Smart Water Metering Market Report, By Meter Type (Ultrasonic Meters, Electromagnetic Meters, Smart Mechanical Meters); Technology (Automated Meter Reading [AMR], Advanced Metering Infrastructure [AMI]); Application (Water Utilities, Industries); Component (Meter & Accessories, IT Solutions, Communication); and Regions 2024-2032

Market Overview:

"The global smart water metering markеt size reached US$ 3.7 billion in 2023. Looking forward, Reports and Insights expects the market to reach US$ 7.2 billion in 2032, exhibiting a growth rate (CAGR) of 7.7% during 2024-2032."

Report Attributes	Details
Base Year	2023
Forecast Years	2024-2032
Historical Years	2021-2023
Market Growth Rate (2024-2032)	7.7%

The world is steadily inching its way towards a more apparent shortage of fresh and uncontaminated natural resources, especially water, and the rapid urbanization trend globally is also driving rising demand for basic amenities. Wastage of natural resources and contamination of water bodies has been continuing despite concerted efforts by private and governmental bodies to create awareness and encourage conservation and sustainability practices, especially in a number of developing economies. Increasing concerns regarding water scarcity, depleting water tables and sources feeding rivers and lakes, unpredictable weather conditions, dry spells and drought, failed monsoons, climate change, and rising temperatures worldwide are major factors prompting deployment of more modernized and advanced technologies, devices, and solutions, such as smart water meters and metering solutions, to aid in conservation and judicial and proper use of water, and to reduce wastage, pilferage, and unauthorized consumption. This is becoming a prominent requirement in buildings, municipalities, public locations, commercial setups, industry, hospitality industry, private societies and housing blocks, government housing colonies, and just about across all end-use industries, sectors, and applications where water is used.

 Smart water metering entails the integration of advanced technologies into traditional water meters, and supports real-time monitoring of flow and consumption, data collection, and transmission of water consumption-related information to relevant individuals or bodies. Smart water meters function on different technologies and some include electromagnetic, ultrasonic, and mechanical meters. These devices are used in residential, commercial, and industrial sectors, and sizes and capacities range from small domestic meters to larger industrial models, depending on prerequisite parameters and needs. Also, smart water meters are cost-intensive and are produced from corrosion-resistant metals and durable polymers, to ensure long-term durability and reliability.

Smart meters are designed to meet varying flow rates, ensure accurate monitoring and billing, provide alerts upon leak detection, offer remote monitoring capability, manage water usage more efficiently and conveniently, and enhance the overall user engagement and novelty. These solutions and devices are crucial in water utilities and recent trends towards interoperability, integration of cloud-based solutions, and Artificial Intelligence (AI) for predictive analytics along with automation, adoption of Internet of Things (IoT) technologies, and deployment of smart grids have been contributing to more sustainable water management practices worldwide.

Smart Water Metering Market Trends and Drivers:

Key factors driving need for smart devices to reduce wastage and conserve water is scarcity, depletion of natural resources, changing weather conditions, and contamination of existing water bodies and sources worldwide. Despite the urgency being substantially high and governments and non-profit organizations and activists and champions for change highlighting and raising concerns regarding dwindling natural resources and risks for future generations, measures being taken and initiatives being deployed are yet to begin to have any discernable outcomes or serve to prompt radical and rapid change to address the inherent risks and dangers worldwide.

However, majority of government, municipality, and public and private companies providing water supply have been shifting away from traditional water meters and most have retrofitted existing water supply infrastructure and lines to allow integration of smart water metering devices and solutions. While customers are not in a position to reject or accept the type of meter being deployed at their location, most governments worldwide have mandated the need for smart and digital meters to ensure uninterrupted supply, and fair and accurate readings, billing, and payment. AN increasing number of individuals and families ideally opt for smart and more advanced monitoring and billing devices as a result of better accuracy, and also due to increasing awareness and concerns about water scarcity and the need for efficient water management.

Regulatory-based initiatives promoting water conservation and the implementation of Advanced Metering Infrastructure (AMI) have also been contributing significantly to rising demand for smart metering and shift towards more advanced and convenient solutions, especially in a number of developed countries. Also, rapid urbanization and the smart city trend have been driving integration of IoT technologies for intelligent water management and this has been gaining popularity and traction due to real-time monitoring and data-driven decision-making capabilities offered. In addition, accurate billing, leak detection, and reduction of non-revenue water losses are other advantages and selling-points encouraging adoption of smart water metering solutions across residential, commercial, and industrial sectors.

Smart Water Metering Market Restraining Factors:

Most sophisticated and advanced devices and solutions come along with a high price tag, and this is no different with regard to smart meters and also the high upfront costs associated with the installation and implementation of smart water metering systems. This is a major factor for a vast majority of users and public, and is especially relevant in smaller municipalities and among consumers in developing economies, and in rural and urban settings.

In large metropolitan cities and larger towns, concerns related to data privacy and security present challenges to potential users, as the collection of sensitive personal details, municipality-retained information, and banking and payment-related details raises apprehensions among users and regulatory bodies, and data theft, illegal usage, and scams and fraud using stolen data have been only increasing substantially in the recent past.

Also, the lack of standardization and interoperability in smart water metering technologies creates compatibility issues, limiting seamless integration with existing infrastructure and hindering widespread adoption. Regulations is another factor having a negative impact on the market, and can be further amplified by the high cost needed to meet requirements or be in compliance with various standards. Meeting some requirements can be complex and costly, and retrofitting or overhauling existing infrastructure and piping and others, all carry a rather high price tag if executed.

In addition, smart water meters do have disadvantages and maintenance, potential technical issues, and the need for a reliable and continuous power source are primary among these. Moreover, resistance to shift away from traditional or conventional and familiar devices and utilities or to transition from conventional metering systems might give rise to skepticism among some about the long-term benefits, and the slow pace of infrastructure upgrades in some regions. This is also a key factor that is having a negative impact on the market to some extent.

Smart Water Metering Market Opportunities:

The need for more effective and convenient solutions among users and third-parties is driven majorly by advancements in technology and focus on leveraging advantages and benefits of new offerings in the market. Providers of smart water metering solutions and devices can explore additional revenue streams by developing cost-effective and scalable solutions to address the affordability concerns associated with smart water metering currently.

Offering of flexible subscription-based models by rental service providers will allow users to access smart water metering technology without a significant upfront investment, which is a primary restraint in a number of developing economies. Entering into strategic partnerships with utility companies and governments can help to drive large-scale deployments and adoption, as collaborative efforts to implement smart water metering as part of broader smart city initiatives or water conservation programs can unlock significant market potential. Expanding the scope of applications beyond traditional sectors to include emerging areas such as precision agriculture, aquaculture, and environmental monitoring presents new revenue opportunities for smart water metering technology. These are some of the opportunities companies can explore and engage in strategies to expand revenue streams and consumer base.

Smart Water Metering Market Segmentation:

By Meter Type

• Ultrasonic Meters
• Electromagnetic Meters
• Smart Mechanical Meters

The smart water metering market is dominated by electromagnetic meters and ultrasonic meters segment and for over 40% and 39% of the revenue share in 2023. Electromagnetic meters are known for their high accuracy in measuring water flow rates. They utilize the principle of electromagnetic induction to accurately determine the velocity of the flowing water, resulting in precise measurements. Ultrasonic meters are projected to exhibit the most rapid growth rate during the forecast period, with the highest compound annual growth rate (CAGR). Among the three types of meters analyzed in this study, ultrasonic meters demonstrate the highest potential for fitting communication and Internet of Things (IoT) sensors, thereby delivering enhanced accuracy rates.

By Technology

• Automated Meter Reading (AMR)
• Advanced Metering Infrastructure (AMI)

The AMI segment accounted for over 59% of the revenue share in 2023. During the forecast period, the AMI (Advanced Metering Infrastructure) segment is anticipated to hold the largest market share. In this system, meter data is transmitted to the AMI host system, which subsequently transfers it to the Meter Data Management System (MDMS). The MDMS is responsible for efficiently managing and analysing the data, and presenting it to utility providers in a useful format. The increasing adoption of AMI technology by a considerable number of water utilities can be attributed to the decreasing cost of advanced meters, making them more comparable to traditional one-way meters. Additionally, the automation and streamlined operation of AMI systems requires less human intervention, leading to reduced labor costs. Consequently, AMI is expected to achieve high market penetration.

By Application

• Water Utilities
• Industries

Among the application segments, the water utilities segment is expected to account for largest revenue share over the forecast period. This projection is supported by the critical role smart water metering plays in municipal and private water utilities for efficient resource management and conservation. This coupled with rising emphasis on sustainable practices and the need for precise monitoring in water distribution networks is expected to continue to support significant adoption of smart water metering devices and solutions among water utilities.

By Component

• Meter Accessories
• IT Solutions
• Communication

The dominance of the meter & accessories component in the smart water metering market can be attributed to several factors. Firstly, meters are the core components of any water metering system, responsible for accurately measuring and recording water consumption. The meter & accessories segment encompasses a range of meter types, including electromagnetic, ultrasonic, and mechanical meters, each offering unique benefits and applications. The wide availability and variety of meters within this segment cater to the diverse requirements of water utilities and end-users.

Secondly, advancements in metering technologies have led to improved accuracy, reliability, and functionality of smart water meters. These meters can capture and transmit real-time data, allowing for efficient monitoring and management of water resources. The integration of advanced features such as automated meter reading, leak detection, and remote data access enhances operational efficiency and enables proactive water management.

By Region

North America

• United States
• Canada

Europe

• Germany
• United Kingdom
• France
• Italy
• Spain
• Russia
• Poland
• Benelux
• Nordic
• Rest of Europe

Asia Pacific

• China
• Japan
• India
• South Korea
• ASEAN
• Australia New Zealand
• Rest of Asia Pacific

Latin America

• Brazil
• Mexico
• Argentina

Middle East Africa

• Saudi Arabia
• South Africa
• United Arab Emirates
• Israel
• Rest of MEA

The global smart water metering market is divided into five key regions:

North America, Europe, Asia Pacific, Latin America, and the Middle East and Africa. North America is a leading regional market, with the United States accounting for the largest revenue share in the region due to robust technological infrastructure and a strong focus on water management. In Asia Pacific, China and India account for major revenue share, supported by increasing urbanization, rising water scarcity concerns driving need for more advanced solutions to address water shortage, distribution and supply, leakage, wastage, and monitoring, and government initiatives for smart city development. Europe, led by countries such as Germany and the United Kingdom, is also a significant regional market with a focus on sustainability and stringent regulations. Some common factors driving overall growth across these regions include increasing awareness of water conservation, implementation of smart city initiatives, and government regulations promoting efficient water management practices.

Leading Companies in Smart Water Metering Market & Competitive Landscape:

The competitive landscape in the global smart water metering market is marked by significant competition among leading companies as the need to stay ahead and maintain relevant positions and expand consumer base and reach is of high importance to each player. Companies are focusing on technological innovation and advancements to enhance product features and functionality, and some companies are integrating AI and advanced data analytics for predictive maintenance and anomaly detection, among others. Entering into partnerships, contracts, and collaborations with utility companies and governments are also common strategies, and focus on large-scale deployments and market penetration remain major objectives for majority of companies operating in the market.

In addition, leading companies are focusing on addressing cost concerns by investing in scalable solutions, making smart water metering more accessible to a broader consumer base. Customer-centric approaches, such as offering flexible subscription-based models and value-added services like predictive analytics, contribute to attracting and retaining consumers. Overall, a combination of innovation, collaboration, and customer-centric strategies is shaping the competitive landscape in the global smart water metering market.

These companies include:

• Badger Meter, Inc.
• Sensus USA Inc.
• Itron Inc.
• Landis+Gyr
• Honeywell International Inc.
• Kamstrup A/S
• Elster Group (owned by Honeywell)
• Diehl Stiftung Co. KG
• Aclara Technologies LLC
• Neptune Technology Group Inc.
• Mueller Water Products, Inc.
• Schneider Electric SE
• Arad Group
• Iskraemeco, d.d.
• B Meters S.p.A.

Recent Development:

• February 2024: Following its commitment to shift entirely to smart water metering by 2035, UK-based smart technology and digital provider – Connexin - was selected by Essex & Suffolk Water for the Advanced Water Metering Infrastructure (AMI) framework contract. The company will be tasked with managing the roll-out of smart meters across the Essex and Suffolk supply areas. For Connexin, this marks the third major smart water meter deal after the earlier Yorkshire Water and Severn Trent Water agreements were signed. This agreement is as per the end-to-end ‘Meter as a Service’ solution, and will cover smart water metering requirements across Essex and Suffolk, while also supporting Ofwat’s per capita consumption (PCC) and leakage targets.

• January 2024: Badger Meter, Inc. announced acquisition of specific remote water monitoring hardware and software components from Trimble, which includes the procurement of the Telog brand of RTUs (remote telemetry units) and Trimble Unity Remote Monitoring software. The acquired assets aim to enhance real-time monitoring capabilities for distributed data collection, catering to various applications such as water, wastewater, stormwater, and environmental water monitoring. It is noteworthy that this announcement follows Badger Meter, Inc.'s January 2023 acquisition of Syrinix, Ltd., which was a privately held company specializing in intelligent water monitoring solutions.

Smart Water Metering Market Research Scope

Report Metric	Report Details
Market size available for the years	2021-2023
Base Year	2023
Forecast Period	2024-2032
Compound Annual Growth Rate (CAGR)	7.7%
Segment covered	Meter Type, Technology, Application, Component
Regions Covered	North America: The U.S.Canada Latin America: Brazil, Mexico, Argentina, Rest of Latin America Asia Pacific: China, India, Japan, Australia New Zealand, ASEAN, Rest of Asia Pacific Europe: Germany, The U.K., France, Spain, Italy, Russia, Poland, BENELUX, NORDIC, Rest of Europe The Middle East & Africa: Saudi Arabia, United Arab Emirates, South Africa, Egypt, Israel, and Rest of MEA
Fastest Growing Country in Europe	Germany
Largest Market	North America
Key Players	Badger Meter, Inc., Sensus USA Inc., Itron Inc., Landis+Gyr, Honeywell International Inc., Kamstrup A/S, Elster Group (owned by Honeywell), Diehl Stiftung & Co. KG, Aclara Technologies LLC, Neptune Technology Group Inc., Mueller Water Products, Inc., Schneider Electric SE, Arad Group, Iskraemeco, d.d., B Meters S.p.A.