Wednesday, May 9, 2018

China Used Vehicle Market Outlook to 2022: Ken Research

The report titled “China Used Vehicle Market Outlook to 2022 - by Type of Vehicle (Sedans, SUVs, Micro Vans, MPVs, Trucks, Buses, Cross Type Vehicles, Trailers, Motor Cycles and Low Speed Trucks), by Vehicle Age, by Distribution Channels, by Region, by Price of Vehicle” provides a comprehensive analysis of China’s Used Vehicle market introduction and genesis, market size by value and volume, market ecosystem, value chain analysis and market segmentation. The report covers complete snapshot on online used vehicle market, used vehicle finance market and buying decision parameters. The report provides a competition scenario with competitive landscape of major players in China online used vehicle market such as Guazi, Uxin Group and Renrenche. The report also covers SWOT analysis, future projections along with analyst recommendation. The report is useful for major organized dealers/Large vehicle markets, online used vehicle companies, unorganized dealers and auto loan companies for used vehicles, potential entrants and other stakeholders to align their market centric strategies according to ongoing and expected trends in the future.
Market Size:
China used vehicle market is in its early stage of growth. Globally, China is the largest market for new vehicles. This combined with falling average age of used vehicles shows ample scope for growth in the coming years. A gradual shift has been observed, an increasing number of people are now opting for vehicles under the age of 3 years.
On the overall level, China’s used vehicle market size has increased three fold in last 5 years from 2012 to 2017. Introduction of major online companies such as Guazi, Uxin Group, and Renrenche has increased the penetration rate of online companies in China. Online penetration rate has increased in last 5 years as well.
Market segmentation:
By Type: Sedans (basic passenger cars) has remained the most used type of vehicle in China. SUVs are the second most preferable type and their sale has amplified from 2015-2017. On the other hand, used Micro Van sales have augmented from 2015 to 2017. These types of vehicles are mostly preferred by large families and for commercial purposes. Other types of vehicles such as Trailer, motorcycles and low speed trucks have registered the remaining proportionate share in 2017.
By Vehicle Age: Major trade of used vehicle has taken place within the age bracket of three to ten years. Sale of cars under 3 years of age is increasing significantly due to growing penetration of online channels and variety of finance schemes available to the public.
By Region: East China has accounted for majority of sales of used vehicles during the year 2017. The region covers provinces such as Shanghai, Jiangsu, Zhejiang, Anhui, Fujian, Jiangxi and Shandong. As of 25th April 2018, Shanghai has purchasing power parity (PPP) which is second highest in China. East China accounts for the highest population compared to all other regions. South Central China has accounted for second largest share in the year 2017. Major provinces covered in south central China are Henna, Hubei, Hunan, Guangdong, Guangxi, Hainan, Hong Kong and Macau.
Northern district encompasses Beijing, which is the capital city and commercial heart of the country with highest PPP. South West, North East and North West districts accounted for a combined share of around 27% in the total sales volume during 2017.
By Price: People in China generally prefer to purchase used vehicles in price range less than CNY 30,000. Cars priced between CNY 30,000-50,000 accounted for the second highest share.
Snapshot on China Online Used Vehicle Market:
People are shifting their preference towards online mode of purchase. Dealers in the market are charging higher margin which leads to increased final price of the vehicle. On the other hand, online websites are just charging a small commission on the transaction value. Online sellers of used vehicle claim to perform quality checks and fitness test. Online companies list vehicles only after performing rigorous vehicle inspection. This has enhanced level of trust of customers over online used vehicle companies leading to a shift in buyer’s preference.
Snapshot on Used Vehicle Finance Market:
Loan on zero percent down payments is also provided, however in such cases, rate of interest charged has increased in 2017. Used vehicle finance penetration in China has increased from 2016 to 2017. Major companies which provide used vehicle financing services in China are 100credit.co, Pingan Bank, Weizhong Bank, Xin, Ant Financial, DBS, Hong Leong Finance, May Bank, Tokyo Century Leasing, United Overseas Bank, Pahouche and many others.
Competition Scenario – (Online Channel):
Major companies in used vehicle market in China are Guazi, Uxin Group, and Renrenche. Guazi has comprised of the maximum share in the sale of used vehicle in China from online channels during 2017. On the other hand, Uxin Group has comprised of the second highest market share in sale of used vehicle during the same year. Renrenche has been accounted for the third highest market share in the sale of used vehicles during 2017. These three companies cover majority of the total sales of used cars from online channels during 2017. Online used vehicle companies compete on various parameters such as the number of cities covered, providing value-added services, performing number of quality checks before listing vehicles and portfolio of Vehicles. They provide various services such as vehicle inspection, consultancy services, financing and insurance of Vehicles, door to door Vehicle delivery services, transfer of Vehicle registration and after sale services.
Guazi provides its services in more than 200 cities of China whereas Uxin Group has more than 200 offline stores to provide after sale services to its customers. Renrenche has a presence in over 80 cities in China. There are various business models prevailing in the online used vehicle market of China such as C2C, B2C, C2B, B2B, and C2B2C.
Future Outlook and Projections:
By Volume: It has been expected that there will be a reduction in average replacement age of vehicles in china. This will lead to increase in average ticket size of vehicles. Moreover, online penetration in the used vehicle market is expected to maintain the growth trend till 2022 showcasing maximum potential to grow. Online companies such as Guazi are focusing to expand its portfolio of services by expanding into used vehicle finance. Renrenche has planned to open multiple offline stores by 2018. In China, sale of used vehicles through financing is expected to reach up over 13 million units by 2022,
Key Topics Covered in the Report
China Used Vehicle Market Size (2012-2017)
China Used Vehicle Market Overview
China Used Vehicle Market Segmentation by type of vehicle sale (Sedans, SUVs, Micro Vans, MPVs, Trucks, Buses, Cross Type Vehicles, Trailers, Motor Cycles and Low Speed Trucks)
China Used Vehicle Market Segmentation by Vehicle Age (Three to Six Years, Less Than Three Years, Six to Ten Years and More Than Ten Years)
China Used Vehicle Market Segmentation by Distribution channels (Organized Dealers/Large Vehicle Market, Online, and Unorganized Dealers)
China Used Vehicle Market Segmentation by Region Wise Distribution (East China, South Central China, Northern China, South West China, North East China, North West China)
China Used Vehicle Market Segmentation by Price of Vehicle in CNY (Less than 30,000, 30,000-50,000, 50,000-80,000, 80,000-120,000, 120,000-150,000, 150,000-300,000 and More Than 300,000)
China Used Vehicle Market Ecosystem and Value Chain Analysis
Snapshot on China Online Used Vehicle Market.
Snapshot on China Used Vehicle Finance Market.
Buying decision parameters and trend and developments of China Used Vehicle Market
Complete Competition Analysis including Heat Maps & Strength and Weakness of the top five major online companies.
Competitive Landscape of Major Players in China Online Used Vehicle Market and overview of all Other Online Major Players in China
SWOT Analysis of China Used Vehicle Market
Government Regulations of China Used Vehicle Market
Future Outlook and Projections of China Used Vehicle Market (2017E-2022E)
Analyst Recommendation
Economy Analysis including major Macro/Micro Economic factors affecting China Used Vehicle Market (2012-2022E)
For more information about the report, refer to below link:
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The report covers snapshot on Russia used car Finance market including major loan providers, Interest rate and down payment, comparison based on used Car loan services, Procedure for taking up loan for borrowers for a used car, major constraints in used car finance.
The government of Indonesia should charge a one-time fee for STNK (vehicle registration) which should include legal fees, taxes and road insurance.
The future of the used car market in Indian is optimistic with the organized players playing a key role in the industry growth and with a growth in used car customers.
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Ken Research 
Ankur Gupta, Head Marketing & Communications
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Evolution Digital Advertising to Boost UK’s Advertising Market-Ken Research

Earlier, TV dominated the advertising market accounting for a major share because it was the most influential and favoured media due to its ability to reach mass audiences. The increasing online marketing has developed an effectiveness of commercials and reaches a wider target audience browsing internet. Advertisers also focus on the refinement of digital advertisements with contrast and content. The high rate of digital penetration, availability of audience, and high disposable income are a few factors contributing to the growth of the advertising market in the United Kingdom. The growing popularity of digital media and social media marketing are an added advantage in the advertisement market in UK.

Advertising is a key market for the growth in social media advertising. It offers a platform for advertisers, especially during special events, which increases return on investment. Factors such as paid search options, personal customer information database helps majority of the vendors analyze behaviour patterns and preferences while advertising any products. Online advertisement will help businesses create brand awareness and market products based on end-user needs. The competition in the advertising market is between the existing established players with massive capital investments and high advertising budgets. The demand for advertisements depends on the economic condition and corporate profits of an organization. All the advertisers focus on the preferences to maintain their market value and share. The various channels in the advertising market are TV, Digital, Print and OOH (Out-of-home advertising).

According to the study “Advertising in United Kingdom: ISIC 743”, TV advertising is a major platform that enables advertisers to create awareness and promote products because it is the largest medium to reach people in every corner of the world. Advertising on TV is processed through traditional commercial channels, multichannel advertising, or online TV advertising, which is the latest trend. The government in United Kingdom and NGOs are investing on television advertising. There are many ways of advertising such as terrestrial, multichannel, online, radio and television advertising. Recovery in global economy, increased time spend on digital media and increase in small scale advertisers are the major factors driving the growth of the advertising market in the United Kingdom. Advertising market is highly fragmented due to numerous and competitive vendors. Advertising companies compete on the basis of factors such as features, quality, technology, security, and pricing. They focus on development of advanced technologies and are also constantly investing in designing, planning, developing, and expanding existing facilities.

United Kingdom ranks fourth among the world’s largest advertising markets, and first in Europe. UK digital advertising has overtaken UK’s television advertising and accounts for a largest share of advertising spending. This trend will continue over the next few years due to drastic growth in social media advertising spending. Online advertising medium uses internet for advertising a product or services which is a popular media of advertising due to its wide reach, flexibility, and accessibility. Internet advertising can be customized, making consumer targeting more efficient and precise. It was observed that there will be an increase in mobile advertising over the next few years.

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Ankur Gupta, Head Marketing & Communications
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Advanced Technology and Increase in Utilization to Drive Asian Heating Pad Market - Ken Research

Heating pad is used to comfort, pain relief and muscle relaxation. It pulls moisture from the atmosphere for a deeper penetrating heat, without the need to wet the pad before use. A heating pad actually provides palliative therapy without the need for messy creams or uncomfortable patches. Palliative therapy is a holistic approach to manage chronic pain, often caused by serious illness and heat therapy is one way to manage pain, chronic or otherwise. Heating pads are usually recommended for aches and pains, and can relieve pain for those populations suffering from arthritis, sore back or menstrual cramps. Heat can also help an injury heal faster, dilates blood vessels so that tissues receive increased blood flow, oxygen and nutrients and heating pads are used purely for comfort. There are various factors involved in the usability of a heating pad such as size, cord length and controller style.

According to the study “Asia Heating Pad Industry Situation and Prospects Research Report”, heating pad industry in Asian market is geographically spread across China, Japan, India, Korea, Saudi Arabia. The leading players in the Asian Heating pad market are Sunbeam, Carex, Walgreens, PureRelief, Thermalon, Milliard, Nature Creation, Drive Medical, Kaz, Beady Heat Therapy, BodyMed, Chattanooga Medical Supply, Sunny Bay, Thrive, Beurer, Conair, Dongguan Yu Xin Electronic and Dongguan Yongqi. It was observed that there is a stiff competition among the leading players based on factors such as quality, reliability, and enhancements in technology. Manufacturers are implementing advanced materials and processing technologies that offer high-performance heating pads.

Heating pad market in Asia is expected to witness a huge growth due to more opportunities in the healthcare sector and advanced technologies. Consumers are also focusing on better management of diseases caused by unhealthy lifestyle and are focused on high-quality medical care. China and Japan are the major contributors in the heating pad market due to the increasing revenue and production of heating pads. Heating pad is a comfort product and is in demand to relieve pain in the increasing working communities. More and more population in Asia are getting accustomed to using heating pads which will drive the market over the next few years.

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Ankur Gupta, Head Marketing & Communications
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Internet Retailing To Restrain The Growth In Argentina’s Variety Stores-Ken Research


According to the study Variety Stores in Argentina”, Carrefour Express is a leading chain of private label variety store in Argentina. It offers 1,300 various products that are part of consumers’ basic food needs. Carrefour Express hypermarkets and supermarkets offer constant promotions on weekends for consumers who purchase more than one unit of the same product. Carrefour Express in Argentina has almost 400 outlets and is very successful from almost a decade. Carrefour Express existence is very strong such that it is very complicated for other companies or brands to enter the variety store market. Jumbo and Walmart initiated few outlets which are much smaller stores compared with Carrefour Express.
Variety stores are also known as retail stores that display and sell various everyday items such as groceries, snack foods, confectionery, soft drinks, tobacco products, over-the-counter drugs, toiletries, newspapers, magazines and many more. Few variety stores are licensed to sell alcohol, beer and wine along with money order and wire transfer services. These variety stores are sometimes a part of gas or petrol stations so that customers can purchase any desired goods conveniently during fuel filling. Variety stores are located at densely populated areas offering super low prices, and special offers on festive days that boost sales. Variety stores are found in the main commercial zones on the streets and sell a variety of products ranging from toys to cooking items or decor items.
Argentina consumers are interested in country branded products as the overall quality has improved and are at affordable prices. It was observed that other stores are offering more discounts and luring consumers away from the variety store which is slowing down sales and demand. The decrease in the consumers’ disposable income is one major reason where consumers are opting for cheaper wholesale chains such as Vital, Diarco, Maxiconsumo and Makro. These stores attract consumers with a mix of cheaper products than those found in variety stores. E-retailing has witnessed a drastic growth over the recent years and Argentinean consumers find it easy to order products online. The variety stores market in Argentina will witness a slow growth over the next few years due to the popularity of internet retailing.
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Ken Research
Ankur Gupta, Head Marketing & Communications
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Ongoing Optimistic Shifts in the Economy to Strengthen Real Estate Industry: Ken Research

Real estate industry is going through huge shifts with the support of the technology and advanced equipments. Out of many product segments, Concrete repair mortar is one of the products which have gained importance over a period of time as this material is used to mend and protect the concrete structures and it successfully offers fortification against chemical anchoring, cracking, and reinforcement corrosion. Thus, CRMs are generally use to repair, maintain, and restore the architectural shape of old structures and also, to restart the functional works rapidly in old and deteriorated buildings. According to Ken Research “Real Estate Industry Analysis”, the demand for CRMs never falls apart since the concrete structure of any building along with its infrastructure deters over time due to fluctuating climatic conditions and other environmental hazards.
The industry research reports published by Ken Research, company’s “Real Estate Business Review” reports provide a professional and in-depth study on the current state of the real estate industry worldwide. It provides a comprehensive analysis to its users involving the integrity of logic and totality of contents. Basically, the report entails an outlay of the industry including specific definitions, classifications, applications and industry chain structure along with a market analysis for the international market including development history, competitive landscape analysis, and major regions’ development status. Also, the development plans and policies are well discussed along with manufacturing processes and cost structures.
In Asia CRM industry is mainly split by (a) product types, with production, revenue, price, and market share and growth rate of each type, which is further segmented into- polymer cementations and epoxy-based; and (b) by applications, focusing on consumption, market share and growth rate of Concrete Repair Mortars (CRM) in each application that includes- building and car park, road and infrastructure and utility industries.
The Real Estate industry in Asia majorly caters to regions namely: China, Japan, India and Korea wherein the focus remains on the leading manufacturers after well considering factors like- production, price, revenue and market share for each manufacturer. The key players of this industry are namely: BASF, Pidilite Industries, THE EUCLID CHEMICAL COMPANY, Sika, Saint-Gobain Weber, Adhesives Technology Corporation (ATC), Flexcrete, Mapei, Remmers, and Tarmac.
It was observed that Asia-Pacific accounted for the largest market share, and since then, it has managed to maintain its position and is further expected to remain the market leader in the coming years. The huge growth rates of construction industry in countries like China, India, and Australia have resulted in an augmented demand for concrete repair mortars in both residential as well as non-residential building applications. Moreover, this growth trend is further expected to be supplemented via tremendous increase in the overall expenditure over repair and maintenance of buildings, transport and other related infrastructural amenities in countries like Japan.
Thus, the mushrooming expenses on overall infrastructure in Asia will be one of the key demand drivers for this industry and furthermore, with booming demands for alternative materials in cement manufacturing process, due to higher preferences being of repairing the existing infrastructure despite of constructing new buildings; the industry will proliferate by leaps and bounds.
Real Estate industry has witnessed major shifts in recent years and is majorly driven by the ongoing developments in end-user industries like building and car park, road and infrastructure, and utility industries. Associated with the relevant linkages between demand, investment, trade and productivity; the global growth is expected to persist ameliorating year after year with the futuristic concepts of “removing extreme poverty” and “generating decent employment opportunities for all”.
Lately, there has been a hike in the demand for polymer-modified mortar and thereby its use as a construction material in structural applications is amplifying because its exceptional durability properties have been made known to the builders. Even, the concept of green buildings is gaining momentum in this market and on investigation; it has been revealed that nearly 60% of the infrastructure projects would be green by the end of 2018 wherein the largest percentage share of such green building activities is foreseen to be in the commercial building segment.
Also, both the road and infrastructure have been noticed to be the fastest growing end-use related segments and owing to the breakthrough of high investments in the real estate sector; the global market is anticipated to evolve at a decent CAGR growth rate in next five years.
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Ankur Gupta, Head Marketing & Communications
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Malaysia Industrial Water and Waste Water Treatment Market Research Report-Ken Research


Research Methodology - Market Definitions
Malaysia Industrial Water and Waste Water Treatment market: It is defined as the total value of projects announced for construction of industrial water and waste water treatment. It includes the EPC contracts, Operation and maintenance, capacity addition and upgradation and equipment sales. It excludes the revenue generated by Malaysian firms executing overseas contracts as well as sewage treatment and municipal water treatment.

Malaysia Operation and Maintenance Market: It is defined as th revenue generated by providing third party operation and maintenance service for water and waste water treatment in various private and government industry. It includes the cost of labour supply, chemicals and others. It excludes the cost of treatment done by companies themselves.

Malaysia EPC market for Industrial water and Waste Water Treatment: It includes the total value of projects allocated in a particular year for construction of new plants, upgradation of existing plants and capacity addition. It includes the cost of engineering, construction, material supply and commissioning. It excludes the water treatment projects for municipal and sewage treatment.

Malaysia Industrial Water Treatment Equipment Market: It is defines as the total price paid by EPC contractors to OEMs and material suppliers in industrial water and waste water treatment for supply of equipments to be installed and consumed while construction of ETPs and WTPs.
North:  Perlis, Kedah, Penang, Perak
Kuala Lampur : Bukit Bintang, Titiwangsa, Setiawangsa,Wangsa,MajuBatu,Kepong,Lembah Pantai
South and East Coast:  Kelantan, Terengganu, Pahang, Johor, Negeri
Sabah and Sarawak:  Interior, Kudat, Sandakan,Tawau

Research Methodology - Consolidated Research Approach
Hypothesis Creation: The research team has first framed a hypothesis about the market through analysis of existing industry factors obtained from magazines, journals, broker reports, investor presentations and annual reports of major companies, Ministry of Green Technology and Water, Water Services Board, Department of Statistics, Sub units of the Ministry of Finance and other government agencies.

Hypothesis Testing: The research team conducted computer assisted telephonic interview (CATI) with several industry professionals including decision makers in EPC and Equipment manufacturing companies. The industry professionals included several management executives, and other higher level authorities. Structured interviews were conducted with several industry veterans including major decision makers from Salcon Berhad, Sigma Water Engineering, Veolia and Vatech Wabag and other companies. The analyst at Ken Research collated their insights on the market onboard and to seek justification to the hypothesis framed by the team.

Sanity Checking @ Decision Tree Analysis: Data has been collected and verified through cross-sanity checking the opinion and facts received from interview with the hypotheses framed from public databases. The team has verified the data by conducting both bottom-to-top and top-to-bottom analysis.

Future Forecasting via Poll Opinions and Statistical Tools: Multi-Factor regression was conducted on the lag variables by identifying the independent and quantifiable variables directly affecting the market. The forecasting was done by using SPSS statistical tools. The variables were checked for multi-co-linearity and other bias that could be present in the model. The conclusion from the regression was then double-checked by conducting poll opinions. Although the forecasting was done using the SPSS tools provided the results were not in line with the industry expert opinions which led us to taking the weighted average approach with the calculations for forecasting. Interpretation and Proofreading: The final analysis will then be interpreted in the research report by our expert team well versed with the Water Industry.

Research Methodology - Market Sizing and Limitation – Water and Waste Water Treatment Market
Market Sizing:
  • Initially, we identified all major EPC and equipment supplier water treatment companies operating in the market. We then collated the order intake for current year, revenue from sale of equipments and O&M contracts. This helped us in sanity checking the current market size provided by industry veterans.
  • We also collated the information for entire water treatment industry size including Sewage treatment, Municipal supply and industrial water treatment and then interviewed industry professionals to seek their expert opinion on contribution of industrial water and waste water treatment.
  • We have conducted multiple CATIs with industry experts and management of leading EPC companies and equipment manufacturers to understand the market size, bidding system, customer acquisition, and their views on future development. This helped us in estimating revenue generated for the overall market and validating the future growth in the market.
Limitation:
  • It can happen that some of the projects may get caught up in legal battle or protest from local bodies which can either delay the project or may even stop the project. It is also possible that company exit the projects due to some technical or financial issue.
  • Many times, it may happen that SMEs may either discharge the effluent directly into the river or in open or may supply it to ETPs after primary treatment even though they have their own ETPs in order to cut the cost. Other than this it is also possible that ETPs may not run at their full potential all the time.
  • It might be possible that some companies may have included equipment supply or construction cost in their order book and other EPC players may have included the cost in their EPC contract which may lead to over reporting or overestimation of the market.
  • Market for O&M was estimated based on opinion provided by industry experts, however it might be possible that it may vary slightly with margin of error of 10% from original market size considering that many companies opt for captive treatment rather than outsourcing the O&M job and gauging such information was our research constraint.
Research Methodology - Variables (Dependent and Independent)
Variables Considered:
  • Installed Capacity of Power plant in MW:  Installed capacity of power plants play a very large contribution in water and waste water treatment market as it is the biggest user of water in the industry.
  • Contribution of Manufacturing in GDP: Manufacturing sector is the major demand creator for industrial water treatment. Increase in manufacturing is expected to have positive impact on the demand for water treatment industry.
  • Palm Oil Production in Malaysia:  The growth of the palm oil sector is rapid and is forecasted to have an even greater role in the contribution it makes to the Malaysian economy. Palm oil refining processes have a heavy reliance on water, more specifically for treated water.
Forecast Modelling:
  • The report applies Correlation and Regression analysis methods to forecast the future of the Industrial water and waste water treatment market. The capabilities of SPSS and predictive analytics software have been leveraged to determine the relevant indicators used for forecasting this industry. Although the forecasts were calculated using the tools, the findings were not in line with the Industry expert information and hence we decided to go with a weighted average giving specific weight age to our primary and secondary information available.
  • In the present case, water and waste water treatment market revenue by order intake has been taken as the dependent variable and other variables such as installed capacity of thermal power plant, contribution of manufacturing to GDP, steel production have been taken as independent variables.
Malaysia Water and Waste Water Treatment Market Overview
Key Takeaways:
  • The global market for industrial water treatment has gained mileage in the last 5 years due to increasing awareness and requirement for purity of water. The market is forecasted to grow at a rate of about ~%.
  • Water and Industrial Water treatment facilities and equipment manufacturing have gained significant interest from the private and public sector. The former being due to increased economic opportunities and the latter due to a growing need for the welfare of the rapidly growing Malaysian population.
  • The market for waste water treatment equipment in the South East Asian region alone is valued at close to USD ~ Billion and is expected to grow at a rate of close to ~% in the next 5 years. Malaysian Industrial water and wastewater treatment (IWWT) market is expected to showcase similar growth rate.
  • Increased standards for purity of water and the overall reduction in cost of treatment making desalination a feasible process combined with an exhaustion of natural water sources will act as tailwind. This has led to an increased dependence on the recycling of water.
For more information on the research report, refer to below link:

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India is expected to observe remarkable progress in the field and is expected to grow with a phenomenal CAGR of 12.7% over the period of 2013-2018

The report is useful for equipment manufacturers, water treatment consumable manufacturers and suppliers, environmental associations, EPC companies and potential entrants and other stakeholders to align their market centric strategies

Contact Us:
Ken Research
Ankur Gupta, Head Marketing & Communications
Sales@kenresearch.com
+91-9015378249