LED lighting market in SEE

In 2023, the European LED lighting market was valued at EUR 20,8 billion and is projected to reach EUR 47,7 billion by 2032. In South-Eastern Europe the adoption of LED technology is rapidly gaining momentum, primarily propelled by significant investments in infrastructure and extensive renovation projects across various sectors. This growth is underpinned by a rising recognition of the environmental advantages offered by LED lighting, alongside the attractiveness of cost-effective smart LED solutions that cater to residential, commercial, industrial and automotive applications.

Moreover, market progression is being shaped by a combination of stringent energy regulations, the prevailing trend towards eco-friendly lighting solutions, and the increasing uptake of smart lighting systems. Furthermore, this transition towards LED is being further catalyzed by the implementation of energy-efficient policies aimed at boosting sustainability. Notable trends in the local market include the seamless integration of IoT technologies into lighting solutions, the expanding presence of smart lighting in residential, commercial and industrial settings, and the escalating consumer demand for LEDs driven by their exceptional longevity, energy efficiency, and cost-effectiveness.

Regional insights, trends and outlook

The LED lighting market in the Southeast Europe region is segmented by product type and application into: LED lamps and modules, indoor and outdoor LED lighting fixtures in the following key sectors: industrial and warehouse, commercial, residential, office, retail, hospitality, architectural and agricultural lighting. LED lamps and modules, designed as replacements for traditional incandescent, halogen and compact fluorescent lamps, have gained immense popularity in Southeast Europe in recent years due to their energy efficiency, superior durability and versatility. These lamps are available in an assortment of shapes, sizes and color temperatures, providing consumers with a wide range of options to meet their lighting needs, whether residential, commercial or industrial. In addition, LED modules, consisting of integrated LED light sources often used in downlights, track lights and luminaires, contribute significantly to the dominance of this type of product in the regional market.

Increasing construction in developing and developed countries in Europe and especially in the South-Eastern Europe region, along with government laws restricting the use of inefficient lighting systems and supporting government initiatives to reduce the price of LED lighting are the major factors expected to drive the market in the future. LED lighting has a long lifespan and provides high lighting power while consuming less energy. Leading domestic and international LED manufacturers based in Southeastern

European countries are focusing on integrating features such as Wi-Fi, occupancy sensors, daylight harvesting, etc. as these features attract customers and increase sales, thereby driving market growth. Market players are offering a vast portfolio of different LED products such as strips, bulbs, tubes, etc. targeting different potential audiences.
The lighting market in South-East Europe is experiencing significant growth, with a shift towards energy-efficient and eco-friendly lighting solutions such as LED lighting. The attractiveness of LED modules lies not only in energy saving attributes, but also in compatibility with new smart lighting technology. Smart lighting systems are gaining great popularity, allowing remote control through smartphones or voice assistants.

The region’s growing population and strong construction industries and tourism sectors are increasing the demand for lighting products in residential and commercial sectors. Various government initiatives promoting energy efficiency further boost demand for LED lighting. Macroeconomic factors like economic growth and infrastructure development are also contributing to increased consumer spending on lighting products.

Country analysis

In Turkey, the lighting market revenue is projected to reach EUR 259 million in 2024, according to Statista. There has been a significant growth in the number of lighting equipment OEM enterprises, rising from 1849 in 2010 to around 4375 in 2018, with the majority located in Istanbul. Ankara and Izmir also have a notable presence in the manufacturing industry of electrical lighting equipment. Smart home and lighting technologies have been relatively slow to adopt in Turkey, with a penetration rate of around 3,7% for smart technologies in houses in 2020. In Greece, the smart home and lighting markets are similarly behind, with household penetration expected to reach 7,1% by 2025. Traditional and vintage-style lighting fixtures are in demand in Greece, reflecting the country’s rich cultural heritage.

In Bosnia and Herzegovina, the lighting market revenue in 2024 is EUR 5,11 million, featuring both domestic and international manufacturers. The market offers a wide range of price points to cater to different customer segments, reflecting the country’s strong tradition of craftsmanship and production of high-quality lighting fixtures.

In Albania, the revenue in the lighting market in 2024 reaches EUR 12,9 million due to economic growth leading to increased disposable income. This has resulted in higher purchasing power and willingness to invest in home improvement projects, including lighting upgrades, driven by the booming construction sector creating a demand for lighting fixtures and solutions.

In Bulgaria, the lighting market is projected to reach EUR 64,4 million by the end of 2024, Statista says, driven by government initiatives promoting energy efficiency and sustainability. Measures to phase out traditional incandescent bulbs and the growth of construction and real estate sectors contribute to the demand for modern lighting solutions.

In Croatia, the market revenue for 2024 is EUR 106,5 million, with a focus on sustainability and energy efficiency. Government regulations encourage the use of energy-saving lighting options, creating a favorable environment for market growth. The tourism industry in Croatia also drives demand for high-quality lighting in hospitality establishments, leading to an increased need for decorative and energy-efficient products to enhance the overall guest experience.

In 2024, Montenegro’s lighting market generates EUR 2,03 million due to the growing tourism industry. The demand for high-quality lighting solutions in hotels, restaurants, and hospitality establishments has increased, driven by the need to create visually appealing environments for tourists. Similarly, in North Macedonia, the lighting market revenue reaches EUR 14,03 million, influenced by the country’s focus on energy efficiency and sustainable development, promoting the use of LED lamps and fixtures. This, combined with steady economic growth and increased consumer purchasing power, has led to a growing demand for high-quality and energy-efficient lighting solutions, especially in the booming construction sector.

In Serbia, the revenue in the lighting market is expected to reach EUR 37,7 million in 2024. A key trend is the increasing demand for decorative lighting, driven by interest in interior design. Another trend is the growing popularity of online sales channels. The country’s focus on infrastructure development has led to an increased demand for lighting solutions in residential and commercial sectors. The government is also promoting energy efficiency and incentives for energy-efficient lighting.
In Romania, the revenue in the lighting market is estimated to be EUR 75,74 million in 2024, again according to Statista. The market is focused on sustainability and energy efficiency, leading to the introduction of innovative lighting solutions. The government has implemented initiatives to promote energy efficiency and reduce carbon emissions, driving demand in various sectors.

In Slovenia, the revenue in the lighting market is projected to be EUR 44,96 million in 2024. There is a growing demand for smart lighting solutions, influenced by smart home technology. The government’s promotion of energy efficiency and sustainability has encouraged investment in energy-efficient lighting solutions. The market is driven by customer preferences for eco-friendly lighting, smart lighting systems, government initiatives, and economic stability.