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Elevator Modernization Market
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Elevator Modernization Market

Author: Vineet Pandey - Business Consultant, Report ID - DS1607006, Published - December 2024

Segmented in End User Type (Residential Elevators, Commercial Elevators, Institutional Elevators, Industrial Elevators), Modernization Type (Partial Modernization, Full Modernization), Components, Technology and Regions - Global Industry Analysis, Size, Share, Trends, and Forecast 2024 – 2034

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Global Elevator Modernization Market Outlook

The modernization of elevators is quickly changing the transportation sector and reshaping how we think about safety and efficiency for building occupants experiences inside structures. The market, for Elevator modernization was estimated at $17.0 billion in 2024. It is anticipated to increase to $32.8 billion by 2030 with projections indicating a growth to around $56.9 billion by 2035. This expansion represents a compound annual growth rate (CAGR) of 11.6% over the forecast period. This new way of thinking has become widely adopted in both business and residential settings due to its ability to enhance comfort and convenience standards, across the board.


Modernizing elevators entails upgrading components like control systems and cabins as well as safety features to meet current standards and regulations effectively while prioritizing reliability improvement along, with energy efficiency enhancements and a more comfortable ride experience.


Market Size Forecast & Key Insights

2019
$17B2024
2029
$50.9B2034

Absolute Growth Opportunity = $33.9B

The Elevator Modernization market is projected to grow from $17.0 billion in 2024 to $50.9 billion in 2034. This represents a CAGR of 11.6%, reflecting rising demand across Energy Efficiency Modernization, Passenger Experience Enhancement and Improved Safety Standards.

The Elevator Modernization market is set to add $33.9 billion between 2024 and 2034, with manufacturer targeting Commercial Elevators & Institutional Elevators End User Type projected to gain a larger market share.

With Rising safety concerns, and Advancements in elevator technologies, Elevator Modernization market to expand 200% between 2024 and 2034.

Opportunities in the Elevator Modernization Market

Expanding Residential Sector

Urban areas are expanding rapidly with an increase in rise residential buildings where there is a notable opportunity for elevator modernization in residential settings that remains untapped at present. The requirement for energy efficient elevators to ensure safety in these densely populated living spaces signifies a potential avenue, for market transformation and expansion.

Green Retrofitting and IoT Integration

The shift towards eco technologies and energy conservation practices offers a significant opportunity for upgrading elevators, with modern features and improvements. Outdated elevator systems can be upgraded with energy motors and advanced controls to not just conserve energy (leading to lower operational expenses) but also improve comfort and efficiency levels. Consumers are becoming more conscious and involved in promoting sustainability efforts; hence this sector is primed for investigation.

Incorporating Internet of Things (IoT) technology into elevator upgrades is becoming a new development in the industry that shows great promise for the future. The IoT has the ability to provide real time monitoring and predictive maintenance services while enhancing efficiency. These functionalities are in demand from building owners and operators due to their potential, for cost savings and service enhancement.

Growth Opportunities in North America and Europe

Europe Outlook

In Europe well as other regions around the world have a vibrant Elevator Modernization sector boosted by factors like improved infrastructure and regulations ensuring safety in existing buildings along with an increasing interest in smart building trends. The dynamic market landscape offers chances for businesses involved in Elevator Modernization due to the environment and the rising desire, for environmentally friendly solutions and energy efficient technology.

North America Outlook

In North America's Elevator Modernization sector is seeing growth as urban areas expand rapidly and infrastructure investments increase alongside the construction of more skyscrapers. The market thrives on competition and the integration of state of the art technologies such as AI controlled elevators that drive its expansion. Green initiatives and the demand for energy elevators offer significant opportunities, for industry participants.

North America Outlook

In North America's Elevator Modernization sector is seeing growth as urban areas expand rapidly and infrastructure investments increase alongside the construction of more skyscrapers. The market thrives on competition and the integration of state of the art technologies such as AI controlled elevators that drive its expansion. Green initiatives and the demand for energy elevators offer significant opportunities, for industry participants.

Europe Outlook

In Europe well as other regions around the world have a vibrant Elevator Modernization sector boosted by factors like improved infrastructure and regulations ensuring safety in existing buildings along with an increasing interest in smart building trends. The dynamic market landscape offers chances for businesses involved in Elevator Modernization due to the environment and the rising desire, for environmentally friendly solutions and energy efficient technology.

Growth Opportunities in North America and Europe

Established and Emerging Market's Growth Trend 2025–2034

1

Major Markets : United States, China, Germany, Japan, United Kingdom are expected to grow at 8.5% to 12.2% CAGR

2

Emerging Markets : India, UAE, Indonesia are expected to grow at 11.1% to 14.5% CAGR

Market Analysis Chart

The main factor pushing the Elevator Modernization market is the growing emphasis on safety and efficiency in the aging infrastructure around the world. Furthermore advancements, in elevator design and operation systems have made it necessary to upgrade to keep up with the requirements of buildings and the Internet of Things.

Recent Developments and Technological Advancement

December 2024

Otis Worldwide Corporation unveiled a cutting edge AI driven maintenance system, for elevator upgrades that aims to revolutionize the market trends.

October 2024

Schneider Electric partnered with leading real estate companies to upgrade elevators for energy efficiency purposes and promote sustainability, in the industry.

August 2024

Thyssenkupp AG has unveiled their cutting edge biometric system for elevator operations to enhance security features, in elevator upgrades and drive progress in the industry.

The elevator upgrade sector has seen progress lately due to various factors like technological advancements and changes in regulations and customer demands as well as the aging elevator infrastructure which all play a significant role in shaping the future of this industry in the upcoming years. A major trend in the elevator upgrade sector revolves around the increasing emphasis, on energy efficiency and sustainability.

Impact of Industry Transitions on the Elevator Modernization Market

As a core segment of the Services industry, the Elevator Modernization market develops in line with broader industry shifts. Over recent years, transitions such as "Digital Revolution in Elevator Modernization and Growth Through Sustainability Focus have redefined priorities across the Services sector, influencing how the Elevator Modernization market evolves in terms of demand, applications and competitive dynamics. These transitions highlight the structural changes shaping long-term growth opportunities.

1

"Digital Revolution in Elevator Modernization:

The adoption of technologies has brought about a significant transformation in the Elevator Modernization industry landscape. Breakthroughs in machine learning, artificial intelligence and IoT have greatly altered the approach, to providing elevator modernization services. These technological advancements support maintenance measures, enhance safety protocols and boost elevator efficiency by detecting potential problems before they lead to system failures. The incorporation of platforms not only improves user satisfaction but also streamlines operational processes driving the market towards digital solutions.

2

Growth Through Sustainability Focus:

The elevator modernization market is being influenced by trends such as sustainability efforts and a focus, towards energy efficiency and eco friendliness.

Global Events Shaping Future Growth

The chart below highlights how external events including emerging market developments, regulatory changes, and technological disruptions, have added another layer of complexity to the Services industry. These events have disrupted supply networks, changed consumption behavior, and reshaped growth patterns. Together with structural industry transitions, they demonstrate how changes within the Services industry cascade into the Elevator Modernization market, setting the stage for its future growth trajectory.

Market Dynamics and Supply Chain

Driver: Rising Safety Concerns, and Stringent Regulatory Standards

The rise in safety worries is also a catalyst for the Elevator Modernization industrys growth. Old elevators present dangers such, as sudden stops and uncontrolled descents; updating these elevators helps reduce these risks and ensures passenger safety.
Regulatory agencies around the globe are also implementing guidelines and regulations to guarantee the safety and effectiveness of elevators. This also creates a demand for elevators to be upgraded and adapted to meet evolving standards prompting an increase, in market expansion.
Cutting edge technologies such, as the Internet of Things (IoT) and artificial intelligence (AI) are also transforming the industry by facilitating maintenance and energy efficiency enhancements while enhancing overall effectiveness; consequently spurring the expansion of the Elevator Modernization sector.

Restraint: High Replacement Costs

The significant barrier to the advancement of elevator modernization is the expenses involved in upgrading outdated elevator systems which encompass buying new equipment and paying for installation labor alongside considerable downtime affecting buildings during the modernization phase which could deter building owners and managers due to the high costs involved especially when current elevators are operational albeit outdated; this challenge is particularly noticeable in less affluent areas or buildings, with limited budgets.

Challenge: Lacking Regulatory Support

Regulatory assistance is crucial for the progress of elevator modernization efforts;. Not all areas enforce rules or provide incentives, for upgrading elevators.

Supply Chain Landscape

Raw Material Acquisition

Thyssenkrupp AG

ArcelorMittal

Component Manufacturing & Assembly

Otis Elevator Company

KONE Corporation

Distribution & Installation
Schindler Group / Fujitec Co. / Ltd
Maintenance & Upgrade Services
Hitachi Ltd. / Mitsubishi Electric Corporation
Raw Material Acquisition

Thyssenkrupp AG

ArcelorMittal

Component Manufacturing & Assembly

Otis Elevator Company

KONE Corporation

Distribution & Installation

Schindler Group

Fujitec Co.

Ltd

Maintenance & Upgrade Services

Hitachi Ltd.

Mitsubishi Electric Corporation

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Leading Providers and Their Strategies

Application AreaIndustryLeadingProvidersProvider Strategies
Elevator Component Upgrade
Construction and Architecture
KONE Corporation
Focusing on developing energy-efficient and eco-friendly elevator systems
Cabin Enclosure Modernization
Hospitality and Commercial Buildings
Otis Elevator Company
Investing in smart elevators which use IoT-based systems for better customer experience
System Integration
IT and Telecom
Schindler Group
Incorporating advanced digital networking and control systems to improve elevator efficiency and service quality
Control Systems Upgrade
Hospitality and IT
ThyssenKrupp Elevator
Implementing AI and predictive maintenance approaches to optimize elevator functioning and safety

Elevate your strategic vision with in-depth analysis of key applications, leading market players, and their strategies. The report analyzes industry leaders' views and statements on the Elevator Modernization market's present and future growth.

Our research is created following strict editorial standards. See our Editorial Policy

Applications of Elevator Modernization in Energy Efficiency Modernization, Improved Safety Standards and Passenger Experience Enhancement

Energy Efficiency Modernization

Many buildings opt for elevator upgrades to enhance energy efficiency by modernizing systems which can potentially reduce energy usage up to 60%. Companies like Otis and Schindler are players, in offering these advanced solutions.

Improved Safety Standards

In order to meet the safety standards effectively and ensure passenger safety in elevators has been improved through enhancements such as emergency backup power and communication systems which also simplify maintenance tasks effectively while renowned companies, like KONE and ThyssenkRupp spearhead these advancements.

Passenger Experience Enhancement

When enhancing user interface features in todays elevators, touchless technology and user friendly direction systems are commonly incorporated to enhance the passenger journey. Popular brands, like Mitsubishi Electric and Hitachi excel in this field by offering design choices and cutting edge technology platforms.

Elevator Modernization vs. Substitutes:
Performance and Positioning Analysis

Modernizing elevators includes enhancing parts to improve their performance compared to alternatives that prioritize complete replacement of the system components instead This approach sets it apart by being both cost efficient and environmentally friendly leading to substantial market expansion as more buildings undergo renovations.

Elevator Modernization
  • Escalator Modernization /
  • Ramp Installation /
  • Stair Lifts
    Enhanced safety features, Improved energy efficiency
    High initial investment, Possible disruption during the upgrade process
    Lower cost, Greater energy efficiency
    Possible lack of safety updates, May require frequent repairs

Elevator Modernization vs. Substitutes:
Performance and Positioning Analysis

Elevator Modernization

  • Enhanced safety features, Improved energy efficiency
  • High initial investment, Possible disruption during the upgrade process

Escalator Modernization / Ramp Installation / Stair Lifts

  • Lower cost, Greater energy efficiency
  • Possible lack of safety updates, May require frequent repairs

Modernizing elevators includes enhancing parts to improve their performance compared to alternatives that prioritize complete replacement of the system components instead This approach sets it apart by being both cost efficient and environmentally friendly leading to substantial market expansion as more buildings undergo renovations.

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Research Methodology

This market research methodology defines the Elevator Modernization market scope, gathers reliable data, and validates findings using integrated primary and secondary research. Our systematic framework ensures precise market sizing, growth trend analysis, and competitive benchmarking.


Secondary Research Approach


We begin secondary research by defining the targeted market at macro and micro levels. As part of the Services ecosystem, we analyze Elevator Modernization across Residential Elevators, Commercial Elevators, and Institutional Elevators Applications. Our team gathers data systematically from country level ministerial sources, industry associations & federations, trade databases, company annual & quarterly reports and other credential sources, enabling us to map global and regional market size, pricing trends, regulatory standards, and technology advancements.



Key Sources Referenced:

Annual Reports / Industry Magazines / Country Level Ministerial Sources

Interviews of Industry Stake Holders

Industry Views of Consultants

Analyst Views

• Annual Business Surveys (US, EU, Japan)

• NAICS - Economic Statistics (US, Canada)

We benchmark competitors such as Otis Elevator Co, Schindler Group, and Kone Corporation by reviewing company financial statements, and regulatory filings. Our secondary insights identify key market drivers and constraints, forming the analytical foundation for primary research.


Primary Research Methods


We conduct structured interviews and surveys with industry stakeholders, including Raw Material Acquisition, Component Manufacturing & Assembly, and Distribution & Installation. Our geographic coverage spans Americas (40%), Europe (30%), Asia-Pacific (25%) and Middle East & Africa (5%). Our online surveys generally achieve a response rate of above 65%, and telephone interviews yield 60%, resulting in above 92% confidence level with a ±7% margin of error.


Through targeted questionnaires and in-depth interviews, we capture purchase intent, adoption barriers, brand perception across Segment Type. We use interview guides to ensure consistency and anonymous survey options to mitigate response bias. These primary insights validate secondary findings and align market sizing with real-world conditions.


Market Engineering & Data Analysis Framework


Our data analysis framework integrates Top-Down, Bottom-Up, and Company Market Share approaches to estimate and project market size with precision.


Top-down & Bottom-Up Process


In Top-down approach, we disaggregate global Services revenues to estimate the Elevator Modernization segment, using historical growth patterns to set baseline trends. Simultaneously, in Bottom-up approach, we aggregate Country-Level Demand Data to derive regional and global forecasts, which provide granular consumption insights. By reconciling both approaches, we ensure statistical precision and cross-validation accuracy.


We evaluate the supply chain, spanning Raw Material Acquisition (Thyssenkrupp AG, ArcelorMittal), Component Manufacturing & Assembly (Otis Elevator Company, KONE Corporation), and Distribution & Installation. Our parallel substitute analysis examines Escalator Modernization, Ramp Installation, and Stair Lifts, highlighting diversification opportunities and competitive risks.


Company Market Share & Benchmarking


We benchmark leading companies such as Otis Elevator Co, Schindler Group, and Kone Corporation, analyzing their capabilities in pricing, product features, technology adoption, and distribution reach. By assessing company-level revenues and product portfolios, we derive market share comparisons, clarifying competitive positioning and growth trajectories across the ecosystem.


Our integration of data triangulation, supply chain evaluation, and company benchmarking, supported by our proprietary Directional Superposition methodology enables us to deliver precise forecasts and actionable strategic insights into the Elevator Modernization market.


Quality Assurance and Compliance


We cross-reference secondary data with primary inputs and external expert reviews to confirm consistency. Further, we use stratified sampling, anonymous surveys, third-party interviews, and time-based sampling to reduce bias and strengthen our results.


Our methodology is developed in alignment with ISO 20252 standards and ICC/ESOMAR guidelines for research ethics. The study methodology follows globally recognized frameworks such as ISO 20252 and ICC codes of practice.

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Elevator Modernization Market Data: Size, Segmentation & Growth Forecast

Report AttributeDetails
Market Value in 2025USD 19.0 billion
Revenue Forecast in 2034USD 50.9 billion
Growth RateCAGR of 11.6% from 2025 to 2034
Base Year for Estimation2024
Industry Revenue 202417.0 billion
Growth OpportunityUSD 33.9 billion
Historical Data2019 - 2023
Growth Projection / Forecast Period2025 - 2034
Market Size UnitsMarket Revenue in USD billion and Industry Statistics
Market Size 202417.0 billion USD
Market Size 202723.6 billion USD
Market Size 202929.4 billion USD
Market Size 203032.8 billion USD
Market Size 203450.9 billion USD
Market Size 203556.9 billion USD
Report CoverageMarket revenue for past 5 years and forecast for future 10 years, Competitive Analysis & Company Market Share, Strategic Insights & trends
Segments CoveredEnd User Type, Modernization Type, Components, Technology
Regional scopeNorth America, Europe, Asia Pacific, Latin America and Middle East & Africa
Country scopeU.S., Canada, Mexico, UK, Germany, France, Italy, Spain, China, India, Japan, South Korea, Brazil, Mexico, Argentina, Saudi Arabia, UAE and South Africa
Companies ProfiledOtis Elevator Co, Schindler Group, Kone Corporation, Thyssenkrupp AG, Hitachi Ltd, Hyundai Elevator Co. Ltd, Mitsubishi Electric Corporation, Fujitec, Toshiba Elevators and Building Systems Corporation, Motion Control Engineering, Electra Ltd and Wittur Group
CustomizationFree customization at segment, region or country scope and direct contact with report analyst team for 10 to 20 working hours for any additional niche requirement which is almost equivalent to 10% of report value

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Table of Contents

Industry Insights Report - Table Of Contents

Chapter 1

Executive Summary

Major Markets & Their Performance - Statistical Snapshots

Chapter 2

Research Methodology

2.1Axioms & Postulates
2.2Market Introduction & Research MethodologyEstimation & Forecast Parameters / Major Databases & Sources
Chapter 3

Market Dynamics

3.1Market OverviewDrivers / Restraints / Opportunities / M4 Factors
3.2Market Trends
3.2.1Introduction & Narratives
3.2.2Market Trends - Impact Analysis(Short, Medium & Long Term Impacts)
3.3Supply Chain Analysis
3.4Porter's Five ForcesSuppliers & Buyers' Bargaining Power, Threat of Substitution & New Market Entrants, Competitive Rivalry
Chapter 4

Elevator Modernization Market Size, Opportunities & Strategic Insights, by End User Type

4.1Residential Elevators
4.2Commercial Elevators
4.3Institutional Elevators
4.4Industrial Elevators
Chapter 5

Elevator Modernization Market Size, Opportunities & Strategic Insights, by Modernization Type

5.1Partial Modernization
5.2Full Modernization
Chapter 6

Elevator Modernization Market Size, Opportunities & Strategic Insights, by Components

6.1Elevator Controllers
6.2Elevator Doors
6.3Operating Panels
6.4LOP & COP
6.5Cabs and Interiors
6.6Elevator Sensors
Chapter 7

Elevator Modernization Market Size, Opportunities & Strategic Insights, by Technology

7.1Hydraulic Elevators Modernization
7.2Traction with a Machine Room Modernization
7.3Machine Room-less Traction Elevators Modernization
Chapter 8

Elevator Modernization Market, by Region

8.1North America Elevator Modernization Market Size, Opportunities, Key Trends & Strategic Insights
8.1.1U.S.
8.1.2Canada
8.2Europe Elevator Modernization Market Size, Opportunities, Key Trends & Strategic Insights
8.2.1Germany
8.2.2France
8.2.3UK
8.2.4Italy
8.2.5The Netherlands
8.2.6Rest of EU
8.3Asia Pacific Elevator Modernization Market Size, Opportunities, Key Trends & Strategic Insights
8.3.1China
8.3.2Japan
8.3.3South Korea
8.3.4India
8.3.5Australia
8.3.6Thailand
8.3.7Rest of APAC
8.4Middle East & Africa Elevator Modernization Market Size, Opportunities, Key Trends & Strategic Insights
8.4.1Saudi Arabia
8.4.2United Arab Emirates
8.4.3South Africa
8.4.4Rest of MEA
8.5Latin America Elevator Modernization Market Size, Opportunities, Key Trends & Strategic Insights
8.5.1Brazil
8.5.2Mexico
8.5.3Rest of LA
8.6CIS Elevator Modernization Market Size, Opportunities, Key Trends & Strategic Insights
8.6.1Russia
8.6.2Rest of CIS
Chapter 9

Competitive Landscape

9.1Competitive Dashboard & Market Share Analysis
9.2Company Profiles (Overview, Financials, Developments, SWOT)
9.2.1Otis Elevator Co
9.2.2Schindler Group
9.2.3Kone Corporation
9.2.4Thyssenkrupp AG
9.2.5Hitachi Ltd
9.2.6Hyundai Elevator Co. Ltd
9.2.7Mitsubishi Electric Corporation
9.2.8Fujitec
9.2.9Toshiba Elevators and Building Systems Corporation
9.2.10Motion Control Engineering
9.2.11Electra Ltd
9.2.12Wittur Group