Smart Elevator Market Size - By Solution, By Technology, By End Use, By Distribution Channel, Forecast 2024 – 2032

Smart Elevator Market Size

The global smart elevator market was valued at USD 20.4 billion in 2023 and is estimated to grow at a CAGR of over 6.8% from 2024 to 2032, owing to rise of smart buildings. These buildings use advanced systems to improve energy efficiency, comfort, and automation. Smart elevators, powered by IoT and AI, fit perfectly into this trend. They offer features like predictive maintenance and traffic management, helping building managers improve operations and safety while cutting energy use.
 

Additionally, as smart cities develop, smart technologies are becoming more common in homes and offices. Smart elevators play a key role by connecting with building management systems. They offer features like destination dispatch and biometric access, which improve user experience and reduce maintenance costs. As buildings are upgraded to smarter systems, the demand for smart elevators keeps growing. Growing focus on sustainability has made smart building tech a priority for developers. Smart elevators help buildings earn green certifications like LEED by using less energy. This makes them essential for developers who want to create future-proof buildings that meet modern standards and user expectations.
 

Smart Elevator Market Trends

Smart elevators are evolving rapidly, focusing on user experience, safety, and digital integration. Key trends include destination control systems for efficient passenger grouping, contactless operation via smartphones or voice commands, and energy-saving features like regenerative drives. The integration of IoT and AI enables predictive maintenance, reducing downtime and costs. These advancements align with smart city initiatives, creating more connected and eco-friendly urban spaces. As the industry prioritizes sustainability and user-centric design, smart elevators are becoming essential components of modern, future-ready buildings, meeting both regulatory requirements and environmental goals.
 

Smart Elevator Market Analysis

Smart elevators come with a hefty price tag due to their advanced tech and specialized parts. Fitting them into older buildings can be tricky and expensive. Many building owners find it hard to justify the high costs of upgrading, especially when they're focused on saving money in the short term. This cost barrier slows down market growth, particularly in developing countries where budgets are tight. While smart elevators offer long-term benefits like energy savings and improved efficiency, the upfront costs often deter widespread adoption, especially among smaller developers or in areas with limited funds for smart building upgrades.
 

Based on solutions, the control systems segment was worth over USD 8.9 billion in 2023 and is expected to grow at a CAGR of 6.4% up to 2032. Control systems are the heart of smart elevators, driving their efficiency and advanced features. These systems use IoT, AI, and machine learning to manage elevator operations, access, and security. Key features include destination dispatching, which groups passengers going to the same floors, cutting wait times. Real-time monitoring keeps elevators running smoothly, while safety is enhanced through biometric access and card readers. By integrating with building management systems, control systems ensure smart elevators work seamlessly in modern buildings. Their versatility and sophistication make them essential in the smart elevator industry, adapting to various needs and applications.
 

Based on distribution channel, the direct sales segment accounted for around 63.5% of the market share in 2023 and is expected to grow at a CAGR of 6.5% through 2032. Direct sales in the smart elevator market involve manufacturers selling directly to end-users like real estate developers and facility managers. This approach fosters closer client relationships, allowing for custom solutions, better pricing, and improved after-sales service. It's especially useful for high-value projects needing tailored elevator systems. However, direct sales require strong sales networks and significant customer engagement, favoring established companies with ample resources and market knowledge.
 

The U.S. smart elevator market size surpassed USD 3.8 billion in 2023 and is set to grow at a CAGR of over 6.8% up to 2032, driven by urbanization, smart building tech, and sustainability goals. Major cities like New York and Chicago see high demand due to increasing high-rise construction. IoT and AI adoption boost smart elevator integration across residential, commercial, and industrial sectors. Government green building initiatives and safety regulations further support market growth. However, high costs and the challenge of upgrading older buildings remain significant hurdles. Despite these obstacles, the market continues to expand as building owners seek energy-efficient and advanced vertical transportation solutions.
 

Country-level Analysis

North America: The U.S. smart elevator market is booming, fueled by urban growth and a push for smarter, greener buildings. Big cities like New York and Chicago are leading the charge as more skyscrapers pop up. With IoT and AI becoming commonplace, smart elevators are finding homes in all types of buildings. The government's green initiatives and safety rules are giving the market an extra boost. But it's not all smooth sailing the high costs and the problem of upgrading old buildings are still major roadblocks. Even so, building owners are increasingly looking to these high-tech lifts as a way to save energy and modernize their properties.
 

Europe: Germany is a key player in the smart elevator market, due to its strong engineering and innovation focus. The country's strict building codes and emphasis on energy efficiency drive the adoption of smart elevators. German cities like Berlin and Munich are seeing more high-rises, increasing demand for advanced vertical transport. The integration of IoT and AI in elevators aligns with Germany's smart building goals. The country's commitment to sustainability, ongoing infrastructure upgrades, and the presence of major manufacturers make it a hub for elevator innovation. Government-backed smart city projects further boost the market's growth. These factors combine to solidify Germany's position in the evolving smart elevator landscape.
 

Asia Pacific: China's smart elevator market is booming, driven by rapid urbanization, smart city initiatives, and government-backed projects like the Belt and Road Initiative. As a leader in high-rise construction, China's demand for advanced vertical transport is strong. Companies are integrating AI, IoT, and energy-efficient technologies to meet urban needs. The push for sustainability aligns with smart elevators that optimize energy use. Local and global players are investing in R&D, adding features like facial recognition and contactless access. Despite a positive outlook, the market faces challenges such as fierce competition and fluctuating material costs. Overall, China's smart elevator sector is poised for continued growth, reflecting the country's commitment to innovative urban development.
 

Smart Elevator Market Share

The smart elevator industry is fragmented, with prominent players holding a market share of 15%-20% of the total market share. Companies in the global market view the sector as a rapidly evolving and lucrative opportunity driven by urbanization, technological advancements, and the rising demand for energy-efficient solutions. Manufacturers are focusing on innovation, such as integrating IoT, AI, and predictive maintenance systems to enhance functionality, safety, and user experience. They are also tailoring solutions for specific applications, including high-rise buildings, residential complexes, and transportation hubs.
 

Smart Elevator Market Companies

Major players operating in the smart elevator industry include:

• Bosch Security Systems
• Fujitec Co., Ltd.
• Hitachi Ltd.
• Honeywell International Inc.
• Hyundai Elevator Co., Ltd.
• Johnson Controls
• KONE Corporation
• Mitsubishi Electric Corporation
• Otis Elevator Company
• Otis Worldwide Corporation
• Savaria Corporation
• Schindler Group
• Siemens AG
• Thyssenkrupp AG
• Toshiba Elevator and Building Systems Corporation
   

Smart Elevator Industry News

• In June 2024, Otis launched its Gen3 and Gen360 smart elevators, integrating advanced IoT and digital technologies to enhance efficiency and safety in buildings. These elevators focus on energy conservation with features like LED illumination and proactive digital monitoring.
   
• In October 2024, KONE unveiled a range of DX Class elevators in India, combining innovative technology, smart materials, and digital connectivity for improved user experience and efficiency. The move signifies its ongoing expansion and innovation in the smart elevator sector.
   
• In March 2024, Schindler enhanced its smart elevator systems by incorporating AI-driven predictive maintenance tools, further strengthening its position in the competitive smart elevator landscape.
   

This smart elevator market research report includes in-depth coverage of the industry, with estimates & forecast in terms of revenue (USD Billion) and volume (Thousand Units) from 2021 to 2032, for the following segments:

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Market, By Solution

• Control systems 
  • Security control system
  • Elevator control system 
• Access control system 
  • Maintenance systems
  • Communication systems
• Services 
  • Support & maintenance
  • New deployments
  • Modernization

Market, By Technology

• Destination dispatching
• IoT-enabled systems
• Ai-powered elevators
• Biometric integration
• Energy-efficient elevators

Market, By End User

• Residential
• Commercial
• Institutional
• Industrial

Market, By Distribution channel

• Direct sales
• Indirect sales

The above information is provided for the following regions and countries:

• North America
  • U.S.
  • Canada 
• Europe
  • Germany
  • UK
  • France
  • Italy
  • Spain
  • Russia
• Asia Pacific
  • China
  • Japan
  • India
  • South Korea
  • Australia 
• Latin America
  • Brazil
  • Mexico 
• MEA
  • Saudi Arabia
  • UAE
  • South Africa