The North Asian sensors market has been experiencing steady growth due to a combination of factors such as the growing demand from different end-user industries and increasingly stringent environmental regulations.
New analysis from Frost & Sullivan, North Asian Sensors Market, reveals that the market earned revenues of $379.6 million in 2005 and estimates this to reach $582.1 million in 2012.
"Certain industries such as oil and gas, petrochemicals, refineries, and chemical industries are witnessing positive growth and are expected to show consistent demand for sensors during the forecast period," notes Frost & Sullivan Research Analyst Divya Bhaskaran. "These verticals are constantly involved in new projects and their demand for sensors is high."
In addition, mounting concerns about pollution control awareness has resulted in strict environmental legislation. Increasingly, industries are coming under pressure from governments and environment protection groups to control pollution. One of the most effective ways of achieving this is by monitoring certain fundamental parameters such as temperature, pressure, level, and flow. The use of sensors to check and keep a control of these parameters plays a major role in helping industries reduce process variation, decrease energy costs, and meet environment restrictions.
Continuous technological developments have also contributed to the growth of the sensors market, with manufacturers in certain segments such as ultrasonic, infrared, mass flow, and positive displacement constantly working to enhance their products. The advent of smart and wireless sensors has had a positive impact on the demand for sensors to a wider range of end-user industries and this in turn has resulted in increased sensor sales.
However, factors such as rising price pressure and dwindling replacement business could affect the future growth of the market. Some of the newer and advanced technologies are very expensive, causing end users to opt for traditional and less expensive products. In addition, some of the technology segments are nearing saturation, compelling market participants to compete purely based on pricing. Successful product differentiation is also required for companies to distinguish themselves from the competition. This could help reduce the importance of price as a key competitive factor.
"Effective product differentiation can have a positive impact on sales and customer loyalty as well as help build the product’s brand name," says Bhaskaran. "Enhancing a product with unique features could help a product shift from pure price-based competition to other factors not related to price."


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