Results of the Latest Market
Research on Connected Homes
Ronald J. Zimmer CAE
President & CEO
Continental Automated Buildings Association
http://www.CABA.org
LinkedIn Profile
LANDMARK RESEARCH
“State of the Connected Home Market”
Emerald Sponsors
Diamond Sponsors
U.S. Households with HANS and iREM Nets
Households with HANs and iREM Nets
(U.S. Only)
Million
Households
Percentage of
Households
6
6%
5.6
5
5%
4
Utility-based Home Area Networks
Households with iREM Nets
% ALL HHs with HANs
% ALL HH with iREM Nets
4.5%
3.6
3.3
iREM Net: Independent Residential Energy Management Network
(Not Utility-based)
3
3%
2.6
2.7%
2
1.7
1
0.7
0.06 0.1
0.23 0.3
0.7
1.6
4%
2.9%
2%
2.1%
1.4%
1%
0.6%
0
0%
2009
2010
2011
2012
2013
2014
© 2010 Parks Associates
CABA Connected Home
Roadmap 2010
Corning – A Day Made of Glass
Summary: Benefits & Barriers
Remote control, lower energy bills, safety & security drive
interest in the connected home; ease of use matters to
those who like the connected home
Top Connected Home Benefits
Total Online Consumers 18-64
(% Range for US & Canada)
Remote control and having an easier way to control are related concepts
Matters
most
to:
Remote
control from
anywhere
44%-47%
Saving
money on
energy bills
43%-48%
Safety
& security
42%
Those with the
most interest in
the connected
home
Everyone
Everyone
Women
Source: CABA’s State of the
Connected Home Market 2011
(Those least interested
in the connected
home care most
about saving energy)
Easier to
control
19%-29%
Those with the
most interest in
the connected
home
Men
Among energy consumers, the list of benefits is the same
as for the general consumer population—remote access,
saving money and safety/security
Top-3 Connected Home Benefits
Total Online Energy Consumers 18+
Control & monitoring (net)
Energy (net)
Ability to control locks, alarm,
temperature and/or
lights while away from home
Saving money on energy bills
Reducing the amount of
energy your home uses
Easier way to control &
monitor home systems/devices
Enhanced safety & security
More convenient way to control locks,
security, temperature and/or lights
while at home
More comfortable/pleasant
home environment
Access to desired entertainment
content on any device
Ability to know when household
members have arrived or left
Simplified management of home
maintenance/repairs
Nothing
US 2011 (n=618)
Canada 2011 (n=209)
Source: CABA’s State of the
Connected Home Market 2011
• Deadline for submission of presentation
for the proceedings: January 14,
2011
• Please ensure that you bring a copy of
your power-point slides with you on a
thumb drive the day of your
presentation – if you change your slides
please email the organizers ASAP with
the updated copy
Data from 2009 CABA State of Connected Home
Among energy consumers, potential demand for smart
appliances is relatively robust
Interest in Smart Appliances
•
Top-2 Box; % Definitely Buy At a ‘Reasonable’ Price
Potential demand is roughly even
across device types, though furnaces
stand out in Canada.
Online Energy Consumers 18+
Thermostat
Likelihood to Purchase a Smart Appliance
Air conditioner
At a ‘Reasonable’ Price, When in the Market,
*Discounted
Demand
36%
30%
37%
35%
Online Energy Consumers 18+
% ‘Definitely’, Top 2-box
Water heater
34%
32%
33%
Furnace
US 2011
(n=614)
41%
31%
Home security system
Refrigerator
Range, cooktop
or oven
Canada 2011
(n=209)
US 2011 (n=185-219)
Canada 2011 (n=62-85)
Click here for concept
description
Source: CABA’s State of the
Connected Home Market 2011
27%
31%
23%
30%
26%
30%
Dishwasher
Washing
machine/dryer
25%
30%
27%
Summary: Target Markets
In US, both homeowners and renters, young and old
are interested in smart appliances; in Canada, older
homeowners have highest interest
Those very interested in smart appliances:
• Own home (79% US; 97% Canada)
• Median age (41; 56)
• Women (54%; 60%)
• Annual HH income $50K+ (55%; 59%)
Women somewhat
more focused on
laundry & kitchen
• Have smartphone (66%; 55%)
• Have tablet PC (23%; 39%)
• Use/interested in dynamic pricing (55%; 58%)
• Use equipment maintenance program (18%; 23%)
• Use fiber-optic Internet (17%-US)
Those very interested in Home Dashboard/HEMS (US):
• Have smartphone (73%) and/or tablet PCs (28%).
• Are more likely to participate in a clean energy (16%) or
energy management program (17%) with their electric utility
than those not interested (4%, 5%).
Source: CABA’s State of the
Connected Home Market 2011
All consumer types
are interested in
dynamic pricing– but
tablet PCs are more
common among
those who are (23%
in US).
The top motivator for smart appliance
purchase: saving money
•
•
Reducing energy usage is less important than saving money in the US, while in Canada, it is nearly as
important.
Ability to get maintenance alerts and remote access are of lower importance.
– Users of alarmed security systems are the most interested group in maintenance/repair alerts
(US).*
– Smartphone owners are more interested in remote control and monitoring than other consumers
(US)*
Smart Appliance Feature Importance
Online Energy Consumers 18+
Mean Importance Based on 100-Point Allocation
Ability to save
money on
energy costs
US 2011
(n=618)
51.4
Canada 2011
(n=209)
Source: CABA’s State of the
Connected Home Market 2011
Rebates or
other cost
incentives
Reduced home
energy usage
Ability
Ability to
to get
monitor or
maintenance/
control
repair alerts
remotely
Whirlpool Smart Device Network Architecture
CABA Connected Home
Roadmap 2010
Willingness To Pay
•
For several high opportunity areas, many of those dissatisfied with their current situation are willing to pay
for improved capabilities
– Programmable lighting controls
– Eliminating phantom energy drain
– Individual room temperature and lighting control
Percent Very/Somewhat Likely to Pay
70%
64%
68% 60%
67%
65%
58%
62%
57% 58%
55%
52%
53% 54%
50% 50%
= Solid Opportunity Score
US
Canadian
50%
48%
47%
43%
33%30%
JLA Strategic Research
You appear to be most dissatisfied with your ability to perform the following activities. How willing
would you be to pay for a better solution to each?
Base are those very/somewhat dissatisfied with their current ability to perform each capability
Very Strong Willingness >75%
Strong Willingness
>65%
Mild Willingness
>50%
Weak Willingness
<50%
Smart Grid Video
Consolidated Edison Co. of New York
Smart Meter and HAN
Canadians are generally more familiar with dynamic pricing and smart
meters than Americans—though most still know little if anything about
HEMS or HANs
• Dynamic pricing and smart meters are more familiar to energy
consumers in both the US and Canada than other smart grid concepts.
Smart Grid Familiarity
Total Online Energy Consumers 18+
US 2011
Never
heard of it
Heard of
it, but not
much else
Know
something
about it
Never
heard of it
Know a lot
about it
Dynamic Pricing
(n=618)
(n=209)
Smart Meter
(n=618)
(n=209)
Demand Response
(n=618)
(n=209)
Home Energy Management
System (HEMS)
(n=309)
(n=110)
Home Area Network (HAN)
(n=309)
(n=99)
Source: CABA’s State of the
Connected Home Market 2011
Canada 2011
Heard of
it, but not
much else
Know
something
about it
Know a lot
about it
US: Energy & Green Living Opportunity Landscape
There is a substantial market opportunity for
energy reduction products/services:
•
•
•
Systems that track where and when energy and water is being consumed
• Programmable lighting controls
Products that schedule and control appliance usage
• Analyze appliance efficiency
Products that allow users to centrally control room temp and
lighting
• Monitor/
track electricity consumption
• Water conservation/ monitoring system
• Off-peak appliance scheduling
• Energy management program
Over-Served
Table
Stakes
• Automatic maintenance notification
• Programmable window covering
• Eliminate phantom drain
• Individual room control
Allowing energy provider to
remotely adjusting temps
Appropriately Served
CABA Connected Home
Roadmap 2010
Limited
Opportunity
Under-Served
Percent top 2 box Satisfaction and Importance scores
JLA Strategic Research
CABA’s Energy as a Managed
Service Study
Member Participants
1.
2.
3.
4.
5.
6.
7.
8.
9.
10.
11.
12.
13.
3M Company
Bell Canada
Best Buy
Direct Energy
Freescale Semiconductor
Honeywell International
Ingersoll Rand/Trane/Schlage
Intel Corporation
Landis+Gyr
Microsoft Corporation
TELUS
Tyco Electronics
Whirlpool Corporation
Research Supplier: POCO Labs
Project Manager: Direct Energy
CABA’s Energy as a Managed
Service Research
•Consumers would change behavior based on TOU.
•TOU pricing on consumer behavior compared.
•Preferred data sampling rate was cost/day.
•Consumption behavior would change if energy savings were
met.
•EMS adopters are also into “green” behavior.
•Five key segments of consumers were identified.
The Home and Beyond
from a Telecom perspective
Courtesy: ZigBee Alliance
Broadband Enables
Intelligent MTUs
The Verve High Rise Condominiums –
Energy Savings Model
Lights
12%
Energy Savings
35%
Receptacles
15%
Space Heating
18%
Domestic Hot Water
5%
Fans & Pumps 12%
Source: CABA’s Convergence of
Green and Intelligent Buildings 2008
Space Cooling
3%
Source: Evaluation of the Impact of Sub-Metering on Multi-Residential Electricity
Consumption and the Potential Economic and Environment Impact on Ontario
Lighting Systems
Proportion of Projects by overall integration
Health, 4%
Education, 31%
Other Comm, 0%
Transport
Buildings, 5%
Retail, 10%
Offices, 28%
Source: CABA’s Intelligent and
Integrated Buildings Technologies:
Market Sizing in North America
2011
Other Public, 0.3%
High Tech
Industrial, 0.5%
Life Science, 1%
Industrial
Assembly, 5%
Comms/ Computer
Buildings, 1%
Warehouses, 0%
Entertain/
Leisure, 1%
Hotels/
Catering, 0.1%
Central / Local
Government, 4%
Other Industrial
(Petro-chem/
Refiniries etc), 2%
Multi-occupancy
Multioccupancy 0%
Residential,
Banking/ Finance/
residential, 0%
Insurance, 2%
Fire Detection Systems
Market size by end user vertical market
end multiHigh High
end multi-occupancy
Banking/ Finance/
Other Industrial, 1%
occupancy
residential, Insurance, 6%
residential, 6%
Warehouses, 2%
Communications &
Computers, 4%
6%
Offices, 10%
Industrial Assembly, 8%
Hotels/ Catering, 6%
Life Science, 3%
Retail, 3%
High tech Industry, 4%
Entertain/ Leisure, 3%
Other public, 1%
Transport Buildings, 2%
Other Comm, 1%
Central & Local
Government, 4%
Health, 12%
Education, 24%
Source: CABA’s Intelligent and
Integrated Buildings Technologies:
Market Sizing in North America
2011
Security Systems
Market share distribution by end user, 2008
High
multiHighend
end multi-occupancy
occupancy
residential,
residential
1%
1%
Other industrial
5%
Public Surveillance
4%
Banking/Finance
6%
Offices
12%
Warehouses
5%
Communication buildings
2%
Industry Assembly
6%
Hotels/Catering
2%
Retail
8%
Life science
7%
Entertainment/Leisure
2%
High-tech manufacturing
3%
Transport buildings
6%
Other public
6%
Central/Local Government
12%
Source: CABA’s Intelligent and
Integrated Buildings Technologies:
Market Sizing in North America
2011
Other commercial
3%
Health
5%
Education
5%
Environmental Controls
Integration by building type in the North America 2008
High end
residential
Highmulti-storey
end multi-storey
residential
Other Industrial Buildings
Communications & Computer Buildings
Industrial Assembly
Life Science
High-Tech Manufacturing Buildings
Other Public Buildings
Central / Local Government Including Military
Health
Education
Other Commercial Buildings
Transport Buildings
Entertainment / Leisure
Retail
Hotels / Catering
Offices
Banking/Finance/Insurance
0%
Source: CABA’s Intelligent and
Integrated Buildings Technologies:
Market Sizing in North America
2011
10%
20%
30%
40%
50%
60%
70%
80%
Your Information Source for Home &
Building Automation
1173 Cyrville Road, Suite 210
Ottawa, ON K1J 7S6
613.686.1814
Toll free: 888.798.CABA (2222) Fax: 613.744.7833
CABA@CABA.org
http://www.twitter.com/caba_news
http://www.linkedin.com/groups?gid=2121884
http://www.CABA.org