This is marketing research on the Batteries industry and can include information on the background, market structure, definitions, competitors, trends and developments of batteries and is related to other topics such as cells, energy, alkaline and nickel-cadmium.

Table of Contents

[edit] Background

A battery is a device with one or more electrochemical cells, converting chemical energy to electrical energy. Anything that converts chemical energy to electrical energy can be termed a battery. Modern batteries were introduced in 1800 after Volta devised a Voltaic Pile. They come in two phases – a rechargeable one and those which cannot be recharged. Primary batteries cannot be recharged while secondary batteries can be recharged.

[edit] Market Structure

Battery industry manufacturers produce both primary and secondary batteries for sale. Many of the products are sold to other industries such as the automotive sector, consumer electronics (cameras, cell phones etc) and medical equipment. The industry depends heavily on specific chemicals used in the manufacturing process including lead, nickel, cadmium, lithium, mercury and metal hydrides.

Listed below are several battery types which are commonly seen in the home or office including:

• Carbon Zinc: a heavy-duty battery, economical to use but does not last as long as alkaline batteries.
• Alkaline: stronger than heavy-duty batteries. One 9V battery will usually provide 24-36 hours of usage.
• Rechargeable: preferable for small electronic devices such cell phones or music players. They can be recharged up to approximately 1000 times.
• Ni-Cad (nickel cadmium): require complete discharge before recharging but are considered unsafe for the environment due to its use of cadmium.
• Ni-MH (nickel metal hydride): batteries which do not require discharging before recharging and are considered safer for the environment.

[edit] Industry Definitions

• C: nominal capacity, in Ah (or sub multiplier mAh) for a given voltage.
• W: watt, unit of power. One watt equals one joule per second.
• W/kg: watts per kilogram, unit of power per mass.
• W/l: watts per liter, unit of power density.
• W•h: watt-hour, unit of energy, or work. 1 watt expended continuously for 1 hour equals 1 watt-hour.
• W•h/kg: watt-hours per kilogram, unit of energy per mass.
• W•h/l: watt-hours per liter, unit of energy density.
• W•h/lb: watt-hours per pound, unit of energy per mass.

[edit] Market Metrics

Approximately 130 major U.S. manufacturers account for the US $4.0 billion storage battery industry. The market is dominated by large manufacturers such as Duracell International and Rayovac Corp. In the “starting”, “lighting”, and “ignition” battery sectors, firms such as Exide Corp. and Gates Energy Products are market leaders.

US Market

Major producers include Exide Technologies, Energizer, and Spectrum Brands (Rayovac). Some divisions of large electronic companies such as Sony also manufacture batteries. The industry is highly concentrated with the largest eight companies controlling approximately 75 percent market share and the largest 50 having over 98 percent of the market. Through 2011, the demand for batteries is estimated to grow by 4.5% in the United States. Annual revenue per employee was about US $240,000.

Net demand for primary and secondary batteries is expected to reach 4.3 % annually through 2011 to reach US $14.8 billion. This growth is fueled by strong demand for battery-powered products such as cellular phones, digital cameras, and increased production of light motor vehicles.

World Market

Battery sales exceeded US $48 billion worldwide. Smaller rechargeable batteries sales are estimated at US $8 billion. The global market for batteries was calculated in 1994 at 17 billion pieces. By 2007, the demand for batteries is estimated at approximately US $78 billion. Overall, the worldwide disposable battery market totals about 20 billion units annually. Demand for batteries will expected to slow in developing economies in the next few years.

[edit] Key Players

• Duracell

The market leader in batteries. Owned by Gillette, it has a share of about 42 % share in the global alkaline market. Duracell’s worldwide sale of its copper topped battery product line exceeded that of all other manufacturers of alkaline batteries. It also leads world sales in the lithium battery space.

• Energizer Holdings

Manufacturer of the well-known Energizer battery. Worldwide sales exceed US $3 billion. Operating margin of 15%. Employees 14,800 workers

• Exide Corporation

Headquartered in Georgia, USA. Has 2006 sales of more then US $3 billion. It employs about 16,300 workers.

[edit] Trends and Recent Developments

NiMH could become the next generation fuel source for electric vehicles. Other research tested NiCad, sodium sulfur, zinc-air, and lithium technologies as possible alternatives to lead-acid batteries. Another closely watched area of research is the use of insulation to maintain the performance of lead acid battery in cold weather.

[edit] Sources

Chemical and Engineering News

Yahoo Finance

Wikipedia

Technewsworld

Battery Digest