Control & Connectivity - EU-27 | Statista Market Forecast

Revenue in the Control & Connectivity market is projected to reach US$4.8bn in 2024.
Revenue is expected to show an annual growth rate (CAGR 2024-2029) of 10.26%, resulting in a projected market volume of US$7.7bn by 2029.
In the Control & Connectivity market, the number of active households is expected to amount to 106.2m users by 2029.
Household penetration will be 16.0% in 2024 and is expected to hit 54.4% by 2029.
The average revenue per installed Smart Home currently is expected to amount to US$152.60.

Definition:

The Control & Connectivity market includes the essential equipment (connected and remote-control devices) and services that are part of an intelligent home network. The segment includes smart speakers (Amazon Echo, Google Home, etc.), central control and communication units (hub/gateway), programmable control buttons (e.g. wall switches and adjustable dials), and smart plugs for the control of non-smart devices.

Additional Information:

The market comprises revenue, average revenue per smart home, number of smart homes so as the household penetration rate by smart home, and key players. Figures are generated through both online and offline sales channels and include exclusive spending by consumers (B2C). Market leaders include Amazon and Google, renowned for their innovation, brand recognition, and expansive distribution channels within their respective categories. For more information on the data displayed, use the info button right next to the boxes.

Gateways/hubs that are capable of controlling devices of all segments (e.g., Smart Home Zigbee 3.0 Gateway Smik)
Smart speakers with a primary focus on control and digital assistants (e.g., Sonoro STREAM, Bose Smart Speaker 500)
Control buttons and smart plugs/sockets (e.g., TP-Link KE100 KIT, Aoycocr Wi-Fi Smart Socket)

Connected home appliances (see Smart Appliances)
Multiroom speaker systems with a primary focus on entertainment (see Home Entertainment)
Smartphones and tablets
B2B/C2C sales of any kind (e.g., to hotels or office buildings)

The Control & Connectivity market in EU-27 is experiencing significant growth and development due to several key factors.

Customer preferences: Customers in the EU-27 are increasingly demanding more advanced control and connectivity solutions for their everyday needs. This is driven by the growing reliance on technology in various industries such as manufacturing, automotive, and healthcare. Customers are looking for solutions that can help them streamline operations, improve efficiency, and enhance overall productivity. They are also seeking connectivity options that can enable seamless communication and data transfer between different devices and systems.

Trends in the market: One of the major trends in the Control & Connectivity market in EU-27 is the increasing adoption of Internet of Things (IoT) technology. IoT allows for the connection of various devices and systems, enabling real-time data collection and analysis. This trend is particularly prominent in industries such as manufacturing, where IoT can be used to optimize production processes and improve overall efficiency. Another trend is the growing demand for wireless connectivity solutions, such as Wi-Fi and Bluetooth, which provide flexibility and convenience in terms of device connectivity. Additionally, there is a rising interest in cloud-based control and connectivity solutions, which offer scalability, cost-effectiveness, and remote access capabilities.

Local special circumstances: The EU-27 market is characterized by a strong emphasis on data privacy and security. This has led to the implementation of stringent regulations, such as the General Data Protection Regulation (GDPR), which govern the collection, storage, and processing of personal data. As a result, control and connectivity solutions in the EU-27 must comply with these regulations and ensure the protection of customer data. This has created opportunities for companies that specialize in data security and privacy solutions.

Underlying macroeconomic factors: The Control & Connectivity market in EU-27 is also influenced by macroeconomic factors such as economic growth, technological advancements, and government initiatives. The EU-27 has been experiencing steady economic growth, which has increased the purchasing power of businesses and consumers. This, in turn, has led to higher investments in control and connectivity solutions. Technological advancements, particularly in areas such as artificial intelligence and machine learning, have also played a significant role in driving the market forward. Furthermore, government initiatives aimed at promoting digitalization and innovation have created a favorable environment for the growth of the Control & Connectivity market in EU-27. In conclusion, the Control & Connectivity market in EU-27 is witnessing significant growth and development driven by customer preferences for advanced solutions, trends such as IoT and wireless connectivity, local special circumstances related to data privacy and security, and underlying macroeconomic factors including economic growth and government initiatives.

Data coverage:

The data encompasses B2C enterprises. Figures are based on the sales of smart home products, excluding taxes.

Modeling approach:

Market sizes are determined through a bottom-up approach, building on a specific rationale for each market category. As a basis for evaluating markets, we use the Statista Global Consumer Survey, market data from independent databases and third-party sources, and Statista interviews with market experts. In addition, we use relevant key market indicators and data from country-specific associations, such as household internet penetration and consumer spending for households. This data helps us estimate the market size for each country individually.

Forecasts:

In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques is based on the behavior of the relevant market. For example, the S-curve function and exponential trend smoothing are well suited for forecasting innovative products due to the non-linear growth of technology adoption. The main drivers are GDP/capita, level of digitization, and consumer attitudes toward smart home integration.

Additional notes:

The data is modeled using current exchange rates. The impact of the COVID-19 pandemic and the Russia-Ukraine war are considered at a country-specific level. The market is updated once a year, in case market dynamics change we do more frequent updates.

This report presents a comprehensive analysis and additional information on the Consumer market, in a PDF format.

Smart homes use connected devices and appliances to perform actions, tasks, and automated routines to save money, time, and energy. They are the ongoing revolution of the humble home appliance mixed with AI, robotics, and improvement in IoT technologies. AI in particular, speeding up response times and working as an automation bridge between homeowner and home is already having an impact.