Smart Home Device Sales Driven by Security, Energy Concerns

A new report has found more U.S. households are entering the smart home device market, with purchases primarily focused on security and energy monitoring purposes. 

The report, from Park Associates, found 28% of U.S. “internet households'' now have three or more smart home devices, with the average household having 7.1. The research also shows that 40% of internet households have a security solution and 25% have professional monitoring.

"New households are entering the smart home market, with just one or two devices, bringing down the average number of smart home devices owned – but this is a positive result overall," said Jennifer Kent, Park Associates vice president of research. "The security industry is a strong channel for smart home devices and new services, with many opportunities to connect different ecosystems through the security system platform."

Credit: Parks Associates

There was a decline in purchases of smart home devices at the end of last year. Economic instability was identified as the main driver for the downturn. Despite this, there was an uptick in purchases of smart cameras, smart thermostats and robotic vacuum cleaners compared to 2021.

"New solutions in the smart home and security space are being introduced, with a special focus around networked cameras and new applications and capabilities," said Kent. "We look forward to tracking the many announcements at ISC West this year from the security channel, focused on the residential, multifamily, and small-to-medium business markets."