2025 Trends in Commercial and Residential Lighting

2025 Trends in Commercial and Residential Lighting

, 6 min reading time

Lighting influences a space's aesthetics, comfort, functionality, ambiance, and safety. With this fundamental role, modern technology is enhancing the quality, design, and sustainability of commercial and residential lighting.  

Lighting and electrical installers must keep up with rapid innovations to remain competitive and satisfy heightened customer demands. Additionally, staying updated helps you comply with industry standards, like LEED certification and other pertinent regulations. This way, you can deliver exceptional and cutting-edge services to your customers whether you're installing lighting fixtures in lobbies, walls, double-height spaces, and other building spaces.

Learn the key trends shaping residential and commercial lighting in 2025 and how you can leverage them to stay ahead of the game. 

The Rise of Smart Lighting

The smart lighting market is projected to reach $40.09 billion by 2032, a significant hike from its $11.9 billion valuation in 2023. The rapid adoption of smart lighting systems is driven by many different factors, such as:

  • The recent mushrooming of smart cities that prefer energy-efficient smart lighting

  • The continued growth of smart homes and the widespread adoption of architectural concepts such as biophilic design

  • The high-scale integration of the Internet of Things (IoT) into smart lighting systems using modern tech like Wi-Fi or Zigbee

Of these three factors, IoT integration has impacted smart lighting the most by enabling personalization, sustainability, and convenience. Smart lighting systems rely on IoT-enabled bulbs, adapters, and sensors to give end users remote access and control over their lighting by integrating with smart features such as voice assistants, smart home platforms, or smartphones. 

IoT integration facilitates the use of intelligent features such as occupancy detection, color temperature adjustment, mood-setting, and dimming. For instance, say your customer is a commercial warehouse space provider. By installing a smart lighting system with an occupancy detection feature, they can automatically turn off lights in unoccupied spaces and enjoy substantial energy savings. Similarly, your residential customer can leverage mood-setting smart lights to customize their room ambiance to match and complement special occasions and celebrations.

Energy Efficiency and Sustainability as Priorities

Smart lighting designs go beyond convenience and aesthetics. They are an eco-friendly solution that facilitates compliance with energy regulations and certifications such as LEED and ENERGY STAR. Other U.S. organizations that have developed lighting standards include:

  • American National Standards Institute (ANSI)

  • Underwriters Laboratories (UL)

  • Illuminating Engineering Society (IES)

  • International Energy Conservation Code (IECC)

  • International Electrotechnical Commission (IEC)

These regulations promote energy efficiency and sustainability by prioritizing lighting designs and innovations that save energy and enhance the safety of consumers and the environment. LED technology and solar-powered lighting and fixtures are among the leading tech innovations that play a pivotal role in advancing lighting efficiency and sustainability.

LED Technology

LED technology is quickly replacing fluorescent lighting. Its widespread adoption has positioned it as the go-to option for smart lighting systems. LED lights are more energy-efficient and have a longer service life than traditional incandescent lights. Research shows the average household can save up to $76 annually by using LED lights. As LED driver technology evolves, more features, such as dimming, improve and boost its efficiency.

Solar-Powered Lighting 

Solar-powered smart lighting systems advance energy sustainability. They utilize a renewable power source and components such as storage batteries, which can be recycled and retrofitted.

Circadian Lighting and Human-Centric Design

Circadian lighting is a lighting schedule that complements the circadian rhythm, the biological cycle that dictates a person’s sleep pattern. It focuses on how the human brain reacts to natural light patterns and creates a sleep/wake cycle that a person is inclined to follow. 

Smart circadian lighting allows users to set different lighting configurations that fit their circadian rhythm. This improves their health and well-being and makes them more productive. In commercial spaces, circadian lighting boosts workers’ alertness during working hours, enabling them to optimize productivity throughout the day.

In residential settings, circadian lighting helps users adjust light at the right time according to their sleep cycle. This improves a user’s sleep quality and comfort by preventing factors such as blue wavelengths that inhibit melatonin secretion, a sleep catalyst hormone.

Other tech advancements that supplement circadian lighting include:

  • Tunable white lighting enables users to control and vary the correlated color temperature of a light source such as LED

  • Dynamic lighting systems that are IoT-enabled adjust light intensity, direction, and color to fit the immediate surroundings. 

The health and well-being benefits tied to circadian lighting advance the heightening demand for human-centric lighting solutions that prioritize end users’ convenience and sleep comfort. 

Aesthetic and Architectural Lighting Trends

Smart lighting systems substantially enhance a space's aesthetics and architectural features in diverse ways. First, it allows you to implement innovative techniques, such as wall washing, orientation lighting, wall grazing, and layered lighting, that amplify a space's depth and dimension. It also allows you to spotlight a building's focal architectural features like beams, domes, columns, towers, or grand entrances, as well as other unique elements such as crown molding or textured walls. 

Additionally, smart lighting fixtures utilize a larger pool of blended metals such as brass and copper, iron and brass, stainless steel and gold, or nickel and brass. Blended metals help you select unique tones for your lighting fixtures to complement existing interior design features like wall trims, matte black finishes, and interior accents like ceilings and wall panels with metallic textures. 

Lastly, smart lighting advances diverse trends such as minimalist lighting, artwork lighting, pendant lighting for tall ceilings, and archway lighting. This way, you'll always find a unique way to light up any residential or commercial space and spice up its interior design quality.

Advancements in Lighting Technology

The rapid tech innovations, particularly in IoT and artificial intelligence, are taking lighting technology to the next level. Areas that are significantly impacted by new tech include:

  • OLED lighting for ultra-thin, flexible, and design-forward fixtures

  • Improved sensor technology for motion detection and daylight harvesting

  • Leveraging ultraviolet-C technologies for disinfection in commercial spaces like healthcare facilities

AI automates lighting systems by powering features such as dynamic adjustments and occupancy patterns. The beauty is that AI learns from existing behavior and improves its lighting adjustment capability, making it ideal for the occupants in a given space. AI also expedites the integration of lighting tech with other useful smart gadgets and platforms, such as smartwatches and security systems. 

Count on ULE Group for Smart Lighting Solutions 

Having provided electrical components for some of the biggest construction projects in the most high-profile cities, we have the experience, resources, and expert knowledge to help you figure out the ideal lighting solution for your residential or commercial customers. Let us help find a smart lighting solution for you and your customers.


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