Market Highlights

Small off-road utility engines (SOREs) are non-road small engines that are rated less than or equal to 19 kilowatts (or 25 HP).  Engines in this category are used in applications, such as lawn and garden equipment comprising lawnmowers, chainsaws, trimmers, etc.; as well as other small commercial engine applications covering portable generators, pumps, compressors, pressure washers, etc. The small off-road utility engine market is extremely affected by various macro-economic and social factors, such as economic uncertainty, industrial recession, weather conditions, seasonality, new housing trends, and consumer behavior. The market stakeholders experience fluctuations in their sales with such unpredictable factors.

The COVID-19 pandemic has brought huge dynamics to the market. There have been different degrees of impact of the pandemic in different regions and segments. For instance, based on estimates of OPEI (Outdoor Power Equipment Institute), the USA witnessed robust growth in consumer lawnmower shipments by more than 15% in 2020 (YoY) with 7.7 million units shipped, whereas the commercial lawnmower shipments faced a decline of 5%. A similar trend was observed in the SORE market too.

There has been a great push in the market towards the reduction in NOx, HC, and CO2 emissions from engines. Leading players have been incorporating various advanced technologies, such as direct injection, advanced sensors, and integrated electronics for intelligent operations, to meet or exceed the emission limits set by regulatory authorities such as EPA and CARB. One of the most versatile trends in the market is a rapid shift in the demand from gasoline-based equipment to electric- or battery-powered equipment. Robotic lawnmowers are one of the best examples of such a shift. Such a dynamic in the market has led players to invest in technologies like lithium-ion batteries.

Segments' Analysis

Small Off-Road Utility Engines (SORE) Market Share by Application Type

Based on the application type, the small off-road utility engines market is segmented as Lawnmowers, Chainsaws, Generators, Pumps, Compressors, Trimmers, and Others. Lawnmowers are expected to remain the largest and the fastest-growing segment of the market in terms of value during the forecast period, driven by strong demand from the USA, Western European countries, and Australia. Among lawnmowers, walk-behind lawnmowers hold a significant share in the market; however, robotic lawnmowers have been experiencing the highest growth. Emerging Asian economies have a higher demand for commercial/industrial small engines, especially for compressors and generators.

Small Off-Road Utility Engines (SORE) Market Share by Engine Power Type

Based on the engine power type, the market is segmented as <5 kW, 5-10 kW, and 10-19 kW. <5 kW is expected to remain the largest segment of the market during the forecast period. Electric engines are gaining traction in the low-power range engines (<5kW), creating new revenue pockets for players supplying lithium-ion battery engines. Ride-on mowers and generators are some key applications that own a relatively high penetration of high-power engines (10-19kW).

Small Off-Road Utility Engines (SORE) Market Share by Equipment Type

Based on the equipment type, the market is segmented as non-handheld and handheld equipment. Non-handled equipment is expected to remain the larger segment of the market during the forecast period. Non-handheld engines consist of Class-I (100-225cc) and Class-II (>225 ccs). Four-stroke gasoline engines are more common in the non-handheld equipment segment. High-power engines are more often used for non-handheld equipment with major applications including lawnmowers, generators, pumps, compressors, and pressure washers.

Small Off-Road Utility Engines (SORE) Market Share by Fuel Type

Based on the fuel type, the market is segmented as gasoline, electric, and others. Gasoline is expected to remain the most dominant segment of the market during the forecast period; however, there has been an increasing demand for electric engines with the replacement of gasoline engines. For instance, lawnmowers, which have four-stroke gasoline engines, have been witnessing a paradigm shift towards electric lawnmowers, especially in robotic lawnmowers. Improved NVH performance, emission reduction, and low cost are some key driving factors for electric engines over gasoline and diesel engines.

Regional Analysis

In terms of regions, North America is expected to remain the largest market for small off-road utility engines during the forecast period. The USA is the world’s largest market for small off-road utility engines. The country’s market is marked by the presence of various engine manufacturers as well as outdoor power equipment manufacturers. Significant demand from residential lawn and garden and outdoor power equipment, unlike the developing Asian economies with a relatively high demand for small engines for commercial usage.

Key Players

The market for Small Off-Road Utility Engines is gradually consolidating as the major companies are performing mergers & acquisitions to quickly gain the leading position and to tap growing opportunities in this briskly expanding market. The supply chain of this market comprises several nodes including raw material suppliers, material suppliers, parts manufacturers, small off-road engine manufacturers, equipment manufacturers, mass merchandisers, and dealers/distributors. The following are the key players in the Small Off-Road Utility Engines market.

• Briggs & Stratton Corporation (KPS Capital Partners)
• Chongqing Zongshen Engine Manufacture Co., Ltd.
• Deutz AG
• Honda Motor Co., Ltd.
• Husqvarna Group
• Kawasaki Heavy Industries, Ltd.
• Kohler Co.
• Loncin Motor Co. Ltd.
• Yamaha Motor Co. Ltd.

Research Methodology

This strategic assessment report, from Stratview Research, provides a comprehensive analysis that reflects today’s small off-road utility engines market realities and future market possibilities for the forecast period of 2021 to 2026. The report segments and analyzes the market in the most detailed manner in order to provide a panoramic view of the market. The vital data/information provided in the report can play a crucial role for the market participants as well as investors in the identification of the low-hanging fruits available in the market as well as to formulate the growth strategies to expedite their growth process.

This report offers high-quality insights and is the outcome of a detailed research methodology comprising extensive secondary research, rigorous primary interviews with industry stakeholders, and validation and triangulation with Stratview Research’s internal database and statistical tools. More than 1000 authenticated secondary sources, such as company annual reports, fact books, press releases, journals, investor presentations, white papers, patents, and articles, have been leveraged to gather the data. We conducted about 15 detailed primary interviews with the market players across the value chain in all four regions and industry experts to obtain both qualitative and quantitative insights.

Report Features

This report provides market intelligence in the most comprehensive way. The report structure has been kept such that it offers maximum business value. It provides critical insights into the market dynamics and will enable strategic decision making for the existing market players as well as those willing to enter the market. The following are the key features of the report:

• Market structure: Overview, industry life cycle analysis, supply chain analysis.
• Market environment analysis: Growth drivers and constraints, Porter’s five forces analysis, SWOT analysis.
• Market trend and forecast analysis.
• Market segment trend and forecast.
• Competitive landscape and dynamics: Market share, Product portfolio, New Product Launches, etc.
• Attractive market segments and associated growth opportunities.
• Emerging trends.
• Strategic growth opportunities for the existing and new players.
• Key success factors.

The small off-road utility engines market is segmented into the following categories. 

Small Off-Road Utility Engines Market Size, Share & Forecast, by Application Type

• Lawnmowers (Regional Analysis: North America, Europe, and RoW)
• Chainsaws (Regional Analysis: North America, Europe, and RoW)
• Generators (Regional Analysis: North America, Europe, and RoW)
• Pumps (Regional Analysis: North America, Europe, and RoW)
• Compressors (Regional Analysis: North America, Europe, and RoW)
• Trimmers (Regional Analysis: North America, Europe, and RoW)
• Other (Regional Analysis: North America, Europe, and RoW)

Small Off-Road Utility Engines Market Size, Share & Forecast, by Engine Power Type

• <5 kW (Regional Analysis: North America, Europe, and RoW)
• 5-10 kW (Regional Analysis: North America, Europe, and RoW)
• 10-19 kW (Regional Analysis: North America, Europe, and RoW)

Small Off-Road Utility Engines Market Size, Share & Forecast, by Equipment Type

• Non-Handheld Equipment (Regional Analysis: North America, Europe, and RoW)
• Handheld Equipment (Regional Analysis: North America, Europe, and RoW)

Small Off-Road Utility Engines Market Size, Share & Forecast, by Fuel Type

• Gasoline (Regional Analysis: North America, Europe, and RoW)
• Electric (Regional Analysis: North America, Europe, and RoW)
• Others (Regional Analysis: North America, Europe, and RoW)

Small Off-Road Utility Engines Market Size, Share & Forecast, by Region

• North America (Country Analysis: The USA, and Canada)
• Europe (Country Analysis: The UK, Germany, France, Scandinavia, and Rest of Europe)
• Rest of the World (Sub Region: Asia-Pacific, and Others)

Report Customization Options

With this detailed report, Stratview Research offers one of the following free customization options to our respectable clients:

Company Profiling

• Detailed profiling of additional market players (up to three players)
• SWOT analysis of key players (up to three players)

Competitive Benchmarking

• Benchmarking of key players on the following parameters: Product portfolio, geographical reach, regional presence, and strategic alliances

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