Tier I companies in the one component foam market hold the revenue share of around 35-40% and Tier II & III stakeholders account for 25-30% and 30-35% revenue shares, respectively. The one component foam market is expected to remain highly fragmented with the presence of a large number of stakeholders in the market in several regions.
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Frontrunners have adopted strategies to grow inorganically in the one component foam market, by acquiring local market players and through partnerships and joint ventures. The presence of top-tiered market players and needs for high initial investments create barriers to entry for Tier II & III stakeholders. However, they are paving their way in the market by introducing application-specific features of one component foams to target a wide range of end-users.
One component foam is commonly used as an insulation material in the construction industry, especially as a construction sealant. Extraordinary characteristics of one component foam as adhesives and sealants are leading to creating more sales opportunities for market players in the global construction industry.
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The revival of the construction industry in developed regions such as North America and Europe, and recent infrastructural developments in emerging countries has spurred the rise of the one component foam market. One component foam manufacturers are focusing on improving characteristics and features to suit specific needs of end-users from the construction industry to bolster sales with exponentially growing construction industry. Additionally, the recent trend of sandwich paneling has provided a boost to the use of one component foam as a construction sealant. Thereby, innovations in the construction industry are likely to diversify the applications of one component foam, which will influence growth prospects of the one component foam market in the upcoming years.
Foreseeing the environmental impacts of one component foam, especially spray foam, various governmental organizations as well as nonprofit environmental organizations across the globe have proposed to regulate the manufacturing and marketing of one component foam. Renowned governing bodies, such as the U.S. Environmental Protection Agency (EPA) and Europe’s REACH (Registration, Evaluation, Authorisation and Restriction of Chemicals), have established a regulatory framework to mitigate the negative impacts of potential chemical exposures through one component spray foams on the environment, indoor air quality, and human health. As end-users are becoming aware of the importance of indoor air quality and environmental impacts of harmful chemicals in one component foams, especially spray foams, manufacturers in the one component foam market are shifting their focus on the chemical compositions, and potential health risks of one component foam to comply with stringent regulations and sync with the needs of environmentally conscious end-users.
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