Specific “hero” devices – like the Nest Thermostat or Amazon Echo – have found an enthusiastic user base, but the smart home concept and value proposition remain poorly communicated and demonstrated, with low awareness among mass-market consumers.
The security market continues to be the top channel for smart home products and systems. The value proposition of security makes sense to consumers, and security dealers can properly install the connected devices as well as explain the value of the feature and functions. Recent Parks Associates research found that nearly 25% of US broadband households have a working and active security system, and 65% of these households plan to buy a smart home device within a year.
Creating awareness of smart home products, services and value in order to generate and leverage the available data from the devices continues to be a key challenge. Parks Associates analysts expect that almost 55 million smart home devices will be sold to US broadband households in 2020. The industry needs to continue to show real-use cases and create products that work together, feature easy set-up and installation, and provide a use case that bring real value to consumers.
Source: ISE Magazine, January 2017, Volume 35, Issue 1