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Smart Home Device Adoption and Awareness on the Upswing, Report Says

Smart Home Device Adoption and Awareness on the Upswing, Report Says

Cite:  SSI

A newly released benchmark report from PlumChoice and Z-Wave Alliance shows consumers got “smarter” in 2016 about home automation devices that benefit their lifestyles.

The study found that consumers need better a value proposition and more guidance to embrace smart products.

By SSI Staff · April 18, 2017

LOWELL, Mass. — Consumers see more clearly how smart home devices can directly benefit their lives and are planning to purchase more such products in the future, according to a consumer survey commissioned by PlumChoice and the Z-Wave Alliance.

The 2nd annual consumer benchmark survey, titled “2016: Year of the Smart Device,” also highlights the need for companies to provide consumers a user experience that allows their smart home devices to fit easily into their lives.

The report helps device makers and their partners understand current connected and smart home device ownership, interest in future purchases and perceived smart home device benefits. In addition, it outlines the services that brands can tie to these products to drive more revenue and consumer loyalty.

Among key findings:

  • 52% of all respondents plan to buy a smart device in the next two years;
  • Of those who own smart devices, 84% said they may make another smart purchase in the next two years;
  • The majority of consumers report owning a total of four to six smart home devices and 61% have interconnected some of those devices. Interoperability becomes a key factor as consumers add more connected devices;
  • Smart appliances (smart refrigerator, washer/dryer, etc.) and smart smoke detectors are among the smart home products with the highest year-over-year growth, with 267% and 250% respectively;
  • All types of services and support expected from brands increased since 2015, with installation support listed as a top need (68%).

The survey also examined consumer behavior — including purchase drivers and rate of adoption — of homeowners compared to renters, along with comparisons between age, gender and current device owners.

“The smart home industry is thriving, and many companies are recognizing that their success is dependent on a seamless consumer user experience,” says Noelani McGadden, vice president of IoT at PlumChoice, which helps cloud and Internet of Things (IoT) companies deploy and sell support services that drive product adoption.

McGadden explains 2016 proved to be “a pivotal year for the smart home industry, with the number of people who own a smart device increasing by a staggering 259%. As smart home device adoption continues to grow, brands must cater to consumers who are expecting support services as part of their purchase, and at the very least provide installation support.”

“It’s clear from our data that not only has the smart home arrived, but the benefits of adding connectivity to the things in our home are finally being realized,” says Mitchell Klein, executive director, Z-Wave Alliance. “It’s exciting to finally see consumers understanding the value of connecting multiple devices together and to see categories like smart security, thermostats and safety grow year over year.”

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