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Energy-efficient Centrifugal Pumps Well Poised to Survive the Market Instability, Finds Frost & Sullivan

- Affordable, yet innovative pumps are the key to success in the market

LONDON, Dec. 20, 2012 /PRNewswire/ -- Like most other markets, the European centrifugal pumps market was buffeted by the global financial downturn of 2008-09 but bounced back in 2010-2011, at a cautious pace. The deferment of many projects in end-user industries such as oil and gas, building services, and chemical process as well as the austerity measures in countries like Italy, Spain, and Greece had pegged back the market. However, moderate growth in Scandinavia and Eastern Europe and higher investments in the water and wastewater, food and beverage, and power generation industries could cause a revival of sorts.

New analysis from Frost & Sullivan (http://www.industrialautomation.frost.com), Strategic Analysis of the European Centrifugal Pumps Market, finds that the market earned revenue of $6.95 billion in 2011 and estimates this to reach $7.57 billion in 2016.

Energy conservation and efficiency are the twin buzzwords in the centrifugal pumps market. Owing to the energy gap in Europe and the differential pricing of energy among the European countries, energy efficiency has become the primary purchase criterion. Further, the escalating concern for the environment and prices of traditional sources of energy are making a robust case for pumps that consume less energy.

"The Eastern European market is particularly active in countries such as the Czech Republic and Poland," said Frost & Sullivan Research Analyst Niranjan Paul. "Recent European Union entrants such as Romania and Bulgaria are also expected to be dynamic markets, as they have to adhere to the EU standards of hygiene and water and wastewater."

Meanwhile, end users are expected to shift their manufacturing bases to Eastern Europe due to the lower labour costs in this region. Major end users are moving out of Europe to Asian countries such as China and India for their high growth potential and relatively inexpensive labour, taking business away from European pump suppliers.

Further, the volatile financial climate in Europe has made customers conservative spenders. Pump manufacturers now realise that they need to offer more than just their products to attract investments and have begun to offer value-added services such as on-site consultation.

As all end users are eager to avoid downtime in their plants, there is considerable pressure on manufacturers to focus on the design and quality of pumps.

"However, due to the straitened circumstances in the region, manufacturers have to make do with slimmer R&D and marketing budgets," noted Paul. "Companies that can find the optimum balance between innovation and affordable pricing will be the most likely to succeed."

If you are interested in more information on this research, please send an email to Julia Nikishkina, Corporate Communications, at [email protected], with your full name, company name, title, telephone number, company email address, company Web site, city, state, and country.

Strategic Analysis of the European Centrifugal Pumps Market is part of the Industrial Automation & Process Control Growth Partnership Services program, which also includes research in the following markets: Strategic Analysis of Pumps Market in the European Pharmaceutical Industry, Strategic Analysis of the European Pumps Market in the Water and Wastewater Industry, Strategic Analysis of Eastern European Pumps Market, and Strategic Analysis of the European Pumps Market in the Oil and Gas Industry. All research services included in subscriptions provide detailed market opportunities and industry trends that have been evaluated following extensive interviews with market participants.

About Frost & Sullivan

Frost & Sullivan, the Growth Partnership Company, works in collaboration with clients to leverage visionary innovation that addresses the global challenges and related growth opportunities that will make or break today's market participants.

Our "Growth Partnership" supports clients by addressing these opportunities and incorporating two key elements driving visionary innovation: The Integrated Value Proposition and The Partnership Infrastructure.

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For more than 50 years, we have been developing growth strategies for the global 1000, emerging businesses, the public sector and the investment community. Is your organization prepared for the next profound wave of industry convergence, disruptive technologies, increasing competitive intensity, Mega Trends, breakthrough best practices, changing customer dynamics and emerging economies?

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Strategic Analysis of the European Centrifugal Pumps Market
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Contact:
Julia Nikishkina
Corporate Communications – Europe
P: +7-(499)-918-6146
E: [email protected] 
http://www.frost.com

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