According to Parks Associates 2.5 million W. European households will have a smart home controller by 2019, highlighting an opportunity in the rapidly growing sector.

“The key challenges in the smart home include low consumer awareness and lack of a concise value proposition,” the analyst says. “The industry will overcome low awareness over time, thanks to the entry of high-profile players in the consumer IoT ecosystem, but to create value on a mass-market scale, smart home solutions must be able to integrate multiple features.”

In addition, Parks Associates reports around 30% of under-35 consumers with high income and education worldwide own a smart home device, while over 50% plan to buy one in the next 12 months.

“These young, "go-getter" consumers have a strong desire for comfort and convenience, and that combined with concerns about home safety and security makes smart home devices very attractive,” the analyst says. “They are also accustomed to plug-and-play technology that just works. As we enter the next wave of smart home adoption, support strategies need to integrate with product design and development so that the consumer experience is seamless.”

However such customers can be described as somewhat hard to please, and expect smart home devices to work perfectly, at all times. As such, vendors need to leverage on the connectivity and data-generating capabilities of new device to create better product experiences.

Go 2.5m W. European Households Will Have a Smart Home Controller by 2019

Go 50% of Key Consumer Segment Intends to Purchase Smart Home Device in the Next 12 Months