Europe Smart Home Market Size
| Study Period | 2019 - 2029 |
| Base Year For Estimation | 2023 |
| Forecast Data Period | 2024 - 2029 |
| Historical Data Period | 2019 - 2022 |
| CAGR | 10.30 % |
| Market Concentration | Low |
Major Players
*Disclaimer: Major Players sorted in no particular order |
Europe Smart Home Market Analysis
Europe Smart Homes Market is expected to grow at a CAGR of 10.3% during the forecast period 2021-2026. Investments in smart home technologies are increasing, and so are adoption rates, as consumers start to perceive products, such as voice-activated assistants and smart security systems, as standard household items rather than redundant luxuries.
- Connected energy management devices provide greater functionality. Demand for devices, such as smart lighting systems and smart thermostats, has increased over the past two years, driven by both their money-saving capabilities and their easy-to-use reputation. Hence, such developments are expected to create a need for installation services, thereby impacting the market's growth positively.
- Additionally, smart home devices and services are increasingly playing a significant part in smart city programs. One of the current examples of smart home deployments engaged in driving smart city benefits is the integration of smart thermostats into utility demand management programs.
- The cameras used in the smart home are majorly equipped with security flaws like weak default passwords, unencrypted data, less secured internet gateways, which will become one of the critical factors for adopting a video surveillance camera in the smart home. With the increasing market of smart homes, the demand for secured surveillance cameras would be on the rise.
- Further, smart home devices and services are increasingly playing a significant part in smart city programs. One of the current examples of smart home deployments engaged in driving smart city benefits is the integration of smart thermostats into utility demand management programs.
- However, in the current market scenario, most of the consumers with smart homes view the monthly subscription fees charged by service providers as being too expensive. This is pushing several customers to rely on the DIY model for their smart home devices.
- The market of smart homes in the region has expected that humankind has changed their home designing taste from the COVID-19 pandemic. The consumer's propensity to adopt security solutions is on the rise due to the pandemic scenario and the uncertainty of back into normal life. The aspect of a 'smart home' is looking more practical in the 'new normal' post-COVID-19.
Europe Smart Home Market Trends
This section covers the major market trends shaping the Europe Smart Homes Market according to our research experts:
Lighting Products to have increased adoption across the region
- With the rise in demand for smart homes, and is affordable to automate homes by enabling them with remote control for lights and online communications. Major companies are innovating smart lighting products and making them available for businesses, individuals, and industries. Lighting products are voice-activated with motion sensors and come with features where the energy consumption is less and are more efficient.
- With the high concern of energy waste across the European economy, the government has planned to launch the Green Homes Grant scheme in the month of September 2020. The scheme will provide homeowners vouchers worth up to GBP 5,000 towards the cost of energy efficiency upgrades. These upgrades include everything from better insulation, the move from single to double or even triple glazing, and the installation of more energy-efficient lighting.
- In the region, lighting is said to account for as much as 17% of a typical household’s electricity bill, so a simple upgrade to more energy-efficient lighting has huge potential savings for households. It’s also one of the cheaper options offered under the Government’s Green Homes Grant.
- Moreover, the local governments in Europe are interested in street lighting because it is an easy-to-start technology before lawmakers promise to pay for much more expensive construction projects to destroy old infrastructure. Governments are enticed by the prospect of lower energy bills if lamps with sensors and internet connection live up to their promise of being more efficient.
- Smart lighting is being implemented to change ambiance lighting in real-time, provide responsive control to occupant activities in offices, retail stores, hospitals, educations institutions, and residential buildings. In addition, smart lighting is being considered for innovative applications such as vertical farming, human-centric lighting, etc.
- Players operating in the market ecosystem are expanding their portfolios to fulfill the rising demand of the European region. For instance, in August 2020, WiZ, a smart lighting provider, had announced that its range of connected light bulbs, lamps, LED strips, sensors, and plugs was planned to launch widely across Europe. The company is now part of the Signify group, which operates the well-known Philips Hue brand. WiZ offers much more affordable systems that are easy to set up and secure owing to the elimination of sharing personal information to start the lighting solutions.
United Kingdom to lead the smart home transformation
The rise and development of smart home technology is very surprising. In fact, according to recent statistics from Smart Home Week, 57% of Europeans currently have one or more smart products in their home environment.
According to FatsSaleHome.co.uk digital home assistant such as Google Home, Amazon Echo are on demand in the region. Smart heating functions are expected to grow in the coming days. Moreover, the emerging growth of smart home segment is making the consumers to buy smart kitchen appliances, doorbells and personal care devices such as toothbrushes too.
Major companies in United Kingdom focus on cuttong edge, innovative technologies to enable customers living more comfortably and with with better energy efficiency. The company Trivelhus, a single platform is equipped with smart tools to manage heating, lights, appliances and security with built in smart switches and sockets.
The governemnt also is boosting new plans to for security of smart devices and launched EUR 400,000 funding for building a digital infrastructure. This funcinf will allow businesses to be sure the products they are buying have better cyber security and help retailers be confident they are stocking secure smart products.
The future of the smart homes in coming days is dependent on the product innnovation and adoption of LED smart lights has increased demand. The UK local authority initiated plan to replace 24,000 streetlights with LEDs in 2020. Smart street lighting will enable the region to adapt its street lighting network remotely, providing a critical service even during potential lockdowns and save both energy and maintenance costs.
Smart home making invloves various energy saving devices including smart speakers which are driving the market development. From door locks to security cameras, smart lighting, smart washing machines, this sector is booming with a forecast to reach 84 million homes in Europe by end of 2022 according to a research and marking UK, France and Germany to lead the smart homes transformation across Europe.
Europe Smart Home Industry Overview
The European Smart Homes market is fragmented with key players in the industry such as Siemens AG, Legrand SA, Schneider Electric, Philips Lighting, ADT, and more. These companies are contributing to the market by investing in new product innovations with lower costs and more energy-efficient products.
- October 2021 - ADT announced the acquisition of Edwards Electronic Systems, Inc. The purchase of Edwards Electronic Systems further deepens the ADT Commercial organization's integration capabilities and fire and life safety expertise to serve mid-market, national, and large-scale commercial customers in the Carolinas region.
- November 2021 - Siemens Smart Infrastructure has launched its new selector application for protection devices as part of the energy automation and protection service portfolio. The Easy Relay Retrofit Selector Application makes it easy for users to select a protection legacy device or 3rd. Party equipment for a new device or retrofit service. The app supports all verticals in which protection devices are installed. The simple operation does not require any expert knowledge on protection technology.
- November 2021 - bp and Schneider Electric have partnered to help decarbonize high emissions in European Union and the UK. Together, bp and Schneider Electric's complementary skills in consulting, designing, building, and operating decarbonized energy systems will help companies achieve their decarbonization targets. In addition, bp and Schneider Electric intend to explore business models to enable customers to lessen the complexity, risk, and capital investment of decarbonization by operating such energy systems as a service.
Europe Smart Home Market Leaders
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Siemens AG
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Legrand SA
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ADT Security Services
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Philips
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Schneider Electric
*Disclaimer: Major Players sorted in no particular order
Europe Smart Home Market News
- November 2021 - ADT announced today to acquire Sunpro Solar, and ADT will rebrand Sunpro to ADT Solar and enter the rooftop solar business to offer its customers a protected and powered home. This acquisition unlocks an integrated home experience that includes security, automation, and energy management.
- November 2021 - Schneider Electric and Wilo partnered for the advancement of Wilo's climate strategy to achieve reduced carbon emissions by 50 million tonnes, climate-neutral production at its own sites, increase energy to 10, energy solutions project per year. Schneider Electric, with Wilo's collaboration, is to strengthen its already-winning sustainability program.
Europe Smart Home Market Report - Table of Contents
1. INTRODUCTION
1.1 Study Assumptions and Market Definition
1.2 Scope of the Study
2. RESEARCH METHODOLOGY
3. EXECUTIVE SUMMARY
4. MARKET INSIGHTS
4.1 Market Overview
4.2 Value Chain / Supply Chain Analysis
4.3 Porters 5 Force Analysis
4.3.1 Threat of New Entrants
4.3.2 Bargaining Power of Buyers
4.3.3 Bargaining Power of Suppliers
4.3.4 Threat of Substitute Products
4.3.5 Intensity of Competitive Rivalry
4.4 Assessment of the Impact of COVID-19 on the Market
5. Market Dynamics
5.1 Market Drivers
5.2 Market Restraints
6. TECHNOLOGY SNAPSHOT
7. MARKET SEGMENTATION
7.1 By Product Type
7.1.1 Lighting Products
7.1.2 Energy Management
7.1.3 Security
7.1.4 Connectivity
7.1.5 Energy Management Systems
7.1.6 Home Entertainment and Smart Appliances
8. COMPETITIVE LANDSCAPE
8.1 Company Profiles
8.1.1 Siemens AG
8.1.2 Legrand SA
8.1.3 Robert Bosch GmBH
8.1.4 ADT Security Services
8.1.5 Lutron Electronics Co.
8.1.6 Schneider Electric
8.1.7 Axis Communications AB
8.1.8 Johnson Controls International
8.1.9 Hubbel Inc.
8.1.10 Philips Lighting
8.1.11 Control4 Corporation (Wirepath Home Systems, LLC)
8.1.12 Mobotix AG
- *List Not Exhaustive
9. Investment Analysis
10. Future of the Market
Europe Smart Home Industry Segmentation
The study characterizes the smart home industry based on the installation of key product segments such as Energy Management, Security, Smart Appliances, Lighting solutions, Connectivity products, and security solutions. The study tracks the revenues accrued from the individual product groups as well as the related services solely based on a B2C perspective. The scope of the study is currently focused on key countries such as the United Kingdom, Germany, France, Italy, Netherlands, and other European countries, and key base indicators considered for the study are the number of households, penetration rate, current trends as well as several other key macroeconomic indicators.
| By Product Type | |
| Lighting Products | |
| Energy Management | |
| Security | |
| Connectivity | |
| Energy Management Systems | |
| Home Entertainment and Smart Appliances |
Europe Smart Home Market Research FAQs
What is the current Europe Smart Homes Market size?
The Europe Smart Homes Market is projected to register a CAGR of 10.30% during the forecast period (2024-2029)
Who are the key players in Europe Smart Homes Market?
Siemens AG, Legrand SA, ADT Security Services, Philips and Schneider Electric are the major companies operating in the Europe Smart Homes Market.
What years does this Europe Smart Homes Market cover?
The report covers the Europe Smart Homes Market historical market size for years: 2019, 2020, 2021, 2022 and 2023. The report also forecasts the Europe Smart Homes Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
Europe Smart Home Industry Report
Statistics for the 2024 Europe Smart Home market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. Europe Smart Home analysis includes a market forecast outlook to 2029 and historical overview. Get a sample of this industry analysis as a free report PDF download.
