"Alexa, turn off the lights", “Ok Google, I’m home”, "Set up an alarm for me"; it has become really easy for people to do all this and more with just a voice command, something we saw long back in the Jetsons cartoon show.
You can now switch on or off the lights, set air purifiers, and open window curtains, by sitting in one place using an app, all thanks to technology.
Likewise, you can set the fan speed, adjust the AC temperature, set alarms and reminders using your TV, set the lights at your home according to your mood, leave the vacuum cleaner to roam around your house, and clean everything even when you're not at home, open the lock of your door with fingerprint if unable to find the keys -- all using a phone app or through voice controls.
Smart consumer technology products have come to the rescue of those who like it easy as not just phones and watches, even the homes are getting smarter for this niche customer base.
A few years from now, there may not have been many takers for the idea of a home where you can control so many regular tasks using just your smartphone or your voice, but it's a reality now.
Connected devices, also known as the Internet of Things or IoT devices, can work with each other once connected to a common wireless network. IoT gives these devices the ability to communicate over the internet so that they can be controlled remotely.
In fact, virtually anything can be controlled either through smart switches, mobile apps, or even voice controls.
A smart home is basically one equipped with these connected devices that can be controlled remotely by a smartphone or a computer. All the smart devices are connected to the home WiFi and have software that track a person’s habits and usage patterns to offer a personalized experience and create automation routines using Artificial Intelligence (AI).
Cheaper data, more budget smartphones, and reduced hardware costs have resulted in more people in the country, especially millennials, exploring these products and making their homes smarter.
The idea of smart homes got a fillip after the Covid-19 pandemic and subsequent lockdown made people spend more time at home. From the office to entertainment, homes became places for all activities and people have started adding these gadgets and appliances that can ease their workload as a convenience, safety, and comfort become priorities.
Worldwide shipments of smart home devices reached 801.5 million units in 2020, an increase of 4.5 per cent over 2019. Shipments are forecast to surpass 1.4 billion in 2025 with a five-year compound annual growth rate (CAGR) of 12.2 per cent as consumers seek out additional conveniences, according to the International Data Corporation (IDC) report.
People have upgraded old air conditioners and TVs to smarter ones so they can create an ecosystem of these smart products to make a smart home. So what's really driving the demand for such products?
Nikhil Rajpal, CEO, Hero Electronix said the real-life everyday utility is making consumers adopt technology in a much faster manner.
"Post-Pandemic, people are getting more and more open to new tech products at a broader level. Every product is getting reimagined as they get smarter and connected. A lot of new-age companies are bringing smart home products to the market that are fundamentally helping consumers manage their lives in a much better manner. Products are getting superior and functionally-rich at a much faster pace now and are adding significant practical value to their lives which is changing the way people approach technology," he said.
Rajpal said smart products bring safety and convenience to a consumer's Life as with something as good as a smart door lock, people now don't have to carry any key or worry about misplacing or forgetting it, they can use fingerprints & pin codes to open door locks.
Vivek Yadav, Executive Vice President, Havells India also feels the Covid-19 pandemic has made people look for convenience and comfort as they are staying indoors more than ever.
“The willingness to adopt the connected home ecosystem is on the rise among consumers as they realize the benefits offered due to cost savings through energy efficiency, home monitoring capabilities from remote locations & increased comfort & convenience along with enhanced premium feel for their homes. Consumers prefer home appliances or devices that are smart, connected, and energy-efficient. They want to augment their lifestyle with smart products but prefer the reduced total cost of ownership," he said.
The pandemic has brought the significance of hygiene and infection control to the fore. The need for touch-less or contactless operations has increased the adoption of smart switches as these can be operated via mobile apps or voice, he added.
Although the products are slightly more expensive than the usual appliances, the smart home market in India was estimated to grow significantly and become a $9 billion market, according to Statista. As per forecasts, India ranked the third-highest number of smart homes around the world in 2020.
According to a Statista report, the Indian smart home market is expected to be around $6 billion by 2022, a two-fold increase from $3 billion estimated in 2020. Globally, this number is expected to reach $53.45 billion by 2022.
"Today, smart wireless cameras are just 10 to 15 per cent of the overall camera category but their adoption is growing at a much higher pace of 20 per cent year-on-year (YoY) growth. Similarly, smart door locks are just 2 to 3 per cent of the overall Locks category but again the adoption rate is growing at a rate of 25 per cent YoY," Rajpal said.
Smart speaker sellers in India surpassed a million shipments for the first time, in 2020. The industry had shipped approximately 650-700,000 units of smart speakers in 2019, according to a report by market research firm techARC.
Similarly, the global smart lock market size was valued at $2,366 million in 2020 and is projected to reach $14,972 million by 2030, growing at a CAGR of 20.1 per cent from 2021 to 2030, according to a report by Valuates.
Pranesh Chaudhary, CEO and Founder at zunpulse., a home-IoT startup, said the lockdown and work-from-home had a major impact on consumer behaviour. Since people spent a large chunk of their time at home, they started spending more on smart devices.
"We witnessed over 2.5x annual growth rate in the smart devices sales in the last 2 years. We have an ecosystem of smart connected devices that helps our customers to control all their electrical devices through just one app. This also attracts a lot of attention from major real estate developers, a few of which have already partnered with us to automate their current and future projects.," he said.
In FY22, Chaudhary said 75 per cent of the company's sales were through smart products.
He, however, explains the low penetration of WiFi combined with the low awareness level of smart devices is currently the biggest challenge for smart home devices in India.
Gloss