth in the global smart elevator market between 2024 and 2030, aided by the region’s strong economy, urbanization, and infrastructure development. The demand for efficient vertical transportation solutions is increasing, while mandatory construction codes focusing on energy efficiency and accessibility are encouraging the adoption of smart elevators in commercial and residential buildings across the region

U.S. Smart Elevator Market Trends

The smart elevator market in the U.S. dominated the North America smart elevator market with a revenue share of 79.1% in 2023. The U.S. has been one of the most technologically advanced nations, especially in smart technologies. It has a developed infrastructure that supports approaches to the development of new technologies, research, and innovations in the sphere of smart elevators.

Asia Pacific Smart Elevator Market Trends

Asia Pacific smart elevator market dominated the global smart elevator market with a revenue share of 43.3% in 2023. The dominance can be the result of the urbanization rate, population, and infrastructure development projects in countries like China, India Japan, and others. Population in general in the region increases the need for high-rise establishments hence increasing the need for smart technology in elevators.

Smart elevator market in China is expected to grow rapidly in the coming years. The country has been increasing its rate of urbanization and industrialization, and hence there is an increase in the construction of high-rise buildings. Thus, seeing several new constructions involving skyscrapers and high-rise buildings people have been looking for enhanced elevator solutions, smart elevators included.

Europe Smart Elevator Market Trends

Europe smart elevator market has a significant share of the global smart elevator market. Growth in the region is marked by tough regulatory frameworks, eco-friendly practices, and information technology advances. Moreover, due to growing public attention to the aging population of the region and accessibility concerns smart elevators with features corresponding to the people’s necessity and safety and convenience of the public and commercial buildings’ occupancy are being in demand.

Smart elevator market in Germany commanded a significant share of the Europe smart elevator market in 2023, leveraging the country’s reputation as a global hub for engineering and technological innovation. German companies have pioneered smart elevator solutions, integrating IoT and AI technologies to boost efficiency, security, and user experience. This expertise has cemented Germany’s position as a leader in the global smart elevator market.

Latin America Smart Elevator Market Trends

The Latin America smart elevator market is expected to register significant growth with a CAGR of 7.3% over the forecast period. Increase in urbanization, infrastructure development, and favorable government policies in Latin America concerning the enhancement of mobility and sustainability driving market growth. Furthermore, increased disposable income and the increase in consumers’ quality of life return more demands for up-to-date facilities and luxury buildings, which means more potential for smart elevators in the premium segment.

Smart elevator market Brazil is experiencing lucrative growth in the Latin America smart elevator market, driven by rapid urbanization and infrastructure development. The increasing demand for high-rise buildings and commercial complexes is fueling the need for efficient vertical transportation solutions. Smart elevators with advanced features like destination control and predictive maintenance are enhancing operational efficiency and passenger experience, aligning with Brazil’s focus on energy efficiency and sustainability.

Key Smart Elevator Company Insights

Some of the key companies in the smart elevator market include Bosch Security Systems, LLC.; FUJITEC CO., LTD.; Hitachi, Ltd.; HYUNDAIELEVATOR CO.,LTD.; KONE Corporation Finland; and Mitsubishi Electric Corporation; among others. Major companies are utilizing IoT and AI to improve elevator efficiency and user experience, driving innovation through product development, strategic partnerships, and expanded service offerings, while new entrants introduce specialized solutions, fostering competition and technological advancements across sectors.

• Robert Bosch GmbH is a provider of technology and services with a strong focus on innovation, sustainability, and improving quality of life. The company operates in various sectors, including mobility, industrial technology, consumer goods, and energy and building technology.

• PHINIA Inc. is a provider of premium solutions and components, specializing in fuel systems and aftermarket products. With over 100 years of manufacturing expertise and industry relationships, company primary focus is on developing sustainable solutions for internal combustion engines, while also investing in technologies for alternative fuels to work towards achieving carbon neutrality.

Recent Developments

• In July 2024, FUJITEC CO., LTD. opened a new sales office in Ahmedabad, India, to expand its sales in the region and establish a multi-brand strategy.

• In July 2024, Hitachi Elevator Asia Pte. Ltd. was awarded the largest contract in Singapore to supply, and consequently install, 450 lifts for high-rise residential buildings by the Housing & Development Board, surpassing previous orders.

• In April 2024, Bosch showcased its visual and audio intelligence solutions enhancing security, safety, and operations across industries at the ISC West 2024. The company demonstrated its edge-based analytics, video cameras, and Intelligent Video Analytics Pro (IVA Pro) offerings for secure perimeters, building safety, and data-driven decision-making.

Smart Elevator Market Report Scope

Global Smart Elevator Market Report Segmentation

This report forecasts revenue growth at global, regional, and country levels and provides an analysis of the latest industry trends in each of the sub-segments from 2018 to 2030. For this study, Grand View Research has segmented the global smart elevator market report based on component, application, and region.

• Component Outlook (Revenue, USD Million, 2018 - 2030)

  • Control System

  • Maintenance System

  • Communication System

  • Others

• Application Outlook (Revenue, USD Million, 2018 - 2030)

  • Residential

  • Commercial

  • Institutional

  • Industrial

• Regional Outlook (Revenue, USD Million, 2018 - 2030)

  • North America

    • U.S.

    • Canada

    • Mexico

  • Europe

    • UK

    • Germany

    • France

  • Asia Pacific

    • China

    • Japan

    • India

    • Australia

    • South Korea

  • Latin America

    • Brazil

  • Middle East and Africa (MEA)

    • South Africa

    • Saudi Arabia

    • UAE