The Smart Home Appliances Revolution: What consumers think

Topic: Technology   |   3 October 2023

The Smart Home Appliances Revolution: What consumers think

In this article, Bryter's tech lead Guy Smith delves, into the latest insights on smart appliance adoption across UK and US households. Findings from a recent survey reveal growing interest in connected home devices, particularly among younger consumers, while highlighting key barriers like cost concerns, data security issues, and the fragmented ecosystem of brand-specific apps. Despite these challenges, interest remains strong, especially in appliances like smart washing machines and fridges. New standards, like the Matter protocol, offer potential for better integration, but industry progress will depend on improved interoperability, affordability, and consumer trust in the security of their smart homes.

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The Smart Appliance Revolution

In recent years, smart appliances have evolved from niche gadgets into a significant market segment. These Wi-Fi-enabled devices, from fridges and washing machines to kettles and robot vacuums, connect with smart home hubs or voice assistants, like Google Assistant or Amazon Alexa, to offer a streamlined household experience. A recent study by Bryter reveals where the industry is headed, who is leading the adoption, and the obstacles that remain.

Growing Demand and the Smart Appliance Boom
Growing Demand and the Smart Appliance Boom
Globally, the smart appliance sector is booming. Revenue is expected to nearly double, rising from $45.26 billion in 2022 to $87.9 billion by 2027, with an annual growth rate of nearly 13%. This reflects a rapid increase in household integration, especially among younger consumers who are more likely to see the benefits of connected technology. Currently, over half of households in the UK and US have some form of smart device, but full adoption remains largely confined to younger demographics, especially those aged 18-34. Older consumers are more hesitant, with some viewing smart technology as superfluous or difficult to operate.

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The Appeal of Connected Appliances
For those who own connected appliances, these devices are more than just novelties. They simplify everyday tasks, reduce household effort, and contribute to greater efficiency. Three-quarters of users report that their devices make life easier, with over 70% saying they make a significant impact on day-to-day living. However, this enthusiasm is not universal. Bryter’s survey shows that men are currently more inclined than women to own connected appliances, and age remains a significant barrier. Only 12% of people over 55 own a connected appliance, compared to nearly 30% of those under 35.
Cost, Privacy, and Security Concerns
Despite the positive impact on convenience, concerns about cost, privacy, and security are prevalent, especially among non-owners. Nearly half of those without smart appliances cite cost as a prohibitive factor, and many worry about the potential for data breaches and privacy violations. Security concerns lessen somewhat among owners, but the industry still faces skepticism, particularly among older consumers.

Preferred Smart Appliances and the Age Divide
The types of smart appliances consumers desire reveal significant age-based preferences. Younger consumers are most interested in white goods, like smart washing machines and refrigerators, while air conditioning units top the list for US consumers. In contrast, UK consumers show a preference for smart meters, likely influenced by energy-consciousness amidst rising energy costs.

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Functionality expectations also vary by age. Younger people look for advanced features like personalization, automation, and app-based management that simplify household routines and improve user experience. Meanwhile, older consumers tend to focus on basic functions such as remote on/off controls and scheduled programming, underscoring the need for brands to balance innovation with user-friendly interfaces that cater to all ages.

The Challenge of Integration and the Promise of ‘Matter’
As brands compete to make their smart appliances indispensable, each has introduced its own app, creating a fragmented experience for consumers. Samsung, Bosch, and Dyson are leading the charge, with each offering unique apps to control their products. However, this approach has created a barrier for consumers seeking a seamless, interconnected smart home. While Samsung’s SmartThings ecosystem offers a step toward this integration, most consumers remain wary of managing multiple apps.

The new ‘Matter’ standard, an open-source connectivity framework, promises to simplify this landscape by allowing devices from different brands to communicate with each other. Though still in its infancy, Matter could eventually reduce the need for consumers to commit to one brand for a truly unified home network.

Future Prospects and Industry Challenges
As the cost of living rises, the smart appliance market faces mounting pressure to demonstrate its value. Brands must show not only how these devices improve convenience but also how they can reduce costs and enhance energy efficiency. Additionally, manufacturers must address the lingering security concerns surrounding data privacy, which even owners of smart appliances still harbour.

Moving forward, the industry has a dual mandate: to convince consumers that smart appliances offer more than remote control and that they are worth the investment. If manufacturers can address these concerns and improve interoperability through standards like Matter, they will make significant strides in creating a connected home that is as secure, affordable, and efficient as it is convenient.

Read more

If you would like to access a full copy of the report that contains additional data, insights and implications for consumer attitudes to the connected home, you can download the full report here

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Bryter is a leading insights consultancy specialising in consumer technology research. If you'd like to learn more about the role market research and insights can play in supporting your consumer strategy, you can read our article 'The role of research in smart technology and the internet of things'

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