Emergency Lighting Battery Market, By Battery Type (Lithium-ion Batteries, Nickel-Cadmium (NiCd) Batteries, Nickel-Metal Hydride (NiMH) Batteries, and Lead-Acid Batteries), By Application (Commercial, Residential, Industrial, Institutional, and Others), By End User (Retail, Healthcare, Education, Hospitality, and Others), By Geography (North America, Latin America, Asia Pacific, Europe, Middle East, and Africa)

Published In : Sep 2024

Code : CMI1766

Pages :151

Formats :

Excel and PDF

Industry : Semiconductors

Market Challenge - High initial costs of advanced battery technologies

Global emergency lighting battery market is currently being hindered by the high initial costs associated with newer advanced battery technologies. Transitioning to more advanced batteries like lithium-ion or nickel-cadmium batteries requires significant capital investments from businesses as the upfront costs of these batteries are much higher compared to conventional battery types. The payback period for such investments is also longer. This high upfront expenditure poses a major challenge for the adoption of advanced batteries, especially for small and medium enterprises with constrained capital budgets. Additionally, the advanced batteries are also more expensive to procure compared to lead-acid batteries which remain the standard choice for many due to their relatively low costs. Unless the costs of newer battery technologies come down significantly, it will be difficult for their widespread use in the emergency lighting market.

For instance, In August 2021, Saft Groupe S.A., a leading French manufacturer specializing in advanced battery technologies for industrial applications, announced its acquisition of a battery technology firm to enhance its product portfolio. This strategic move aims to bolster Saft's capabilities in developing innovative battery solutions, particularly in the growing sectors of renewable energy and electric mobility.

Market Opportunities - Technological advancements in battery efficiency and lifespan

One of the key opportunities for the global emergency lighting battery market lies in the ongoing technological advancements that are improving the efficiency and lifespan of different battery varieties. Innovation in materials, chemistries and manufacturing processes are enabling battery companies to develop solutions that store more energy, last longer and charge faster. For instance, the latest lithium-ion batteries now provide up to 3 times more energy density and life compared to earlier variants. Similarly, recent innovations are extending the useful life of nickel-cadmium batteries as well. Such continuous performance enhancements are expected to boost the uptake of advanced batteries as they provide higher value proposition over the long run through lower daily operating costs despite higher upfront costs. Overall, further battery innovation will be critical for unlocking the full market potential.