The Internet of Things (IoT) market in Australia stood at USD 7.9 billion in 2018. It is projected to grow at a CAGR of 21% and surpass USD 25 billion by 2024. This is on account of the rising demand for smart devices, growing government initiatives and also a rise in demand for analytics. You may recall the details on the global trends in the smart home segment, from our last blog on the topic.
The data on usage trends show that there is an increased penetration of IoT via various applications and devices, from consumer electronics, smart home automation, connected logistics and more. This penetration is pushing up the demand in our country. There is also a surge in adoption of cloud platforms and various other wireless network technologies. This is expected to further propel the IoT market in Australia over the next three to four years.
Smart Home is the future of residential real estate. The new age buyer is looking to invest in connected homes, even if that means a larger sum in transaction.
Smart Homes, a highly preferred choice of homeowners in these times, offer monitoring, control over the home appliances and environment, includes advanced security systems and are cost-efficient as well as energy-saving.
Simply put, a home that responds/interacts with its residents at the touch of a button! (or a tap on the screen!)
The demand for smart home products has raised tremendously since the past decade and is expected to drive growth over the coming years. The Internet of Things (IoT) has gained popularity among residential consumers owing to the benefits achieved by connecting household products to the internet. This growth in the adoption is attributed to the increasing penetration of the internet, the growing usage of smartphones, and the expansion of social network platforms, especially during the outbreak of COVID-19 pandemic. 2020 saw everyone spending time at home, and homes turning into schools, workspaces and more. This led to a lot more awareness of the benefits that smart home automation can bring.
While the concept of Home Automation is not new in economically advanced countries in North America and Europe, the growth of the smart home market in other countries of the world is not far. As you read in our last blog, by the end of 2021, the number of households in Australia implementing the concept of the Internet of Things (IoT) to their lifestyle is expected to rise to 1.6 million. So if you are a builder who is looking forward to gaining a competitive edge and staying ahead of the curve, the key to boosting the property value, sell more, sell faster is getting FUTURE-READY SMART PROPERTIES up in the market!
Hey but wait! How would you know which smart products work the best in the market?… What are the most-preferred smart solutions by buyers?… How to satisfy your buyers upon choosing any particular smart device as per their usage pattern?
Worry not! We’ve always got your back! Here is everything you need to know about smart products and their global trends before installing them in your Display Home.
Segment – Smart Appliances
Products: Smart washing machines and dryers, Smart air conditioners, Smart refrigerators, Smart microwave ovens, Smart dishwashers.
Market Predictions: The global smart home appliances market is poised to grow by USD 31.66 billion during 2020-2024, progressing at a CAGR of 16% during the forecast period.
The global smart home appliances market size is anticipated to reach USD 92.72 billion by 2027, expanding at a CAGR of 14.1% from 2020 to 2027. (ResearchAndMarkets.com)
Australian Usage & Trends: In the Smart Appliances segment, the number of active households is expected to amount to 3.9m by 2025. Product penetration for small appliances is 7.1% in 2020 whereas a share of 39.2% of users is 25-34 years old. Revenue in the Smart Appliances segment is projected to reach US$735m by the end of 2020.
Segment – Smart Security Systems
Products: Smart Alarms, Smart Camera and Monitoring System, Smart Locks and Sensors, Smart Detectors.
Market Predictions: The global smart security market size is poised to grow by USD 20.59 billion during 2020-2024, progressing at a CAGR of over 16% throughout the forecast period.
The reason behind growth of Smart Home Security Market at an increased rate is majorly due to the evolving consumer safety and security preferences, surge in the penetration of connected homes, growing high net worth population increasing consolidation of market players across the globe.
Australian Usage & Trends: In the Security segment, the number of active households is expected to amount to 4.0m by 2025. Product penetration for Smart security cameras is 2.0% in 2020 whereas a share of 37.9% of users is 25-34 years old. The average revenue per active household in the Security segment is projected to amount to US$272.01 by the end of 2020.
Segment – Smart Lighting
Products: Smart LED bulbs, Smart colour bulbs, Smart LED desk lamps, Smart switches.
Market Predictions: The global market for Smart Lighting is expected to grow to reach US$93.2 billion by the year 2027. It is estimated to trail a CAGR of 14.7% post COVID-19 over the analysis of the forecast period.
Australian Usage & Trends: In the Comfort and Lighting segment, the number of active households is expected to amount to 4.8m by 2025. Product penetration for Smart bulbs is 9.6% in 2020 whereas a share of 39.6% of users fall in the age group of 25-34 years. The average revenue per active household in the Comfort and Lighting segment is projected to amount to US$131.47 by the end of 2020.
Segment – Energy Management
Products: Smart plugs, Smart motion sensors, Smart smoke sensors, Smart contact sensors, Smart leak & moisture sensors, Smart temperature sensors.
Market Predictions: The global energy management system market is forecasted to reach a value of USD 17.38 billion by 2025, reflecting a CAGR of 16.2% during the period 2020 – 2025.
Australian Usage & Trends: In the Energy Management segment, the number of active households is expected to amount to 3.8m by 2025. Product penetration for Smart thermostats is 3.4% in 2020 whereas a share of 42.3% of users using smart energy management devices fall in the age group of 25-34 years old. The average revenue per active household in the Energy Management segment is projected to amount to US$103.81 by the end of 2020.
Segment – Home Entertainment
Products: Smart speakers, Smart displays (projectors and monitors), Smart TVs and home theatres, WiFi system, Smart media players.
Market Predictions: The global Home Entertainment market is expected to increase from 209.3 million in 2019 to 266.4 million in 2025, growing at a CAGR of 4.1%. From the perspective of smart home buyers, the Smart TV is fast becoming the central device integrating multiple screens (big and small) used in smart homes.
Australian Usage & Trends: In the Home Entertainment segment, the number of active households is expected to amount to 2.5m by 2025. Product penetration for Multi-room entertainment systems is 9.1% in 2020 whereas a share of 33.6% of users is 25-34 years old. The average revenue per active household in the Home Entertainment segment is projected to amount to US$269.18 by the end of 2020.
As you read, globally, the increasing importance of a more convenient and peaceful lifestyle has fueled up the demand growth for smart and connected homes over the forecast period.
Moreover, advancements in Internet of Things (IoT) owing to introduction of innovative wireless technologies, security and access regulators, and entertainment controls is expected to foster market growth. Thus, resulting in manufacturers of various smart devices promoting automation in the household sector in the near future.
What are you waiting for?
It’s time to change with the changing trend and catch up on what your buyers are expecting from you. A future-ready home that promises convenience, luxury, a unique experience, perfect ambience and a peaceful state of mind! Showcase all this in your DISPLAY HOME and let it do the talking! Yes, a Display Home that is equipped with best-in-class smart home technology… a Display Home that will give your buyers a holistic and realistic glimpse into a smart lifestyle they can experience…
And oh, we are right here! To aid You with bespoke home automation solutions that will help you not just leverage your Display Home advantage, but also help you maximise your property’s value and sell faster! Partner with us and take pride in adding ‘Smart Home Automation’ as a feature on your catalogue! Let’s join hands and vision to make every home a Smart Home!
Catch up on our other blogs and get to know more about Smart Homes, Smart Devices and everything on Home Automation! You can also follow our social media pages to stay updated on the topic on a daily basis! LinkedIn / Instagram / Facebook