Dispensing systems refers to equipment that possesses material dispensing capabilities which are used in wide variety of applications. Global dispensing systems market is a diverse market that provides equipment to cater the dispensing needs of various industries. The market can be segmented into dispense-only systems, mix and dispense systems, meter, mix and dispense and hot melt dispensing systems. Equipment in this market varies in performance, size and mechanism. Accuracy and repeatability of dispensing systems are the key factors considered by the end-users. Dispense-only system is the leading segment with a market share of 30.4% in 2014 as these systems are used widely in various industries. These systems are used in various dispensing activities such as bonding, sealing, coating and so on due to its flexibility of operation and are even cheaper when compared to the other types available in the market. Mix and dispense systems market was valued at $1.17 billion and is poised to grow at a CAGR of 5.1% due to the escalating need for dispensing two or more materials in industrial operations.
Dispensing systems are used to dispense fluids such as silicones, solder pastes, cyanoacrylates, acrylics, epoxy fluids, polyurethane, hot melt adhesives, UV cured adhesives, powder coatings, RTV sealants, flux and other chemicals which serve the purpose of bonding, sealing, molding, potting, encapsulating and so on. These dispensing systems are useful for accurate and controlled application of fluids in variety of industries such as automotive, aerospace, electronics, food & beverages, life sciences, chemicals and other manufacturing industries.
According to a recent study from IndustryARC, the market generated sales of $5.4 billion in 2015 and is forecast to reach $6.9 billion by 2020. Rising mechanization levels in the various end-use verticals is driving the growth of dispensing system equipment market. The demand for dispensing systems is driven by increasing investments in the end-use industries such as automotive, electronics and chemicals in the developing economies. Stringent safety regulation in end-use industry by the regulatory agencies of various countries is another key factor impacting the market.
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In the developed nations such as the U.S. and Japan, dispensing has been automated with the help of robotics, information technologies, assembly lines and control systems. However, industries of the developing nations like India and Brazil are adapting the automated systems to meet the manufacturing requirements. China and India are the fastest growing markets for dispensing systems due to the increasing production in electronics, automotive and packaging industries. Japan has been one of the most profitable markets of the APAC region due to higher concentration of electronic and automotive industries.
The dispensing market is evolving significantly owing to the growth of its end-use market. The key players in the industry have their wide distribution channels, along with significant R&D investment. They have been investing into R&D, new product launches and innovations in order to increase sales and gain market position. Some of the key players in the dosing systems market are as Nordson Corporation (U.S.) Graco Inc. (U.S.), Fisnar Inc. (U.S.) and Valco Melton (U.S.). These players account for approximately 48% of the total dispensing equipment market. These players are significantly investing into R&D to meet the diversified needs of the end-user industry.
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