Global spending on internet-connected devices for the home is forecast to almost double from $88.5 billion in 2017 to $157 billion annually by 2022.¹ In the UK 45% of homes currently own some form of smart home technology, and if the growth forecast is correct we can expect to see it as commonplace in at least 1 out of every 2 homes in the near future.¹
In order to make smart home products and services workable and tailored to user’s needs, manufacturers assert they must have access to data about home owner’s daily lives. But in an era of eroding trust in corporate brands, serious data breaches and IT system failures resulting in loss of user access to vital services, such as banking, what are the implications for the smart home sector?
Impact commissioned an independent study* to understand the attitudes of home owners in the UK. Our report explores the use of personal data and reveals the true scope of the challenge ahead.
Are homeowners happy to share their personal data?
Whilst 59% of people in UK find the idea of having a smart home appealing, just under half of this group (48%) feel unsure or are not willing to share their data in order for their home to cater better to their needs.
Companies such as Facebook and TalkTalk have had very public breaches of data privacy
With various high profile brands such as Facebook, TalkTalk and PlayStation having been under the spotlight for various breaches of data privacy, it’s not surprising to find that people are resistant to share their personal data with brands and companies:
Building brands consumers trust
Our survey shows consumers are more likely to trust their main bank (33% strongly agreeing) over brands that are investing heavily in home assistant technology such as Google (13%) or Amazon (15%).
Winning the trust of consumers is clearly a key challenge for brands in the smart home technology category and one that must be overcome to drive growth in this category.
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Impact specialises in helping companies ensure their products are in tune with the needs of today’s consumer, whether this is new product development, product or service claims and selling points, or brand and credibility positioning within the sector. To find out more about how we can help you exploit your business challenge please get in touch at +44 (0)1932 226 793 or email firstname.lastname@example.org
*Source: Smart Homes Technology Online Survey August 2018, 1,019 UK respondents (nationally representative quotas were set on gender, region, age and social grade), August 2018
Impact study in partnership with
¹ Statista, 2017. Forecast consumer spending on smart home systems and services worldwide by region in 2017 and 2022 (in billion U.S. dollars). [ONLINE] www.statista.com. Available at: https://www.statista.com/statistics/694130/smart-home-consumer-spending-worldwide-by-region/ [Accessed 29 August 2018].