According to a recent NPD report, only 35% of consumers are reporting owning a smart home device. That leaves 65% of homes without smart technology. This presents you, the dealer, with an incredible opportunity.
The report found that ownership rates of smart devices vary greatly by device type, with security cameras leading the pack, owned by 15% of smart home consumers. This “portfolio of products” includes anything from the aforementioned security cameras, to smart doorbells, to sensors that monitor for water leaks.
Further, NPD reports that smart doorbells have the fastest growth rate and are driving the highest absolute unit volume changes year-over-year, with an increase of 1.82 million units and 64% growth. When compared to security based products (doorbells, cameras, monitoring devices), convenience-styled products (such as smart lighting and home automation kits) tend to pack less of a punch. Devices like these only show single digit growth annually, indicating less attraction from consumers.
So, what factors contribute to whether a home goes smart or not? Well, the report shows several factors. Homes that earn $150,000 and up per year are more likely to own a broader portfolio of smart devices, while homes in the highest income bracket are more than twice as likely to own smart devices in general. However, this is not based strictly on income, as these higher income homes only represent 15% of the population.
The report indicates that cost of the device isn’t the primary factor in the purchasing decision, supported by the fact that consumers across the board most likely choose security cameras when starting their smart home.
“The value proposition of security cameras – providing safety for both family and home – really resonates with consumers,” said Jill Aldort, director and analyst for home automation and mobile accessories, The NPD Group. Smart devices are on the rise, and have been for some time. Don’t miss out on the potential benefits of adding smart devices to your inventory.