Smart Home Data Analytics Revenue Expected to have a 17.8% CAGR from 2020-2029
The market for smart home data analytics is developing into the most important corollary market to smart home devices. New analytics capabilities are driving the adoption of smart meters, thermostats, fire detection devices, security devices, plugs, lighting, and other devices while delivering added value to homeowners and utilities. Most significantly, increasing device-level data processing is expanding the range of valuable analytics capabilities while lessening the demands on offsite servers.
According to a new report from Guidehouse Insights annual smart home data analytics revenue to increase from $5.5 billion in 2020 to $24.1 billion in 2029 at a compound annual growth rate (CAGR) of 17.8%.
“Given analytics’ increasing value to consumers, utilities, and other stakeholders, along with the falling cost of data storage and analytics, this market is expected to experience significant growth over the next decade,” says Daniel Talero, research analyst with Guidehouse Insights. “Although the effects of the COVID-19 pandemic on these long-term trends remain unclear, Guidehouse Insights anticipates a net stimulating effect on the demand for smart home devices and smart home data analytics.”
According to the report, the market is currently focused on expanding customer engagement with better information through mobile apps and web portals, which can provide added value when integrated into utility residential demand side management and demand response (DR) programs. Companies are offering customer engagement solutions as analytics bundled with hardware purchases, business to business (B2B) software, and business to consumer (B2C) services. Vendors are also adopting the business to business to consumer (B2B2C) channel, where their products are rebranded by utilities or other intermediaries before reaching consumers.
The report, Market Data: Smart Home Data Analytics, examines the smart home market in five major regions, four major business models, and seven technology types, presenting a 10-year forecast and market sizing for 2020 2029. The regions include North America, Europe, Asia Pacific, Latin America, and the Middle East & Africa. The business models include bundled analytics; B2B customer engagement and digital self-service; other device-tied software analytics; and B2B2C services.