Power Tool Accessories Market 2024 – Market Size & Segments Analysis, Industry Trends, Manufacturers Analysis, Opportunities and Forecast 2034

The accessories are essential components that enhances the functionality, efficiency, and versatility of power tools. The accessories are supplementary parts that can be attached to or used with power tools to extend their capabilities or improve their performance. They are designed to optimize the functionality of power tools. These accessories are integral to a wide range of applications, from home improvement projects to complex industrial operations. It enables the users to perform tasks like cutting, drilling, grinding, and fastening with greater procedure and ease.

MARKET OVERVIEW

The market valuation of power tool accessories market was valued at approximately USD 2.1 billion in 2023 and is projected to reach USD 3.4 billion in 2034 exhibiting a CAGR of 5.2% during the forecast period of 2024-2034. Power tool accessories are crucial for enhancing the performance and versatility of power tools across various applications. The market is aligned with diverse sectors, which makes it a sustainable and growing market.

GROWTH DRIVERS

The construction activity demands for power tools and accessories, as the more construction activity heavily relies on these tools for efficiency and precision. This is one of the significant drivers for the adoption and growth of the market. According to Deloitte, the Global Powers of Construction (GPoC) amounted to a total revenue of USD 1,940 trillion in 2022, 6.3% higher than in 2021. According to ENR report, the global construction volume will grow by 1.2% this year and by a 3% annual average over the rest of the decade, forecasts London-based Global Construction Perspectives in a report released Jan 2023. Projected growth builds on last year’s 0.9% increase to USD 13.7 trillion. The growth in DIY culture boosts sales of power tools and series and homeowners undertake various projects to improve their living spaces, contributing towards market growth.

According to Mintel, the COVID-19 lockdown caused a massive spike in DIY interest. This was exemplified by Kingfisher, the owner of B&Q and Screwfix, reporting a remarkable 146% increase in online sales from 2021 to 2023 last three years. According to Civic Science, for the next 12 months, 62% of American homeowners will take on a home renovation or remodeling, up from 48% in 2023. Similar to the last couple of years, DIY has a leg up on professional work. Forty-three percent of those with plans will do their renovations solely themselves. According to Statista, hardware and building materials generate the highest revenue compared to other sectors in the industry, such as flooring, bathroom hardware, paint supplies, and tools. In 2023, the revenue of building materials was forecast to reach over USD 1.7 billion.

The advancements in power tools like brushless motors and smart connectivity which enhances the performance and longevity of power tools, increasing the demand and adoption of the compatible accessories. The growth in automotive and aerospace sector is one of the significant drivers. As these industries require specialized power tools and accessories for manufacturing. According to Statista, the global automotive manufacturing market was worth about USD 2.8 trillion in 2021. The market is projected to grow to some USD 2.9 trillion in 2022. Approximately 26% of new car sales globally are expected to be electric vehicles in 2030, and about 58 million of new self-driving cars are projected to be added to the world’s fleet that year.

The rise of ecommerce platforms which enables manufacturers and retailers to reach a broader audience drives the sales of the market. According to ITA, worldwide ecommerce sales for B2B businesses have been steadily rising year over year for the last decade, with the global B2B ecommerce market valued at USD 36 trillion by 2026. Heavy industry such as advanced manufacturing, energy, healthcare, and professional business services segments drive the majority of this B2B sales value. The B2C ecommerce revenue is expected to grow to USD 5.5 trillion by 2027 at a steady 14.4% compound annual growth rate. According to Forbes, the home renovation spending reached in USD 486 billion in 2023. According to the Joint Center for Housing Centers of Harvard University (JCHS), home improvement project spending increased from USD 328 billion in 2019 to USD 472 billion in 2022, with an estimated 2024 spending of USD 485 billion.

MARKET SEGMENTATION:

·         By Accessory Type- Drill Bits, Circular Saw Blades, Screwdriver Bits, Reciprocating Saw Blades, Jig Saw Blades, Band Saw Blades, Abrasive Wheels, Spade Bit Sets, Nail Sets, Router Bits and others

·         By Distribution Channel- In Store and Online Store

·         By End User- Residential/DIY, Commercial and Industrial

·         By Region- North America, Europe, Asia Pacific, The Middle East and Africa, South America

Power Tool Accessories Market Segment By Accessory Type Review:

The drill bits are used in drills to create cylindrical holes in various materials like wood, metal, plastic and machinery. It includes twist drill bits, masonry bit, spade bits, auger bits and hole saws. The circular saw blades are used in circular saws for cutting materials like wood, metal, plastic and masonry. They are high in demand in woodworking and construction sector due to their need for precise and efficient cutting tools. The screwdriver bits are used in power screwdrivers and drills for driving screws into various materials.

They are widely used in the electronics and appliance manufacturing industries for precise screw driving. The reciprocating saw blades are used in reciprocating saws for demolition and rough cutting in wood, metal and other materials. It is essential for demolition task in construction, renovation and remodeling projects. The wide range of blade types for different materials increases their utility and demand. The jigsaw blades are used in jig saws for making integrate and curved cuts in wood, metal and other materials. They are utilized for precision cutting in woodworking and crafts. The band saw blades are used in band saws for cutting wood, metal and other materials in detailed and complex patterns. The abrasive wheels are used for grinding, cutting and polishing materials like metals, stone and ceramics.

They are essential in metal fabrication, construction and automotive industries. The spade bite sets are used in drills for creating large diameter holes in wood and similar materials. They are widely used in woodworking and carpentry for drilling large holes quickly. The nail sets are used to drive nails below the surface of wood, allowing for finishing work. It includes various sizes and shapes for all different nail head sizes. The router bits are used in routers for shaping and hollowing out an area in wood or plastic. They're commonly used in furniture making, cabinetry, and detailed woodworking.

Power Tool Accessories Market Segment By Distribution Channel Review:

The in-store distribution channel includes hardware stores, home improvement centers, and specialty tool shops. The products are displayed physically, allowing customers to inspect and compare before purchasing. The in-store shopping allows customers to receive personalized advice and assistance from knowledgeable staff. The retail stores often provide product demonstrations which helps the customers to understand the functionality and benefits of the different accessories. The physical presence of product encourages the impulse buying behavior which increases the sales of the market.

The online distribution channel includes ecommerce platforms like Amazon, specialized ecommerce sites and manufacturer websites. The products are displayed online with detailed descriptions, images and customer reviews. The online stores offers the convenience of shopping from anywhere at any time, catering to customers who prefer digital transactions. Ecommerce platforms list an extensive range of products, often more than what is available in physical stores. The customers can easily compare prices across different sellers to find the best deals. The online reviews and ratings provides valuable insights into the product performance and reliability, influencing the purchase decisions of the customers.

Power Tool Accessories Market Segment By End User Review:

The initial /DIY segment includes homeowners, hobbyists and dry enthusiasts who used power tools for home improvement projects and repairs and personal projects. In this segment they are used in applications including general home maintenance, renovations, furniture, building and other small-scale projects. The commercial segment includes small businesses, contractors and professional trades people who use power tools for business operations. It finds application in construction, carpentry, electrical work, plumbing and other trade specific tasks.

The tools and accessories are frequently and often subjected to heavy use. The industrial segment includes large scale manufacturers, industrial plants and heavy-duty operations. It is utilized in large scale manufacturing, metalworking, automotive production, aerospace and other industrial applications. The tools and accessories are continuously and are subjected to the most rigorous use conditions.

Power Tool Accessories Market Regional Analysis:

North America is a valuable market driven by the robust construction industry and presence of DIY culture. According to United States Census Bureau, the first four months of this year, construction spending amounted to USD 635.5 billion, 10.9 percent above the USD 573.0 billion for the same period in 2023. The construction spending during April 2024 was estimated at a seasonally adjusted annual rate of USD 2,099.0 billion. The revised March estimate of USD 2,101.5 billion. Europe is another valuable market driven by aging housing stack, leading to increase in renovation and remodeling.

According to the European Union's Renovation Wave, the Renovation Wave aims to at least double the annual energy renovation rate by 2030 and in addition to reducing emissions and creating green jobs in the construction sector, which is dominated by local businesses, it will improve overall living standards for Europeans. The rise of industry 4.0 in Europe promotes the use of advanced tools and accessories in manufacturing and construction.

Asia Pacific is a significant and rapidly growing market driven by the rapid urbanization and industrialization growth. The region is the global manufacturing hub, the increase in manufacturing activities drives the use of power tools and accessories. According to Asian Development Bank, the region annually invests an estimated USD 881.5 billion in infrastructure. The Middle East and Africa is another growing market driven by the infrastructure development plans like Saudi Vision 2030 and smart city projects. South America is a promising market driven by industrial growth and urbanization in this region.

Key Challenges:

The compliance with various international local standards and regulations is crucial for market entry and sustainability. These standards often vary by region, requiring manufacturers to adopt their products accordingly. The cost and complexity involved in assuring compliance with these regulations may be significant particularly for small and medium sized enterprises. The price of raw materials like steel, aluminum or plastics are essential for manufacturing power tool accessories, which may be volatile. The fluctuation in these prices may affect production, cost and the pricing of the final products. The management of this cost fluctuations without compromising on product quality or significantly increasing price is one of the major challenges for the manufacturers.

Competitive Landscape:

In the highly competitive power tool accessories market, companies are investing heavily in research and development to innovate and improve the product and services. They are also collaborating, forming strategi partnerships, or acquiring other companies to gain access to new market segments, enhance distribution networks, and increase market share. Recent developments includes – Festool released limited-edition cordless combo kits, in October 2023. DEWALT launched DEWALT POWERSHIFT, an electrified line of heavy-duty tools to optimize workflow, in January 2024. Milwaukee Tool announced new PACKOUT tool sets and additions, including wrench sets and a PACKOUT Handle, in June 2024.

Global Key Players:

·         Stanley Black & Decker

·         Bosch

·         Techtronic Industries Company (TTI)

·         Makita

·         Hilti

·         Apex Tool Group LLC (Bain Capital Partners)

·         Atlas Copco AB

·         Husqvarna Group

·         Ingersoll-Rand Plc (Gardner Denver Holdings Inc.)

·         Klein Tools Inc.

·         Koki Holdings Co. Ltd. (KKR & Co. Inc.)

·         Snap-On Incorporated