HVAC systems have really come a long way. Thanks to advancing technology, recent developments have been pretty cool — and the industry is expected to heat up this year with exponential growth, offering unprecedented efficiency and exceptional software options. And as customer expectations are increasingly more demanding as weather trends continue to surprise us, it’s putting the HVAC industry into overdrive.
By keeping our finger on the pulse on everything HVACs, we’re always here to help homeowners with the right systems to help them beat the heat or fight the cold in any season. Let’s look at the industry trends that are expected to take over in 2023!
1) Overall Growth
The HVAC industry has been booming for the last few years and is expected to continue growing. This means that HVAC companies need to be prepared with reporting, payroll, and other software systems that can keep up with the rapid rate of growth we’re likely to see. Don’t worry — Madsen’s committment to continuous improvement allows us to always offer the highest-quality solutions out there! We’ve got you covered.
Along with the demand growing, the revenue earned across the HVAC industry is expected to grow as well. In 2021, the HVAC US systems market was valued at $16.54 billion and is projected to grow at a rate of 5.6% from 2022 to 2030 (Grand View Research). With 118,000 HVAC businesses in the US (IBIS World), plenty of people will benefit from the growth of this industry! Not to mention, homeowners will benefit as well — with better customer service, maintenance availability, and systems that continuously improve through innovative solutions provided by your HVAC experts.
2) Increase in Maintenance Services
Customers are taking advantage of maintenance services more than ever before. These regular, affordable investments can prevent unexpected failures that force them to buy a brand-new system — at the most inconvenient times. Regular maintenance appointments increase the longevity of an HVAC system, potentially saving homeowners significantly in the long run.
Every year, Americans actually spend over $10 billion on HVAC repair and maintenance services (Grand View Research). Imagine how much they’d be spending on new systems if they didn’t proactively make those investments! With more than 50% of US homes being over 40 years old (ACHR News), maintenance and repairs go a long way in getting homeowners long-term results. If you’re looking to schedule your seasonal HVAC maintenance appointment, reach out to our experts at Madsen today!
3) Customers are Upgrading
Homeowners are taking advantage of new innovation as a result of the industry’s recent boom. Just like maintenance appointments and repairs, these decisions can help them save money and energy in the long run — but instead of being routine, these upgrades are one-time investments that serve homeowners for years to come!
For example, let’s look at smart thermostats that improve energy efficiency for HVAC systems. 24% of US households owned a smart thermostat in 2022 (Consumer Technology Association) and saved an average of $49 per month from doing so (Parks Associates). In addition, 8 out of 10 homeowners who own them plan to buy another one in the future (Statista).
And smart thermostats aren’t the only innovation homeowners are investing in. Ductless HVAC systems could represent all HVAC industry revenue in the next 5 years (Aeroseal), while the inverter heat pump category could grow at a rate of 12.5% over the next 6 years (Million Insights). Variable-speed heat pumps are also growing in popularity with the ability to cut a homeowner’s monthly costs by up to 40% (Mordor Intelligence). It’s no wonder why homeowners are taking action and getting them installed!
4) Sustainability is Key
Customers are demanding more sustainable HVAC systems, and the industry is responding. Homeowners want to be comfortable, but are conscious about what that means for the environment. The HVAC industry continues to deliver what homeowners demand in meaningful ways. In fact, all residential AC and heat pump systems have to meet new US energy efficiency standards in 2023, according to the US Energy Information Administration.
50% of HVAC customers are willing to pay more for a more eco-friendly system (GWI). And these investments will go a long way! We’re all investing in the future of our planet, making impactful changes, one household at a time.
One of the most exciting HVAC innovations in terms of sustainability is the geothermal heat pump. It’s been around for a while, but this innovation is finally starting to garner an effectual level of attention this year. It’s one of the best energy and money-saving systems we’ve come across in the HVAC industry and deserves this level of awareness and demand! Right now, these pumps account for about 1% of the US HVAC market, according to CBS News, but that may change soon. About 50,000 geothermal heat pumps are installed in the US every year, according to the US Department of Energy, and as that increases, the environment will continue to benefit — and so will homeowners!
Takeaways
The HVAC industry is growing rapidly and in meaningful ways that benefit homeowners across the country. By investing in innovative HVAC technology, maintenance appointments, and sustainable options, homeowners are keeping more money in their pockets while helping to minimize our carbon footprint. The more we invest in more efficient and effective HVAC systems, the more we can stay comfortable in the homes we love and create a better place to live for everyone.
Madsen is here to make sure your HVAC system serves you in the best possible way for years to come. Contact us today to see how we can help you with all of your HVAC needs!