Currently the most sought-after offering from the European uninterrupted power supply (UPS) industry is the three-phase UPS. This market is growing at 6.1 per cent and the trend is expected to continue over the next three to four years. Encouraged by this, several UPS manufacturers, sellers and suppliers are focusing on this segment.
New analysis from Frost & Sullivan, European Three-Phase UPS Markets, finds that the markets earned revenues of Euro 501.8 million in 2006 and estimates this to reach Euro791.2 million in 2013.
“The data centre boom across Europe is a significant factor that is spearheading growth in the UPS industry in general and the three-phase UPS market in particular,” notes Frost & Sullivan Research Analyst Pallavi Suresh. “This has given a new lease of life to the Western European markets which were otherwise considered to be matured and saturated.”
The three-phase UPS has emerged as a necessity for the majority of end-user applications. Being flexible, scalable and allowing for modularity, it is available across various output ranges and has gained preference particularly among upcoming end-users, which include data centres and the commercial sector.
Unlike the general UPS market, where the small and medium output ranges contribute the most to revenues, in the three-phase UPS it is the large output ranges that contribute significantly. In fact most end-user applications require the high output ranges of the three-phase UPS. In the future too, the higher output ranges are projected to be the leading revenue-generating segments.
Moreover, Central and Eastern Europe present the next big opportunity in terms of sales for this market, especially in the long run. As a result, the key participants in the market are making efforts to enter this region. While some companies already have a presence here, a careful and well-planned strategy is required to penetrate these markets.
At present, there is a lack of good service and maintenance in the market. Earlier, the trend followed by most participants was to delegate service and maintenance activities to third-party contractors. However, this scenario is changing, as most players have realised the importance of service and maintenance. They are now focusing on developing their own expertise in service and maintenance support.
“Competition in the market is based more on quality, technology and service rather than just price,” explains Ms. Suresh. “Most companies are aware that if they are able to manufacture or sell a good-quality, technically high-end product with excellent service and at a reasonable price, the scope to increase their market share will grow phenomenally.”