Underfloor Heating Market Size, Share & Trends Analysis Report By Product Type (Hydronic, Electric), By System (Heating Systems, Cooling Systems), By Installation Type, By Application, By Region, And Segment Forecasts, 2023 - 2030

Underfloor Heating Market Size & Trends

The global underfloor heating market size was estimated at USD 4.51 billion in 2022 and it is anticipated to grow at a compound annual growth rate (CAGR) of 6.4% from 2023 to 2030. The market is driven by increasing awareness and emphasis on energy efficiency in buildings that have led to a growing interest in radiant heating systems like underfloor heating, which can be more efficient than traditional heating methods. Moreover, the desire for enhanced comfort and aesthetics in indoor spaces has contributed to the demand. Underfloor heating provides a more uniform distribution of heat, eliminating cold spots and offering a comfortable environment. Advancements in technology and construction practices have made underfloor heating systems more accessible and easier to install. The flexibility of underfloor heating in terms of compatibility with various flooring types and its ability to integrate with modern smart home systems have also boosted its demand.

The trend towards sustainable and eco-friendly solutions has played a role in the increasing popularity of underfloor heating. Some systems can be paired with renewable energy sources, aligning with the global push towards green and sustainable living.  Underfloor heating systems are often considered energy-efficient, and as people in the U.S. become more conscious of energy consumption, there's a growing interest in systems that can potentially reduce heating costs. Moreover, homeowners are increasingly valuing comfort and aesthetics in their living spaces. Underfloor heating provides a more even distribution of heat, eliminating the need for visible radiators and contributing to a sleek and modern interior design.

The demand for underfloor heating is often linked to trends in home renovations and new construction. As construction practices evolve and homeowners seek innovative solutions, underfloor heating becomes a desirable option. Furthermore, the integration of underfloor heating with smart home technologies has been a driving factor. People appreciate the ability to control heating systems remotely, adjust temperatures through apps, and integrate underfloor heating into broader home automation systems.

Increased awareness and education about the benefits of underfloor heating have played a role in its demand. As consumers become more informed about the advantages of these systems, they are more likely to consider them during home construction or renovation. In addition, climate conditions in different parts of the U.S. also influence the demand for underfloor heating. In colder regions, the desire for effective and comfortable heating solutions is higher. These aforementioned factors are anticipated to propel the demand for underfloor heating over the forecast period.

Moreover, the growing concerns related to the efficiency of the buildings coupled with the use of energy in buildings in the U.S. are expected to propel the market demand over the forecast period. For instance, the presence of stringent standards and codes such as the International Energy Conservation Code and the ASHRAE 90.1 standards are anticipated to drive the demand for the market.

Application Insights

In terms of application, the residential segment led the market in 2022 with the largest revenue share of 48.3%. The U.S. construction production increased by over 6% yearly in 2021 and 2022, after a 1.9% drop in 2020. The demand for single-family homes is the main factor driving the rapid residential construction. Due to increasing discretionary family expenditure (as a result of a considerable government stimulus), the robust demand for home renovation and improvement is still prevalent. A large portion of this growth will come from a significant rise in spending on residential building construction. These aforementioned factors are anticipated to propel the demand for underfloor heating for residential applications.

Underfloor heating provides a more even and comfortable distribution of heat throughout a room, eliminating the discomfort associated with cold spots or drafts. Underfloor heating eliminates the need for visible radiators, providing a clean and aesthetically pleasing interior design. This appeals to homeowners who prioritize a modern and uncluttered look. Homebuyers increasingly see underfloor heating as a desirable feature, potentially adding to the resale value of a property. This consideration contributes to its popularity in residential construction and renovations.

The commercial segment is expected to witness the fastest CAGR over the forecast period. Similar to residential applications, underfloor heating in commercial spaces provides even heat distribution, ensuring a comfortable environment throughout the area. Moreover, commercial spaces often have specific layout requirements, and underfloor heating eliminates the need for bulky radiators or HVAC units, allowing for more efficient use of space.

Energy efficiency is a significant consideration in commercial spaces, and underfloor heating, particularly when integrated with smart controls, can contribute to reduced energy consumption and operating costs. Radiant heating eliminates the need for air circulation, reducing the movement of dust and allergens. This can contribute to improved indoor air quality, which is important in settings like healthcare facilities. These aforementioned factors are anticipated to propel the demand for underfloor heating in commercial applications.

Industrial spaces typically have high ceilings and expansive floor areas, which can make underfloor heating less practical. The large volume of air in these spaces may require more specialized heating systems to be effective. Industrial processes often have specific heating requirements that may be better addressed by other heating solutions, such as radiant heaters, forced air systems, or specialized industrial heating equipment. In addition, many industrial processes require specific temperature control, and underfloor heating may not always provide the precise and rapid heating or cooling required in certain industrial applications. These aforementioned factors are expected to have a moderate impact on the market growth.

System Insights

Based on the system, the heating systems segment led the market in 2022 with the largest revenue share of 65.1%. The need for heating systems in residential and commercial buildings is being pushed by the increasingly harsh climate conditions globally, together with consumer’s desire for comfort. It is anticipated that the aforementioned causes will increase demand for heating systems over the forecast period.

The control systems segment is anticipated to register the fastest CAGR over the forecast period. The driving factors for control systems in underfloor heating installations are centered on optimizing energy efficiency, comfort, and convenience. Smart thermostats equipped with zoning capabilities allow precise temperature control in different areas, minimizing energy usage by heating only where and when needed.

Furthermore, remote access and programming features enable homeowners to manage their heating system efficiently, adapting to changing schedules or climate conditions. The integration of sensors for floor and ambient temperature ensures a comfortable living environment while minimizing energy waste. Overall, the key motivations for investing in advanced control systems for underfloor heating revolve around energy savings, personalized comfort, and the ease of managing heating systems in a modern, connected home.

Product Type Insights

Based on product type, the hydronic segment led the market in 2022 with the largest revenue share of 72.0%. Hydronic systems are known for their energy efficiency. They use water as a heat transfer medium, which can retain and distribute heat effectively, leading to potential energy savings. Furthermore, hydronic underfloor heating provides even and consistent heating throughout a space. This contributes to increased comfort, as there are no hot or cold spots typically associated with some other heating systems.

Hydronic systems are compatible with various flooring materials, including tile, stone, laminate, and carpet. This versatility makes them attractive to homeowners and builders who want flexibility in flooring choices. In addition, while the initial installation cost of hydronic systems may be higher compared to some other heating options, users often find long-term cost savings due to the efficiency of these systems. Furthermore, these allow for zoning, meaning different areas or rooms can be heated independently. This level of control appeals to homeowners who want to customize the heating in different parts of their homes.

Electric underfloor heating systems are anticipated to register the fastest CAGR over the forecast period. These are generally easier and faster to install compared to hydronic systems. This appeals to homeowners and builders looking for efficient solutions, especially in retrofitting scenarios. Moreover, these often allow for individual room control or zoning, enabling users to adjust temperatures in specific areas. This level of control is appealing to those who want to customize heating based on room usage.

Electric underfloor heating systems typically have a rapid response time, providing quick heating when needed. This makes them suitable for spaces where on-demand heating is crucial. Moreover, in smaller spaces or specific areas within a home, electric underfloor heating can be a cost-effective choice, as the installation costs might be lower than more complex hydronic systems.

Installation Type Insights

In terms of installation type, the new installation segment led the market in 2022 with the largest market share of 78.8%. When it comes to heating options for new buildings, underfloor heating is gaining significant popularity. This innovative system provides numerous benefits, making it the ideal choice for modern construction projects.

Underfloor heating offers unparalleled comfort compared to traditional heating methods. With heat radiating evenly from the floor, occupants can enjoy a cozy and uniform warmth throughout the space. This eliminates the discomfort of cold spots or uneven heating often found with radiators or forced air systems. These aforementioned factors are expected to propel the demand for new installation type segment over the forecast period. Moreover, underfloor heating offers a range of advantages that make it an ideal choice for new buildings. From enhanced comfort and energy efficiency to design flexibility and improved air quality, this innovative heating system provides a modern and effective solution.

The retrofit installation segment is anticipated to register the fastest CAGR over the forecast period. Retrofitting underfloor heating involves careful planning and execution to integrate the system seamlessly into an existing structure. The first step is assessing the current flooring and insulation to determine compatibility. Then, installers typically lay down a network of flexible pipes or electric heating mats beneath the floor, ensuring even distribution of heat.

Moreover, the retrofit installation may require adjustments to the existing heating system and the installation of a manifold to control water flow. Precise temperature regulation is achieved through a thermostat, providing efficient and comfortable heating. Retrofitting underfloor heating demands meticulous attention to detail, but the result is a modern and energy-efficient heating solution seamlessly integrated into the existing space.

Retrofit installations are also popular when homeowners seek to upgrade or modernize existing spaces without major structural changes. The adaptability of underfloor heating systems to various floor coverings and the potential for zoning to control different room temperatures contribute to their appeal in retrofit scenarios. Overall, the driving factors include energy efficiency, enhanced comfort, aesthetic improvements, and the desire for a more contemporary and flexible heating solution.

Regional Insights

In terms of region, the Europe held the largest revenue share of around 25.6% in 2022. According to Eurostat, the construction industry is expected to grow by 5.6% in 2021 and by 3.6% in 2022. This growth in the sector is attributed to the residential market and non-residential market growing at 3.4% and 3.7%, respectively, followed by annual growth between 0.6% and 2.1%, until 2024. These aforementioned factors are anticipated to propel the demand for underfloor heating in Europe over the forecast period.

Asia Pacific region is expected to witness the fastest CAGR over the forecast period. The market is driven by factors such as increasing awareness of energy-efficient heating solutions, rising construction activities, and a growing focus on sustainable building technologies. Countries like China, Japan, and South Korea were among the key contributors to the market expansion. The demand for underfloor heating systems in the Asia Pacific is being propelled by both residential and commercial construction projects, where the advantages of even heat distribution and energy efficiency offered by underfloor heating are gaining recognition. In addition, advancements in technology, such as smart thermostats and improved control systems, are influencing the market dynamics.

The adoption of underfloor heating systems in residential and commercial buildings in the North America region is increasing, driven by factors such as a focus on energy-efficient solutions, advancements in technology, and the desire for enhanced comfort. In the residential sector, underfloor heating was gaining popularity as homeowners sought more sustainable and comfortable heating options. In the commercial sector, the technology was being embraced for its ability to provide efficient heating without the need for visible radiators, contributing to flexible interior design.

Key Companies & Market Share Insights

Key manufacturers use a range of strategies, including geographic expansions, product launches, and mergers and acquisitions, to broaden their market penetration and adapt to shifting technical demands. For instance, in February 2023, Danfoss launched the Danfoss Icon2 system, which delivers precise, efficient control of hydronic underfloor heating.

Furthermore, nVent Electric plc extended its contract with MAPEI in August 2022. The cooperation between nVent and MAPEI combines the extensive selection of flooring installation solutions from MAPEI with the premium electric underfloor heating technology sold under the nVent RAYCHEM brand.

Underfloor Heating Market Report Scope

Underfloor Heating Market Report Segmentation

This report forecasts revenue growth at global, regional & country levels and provides an analysis on the industry trends in each of the sub-segments from 2018 to 2030. For this study, Grand View Research has segmented the global underfloor heating market report based on product type, system, installation type, application, and region:

• Product Type Outlook (Revenue, USD Million, 2018 - 2030)

  • Hydronic

  • Electric

• System Outlook (Revenue, USD Million, 2018 - 2030)

  • Heating systems

  • Cooling systems

• Installation Type Outlook (Revenue, USD Million, 2018 - 2030)

  • New installation

  • Retrofit installation

• Application Outlook (Revenue, USD Million, 2018 - 2030)

  • Residential

  • Commercial

  • Industrial

• Regional Outlook (Revenue, USD Million, 2018 - 2030)

  • North America

    • U.S.

    • Canada

    • Mexico

  • Europe

    • Germany

    • France

    • Italy

    • UK

    • Spain

  • Asia Pacific

    • China

    • Japan

    • Australia

    • India

    • South Korea

  • Central & South America

    • Brazil

    • Argentina

  • Middle East & Africa

    • Saudi Arabia

    • South Africa