Outdoor Heating Global Market Report 2024

The outdoor heating market size has grown strongly in recent years. It will grow from $3.83 billion in 2023 to $4.09 billion in 2024 at a compound annual growth rate (CAGR) of 6.7%. The growth observed in the historical period can be attributed to the expansion of outdoor living spaces, the increasing popularity of outdoor entertaining, demand from the hospitality industry, trends in home improvement and renovation, and considerations related to climate variability and seasonal use.

The outdoor heating market size is expected to see strong growth in the next few years. It will grow to $5.28 billion in 2028 at a compound annual growth rate (CAGR) of 6.6%. The forecasted growth is driven by a focus on home outdoor comfort, increased preference for outdoor dining, recovery in the hospitality industry, urbanization leading to limited indoor spaces, and a heightened awareness of health and wellness outdoors. Key trends include smart and connected features, versatile fuel options, safety features, innovations in heating, and year-round outdoor living solutions.

The increasing adoption of electric heaters by consumers is expected to be a key driver for the growth of the outdoor heating market. Electric heaters, functioning as heating appliances, utilize electrical energy to generate thermal energy for warming the air or objects in specific locations. These heaters find applications in various settings such as homes, hotels, restaurants, and for temperature control in buildings and cold planting areas. Electric heaters are known for their safety, energy efficiency, and the ability to provide prolonged heat even after being switched off. For example, data from Growth from Knowledge (GfK), a Germany-based provider of data and intelligence to the consumer goods industry, revealed a significant surge in electric heater sales in Germany. The sales volume reached 958,000 units since the beginning of 2022, with a remarkable 76% increase in sales during January-August 2022 compared to the same period the previous year. This robust adoption of electric heaters by consumers is a driving force behind the growth of the outdoor heating market, as these devices contribute to creating comfortable outdoor spaces in various environments.

The anticipated surge in disposable income is poised to fuel the future expansion of the outdoor heating sector. Disposable income, denoting the funds available for expenditure and savings after tax and essential outlays, plays a pivotal role in driving market growth. The positive correlation between the outdoor heating market's upward trajectory and the escalating disposable income is evident, as consumers increasingly allocate resources towards outdoor comfort solutions. As exemplified in December 2023 by the Bureau of Economic Analysis (BEA), a branch of the U.S. Department of Commerce, disposable personal income (DPI) exhibited a simultaneous 0.4 percent increase in both current and chained dollars in November 2023. This uptick aligns with the overall positive trends in personal income and consumption expenditures during the same period, indicating a promising economic outlook. Consequently, the upward trend in disposable income substantiates its role in propelling the growth of the outdoor heating market.

The outdoor heating market is witnessing a surge in the adoption of product innovation as a pivotal trend. Leading companies within this market are strategically focusing on robust research and development endeavors to drive pioneering product advancements and secure a competitive edge. An illustrative instance occurred in October 2022 when Nexgrill, a US-based designer and manufacturer specializing in outdoor living products, unveiled its latest line of patio heaters. The Nexgrill Patio Heater, engineered to generate up to 48,000 Btu of heating energy from a standard 20-pound propane tank, swiftly dispels evening chills, enabling year-round outdoor enjoyment. Featuring battery-operated electrical ignition, the patio heater offers instantaneous heat, while a user-friendly control knob facilitates precise heat adjustment, ensuring optimal comfort. Designed with built-in caster wheels, the heater boasts effortless mobility, allowing users to relocate it conveniently, thereby optimizing deck or patio space when not in use. Beyond its functional attributes, the heater's stainless-steel construction and finish not only exude a cozy, inviting flame but also add an aesthetically pleasing touch to any outdoor setting.

Key players in the outdoor heating market are strategically prioritizing product launches, notably introducing heat pumps as viable replacements for gas or oil boilers within household settings. A heat pump serves as a mechanical apparatus that transfers heat between locations, commonly extracting warmth from the external environment and channeling it indoors for heating purposes, or reversely for cooling needs. Illustratively, in August 2023, Daikin Industries Ltd., a prominent Japan-based multinational renowned for manufacturing air conditioners and refrigerants, unveiled the New Daikin Altherma 3 R MT heat pump. This particular pump stands out within the outdoor heating sector owing to its exceptional versatility and efficiency. Specifically tailored for heating system renovations, its distinguishing features encompass the capacity to replace boilers, a broad operational range capable of withstanding severe winter conditions, high energy efficiency, and a compact design, effectively conserving space. Collectively, these attributes position it as an invaluable solution for upgrading and modernizing residential heating systems, ensuring optimal comfort while promoting environmental sustainability across diverse residential settings.

In February 2021, Glen Dimplex Australia Pty Ltd., an Australia-based company specializing in the creation of stylish, energy-efficient heating, cooling, and air treatment products, successfully acquired Thermofilm for an undisclosed amount. This strategic acquisition is expected to enable Glen Dimplex to enhance its product offerings to retail partners, specifiers, architects, and volume home builders by incorporating outdoor products. Thermofilm, the acquired company, is an Australia-based manufacturer and supplier known for its heating products, including electric and gas outdoor heating solutions.

Major companies operating in the outdoor heating market report are Rinnai Corporation, Tansun Limited, Bond Manufacturing Co., Blue Rhino Enterprises LLC, Schwank Ltd., Infrared Dynamics Inc., Lynx Grills Inc., Bromic Heating Ltd., Mr. Heater Corporation, Napoleon Heating & Cooling Inc., Enders Produktion GmbH, Outdoor GreatRoom Company LLC, Infralia Inc., Fire Sense Technologies Inc., Calcana Industries Ltd., Wolf Steel Ltd., Dayva International LLC, Heininger Holdings LLC, Sunheat International Inc., Sunglo Awnings & Heaters Inc., Patio Comfort LLC, AEI Corporation, EnerG+ Corporation, Lava Heat Italia LLC, patioSchwank Holdings Inc., Solaira Heaters Inc., Heatstrip Industries LLC, Infratech Systems Corporation, IR Energy Inc., Sunpak Technologies LLC, Schiller Grounds Care Inc., BioLite Innovations LLC.

North America was the largest region in the outdoor heating market share in 2023. The regions covered in the outdoor heating market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the outdoor heating market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

Outdoor heating options encompass various types such as portable, standalone heaters, tabletop, and mountable units. Portable heaters are compact and lightweight, easily movable without being tethered by electric wires. They rely on fuel types such as electric, gas or propane, as well as wood and solid fuel. These heating solutions find application in diverse settings such as restaurant patios, rooftop decks, transit shelters, and public spaces, catering to both residential and commercial uses.

The outdoor heating market research report is one of a series of new reports that provides outdoor heating market statistics, including the outdoor heating industry global market size, regional shares, competitors with outdoor heating market share, detailed outdoor heating market segments, market trends, and opportunities, and any further data you may need to thrive in the outdoor heating industry. This outdoor heating market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenarios of the industry.

The outdoor heating market consists of sales of freestanding outdoor heaters. Values in this market are ‘factory gate’ values, that is the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.