Safety and Security Are Lead Drivers for Smart Home Product Buyers
Safety and security are the lead drivers in smart home technology interest, according to NPD Connected Intelligence. Network-connected cameras account for the majority, 61 percent, of U.S. home automation industry revenues.
According to The NPD Group Connected Intelligence Connected Home Automation Report, security and safety top the list of reasons driving consumer interest in building a smarter home. Four-in-ten consumers who are at least somewhat interested in a smart home ranked making their home more secure and safe as the top reason driving their interest. As such, network connected cameras generated nearly two-thirds, 61 percent, of all U.S. home automation industry revenues in the 12 months ending June 2016.
Target Smart Home Product Buyers with television (over-the-air, online, mobile or tablet) campaigns. The AudienceSCAN study reports 51.5% of them took action after seeing a commercial in the past month.
Among the ten percent of U.S. Internet homes that are smart, monitors/cameras are the most common point of entry into the market. According to the report, one-third of smart homes have a networked camera and one-quarter have a security, motion, door or window sensor. While 81 percent of smart camera users leverage the device for its core functionality, home security; over half, 53 percent, of smart camera users cite a utility other than home security. Other uses include monitoring house guests, pets and school-age children.
Retailers will find newspaper (print, online, mobile or tablet) advertising effective as well. AudienceSCAN data points out 67.7% of Smart Home Product Buyers took action after seeing paper ads in the past year.
“Smart cameras generate more retail revenue than any other home automation category, and a growing number of consumers are producing recurring revenue through add-on subscriptions that allow longer tenure video storage and provide features such as the ability to share footage,” said John Buffone, executive director, industry analyst, NPD Connected Intelligence. “As the market takes shape, we expect consumers to flank their smart cameras with other security focused devices such as smart doorbells; in fact, ownership of smart doorbells has grown by 64 percent in the past year.”