In Germany, the Internet of Things Is a Niche Market - eMarketer

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In Germany, the Internet of Things Is a Niche Market

Connected device interest points to domestic concerns, like appliances and security

October 20, 2016

Fewer than 10% of adult internet users in Germany said they owned wireless speakers in July 2016, according to a report from Deloitte. And those were the most popular items in the internet of things (IoT).

Internet of Things Devices Owned by Internet Users in Germany, July 2016 (% of respondents)

Just 4% of those surveyed said they owned a fitness tracker—think FitBit, for instance—and the same share said they owned a smart watch, like Apple’s.

Smart watches are also among the most desired IoT devices—though, again, fewer than one in 10 respondents were interested.

A meager 7% of respondents said they would consider purchasing a smart watch, the leading response along with wireless speakers. Other choices, like the speakers, pointed to domestic concerns: 6% said they would consider purchasing a surveillance security system, while another 4% would consider a home appliance, and 3% would consider a smart lighting system or a smart thermostat.

Internet of Things Devices that Internet Users in Germany Would Consider Purchasing, July 2016 (% of respondents)

Clearly, internet users in Germany are hesitant about the IoT.

Purchase costs are the leading barrier to those who might otherwise adopt smart-home technologies, according to earlier research.

And digital marketers in Germany are also slow to bet on the IoT: According to an August 2016 survey conducted by eprofessional, fewer than 20% of digital marketers in the country named the IoT as a digital marketing trend.

And with nearly 50% of consumers in Germany not knowing the term “smart home,” or nearly 70% not able to describe a “connected car,” there’s a long way to go before mass adoption of these technologies.

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