Consumers have grown reliant on their favorite smart speakers and other smart home devices, and this year, the global market for smart home devices is projected to grow 26.9%.
Who Uses Smart Home Products?
57% of smart home product owners are male and most are between the ages of 18 and 34 years old.
The most eager adopters of smart home products are Millennials, and nearly half of Millennial homeowners already own smart home items.
Plus, according to the Americans Ready for the Smart Home report from Coldwell Banker, “parents with children under 18 living at home are almost twice as likely (42%) to have smart home products compared to those with no children under 18 living at home (23%).”
Why Are Consumers Interested In Smart Home Products?
There are numerous reasons, according to the report from Coldwell Banker, that consumers are intrigued by smart home items. Here are the top three.
Smart Home Products Make Consumers’ Lives Easier
Almost all (87%) U.S. consumers who already have smart home products agree these products make their lives easier. Plus, 72% of consumers who own smart home items say these devices provide them with peace of mind for their home security.
Smart Home Products Save Time
57% of smart home product owners believe smart home products save them an average of almost 30 minutes a day.
Smart home product owners who are under 45 years old are more likely to agree that their technology is saving them time; 65% of 18- to 44-year-olds stated smart home technology saves them 31 minutes a day while 38% of consumers 45 years old and older state these products save them 25 minutes a day.
Smart Home Products Save Money
Almost half (45%) of U.S. consumers who own smart home products say these items save them an average of $98.30 per month. For example, certain products may help consumers remotely control and monitor their energy usage.
Of consumers between the ages of 18 and 44 years old who own smart home products, half say these items save them money, whereas only 33% of consumers who are 45-years-old and older say these devices save them money.
Which Smart Home Products Are Most Popular?
Currently, video entertainment holds the largest share of the smart home products market in 2019, followed by smart speakers.
Looking forward to 2023, TelecomPaper.com predicts that video entertainment products will still be the most dominant smart home product category at 30.5%, based on current growth and market share. In 2023, the smart home product market is expected to ship 1.6 billion devices and products.
The Smart Video Entertainment Market
This smart video entertainment market includes products like the Amazon Fire Stick, Google Chrome Cast, Apple TV and Roku Box. The Amazon Fire Stick recently grew to 30 million active users, growing by 5 million new accounts between October and December 2018. Meanwhile, Roku has roughly 27 million active users.
As more consumers look to smart-ify their homes and walk away from expensive cable contracts, smart video entertainment products are simple first steps.
The Smart Speaker Market
Amazon and Google currently dominate the smart speaker market, in addition to having a strong presence in the video entertainment market, but TelecomPaper.com projects Apple will soon make headway in the market, especially after their recent subscription announcement.
“The existing popularity of iOS and macOS devices combined with the availability of Apple apps/services on non-Apple products will help the company slowly entice more consumers into their ecosystem while also attracting third parties to build compatible devices,” Telecompaper.com reported.
What Does The Growing Smart Home Market Mean For Digital Marketers?
The market for smart home products is growing steadily as consumers familiarize themselves with and adopt multiple devices within their homes. As consumers use these products to consume media, marketers will need to consider updating their marketing strategies to include these formats, whether it be audio advertising on a smart speaker or a 10-second commercial on a video entertainment device.
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