Expanding Business

New avenues for elevator, escalator and travelator brands to expand business

The basic purpose of vertical transportation is to ease the up or down movement of passengers with comfort in any premises. Besides its main function of taking people up/down, if some additional features are added, it certainly adds to your elevator business.

The basic concept for growth of any business is to expand it to new geographical areas, increase the customer base, create new requirements and introduce new features or facilities. Certainly, quality, reliability and safety standards always play a great role for business development.

Entering a niche market has a great advantage of pricing and creating a good base before other players enter the area and create price wars.

A study of government plans gives a good vision for the elevator industry. There are few new avenues for elevator industry players to expand their business.

1. Think of any airport, which requires a long walk from the main entrance to the check-in counter, from the check-in counter to the security check and from the security check area to the lounge. During return also, one needs to walk a long way to reach the taxi stand or transport area. If moving walks are provided between two points, it becomes convenient for passengers to move with their baggage. Even for children and senior citizens, it is a good facility.
   The moving walk (travelator) is an example of recent changes in the elevator business. The mass movement of people for a short distance is facilitated by moving walks. The same is very successful at airports or metro stations.
   The travelator business is growing very fast with upcoming new airports and modernization of existing airports. The industry estimates it expected to reach US$3.3 billion in revenue by 2030.
2. With the recent increase in tourists to historical monuments and pilgrims to temples, particularly on hills, the use of inclined elevators has become the best solution for elderly people. Think of Mata Vaishno devi temple, Kedarnath temple, Ambaji Dham, Griner temple and so many places in high hill areas that can now be easily and comfortably visited by elderly devotees with the availability of inclined elevators or ropeways. 
3. Railway stations are becoming equipped with elevators and escalators, representing a new area for the industry. All metro stations are equipped with elevators and escalators. Even the foot overbridges are required to have elevators for easy access for senior citizens and divvying. The increased numbers and revenue due to these factors cannot be discounted.
4. Identifying and developing small cities along highways is a new avenue for a number of businesses. Development of new industrial parks along highways is also part of the government’s new development policy. The increase in high-rise buildings, commercial complexes, hotels and industries are certainly going to enhance the elevator and escalators business.
5. Cost cutting and fast changes in technology have reduced the overall useful life of elevators to just 15-20 years. The replacement of outdated elevators can be a good growth opportunity.
6. Redevelopment is a good, ongoing business in most metros. It provides solid business in terms of number, as well as value.
7. Floor Space Index (FSI) increase by the municipal corporation for existing buildings is a good opportunity for increasing the number of multi-floor/high-rise buildings. South Mumbai is a good example of an increase in the high-rise building population.

Changing Horizon – The Effect of FSI

If you provide good services and maintain good relationships with developers and users, you can grab a significant amount of business in the changing scenario.