GVR Report cover Smart Home Market Size, Share & Trends Report

Smart Home Market Size, Share & Trends Analysis Report By Application (Security & Surveillance, Lighting, Entertainment, Energy Management, HVAC, Smart Kitchen, Home Fitness & Wellness), By Region And Segment Forecasts, 2022 - 2030

  • Report ID: 978-1-68038-041-5
  • Number of Pages: 300
  • Format: Electronic (PDF)
  • Historical Range: 2018 - 2020
  • Industry: Technology

Report Overview

The global smart home market size was valued at USD 62.69 billion in 2021 and is expected to expand at a compound annual growth rate (CAGR) of 27.0% from 2022 to 2030. This growth is due to the increased focus among individuals to deploy energy-efficient devices and optimize resource utilization. The increasing importance of deploying security systems to reduce the threat of losses is significantly impacting the smart home industry growth. The introduction of advanced technologies, including security and access regulators, Heating, Ventilation, and Air Conditioning (HVAC) controllers, wireless technology, and entertainment controls, is anticipated to foster the market growth in the coming years. 

U.S. smart home market size, by application, 2020 - 2030 (USD Billion)

The demand for smart solutions to counter security issues has increased all over the world. The increased incidences of thefts, burglary, and other security issues are expected to fuel the market growth from 2022 to 2030. Additionally, smart home devices provide intelligent security solutions for children. Motion sensors in areas like the kitchen, home entrances & exits, hallways, living rooms, and others enable the individual to analyze the present state of toddlers at home. Working professionals with their children at home heavily rely on smart home devices such as smart robots and smart cameras.

The rapid adoption of advanced technologies, such as Artificial Intelligence (AI), Internet of Things (IoT), blockchain, machine learning, and others is significantly impacting the market growth. An increased adoption rate of IoTs in developing and developed nations has boosted the smart homes market. The ability of the technology to enable connectivity among devices has aided in reducing the wastage of energy.

The rapid deployment of smart home devices has enabled various government bodies to take steps in energy development solutions. For instance, in October 2019, the European Union introduced new regulations, Commission Regulation (EU) 2019/2020, that redefined the eco-design of light sources and labeling of energy efficiency. This is anticipated to significantly impact the smart home industry growth over the next eight years.

The demand for smart home devices increased drastically during the pandemic. Customers demanded smart devices, including robotic cleaners and automatic dirt disposal vacuums to keep their homes tidy and hygienic, video doorbells for reducing hand contact, and innovative security cameras for safety and security purposes. During the pandemic, the smart home market experienced increased demand as many key players started providing health management solutions.

For instance, in August 2020, Honeywell International Inc. introduced Healthy Buildings solutions to improve the health of the building environment. This solution offers building members a clean and safe environment with social distancing policies.

Security devices at home utilize wireless networks to communicate with the central hub. Factors affecting such security devices are signal range, price, and size, making it difficult to fix on one device. For instance, door and window sensors are small in size and usually use Z-wave and Zigbee technology, as they do not require more power to operate and can be powered by small batteries. However, neither network provides a bandwidth similar to Wi-Fi.

Application Insights

The smart kitchen segment is expected to advance with the highest CAGR of 30.5% in the forecast period. The rapid deployment of smart kitchen appliances, such as automatic composters, smart water purifiers, smart air fryers, juice extractors, and others, is impacting the growth of the market positively.

The intelligent features remember and recollect the users’ favorite cooking mode and have sensors that detect and send an alert if something goes wrong. Smart refrigerators have inbuilt cameras, which allow users to see what is inside the refrigerator from anywhere and alert the users about the expiry date of food.

Global smart home market share, by application, 2021 (%)

The security & surveillance segment registered the highest revenue share of around 31.0% in 2021. The increasing demand for digitally connected devices in the market leads to a subsequent rise in demand for security systems in the smart homes market. Devices such as video assist doorbells and smart security cameras provide advanced security solutions. The integration of IoT has made it easy to set up smart home security, in which users have the ability to control lights, thermostats, heating equipment, door locks, and lawn movers through smartphone applications.

Smart security cameras make it simple to observe your home from anywhere, and they are well equipped and feature customizable solutions. Smart security cameras are also available with do-it-yourself kits. The user can set up security alerts as per his/her requirement or opt to pay the subscription fee for 24/7 surveillance of the smart home by professionals, as well as contact the fire department and police department in case of any emergency.

Regional Insights

Asia Pacific is expected to advance at the highest CAGR of over 32.0% from 2022 to 2030. The ever-increasing demand from the residential sector is expected to propel growth in this region. Regional companies are focusing on innovations and advancements to meet the requirements of potential customers. For instance, in January 2020, Vivint Smart Home, Inc. merged with Mosaic Acquisition Corp. Both companies aim to expand their market presence and thereby strengthen the company product offerings.

North America registered the highest revenue share of over 41.0% in 2021 and is expected to substantially contribute to the smart home industry from 2022 to 2030. This is owing to the increasing presence of an elderly demographic in the region. Of the total population, the segment aged 65 years and above is anticipated to grow by nearly 88 million by 2050. This is expected to increase the demand for healthcare and medical care services.

The demand for smart home devices that support individuals in maintaining, controlling, and managing health problems is anticipated to increase in the coming years. An automatic healthcare remainder system supports the user by reminding doctor’s appointments and medicine. Additionally, IoT healthcare solutions provide higher data accuracy, resulting in a preference for smart devices in diagnosing health conditions.

Key Companies & Market Share Insights

Companies involved in the global smart homes industry focus on the expansion and the introduction of new advanced products. The major factor that ensures continuous development of companies with regards to smart home products to withstand in the marketplace is the frequent introduction of new products and the development of old product lines.

For instance, the IoT platform is an important factor for products in the smart homes industry. Some key companies are focusing on developing IoT platforms and related technology like AI and ML that may include innovative home products. Bosch is anticipated to bring connected security and climate control solutions to the market to establish a strong position in smart home products. Some of the prominent players operating in the global smart home market are:

  • Honeywell International Inc.

  • LG Electronics, Inc.

  • Lutron Electronics Co., Inc.

  • Google Nest.

  • NETGEAR Inc.

  • Ring LLC

  • Robert Bosch GmbH

  • Samsung Electronics Co., Ltd.

  • Schneider Electric SE

  • Philips Lighting B.V.

Smart Home Market Report Scope

Report Attribute

Details

Market size value in 2022

USD 79.17 billion

Revenue forecast in 2030

USD 537.01 billion

Growth rate

CAGR of 27.0% from 2022 to 2030

Base year for estimation

2021

Historical data

2018 - 2020

Forecast period

2022 - 2030

Quantitative units

Revenue in USD Billion and CAGR from 2022 to 2030

Report coverage

Revenue forecast, company ranking, competitive landscape, growth factors, and trends

Segments covered

Application, region

Regional scope

North America; Europe; Asia Pacific; South America; Middle East & Africa

Country scope

U.S.; Canada; Mexico; U.K.; Germany; China; Japan; India; South Korea; Brazil

Key companies profiled

Honeywell International Inc.; LG Electronics, Inc.; Lutron Electronics Co., Inc.; Google Nest; Netgear Inc.; Ring LLC; Robert Bosch GmbH; Samsung Electronics Co., Ltd.; Schneider Electric SE; Philips Lighting B.V.

Customization scope

Free report customization (equivalent to up to 8 analyst working days) with purchase. Addition or alteration to country, regional & segment scope.

Pricing and purchase options

Avail customized purchase options to meet your exact research needs. Explore purchase options

 

Segments Covered in the Report

This report forecasts revenue growth at global, regional, and country levels and provides an analysis of the latest industry trends in each of the sub-segments from 2018 to 2030. For the purpose of this study, Grand View Research has segmented the global smart home market report on the basis of application and region:

  • Application Outlook (Revenue, USD Billion, 2018 - 2030)

    • Security & Surveillance

    • Lighting

    • Entertainment

    • Energy Management

    • HVAC

    • Smart Kitchen

    • Home Fitness & Wellness

  • Regional Outlook (Revenue, USD Billion, 2018 - 2030)

    • North America

      • U.S.

      • Canada

      • Mexico

    • Europe

      • U.K.

      • Germany

    • Asia Pacific

      • China

      • Japan

      • India

      • South Korea

    • South America

      • Brazil

    • Middle East & Africa

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