The global smart home market was valued at US$ 79.63 Bn in 2020 is expected to reach US$ 162.69 Bn by 2027, with a growing CAGR of 10.7% during the forecast period (2021-2027).
The smart home is a system where devices and appliances are connected through the internet and can be operated remotely using smartphones or other devices for convenience. Rising internet penetration, an increasing number of internet users, adoption of smart devices, rising disposable income of the consumers, and preference for convenient and comfortable lifestyle by the consumers are some of the factors contributing to the smart home industry demand. Up until April 2021, more than 60% of the world population accounting for approximately 4.72 billion people. The number of internet users is growing at 7.6% annually and 92.8% of them are using mobile devices to go online once a day. With the excellent internet infrastructure almost across all the countries in the world, the smart homes market will witness a high growth rate.
The Global Smart Home Industry Segmentation:
The unique insights provided by this report also includes the following:
Based on product, the entertainment and other controls is anticipated to hold the largest market share by 2027, followed by security and access control.
The entertainment and other controls segment include smart theatre system controls, smart TVs, and audio, video, and multimedia controls among others. The consumer’s demand for personalized and tech-driven products is proliferating the demand for entertainment. People across the globe are investing more in luxury products and embracing their interest in entertainment which is supporting the segment growth in smart home industry analysis. Approximately 44% of the smart home globally includes smart entertainment systems among which smart TVs and speaker systems are the most common. The cord-cutting and escalating growth in streaming services as an alternative to traditional entertainment sources are boosting the demand for entertainment and other controls in the smart home market forecast.
Based on the software & service, behavioral segment accounted for the largest share in smart home industry analysis
The behavioral segment is dominating the smart home market owing to the availability of a wide portfolio of products at a minimum price compared to other software in the space. The industry players are making investments in research and development to provide improved solutions to their customers. Smart home vendors are developing a user-friendly interface to improve the customer experience. Moreover, with the rising smart home installation, the service segment is also witnessing a high growth rate during the forecast period.
Based on regions, the market for smart homes in North America accounted for the largest share in 2020, followed by Europe and the Asia Pacific.
The US is the largest market, which accounted for 82.4% share of the North America smart home market in 2020. The country has a presence of major industry leaders who are constantly innovating to offer excellent smart home solutions boosting the market revenue. The smart home installation in the region grew by 18.7% over last year making North America, world’s most advanced smart home market. The region is anticipated to maintain its position in the smart home market throughout the forecast period.
The region is at the forefront of adopting technology advancements and innovations which are often considered costly in the other regions. The technologies such as Artificial Intelligence (AI), Internet of Things (IoT), Virtual Reality (VR), and Augmented Reality (AR) among others are widely applied across industries in North America. The new trends in smart home industry in North America are huge spending on technology, increasing adoption of smart devices, and growing spending on smart homes.
Company Profiles and Competitive Intelligence: The major players operating in the global Smart Home market are Honeywell, Siemens, Amazon.com, Inc., Schneider Electric, Johnson Controls, ADT, ABB, and ASSA ABLOY, among others.
The report also provides an in-depth analysis of Smart Home market dynamics such as drivers, restraints opportunities, and challenges
COVID-19 Impact on the Smart Home Market Analysis
The COVID-19 has affected various markets on a global level. The pandemic has positive as well as negative impacts on the smart home market. There has been an economic downturn that affected the consumer's spending capacities. Consumers are more focused on prioritizing their primary needs over-investing in the projects like smart homes, impacting the market revenue. However, some consumers improved their homes during the COVID-19 and almost half of them installed smart devices in the home balancing the loss incurred by the slow economy.
The report also provides an in-depth analysis of key trends in the Smart Home Market Forecast
|1||The smart kitchen is truly gaining attraction in the smart home industry space. Smart kitchen products such as smart ovens, smart refrigerators, smart wine coolers, etc. are widely being used by consumers driven by the changing lifestyle and food habits.||Positive|
|2||Mood makers smart lighting that can be controlled using tablets, smartphones, or smartwatches is witnessing high demand. The smart lighting can be customized depending on a specific occasion.||Positive|
|3||Concerns with respect to the personal data ownership and security of the consumer is a concerning factor in the smart home industry analysis||Negative|
The report also provides an in-depth analysis of recent news developments and investments
Company Profiles and Competitive Intelligence
The key players operating in the market are:
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