Study: Smart home appliances market expected to surpass $38 billion by 2020
We’ve read and heard a lot of reports and studies about how the smart home market is expected to take off, like, now. In fact, countless tech sector analysts have dubbed 2016 the year of the smart home. The smart home market itself, though, can be broken down into a number of subcategories—essentially defined by the room that the smart home technology exists in (kitchen, home theater, etc.).
A new report released this week by Research and Markets keyed in on smart appliances, and the outlook is fairly promising. The firm reported that, by 2020, the next-generation home appliances market will surpass $38 billion in revenue.
The report attributed that number to the global energy demand—which, according to the U.S. Energy Information Administration, will increase by around 37 percent by 2035—and the ability of smart home appliances to facilitate real-time communication that enables the user to operate the appliance at an energy-efficient level. Beyond that, there’s the fact that companies are finding ways to make these appliances, simply put, cool as hell. (Try and tell me that having your fridge alert you when your milk is running low or about to expire, and perhaps even auto-order it from the local grocery store to be delivered just in time, isn’t friggin’ sweet. And that’s just one example from one particular appliance.)
Research and Markets said that the smart home appliance market is expected to “witness a significant growth during the analysis period [2015-2020], owing to the technological advancement in electronics and communication sectors and the growing need of energy efficiency.” Additionally, the group said, increasing purchase power and improving lifestyle would also factor into the increased demand for smart home appliances around the globe.
Geographically speaking, North America is currently dominating the smart appliance market, according to Research and Markets’ data. They credit the favorable market conditions and “adequate awareness among consumers” around smart home tech. By 2017, Asia-Pacific is expected to emerge as a market leader as well.