Position Sensor Suppliers, Users Optimistic About Market

NATICK, MA -- Recently surveyed position sensor suppliers and users in industrial applications reported two straight quarters of improvements in their respective businesses.

The first of a two-volume study published by VDC Research analyzing global market demand for position sensors indicates that although the recession presented every position sensor industry stakeholder group with severe challenges, current market conditions and some important industry fundamentals seem to be improving.

Approximately 70% of users surveyed recognized a decline in sales of their own equipment and a subsequent reduction in their position sensor purchases. However, nearly 70% of those users believe a stable recovery may arrive during or before early 2011.

"In this industry, we typically see a compound annual growth rate of 4%–5% at best, but our research indicates a CAGR of 10%-plus," said David Laing, PMP, Senior Analyst in VDC Research's Industrial Automation and Control Practice. "In fact, suppliers have seen an increase in orders during Q3 and Q4 2010, over Q1 2009. Moreover, Q1 2010 looks like it could be a pretty good quarter as well."

But not all sectors of the industry have optimistic futures. The report also states that the military/aerospace markets, the best performing markets in 2008 and 2009, are expected to slow. New platform delays and cancellations are among the primary citations for this impending change in conditions. However, refurbishment and retrofit are expected to remain healthy opportunities.

The 2009 Global Market Demand Analysis, Volume 1: Photoelectric and Proximity Sensors and Limit Switches study is currently available for purchase. For Senior Executives working in this market, the full report provides a definition and analysis of:

  • Global position sensor market opportunities
  • In-depth analysis of global position sensors market demand
  • Estimates and forecasts
  • Equipment OEM, integrator and end-user (as applicable) requirements and preferences, operational impact and more
  • Analysis of the structure of the position sensor supplier community
  • Discussion of key issues, forces and trends shaping near-term market growth and development
  • Recommendations on best practices
  • Recommendations for suppliers.

A complimentary executive brief for this volume with high-level findings is also available.

If you would like more information regarding our analysis, please contact:
David Laing, 508.653.9000 x146, [email protected]
Chris Rezendes, Executive Vice President, 508.653.9000 x120, [email protected]
 

About VDC Research
VDC Research Group (VDC) is a technology market research and strategy consulting firm that advises clients in a number of technology markets including: automatic identification and transaction automation, embedded hardware and systems, embedded software and tools, industrial automation and control and mobile and wireless. Using rigorous primary research and analysis techniques, the firm helps its clients identify, plan for, and capitalize on current and emerging market opportunities. We strive to deliver exceptional value to our clients by leveraging the considerable technical, operational, educational and professional experience of our research and consulting staff. During our nearly four decades of ongoing operation, we have had the pleasure of serving most of the world's leading technology companies, many high-profile start-ups, and numerous blue-chip early and later stage investors. Our products and services consist of research reports, annual research programs, and custom research and consulting services. Founded in 1971, the firm is located in the Boston area.