International.
According to a recent AHR Expo and ASHRAE Journal survey sent to more than 1,400 HVACR manufacturers worldwide, there is growing optimism to improve the economic outlook in 2017. Based on the survey results, 86% expect their sales to grow in the coming year.
The survey consisted of nine questions, all in relation to the overall anticipated market and individual business performance. The results were compared to a similar survey sent out in the fall of 2015, which measured Show exhibitors' expectations for 2016.
Business activity projections for 2017
When asked about the range of prospects for companies in 2017, 98 percent of survey participants indicated a positive outlook. Within these responses, 24 percent responded "excellent," representing an increase of nearly 10 percent since 2016. In addition, 54 percent answered "good" and 20 percent answered "fair," with only two percent ratings as "poor" for this year.
Expected market segment performance 2017
Thirty-eight percent of survey participants shared that maintenance and replacement applications would provide the best prospects for businesses in 2017, representing a 10 percent increase over the survey results over 2016. Renewal and retrofit apps indicated by 32 percent of respondents as providers of the best business prospects, decreased 10 percent from 2016. New construction remained stable at 30 percent, in exact alignment with the 2016 survey response percentage.
Important product features and technology
Respondents were also asked to weigh the anticipated importance of energy efficiency, indoor air quality (IAQ), maintenance, first costs, sustainability, reliability and comfort for their customers in 2017. Reliability led in importance, with 77% of responses as "very important" to customers, reflecting similar results from respondents in 2016. While the previous year's survey reflects a 10 percent higher (87 percent) response to reliability as "very important." This year's survey denoted a 10% jump in responses about "Something Important," which equates to the same number of respondents indicating that reliability is "very" or "somewhat" important for both 2016 and 2017. Manufacturers are expected to continue designing product and system solutions to meet improved reliability in the coming year.
Innovation presentations for 2017
As in previous years, this year's survey results indicated continued industry growth, with 61 percent of AHR Expo exhibitors saying they planned to introduce a new product at the 2017 Show in Las Vegas. In addition, 43 percent of respondents shared that new products they introduce would somehow improve energy efficiency.
