Smart Home market to grow 30% YOY, reveals Schneider Electric India survey

Schneider Electric released highlights of a Smart Homes Solutions survey, conducted on its behalf by AZ Research Partners, Bengaluru. The major outcome from the survey was that the smart home market is expected to grow at a rate of 30% YOY, thereby ensuring that the market will double in revenue every 3 years. The survey was conducted among end customers of premium apartment complexes, duplex, triplex and villas within the range of Rs 50 lakh to Rs 1 crore, Rs 1-5 crore and Rs 5+ crore as well as builders of such complexes. The survey revealed high awareness among respondents about Smart Homes, which was almost universal in metros and upper-end segments.

The disposition was very positive with almost all customers in upper-end homes wanting to opt for some level of Smart Home solutions. As per the survey, security, convenience and Energy Efficiency were the largest drivers for Smart Homes. Conversely, high cost and lack of clarity about the real value were the only barriers. In a few cases, lack of awareness was a likely barrier.

Speaking about the Smart Homes survey, Shrinivas Chebbi, Vice President, Buildings and Partner BU, Schneider Electric India, said: “Almost 75% respondents were aware of Smart Homes, which was almost universal among the upper-end segment. But awareness was low among the lower end, since these respondents hailed from smaller towns, with 11% not aware even on being prompted. The quality of knowledge about Smart Homes across budget segments was quite good, especially in metros, but vague in non-metros. Aware respondents identified Smart Homes with security systems such as CCTV cameras and video calling, lighting systems, fire and gas leak alarms, etc. On controls in Smart Homes, the highest salience was for security and lighting controls, followed by AV and entertainment.”

In the Rs 5 crore + segment, 100% respondents were aware of Smart Homes, while in the Rs 1-5 crore bracket, 87% were aware. In the Rs 50 lakh to Rs 1 crore section, only 49% were aware, while another 28% expressed awareness on being prompted, with the balance 23% having no awareness at all. Taking into account respondents from every, the consolidated awareness figure was 79%.

When queried about the source of awareness on Smart Homes, builders and the Internet were cited as the main sources. Whilst 35% named builders, 25% the Internet, 18% hotels, 15% friends and family, with the remainder citing magazines and newspapers. On being exposed to the Smart Homes concept, most customers expressed likeness for security features, video door, IP cameras, motion sensors and gas leakage sensors. Some liked the UPS, as they realised that drop in power could impact all gadgets. On evaluating service providers for Smart Homes, customers were mostly seeking a large company that was a technology leader, while a few said they would prefer dealing only with their builders.