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Smart Home Forecast 2021

More Time at Home for Connection

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About This Report
The share of US households adopting smart home devices will grow to 41.9% this year as consumers increasingly demand convenience and data transparency.
Table of Contents

Executive Summary

A concept long present in pop culture, the smart home is progressing from a fragmented number of devices to an integrated ecosystem. From locks to doorbells and thermostats to fridges, smart home devices enabled by the internet of things (IoT) are increasingly being adopted in homes or embedded within new builds.

How large is the smart home device market and how big will it become?

In 2021, 41.9% of US households will use a smart home device, expanding to 48.4% by 2025. While growth of smart home households may slow in the next few years, existing households will continue to adopt new devices.

What are the most important changes ahead?

As people continue to spend more time at home, they are increasingly reaching for smart home devices to improve convenience and efficiency in their daily lives. Emerging tech trends, like improved natural language processing (NLP) and increased integration among devices, are shifting how device manufacturers design their products.

What does this mean for tech players and marketers?

The increase in smart home device adoption is advantageous for both tech players and marketers if consumer trust and value are prioritized. Privacy and security remain concerns for manufacturers and marketers to tackle as adoption and use cases increase.

WHAT’S IN THIS REPORT? This report examines our forecasts for smart home device users in the US, looks at underlying trends that are driving smart home device adoption, and discusses how players can take advantage of emerging opportunities.

KEY STAT: About 60 million US households (46.5% of all US homes) will use smart home devices by 2023, more than double that of 2018.

Here’s what’s in the full report

2files

Exportable files for easy reading, analysis and sharing.

14charts

Reliable data in simple displays for presentations and quick decision making.

Table of Contents

  1. Executive Summary
  2. Key Points
  3. Sizing the Opportunity: The Number of Smart Home Device Users Will Steadily Increase
  1. What’s Changing that Will Impact This Forecast?
  2. What Should I Do About Growing Smart Home Adoption?
  3. Read Next
  1. Sources
  2. Media Gallery

authors

Jessica Lis

Contributors

Chris Keating
Director, Research
Oscar Orozco
Director, Forecasting
Yoram Wurmser
Principal Analyst
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